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HB-4441, As Passed Senate, June 23, 2009

SENATE SUBSTITUTE FOR

HOUSE BILL NO. 4441

A bill to make appropriations for the state institutions of

higher education and certain state purposes related to education

for the fiscal year ending September 30, 2010; to provide for the

expenditures of those appropriations; and to prescribe the powers

and duties of certain state departments, institutions, agencies,

employees, and officers.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. Subject to the conditions set forth in this act, the

amounts listed in this part are appropriated for higher education

for the fiscal year ending September 30, 2010, from the funds

indicated in this part.

HIGHER EDUCATION

House Bill No. 4441 as amended June 23, 2009

APPROPRIATION SUMMARY

GROSS APPROPRIATION.................................... $ <<1,609,743,500>>

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental

transfers............................................ 0

ADJUSTED GROSS APPROPRIATION........................... $ <<1,609,743,500>>

Federal revenues:

Total federal revenues................................. 75,638,000

Special revenue funds:

Total local revenues................................... 0

Total private revenues................................. 0

Total other state restricted revenues.................. <<26,400,200>>

State general fund/general purpose..................... $ <<1,507,705,300>>

SUBPART A - RESEARCH UNIVERSITIES

Sec. 102. MICHIGAN STATE UNIVERSITY

Operations............................................. $ 291,841,700

Agricultural experiment station........................ 34,198,900

Cooperative extension service.......................... 29,497,000

GROSS APPROPRIATION.................................... $ 355,537,600

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 35,687,600

State general fund/general purpose..................... $ 319,850,000

Sec. 103. UNIVERSITY OF MICHIGAN - ANN ARBOR

Operations............................................. $ 325,347,400

GROSS APPROPRIATION.................................... $ 325,347,400

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 8,775,400

State general fund/general purpose..................... $ 316,572,000

Sec. 104. WAYNE STATE UNIVERSITY

Operations............................................. $ 220,329,200

GROSS APPROPRIATION.................................... $ 220,329,200

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 6,003,800

State general fund/general purpose..................... $ 214,325,400

SUBPART B - STATE UNIVERSITIES

Sec. 105. CENTRAL MICHIGAN UNIVERSITY

Operations............................................. $ 82,436,000

GROSS APPROPRIATION.................................... $ 82,436,000

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 2,342,100

State general fund/general purpose..................... $ 80,093,900

Sec. 106. EASTERN MICHIGAN UNIVERSITY

Operations............................................. $ 78,212,100

GROSS APPROPRIATION.................................... $ 78,212,100

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 2,246,500

State general fund/general purpose..................... $ 75,965,600

Sec. 107. FERRIS STATE UNIVERSITY

Operations............................................. $ 50,017,100

GROSS APPROPRIATION.................................... $ 50,017,100

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 1,395,300

State general fund/general purpose..................... $ 48,621,800

Sec. 108. GRAND VALLEY STATE UNIVERSITY

Operations............................................. $ 63,758,300

GROSS APPROPRIATION.................................... $ 63,758,300

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 1,739,900

State general fund/general purpose..................... $ 62,018,400

Sec. 109. LAKE SUPERIOR STATE UNIVERSITY

Operations............................................. $ 13,059,200

GROSS APPROPRIATION.................................... $ 13,059,200

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 477,600

State general fund/general purpose..................... $ 12,581,600

Sec. 110. MICHIGAN TECHNOLOGICAL UNIVERSITY

Operations............................................. $ 49,302,100

GROSS APPROPRIATION.................................... $ 49,302,100

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 1,431,300

State general fund/general purpose..................... $ 47,870,800

Sec. 111. NORTHERN MICHIGAN UNIVERSITY

Operations............................................. $ 46,438,200

GROSS APPROPRIATION.................................... $ 46,438,200

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 1,289,300

State general fund/general purpose..................... $ 45,148,900

Sec. 112. OAKLAND UNIVERSITY

Operations............................................. $ 52,220,800

GROSS APPROPRIATION.................................... $ 52,220,800

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 1,530,100

State general fund/general purpose..................... $ 50,690,700

