FY 2010-11 HIGHER EDUCATION BUDGET S.B. 1157: GOVERNOR'S RECOMMENDATION


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Senate Bill 1157 (as introduced)
Vehicle for Governor's Recommendation line items is Senate Bill 1188.
 Committee: Appropriations

Changes from FY 2009-10 Year-to-Date:
  1. University Operations, Agricultural Experiment Station (AES), Cooperative Extension Service (CES). Governor replaced $68.2 million in Federal American Recovery and Reinvestment Act (ARRA) funds with State GF/GP. This would freeze appropriations for universities, AES, and CES at FY 2009-10 levels. 0
2. State Competitive Scholarship Program. Governor removed unavailable Federal funds which would result in total funding for this need-and-merit-based program of $16.2 million. (1,400,000)
3. Tuition Grant Program. Governor eliminated these need-based grants for students at independent colleges and universities. (31,664,700)
4. Michigan Merit Awards. Governor eliminated the $100 placeholder due to final phase-out of the awards. (100)
5. Tuition Incentive Program (TIP). Governor eliminated Phase II of TIP which provides up to $2,000 per student for bachelor's degree programs, and capped reimbursement for public universities at the average in-district community college tuition rate. Under current law, TIP promises to pay two years of associate's degree tuition (Phase I) and up to $2,000 at a four-year institution, for Medicaid-eligible middle school and high school students who graduate from high school. There were nearly 14,000 TIP students in FY 2008-09 with approximately 12,800 in Phase I and 1,200 in Phase II. (1,100,000)
6. Children of Veterans Tuition Grant Program. Governor added funds to address estimated caseload spending increases; total funding for the program would be $1,151,500, financed from $851,500 GF/GP and $300,000 from an existing income tax check-off. 151,500
Total Changes ($33,964,800)
  FY 2010-11 Governor's Recommendation $1,578,278,500
FY 2010-11 HIGHER EDUCATION BUDGET BOILERPLATE HIGHLIGHTS

Changes from FY 2009-10 Year to Date:
  1. Buy American. Governor changed from intent to requirement. (Sec. 209)
2. Preference for Michigan Vehicles. Governor changed from intent to requirement, if vehicle is competitively priced and of comparable value. (Sec. 210)
3. Deprived and Depressed. Governor added requirement for universities to ensure businesses in deprived and distressed communities can compete for contracts, services, and supplies. (Sec. 211)
4. Late HEIDI Data Submission. Governor changed penalty from required to permissive. (Sec. 212(2))
5. Appropriations Report from Fiscal Agencies. Governor deleted. (Sec. 212(3))
6. Tuition Tax Credit Report. Governor deleted notification to fiscal agencies. (Sec. 214)
7. ARRA Compliance. Governor changed establishment of P-16 longitudinal data system to a P-20 system. (Sec. 216)
8. Conflicts of Interest. Governor deleted intent for university governing boards to examine operations for potential conflicts of interest. (Sec. 217)
9. Tuition Grants. Governor deleted due to program elimination. (Sec. 302)
10. Tuition Incentive Program (TIP). Governor eliminated Phase II which provides up to $2,000 per student for bachelor's degree programs, and capped reimbursement for public universities at the average in-district community college tuition rate. (Sec. 310)
11. Financial Aid Report. Governor changed due date from February 15 to March 31. (Sec. 315)
12. Financial Aid Workgroup. Governor deleted legislative intent. (Sec. 316)
13. Intent to Fund. Governor deleted legislative intent to fund various financial aid programs. (Secs. 317, 318, 319)
14. Douglas Lake. Governor deleted intent to preserve research value. (Sec. 402)
15. Required Textbooks. Governor deleted intent for timely access to lists/accounts by private bookstores, and intent for universities to establish review process for new textbooks. (Sec. 426)
16. AES and CES. Governor deleted intent to add $3.5 million for bioeconomy research. (Sec. 433(3))
17. Future Farmers of America. Governor deleted $80,000 earmark. (Sec. 434)
18. ARRA Report. Governor deleted requirement. (Sec. 436)
19. Per Student Floor Funding. Governor deleted intent to provide $3,775 per student. (Sec. 450)
20. Indian Tuition. Governor deleted intent to pay for unfunded costs. (Sec. 451)
21. Macomb County. Governor deleted enrollment report requirement. (Sec. 463)
22. Timely Graduation. Governor deleted intent for universities to facilitate. (Sec. 471)
23. Student Veterans. Governor deleted university report requirement. (Sec. 480)
24. HEIDI Enrollment Audits. Governor deleted fiscal agencies as advisors. (Sec. 701(1)
25. New Academic Programs. Governor deleted FY 2009-10 list of approved programs. (Sec. 701a)

Date Completed: 2-17-10 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. hihed_gr.doc