FY 2008-09 HIGHER EDUCATION BUDGET S.B. 1099 (H-2) CR-1: CONFERENCE SUMMARY


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Amount Over/(Under) GF/GP Target: $ 0
FY 2007-08 Year-to-Date Gross Appropriation $1,886,675,700
Changes from FY 2007-08 Year-to-Date:
  Items Included by the Senate and House
1. August 2007 Delayed Payment. This one-time payment is eliminated. (138,736,000)
2. Midwest Higher Education Compact. Annual dues increased from $90,000 to $95,000. 5,000
3. Michigan Merit/Promise Grants. Funds adjusted for the transition, with FY 2008-09 total appropriations of $5.2 million for Merit Awards and $90.5 million for Promise Grants. 1,900,000
4. Tuition Incentive Program (TIP). Funds were added for caseload growth, resulting in an FY 2008-09 appropriation of $25.2 million. 4,100,000
5. Grants and Financial Aid. Tuition Grants, Work Study, Part-time Independent Grants, Michigan Education Opportunity Grants, Byrd Scholarships, Nursing Program, Children of Veterans Tuition Grants, and Gear-Up were retained at FY 2007-08 funding levels, including $3.3 million in fund shifts from State restricted revenue to General Fund. 0
Conference Agreement on Items of Difference
6. University Operations. The Governor provided a total increase of 3.0%, with individual university increases ranging from 2.3% to 6.2%. The Senate and House added across-the-board increases of 3.0% and 2.7%, respectively. Conference included an across-the-board 1.0% increase. 14,527,300
7. Indian Tuition Waivers. The House added $2.4 million for unfunded costs; Conference did not include new funding. 0
8. Agricultural Experiment Station (AES) and Cooperative Extension Service (CES). The Governor and Senate added 3.0% increases, the House 2.7%, Conference provided 1.0% increases for AES ($340,000) and CES ($293,200). 633,200
9. State Competitive Scholarships. The House added $2.4 million to increase the maximum grant to $1,400. Conference retained maximum grants at the FY 2007-08 level of $1,300. 0
10. Format Change. The Senate bill included all 15 universities in one section; House and Conference retained current year format with articles.
Total Changes ($117,570,500)
  FY 2008-09 Conference Report Gross Appropriation $1,769,105,200
FY 2008-09 HIGHER EDUCATION BUDGET BOILERPLATE HIGHLIGHTS

Changes from FY 2007-08 Year to Date:
  Items Included by the Senate and House
1. Future Farmers of America. Earmark of $80,000 changed from intent to requirement. (Sec. 434)
2. Coordination of Purchases Among Universities. Intent changed to requirement. (Sec. 466)
3. Community Colleges/Universities Cooperation on Transfer Students. Intent changed to requirement. (Sec. 603)
Conference Agreement on Items of Difference
4. Definition of Research University. Senate deleted; Governor, House, Conference retained. (Sec. 203)
5. Preference for Michigan Vehicles. Governor and Senate deleted intent for universities to lease and/or purchase only vehicles assembled or manufactured in Michigan; House and Conference retained. (Sec. 210)
6. Postsecondary Student Data System. House added intent for a comprehensive preschool-through-postsecondary system for public universities (Sec. 216) and for independent colleges (Sec. 316). Conference required a progress report from public universities (Sec. 216) and deleted Sec. 316.
7. Conflicts of Interest. House and Conference added intent for each university governing board to examine its operations for potential conflicts of interest. (Sec. 217)
8. State Competitive Scholarships. House added intent to increase maximum grant to $1,400; Conference modified to provide intent for a 1.0% funding increase. (Sec. 301)
9. Tuition Grants. Governor and House deleted reference to a grant amount and the carryforward of unexpended funds; Senate retained these provisions and added intent to secure a 3.0% increase; Conference concurred with Senate but replaced intent for 3.0% increase with 1.0%. (Sec. 302)
10. Financial Aid Report. House and Conference required annual report from the Department of Treasury. (Sec. 315)
11. Per Student Floor Funding. Senate and Conference retained $3,775 floor and intent to fund from FY 2007-08 year-end balances; Governor and House deleted. (Sec. 450)
12. Indian Tuition. Conference added intent to pay for unfunded costs from FY 2007-08 year-end balances. (Sec. 451)
13. Suicide Prevention. Governor and Senate deleted intent for universities to develop education programs; House and Conference retained. (Sec. 462)
14. Macomb County. Governor and Senate deleted report on county residents enrolled at public universities; House and Conference retained. (Sec. 463)
15. Research Commercialization Report. Governor deleted; House, Senate, and Conference retained; Senate and Conference added penalty for late submission. (Sec. 464)
16. Performance Standards. Governor and Senate deleted intent to establish for public universities; House and Conference retained. (Sec. 467)
17. Pell Grant Report. Governor, House, and Conference added requirement; Senate did not include. (Sec.469)
18. Presidential Salaries. Senate added intent for universities to limit increases to Detroit CPI; House and Conference did not include. (Sec. 470)
19. Timely Graduation. Senate and Conference added intent for universities to provide counseling and limit changes to general graduation requirements during a student's enrollment; House did not include. (Sec. 471)
20. Receipt of 2007 Delayed Payment. Senate added intent to penalize universities that did not provide promised tuition rebates; House did not include; Conference included intent for universities to provide rebates. (Sec. 472)
21. Enrollment Reporting. House and Conference clarified types of distance learning credit hours that can be reported. (Sec. 701)
22. New Degree Programs. House and Conference added Presidents Council list of approved new programs. (Sec. 701a)
23. Federal Privacy Act. Governor, Senate, and Conference changed from intent to requirement that universities comply with disclosure provisions of the act; House retained intent. (Sec. 714)
24. Nursing Education/Shortage. Senate and Conference required status report from DLEG; House did not include. (Sec.715)

Date Completed: 6-26-08 Fiscal Analyst: Ellen Jeffries Bill Analysis @ http://www.senate.michigan.gov/sfa This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations. 09hihed_cr