Sec. 113. SAGINAW VALLEY STATE UNIVERSITY

Operations............................................. $ 28,517,700

GROSS APPROPRIATION.................................... $ 28,517,700

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 807,600

State general fund/general purpose..................... $ 27,710,100

Sec. 114. UNIVERSITY OF MICHIGAN - DEARBORN

Operations............................................. $ 25,437,100

GROSS APPROPRIATION.................................... $ 25,437,100

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 733,500

State general fund/general purpose..................... $ 24,703,600

Sec. 115. UNIVERSITY OF MICHIGAN - FLINT

Operations............................................. $ 21,498,900

GROSS APPROPRIATION.................................... $ 21,498,900

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 627,200

State general fund/general purpose..................... $ 20,871,700

Sec. 116. WESTERN MICHIGAN UNIVERSITY

Operations............................................. $ 112,766,800

GROSS APPROPRIATION.................................... $ 112,766,800

Appropriated from:

Federal revenues:

DED - state fiscal stabilization fund - education

(ARRA)............................................... 3,150,800

State general fund/general purpose..................... $ 109,616,000

SUBPART C - GRANTS AND FINANCIAL AID

Sec. 117. MARTIN LUTHER KING, JR. - CESAR CHAVEZ -

ROSA PARKS PROGRAM

Select student supportive services..................... $ 1,956,100

Michigan college/university partnership program........ 586,800

Morris Hood, Jr. educator development program.......... 148,600

House Bill No. 4441 as amended June 23, 2009

GROSS APPROPRIATION.................................... $ 2,691,500

Appropriated from:

Federal revenues:

United States department of education, office of

elementary and secondary education, gear-up.......... 2,691,500

State general fund/general purpose..................... $ 0

Sec. 118. GRANTS AND FINANCIAL AID

State competitive scholarships......................... $ 16,300,000

Tuition grants......................................... 31,664,700

<<Indian tuition waiver costs.......................... 100>>

Robert C. Byrd honors scholarship program.............. 1,500,000

Nursing scholarship and grant programs................. 200,000

Michigan merit award program........................... 100

<<Michigan promise grant program....................... 100>>

Tuition incentive program.............................. 31,200,000

Children of veterans tuition grant program............. 1,000,000

Project gear-up........................................ 308,500

GROSS APPROPRIATION.................................... $ <<82,173,500>>

Appropriated from:

Federal revenues:

Higher education act of 1965, title IV, 20 USC......... 2,900,000

Higher education act of 1965, title IV, part A......... 1,500,000

United States department of education, office of

elementary and secondary education, gear-up.......... 308,500

Special revenue funds:

Michigan merit award trust fund........................ <<26,100,200>>

Contributions to children of veterans tuition grant

program.............................................. 300,000

House Bill No. 4441 as amended June 23, 2009

State general fund/general purpose..................... $ <<51,064,800>>

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

GENERAL SECTIONS

Sec. 201. Pursuant to section 30 of article IX of the state

constitution of 1963, total state spending from state resources

under this act for fiscal year 2009-2010 is <<$1,534,105,500.00>> and

state spending from state resources to be paid to local units of

government for fiscal year 2009-2010 is $0.

Sec. 202. The appropriations authorized under this act are

subject to the management and budget act, 1984 PA 431, MCL 18.1101

to 18.1594.

Sec. 203. As used in this act, "research university" means a

public university classified as a "research university (very high

research activity)" under the 2005 classification of institutions

of higher education conducted by the Carnegie foundation for the

advancement of teaching.

Sec. 208. Unless otherwise specified, public universities

receiving appropriations in part 1 shall use the Internet to

fulfill the reporting requirements of this act. This requirement

may include transmission of reports via electronic mail to the

recipients identified for each reporting requirement, or it may

include placement of reports on an Internet or Intranet site.

Sec. 209. Funds appropriated in part 1 shall not be used for

the purchase of foreign goods or services, or both, if

competitively priced and of comparable quality American goods and

services, or both, are available. Preference should be given to

goods or services, or both, manufactured or provided by Michigan

businesses if they are competitively priced and of comparable

value. In addition, preference should be given to goods or

services, or both, that are manufactured or provided by Michigan

businesses owned and operated by veterans if they are competitively

priced and of comparable quality.

