HOUSE BILL No. 5401


     November 1, 2001, Introduced by Reps. Bogardus, Sheltrown, Hale, Jacobs, Minore, Jamnick, Adamini, Rich Brown, Lipsey, Schermesser,
Thomas, Garza, Hansen, Dennis, Kolb, Rison, Woodward, Gieleghem, Murphy, Reeves, O'Neil, Mans, Zelenko, Wojno, McConico, Phillips, Callahan,
Quarles, Hardman, Bovin, Lockwood, Neumann and Lemmons and referred to the Committee on Appropriations.


        A bill to amend 1979 PA 94, entitled

   "The state school aid act of 1979,"

   (MCL 388.1601 to 388.1772) by adding section 98b.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1
           SEC. 98B.  (1) IN ADDITION TO ALL OTHER APPROPRIATIONS UNDER

 2
      THIS ACT, $70,000,000.00 IS APPROPRIATED AND TRANSFERRED FROM THE

 3
      MICHIGAN TOBACCO SETTLEMENT TRUST FUND TO THE STATE SCHOOL AID

 4
      FUND EACH FISCAL YEAR FOR 2001-2002 AND FOR 2002-2003, AND THAT

 5
      $70,000,000.00 IS APPROPRIATED FROM THE STATE SCHOOL AID FUND

 6
      EACH FISCAL YEAR FOR 2001-2002 AND FOR 2002-2003 TO MAKE PAYMENTS

 7
      TO DISTRICTS UNDER THIS SECTION.

 8
           (2) FROM THE APPROPRIATION IN SUBSECTION (1), THERE IS ALLO-

 9
      CATED TO EACH DISTRICT THAT LEVIES INFRASTRUCTURE DEBT MILLAGE AN

10
      AMOUNT PER MEMBERSHIP PUPIL TO GUARANTEE THE DISTRICT WILL

11
      RECEIVE A COMBINED STATE-LOCAL YIELD PER MEMBERSHIP PUPIL FOR


   05053'01                                                 TAV                                   2

 1
      EACH MILL, UP TO A MAXIMUM OF 5 MILLS, OF INFRASTRUCTURE DEBT

 2
      MILLAGE LEVIED BY THE DISTRICT THAT IS AT LEAST EQUAL TO THE

 3
      STATE AVERAGE INFRASTRUCTURE MILLAGE YIELD.  THE NET ALLOCATION

 4
      FOR EACH SCHOOL DISTRICT SHALL BE AN AMOUNT PER MEMBERSHIP PUPIL

 5
      COMPUTED BY SUBTRACTING FROM THAT COMBINED STATE-LOCAL YIELD THE

 6
      PRODUCT OF THE DISTRICT'S ACTUAL TAXABLE VALUE PER MEMBERSHIP

 7
      PUPIL AND THE NUMBER OF MILLS OF INFRASTRUCTURE DEBT MILLAGE, UP

 8
      TO A MAXIMUM OF 5 MILLS, LEVIED BY THE DISTRICT.  ALL CALCULA-

 9
      TIONS UNDER THIS SECTION SHALL BE MADE BY THE DEPARTMENT USING

10
      THE NUMBER OF MEMBERSHIP PUPILS FOR THE SCHOOL YEAR ENDING IN THE

11
      IMMEDIATELY PRECEDING STATE FISCAL YEAR, THE NUMBER OF MILLS OF

12
      INFRASTRUCTURE DEBT MILLAGE LEVIED BY THE DISTRICT IN THE CALEN-

13
      DAR YEAR ENDING IN THE IMMEDIATELY PRECEDING STATE FISCAL YEAR,

14
      AND THE TAXABLE VALUE OF THE DISTRICT FOR THE CALENDAR YEAR

15
      ENDING IN THE IMMEDIATELY PRECEDING STATE FISCAL YEAR.

16
           (3) TO RECEIVE FUNDING UNDER THIS SECTION, A DISTRICT SHALL

17
      PROVIDE TO THE DEPARTMENT IN THE FORM AND MANNER PRESCRIBED BY

18
      THE DEPARTMENT ALL INFORMATION THE DEPARTMENT CONSIDERS NECESSARY

19
      TO VERIFY THE DISTRICT'S ELIGIBILITY FOR PAYMENTS UNDER THIS SEC-

20
      TION AND TO CALCULATE PAYMENTS UNDER THIS SECTION.

21
           (4) AS USED IN THIS SECTION:

22
           (A) "INFRASTRUCTURE DEBT MILLAGE" MEANS MILLAGE LEVIED TO

23
      REPAY BONDS ISSUED UNDER SECTION 1351A OF THE REVISED SCHOOL

24
      CODE, MCL 380.1351A, FOR NEW CONSTRUCTION, MAJOR RENOVATIONS, OR

25
      TECHNOLOGY RETROFITTING OF SCHOOL BUILDINGS.

26
           (B) "MAJOR RENOVATION" MEANS TO RESTORE OR REMODEL AN AREA

27
      OR AREAS OF A SCHOOL BUILDING TO AN EFFECTIVE AND EFFICIENT



   05053'01                                   3

 1
      OPERATIONAL LEVEL, INCLUDING, BUT NOT LIMITED TO, RE-ROOFING,

 2
      HEAT/AIR EXCHANGE SYSTEM, ELECTRICAL, PLUMBING, STRUCTURAL, RENO-

 3
      VATION TO MEET REQUIREMENTS OF LAWS CONCERNING PERSONS WITH DIS-

 4
      ABILITIES, ENERGY EFFICIENCY IMPROVEMENTS, OR INSTRUCTIONAL SPACE

 5
      REDESIGN.

 6
           (C) "STATE AVERAGE INFRASTRUCTURE MILLAGE YIELD" MEANS THE

 7
      AVERAGE COMBINED STATE-LOCAL YIELD PER MEMBERSHIP PUPIL FOR EACH

 8
      MILL OF INFRASTRUCTURE DEBT MILLAGE LEVIED AMONG ALL LOCAL SCHOOL

 9
      DISTRICTS IN THIS STATE FOR THE CALENDAR YEAR ENDING IN THE IMME-

10
      DIATELY PRECEDING STATE FISCAL YEAR, EXCLUDING THE HIGHEST YIELD

11
      AND THE LOWEST YIELD, AS CALCULATED BY THE DEPARTMENT OF TREASURY

12
      AND REPORTED TO THE DEPARTMENT.

13
           (D) "TAXABLE VALUE PER MEMBERSHIP PUPIL" MEANS THAT TERM AS

14
      DEFINED IN SECTION 20.

15
           (E) "TECHNOLOGY RETROFITTING" MEANS TO REMODEL AN EXISTING

16
      AREA IN A BUILDING TO HOUSE A TECHNOLOGY PROGRAM, TO ADAPT THE

17
      EXISTING ELECTRICAL SYSTEM TO HANDLE INCREASED ELECTRICAL LOAD

18
      FROM TECHNOLOGY USAGE, OR TO ADD CABLING OR WIRELESS CAPABILITY

19
      TO PROVIDE FOR VOICE, VIDEO, OR DATA TRANSMISSION TO, OR RECEP-

20
      TION FROM, MULTIPLE SITES WITHIN THE BUILDING.

















   05053'01          Final page.                            TAV