Sec. 210. It is the intent of the legislature that the funds

appropriated in part 1 to state institutions of higher education

shall not be used to enter into a lease or to purchase a vehicle

assembled or manufactured outside of the United States, and that

preference be given to vehicles assembled or manufactured in

Michigan.

Sec. 212. (1) The funds appropriated in part 1 to public

universities shall be paid out of the state treasury and

distributed by the state treasurer to the respective institutions

in 11 equal monthly installments on the sixteenth of each month, or

the next succeeding business day, beginning with October 16, 2009.

Except for Wayne State University, each institution shall accrue

its July and August 2010 payments to its institutional fiscal year

ending June 30, 2010.

(2) All public universities shall submit higher education

institutional data inventory (HEIDI) data and associated financial

and program information requested by and in a manner prescribed by

the state budget director. For public universities with fiscal

years ending June 30, 2009, these data shall be submitted to the

state budget director by October 15, 2009. Public universities with

a fiscal year ending September 30, 2009 shall submit preliminary

HEIDI data by November 15, 2009 and final data by December 15,

2009. If a public university fails to submit HEIDI data and

associated financial aid program information in accordance with

this reporting schedule, the state treasurer shall withhold the

monthly installments under subsection (1) to the public university

until those data are submitted.

(3) A detailed description of procedures utilized to arrive at

the amounts appropriated in part 1 shall be submitted to each

institution by the senate and house fiscal agencies.

Sec. 213. Funds received by the state from the federal

government or private sources for the use of a college or

university are appropriated for the purposes for which they are

provided. The acceptance and use of federal or private funds do not

place an obligation upon the legislature to continue the purposes

for which the funds are made available.

Sec. 214. If section 274 of the income tax act of 1967, 1967

PA 281, MCL 206.274, is not repealed and if a public university

that receives funds under this act notifies the department of

treasury regarding its tuition and fee rates in order to qualify as

an eligible institution for the Michigan tuition tax credit under

section 274 of the income tax act of 1967, 1967 PA 281, MCL

206.274, the public university shall also submit the notification

and applicable documentation of tuition and fee changes to the

house and senate fiscal agencies.

Sec. 215. A public university that receives funds under this

act shall furnish all program and financial information that is

required by and in a manner prescribed by the state budget director

or the house or senate appropriations committee.

Sec. 216. A public university receiving funds in part 1 shall

cooperate with all measures taken by the state to comply with the

state fiscal stabilization fund provisions of the American recovery

and reinvestment act of 2009, Public Law 111-5, requiring the

establishment of a statewide P-16 education longitudinal data

system.

GRANTS AND FINANCIAL AID

Sec. 301. (1) Payments of the amounts included in part 1 for

the state competitive scholarship program shall be distributed

pursuant to 1964 PA 208, MCL 390.971 to 390.981.

(2) The Michigan higher education assistance authority shall

implement a proportional competitive scholarship maximum award

level for recipients enrolled less than full-time in a given

semester or term.

(3) If a student who receives an award under this section has

his or her tuition and fees paid under the Michigan educational

trust program, pursuant to the Michigan education trust act, 1986

PA 316, MCL 390.1421 to 390.1442, and still has financial need, the

funds awarded under this section may be used for educational

expenses other than tuition and fees.

(4) If the Michigan higher education assistance authority

increases the maximum award per eligible student from that provided

in the previous fiscal year, it shall not have the effect of

reducing the number of eligible students receiving awards in

relation to the total number of eligible applicants. Any increase

in the maximum grant shall be proportional for all eligible

students receiving awards.

(5) Students who receive aid under 1964 PA 208, MCL 390.971 to

390.981, shall be awarded scholarships on the basis of merit and

financial need. Veterans administration benefits shall not be

considered in determining eligibility under 1964 PA 208, MCL

390.971 to 390.981.

Sec. 302. (1) The amounts appropriated in part 1 for the state

tuition grant program shall be distributed pursuant to 1966 PA 313,

MCL 390.991 to 390.997a.

(2) Tuition grant awards shall be made to all eligible

Michigan residents enrolled in undergraduate degree programs who

apply before July 1, 2009 and who are qualified. Tuition grant

awards shall not be made to students newly enrolled in a juris

doctor law degree program after the 1995-1996 academic year.

(3) Subject to subsection (7), the Michigan higher education

assistance authority shall determine an actual maximum tuition

grant award per student, which shall be no less than $2,100.00,

that ensures that the aggregate payments for the tuition grant

program do not exceed the appropriation contained in part 1 for the

state tuition grant program. If the authority determines that

insufficient funds are available to establish a maximum award

amount of $2,100.00, the authority shall immediately report to the

house and senate appropriations subcommittees on higher education,

the house and senate fiscal agencies, and the state budget

director, regarding the estimated amount of additional funds

necessary to establish a $2,100.00 maximum award amount. By

December 15, 2009, and again by February 1, 2010, the authority

shall analyze the status of award commitments, shall make any

necessary adjustments, and shall confirm that those award

commitments will not exceed the appropriation contained in part 1

for the tuition grant program. The determination and actions shall

be reported to the state budget director and the house and senate

fiscal agencies no later than February 15, 2010. If award

adjustments are necessary, the students shall be notified of the

adjustment by the third Monday in February.

(4) Any unexpended and unencumbered funds remaining on

September 30, 2010 from the amounts appropriated in part 1 for the

tuition grant program shall not lapse on September 30, 2010, but

shall continue to be available for expenditure for tuition grants

provided in the 2010-2011 fiscal year under a work project account.

The use of these unexpended fiscal year 2009-2010 funds shall

terminate at the end of the 2010-2011 fiscal year.

(5) The Michigan higher education assistance authority shall

continue a proportional tuition grant maximum award level for

recipients enrolled less than full-time in a given semester or

term.

(6) If the Michigan higher education assistance authority

increases the maximum award per eligible student from that provided

in the previous fiscal year, it shall not have the effect of

reducing the number of eligible students receiving awards in

relation to the total number of eligible applicants. Any increase

in the maximum grant shall be proportional for all eligible

students receiving awards for fiscal year 2009-2010.

(7) The Michigan higher education assistance authority shall

not award more than $3,000,000.00 in tuition grants to eligible

students enrolled in the same independent nonprofit college or

university in this state. Any decrease in the maximum grant shall

be proportional for all eligible students enrolled in that college

or university, as determined by the department.

Sec. 307. The auditor general may audit selected enrollments,

degrees, and awards at selected independent colleges and

universities receiving awards administered by the department of

treasury. The audits shall be based upon definitions and

requirements established by the Michigan higher education

assistance authority, the state budget director, and the senate and

house fiscal agencies. The auditor general shall accept the Free

Application for Federal Student Aid (FAFSA) form as the standard of

residency documentation. The auditor general shall submit a report

of findings to the senate and house appropriations committees and

state budget director by May 1, 2010.

Sec. 308. The sums appropriated in part 1 for the student

financial aid programs shall be paid out of the state treasury and

shall be distributed to the respective institutions under a

quarterly payment system as follows:

(a) For the state competitive scholarship, nursing

scholarship, tuition incentive, and tuition grant programs, 40%

shall be paid at the beginning of the state's first fiscal quarter,

40% at the beginning of the state's second fiscal quarter, l0% at

the beginning of the state's third fiscal quarter, and l0% at the

beginning of the state's fourth fiscal quarter.

(b) For the Robert C. Byrd honors scholarship program, 50%

shall be paid at the beginning of the state's first fiscal quarter

and 50% at the beginning of the state's second fiscal quarter.

Sec. 309. The Michigan higher education assistance authority

shall determine the needs analysis criteria for students to qualify

for the state competitive scholarship program and tuition grant

program. To be consistent with federal requirements, student wages

may be taken into consideration when determining the amount of the

award.

Sec. 310. (1) The funds appropriated in part 1 for the tuition

incentive program shall be distributed as provided in this section

and pursuant to the administrative procedures for the tuition

incentive program of the department of treasury.

(2) As used in this section:

(a) "Phase I" means the first part of the tuition incentive

assistance program defined as the academic period of 80 semester or

120 term credits, or less, leading to an associate degree or

certificate.

(b) "Phase II" means the second part of the tuition incentive

assistance program which provides assistance in the third and

fourth year of 4-year degree programs.

(3) A person shall meet the following basic criteria and

financial thresholds to be eligible for tuition incentive benefits:

(a) To be eligible for phase I, a person shall meet all of the

following criteria:

(i) Apply for certification to the department before graduating

from high school or completing the general education development

(GED) certificate.

(ii) Be less than 20 years of age at the time of high school

graduation or GED completion.

(iii) Be a United States citizen and a resident of Michigan

according to institutional criteria.

(iv) Be at least a half-time student, earning less than 80

semester or 120 term credits at a participating educational

institution within 4 years of high school graduation or GED

certificate completion.

(v) Request information on filing a FAFSA.

(b) To be eligible for phase II, a person shall meet either of

the following criteria in addition to the criteria in subdivision

(a):

(i) Complete at least 56 transferable semester or 84

transferable term credits.

(ii) Obtain an associate degree or certificate at a

participating institution.

financially eligible as determined by the department. A person is

financially eligible for the tuition incentive program if that

person was Medicaid eligible for 24 months within the 36 months

before application. Certification of eligibility may begin in the

sixth grade.

(4) For phase I, the department shall provide payment on

behalf of a person eligible under subsection (3). The department

shall reject billings that are excessive or outside the guidelines

for the type of educational institution.

(5) For phase I, all of the following apply:

(a) Payments for associate degree or certificate programs

shall not be made for more than 80 semester or 120 term credits for

any individual student at any participating institution.

(b) For persons enrolled at a Michigan community college, the

department shall pay the current in-district tuition and mandatory

fees. For persons residing in an area that is not included in any

community college district, the out-of-district tuition rate may be

authorized.

department shall pay lower division resident tuition and mandatory

fees for the current year.

(d) For persons enrolled at a Michigan independent, nonprofit

degree-granting college or university, or a Michigan federal

tribally controlled community college, or Focus: HOPE, the

department shall pay mandatory fees for the current year and a per-

credit payment that does not exceed the average community college

in-district per-credit tuition rate as reported on August 1, for

the immediately preceding academic year.

(6) A person participating in phase II may be eligible for

additional funds not to exceed $500.00 per semester or $400.00 per

term up to a maximum of $2,000.00 subject to the following

conditions:

(a) Credits are earned in a 4-year program at a Michigan

degree-granting 4-year college or university.

(b) The tuition reimbursement is for coursework completed

within 30 months of completion of the phase I requirements.

(7) The department shall work closely with participating

institutions to develop an application and eligibility

determination process that will provide the highest level of

participation and ensure that all requirements of the program are

met.

(8) Applications for the tuition incentive program may be

approved at any time after the student begins the sixth grade. If a

determination of financial eligibility is made, that determination

is valid as long as the student meets all other program

requirements and conditions.

(9) Each institution shall ensure that all known available

restricted grants for tuition and fees are used prior to billing

the tuition incentive program for any portion of a student's

tuition and fees.

(10) The department shall ensure that the tuition incentive

program is well publicized and that potentially eligible Medicaid

clients are provided information on the program. The department

shall provide the necessary funding and staff to fully operate the

program.

Sec. 311. To enable the legislature and the state budget

director to evaluate the appropriation needs of higher education,

each independent college and university shall make available to the

legislature or state budget director, upon request, data regarding

grants for the preceding, current, and ensuing fiscal years.

Sec. 312. From the funds appropriated in part 1 for nursing

scholarship and grant programs, the Michigan higher education

assistance authority shall administer any nursing scholarship or

nursing school grant programs authorized under the Michigan nursing

scholarship act, 2002 PA 591, MCL 390.1181 to 390.1189.

Sec. 315. By February 14 of each year, the department of

treasury shall submit a report to the state budget director, the

house and senate appropriations subcommittees on higher education,

and the house and senate fiscal agencies for the preceding fiscal

year on all student financial aid programs for which funds are

appropriated in part 1. For each student financial aid program, the

report shall include, but is not limited to, the total number of

awards paid in the preceding fiscal year, the total dollar amount

of those awards, and the number of students receiving awards and

the total amount of those awards at each eligible postsecondary

institution. To the extent information is available, the report

shall also include information on the average exam performance,

household income, and other demographic characteristics of students

receiving awards under each program and historical information on

the number of awards and total award amounts for each program.

Sec. 316. It is the intent of the legislature that a workgroup

be formed to examine current state financial aid programs and make

recommendations regarding any changes to, additions to, or

consolidation of those programs to improve the overall efficacy of

state financial aid funding. The workgroup shall, at minimum,

contain members of the house and senate appropriations

subcommittees on higher education and representatives of the

House Bill No. 4441 as amended June 23, 2009

presidents council, state universities of Michigan and the

association of independent colleges and universities of Michigan.

<<Sec. 317. It is the intent of the legislature that if the economy improves, and additional state revenue is available, 1 of the foremost priorities for the expenditure of additional revenue in the higher education budget will be to fund Michigan tuition grants authorized under 1966 PA 313, MCL 390.991 to 390.997a.

Sec. 318. It is the intent of the legislature that if the economy improves, and additional state revenue is available, 1 of the foremost priorities for the expenditure of additional revenue in the higher education budget will be to fund the provisions of the Michigan promise grant act, 2006 PA 479, MCL 390.1621 to 390.1628.>>

UNIVERSITY OPERATIONS

Sec. 402. The University of Michigan biological station at

Douglas Lake in Cheboygan County is regarded as a unique resource

and is designated as a special research reserve. It is the intent

of the legislature to protect and preserve the unique long-term

research value and capabilities of the biological station area and

Douglas Lake. The legislature further intends that no state

programs or policies be developed that would have a deleterious

impact on the research value of Douglas Lake.

Sec. 426. It is the intent of the legislature that each public

university receiving an appropriation in part 1 shall establish a

process to review university requirements for students to acquire

new or revised textbooks. The policies developed for this process

shall include criteria for approving any change in textbook

requirements for students and shall prohibit any compensation to a

university or to a university employee if a textbook change is

approved. Not later than February 1, 2010, each public university

shall submit a report to the house and senate appropriations

subcommittees on higher education and the house and senate fiscal

agencies on its efforts to establish this textbook review process.

Sec. 433. (1) Included in part 1 is $2,982,900.00 for the

agricultural experiment station and $2,645,200.00 for the

cooperative extension service for project GREEEN. Project GREEEN is

intended to address critical regulatory, food safety, economic, and

environmental problems faced by this state's plant-based

agriculture, forestry, and processing industries. "GREEEN" is an

acronym for generating research and extension to meet environmental

and economic needs.

(2) The department of agriculture and Michigan State

University, in consultation with agricultural commodity groups and

other interested parties, shall develop project GREEEN and its

program priorities.

(3) It is the intent of the legislature that if state funding

for the agricultural experiment station and the cooperative

extension service is restored to fiscal year 2008-2009 levels, then

an additional amount up to $3,500,000.00 shall be earmarked for

bioeconomy research.

(4) Not later than September 30, 2010, a report shall be

submitted by Michigan State University to the state budget

director, the house and senate appropriations subcommittees on

agriculture and on higher education, and the house and senate

fiscal agencies for the preceding school fiscal year regarding

expenditures and programmatic outcomes of the agricultural

experiment station and cooperative extension service. The report

shall include, but is not limited to:

(a) Total funds expended by the agricultural experiment

station and cooperative extension service identified by state,

local, private, federal, and university fund sources.

(b) The dollar amount of each project GREEEN project and a

review of each project's performance and accomplishments.

development project and a review of each project's performance and

accomplishments.

(d) The dollar amount and description of all other individual

programs and services provided by the agricultural experiment

station and cooperative extension service and a review of each

project's performance and accomplishments.

(e) The number of businesses created or that had increased

employment and the number of patents generated as a result of work

conducted by the agricultural experiment station and cooperative

extension service.

Sec. 434. Included in the appropriation in part 1 for Michigan

State University is $80,000.00 for the Michigan future farmers of

America association. This $80,000.00 appropriation shall not

supplant any existing support that Michigan State University

provides to the Michigan future farmers of America association.

Sec. 436. (1) The funds appropriated to public universities in

part 1 from the education portion of the state fiscal stabilization

funds received under the American recovery and reinvestment act of

2009, Public Law 111-5, shall be used by the public universities,

consistent with the provisions of that act, to mitigate the need to

raise tuition and fees for in-state students or for modernization,

renovation, or repair of facilities that are primarily used for

instruction, research, or student housing.

(2) By November 1, 2009, each public university shall submit a

report to the house and senate appropriations subcommittees on

higher education, the house and senate fiscal agencies, and the

state budget director specifically describing how the funds

appropriated from state fiscal stabilization funds will be used

under subsection (1). That description shall include 1, or both, of

the following:

(a) A detailed estimate of the amount by which increases in

in-state tuition and fee rates were mitigated using the funds

appropriated.

(b) A listing of facilities being modernized, renovated, or

repaired with the funds appropriated, including project dollar

amounts and descriptions.

Sec. 440. All public universities shall submit the amount of

tuition and fees actually charged to a full-time resident

undergraduate student for academic year 2009-2010 as part of their

higher education institutional data inventory (HEIDI) data by

August 31, 2009. A public university shall report any revisions for

any semester of the reported academic year 2009-2010 tuition and

fee charges to HEIDI within 15 days of being adopted.

Sec. 450. (1) For the fiscal year ending September 30, 2010,

it is the intent of the legislature that an amount calculated under

subsection (2) be allocated for per-student floor funding from the

general fund/general purpose unreserved balances at the close of

the 2008-2009 fiscal year.

(2) The amount allocated under subsection (1) for per-student

floor funding is equal to $3,775.00 per 2007-2008 fiscal-year-

equated student at each university. The number of 2007-2008

students at a university is determined by reference to the higher

education institutional data inventory (HEIDI).

Sec. 460. From the amount appropriated in part 1 to Central

Michigan University for operations, $29,700.00 shall be paid to

Saginaw Chippewa Tribal College for the costs of waiving tuition

for North American Indians under 1976 PA 174, MCL 390.1251 to

390.1253.

Sec. 461. From the amount appropriated in part 1 to Lake

Superior State University for operations, $100,000.00 shall be paid

to Bay Mills Community College for the costs of waiving tuition for

North American Indians under 1976 PA 174, MCL 390.1251 to 390.1253.

Sec. 464. Each public university receiving an appropriation in

part 1 shall submit a plan by January 15, 2010 to the state budget

director, the house and senate appropriations subcommittees on

higher education, and the house and senate fiscal agencies on its

process to inform both the private and public sectors regarding

research and technology that could be developed commercially.

Sec. 466. Public universities shall coordinate their purchases

of goods and services whenever possible. This may include, but is

not limited to, group purchases for vehicles, utilities, supplies,

electronic equipment, maintenance equipment, books, and contractual

services. To the extent possible, the public universities shall use

both the "Michigan delivering extended agreements locally" (MiDEAL)

purchasing services of the state department of management and

budget that makes state contracts available to local units of

government, colleges, and universities and the purchasing services

available through the state's membership in the Midwestern Higher

Education Compact (MHEC). Not later than January 1 of each year,

the presidents council, state universities of Michigan shall submit

to the members of the house and senate appropriations subcommittees

on higher education, the house and senate fiscal agencies, and the

state budget director a report on group or pooled purchases and the

savings achieved by the public universities in the previous

fiscal year.

Sec. 469. By November 14, 2009, each public university

receiving an appropriation in part 1 shall report the number of

undergraduate students who graduated in academic year 2008-2009 and

received a Pell grant at any time during their enrollment at that

university to the members of the house and senate appropriations

subcommittees on higher education, the house and senate fiscal

agencies, and the state budget director.

Sec. 471. (1) It is the intent of the legislature that each

public university receiving an appropriation in part 1 limit any

changes to the general requirements or credits needed for a student

to graduate from a degree program while that student is enrolled in

that program.

(2) It is the intent of the legislature that each public

university receiving an appropriation in part 1, to the extent

possible, provide sufficient counseling to students to facilitate

the timely graduation of those students.

Sec. 480. (1) It is the intent of the legislature that each

public university receiving an appropriation in part 1 do all of

the following:

(a) Consider all veterans residents of this state for

determining their tuition rates and fees.

(b) Establish an on-campus veterans' center to provide

information and assistance to all student veterans.

opportunity colleges consortium and participate in its programs to

simplify credit transfer and distance learning programs for

veterans.

(d) Provide flexible enrollment application deadlines for all

veterans.

(e) Waive enrollment application fees for all veterans.

(2) As used in this section, "veteran" means an honorably

discharged veteran of the armed forces of the United States.

MARTIN LUTHER KING, JR. - CESAR CHAVEZ - ROSA PARKS PROGRAMS

Sec. 501. (1) Included in the appropriation for each public

university in part 1 is funding for the Martin Luther King, Jr. -

Cesar Chavez - Rosa Parks future faculty program that is intended

to increase the pool of academically or economically disadvantaged

candidates pursuing faculty teaching careers in postsecondary

education. Preference may not be given to applicants on the basis

of race, color, ethnicity, gender, or national origin. Institutions

should encourage applications from applicants who would otherwise

not adequately be represented in the graduate student and faculty

populations. Each public university shall apply the percentage

change applicable to every public university in the calculation of

appropriations in part 1 to the amount of funds allocated to the

future faculty program.

(2) The program shall be administered by each public

university in a manner prescribed by the Michigan department of

energy, labor, and economic growth. The Michigan department of

energy, labor, and economic growth shall use a good faith effort

standard to evaluate whether a fellowship is in default.

Sec. 502. (1) Included in the appropriation for each public

university in part 1 is funding for the Martin Luther King, Jr. -

Cesar Chavez - Rosa Parks college day program that is intended to

introduce academically or economically disadvantaged schoolchildren

to the potential of a college education. Preference may not be

given to participants on the basis of race, color, ethnicity,

gender, or national origin. Public universities should encourage

participation from those who would otherwise not adequately be

represented in the student population.

(2) Individual program plans of each public university shall

include a budget of equal contributions from this program, the

participating public university, the participating school district,

and the participating independent degree-granting college. College

day funds shall not be expended to cover indirect costs. Not more

than 20% of the university match shall be attributable to indirect

costs. Each public university shall apply the percentage change

applicable to every public university in the calculation of

appropriations in part 1 to the amount of funds allocated to the

college day program.

(3) The program described in this section shall be

administered by each public university in a manner prescribed by

the Michigan department of energy, labor, and economic growth.

Sec. 503. (1) Included in part 1 is funding for the Martin

Luther King, Jr. - Cesar Chavez - Rosa Parks select student support

services program for developing academically or economically

disadvantaged student retention programs for 4-year public and

independent educational institutions in this state. Preference may

not be given to participants on the basis of race, color,

ethnicity, gender, or national origin. Institutions should

encourage participation from those who would otherwise not

adequately be represented in the student population.

(2) An award made under this program to any 1 institution

shall not be greater than $150,000.00, and the amount awarded shall

be matched on a 70% state, 30% college or university basis.

(3) The program described in this section shall be

administered by the Michigan department of energy, labor, and

economic growth.

Sec. 504. (1) Included in part 1 is funding for the Martin

Luther King, Jr. - Cesar Chavez - Rosa Parks college/university

partnership program between 4-year public and independent colleges

and universities and public community colleges, which is intended

to increase the number of academically or economically

disadvantaged students who transfer from community colleges into

baccalaureate programs. Preference may not be given to participants

on the basis of race, color, ethnicity, gender, or national origin.

Institutions should encourage participation from those who would

otherwise not adequately be represented in the transfer student

population.

(2) The grants shall be made under the program described in

this section to Michigan public and independent colleges and

universities. An award to any 1 institution shall not be greater

than $150,000.00, and the amount awarded shall be matched on a 70%

state, 30% college or university basis.

(3) The program described in this section shall be

administered by the Michigan department of energy, labor, and

economic growth.

Sec. 505. (1) Included in the appropriation for each public

university in part 1 is funding for the Martin Luther King, Jr. -

Cesar Chavez - Rosa Parks visiting professors program which is

intended to increase the number of instructors in the classroom to

provide role models for academically or economically disadvantaged

students. Preference may not be given to participants on the basis

of race, color, ethnicity, gender, or national origin. Public

universities should encourage participation from those who would

otherwise not adequately be represented in the student population.

(2) The program described in this section shall be

administered by the Michigan department of energy, labor, and

economic growth.

Sec. 506. (1) Included in the appropriation in part 1 is

funding under the Martin Luther King, Jr. - Cesar Chavez - Rosa

Parks initiative for the Morris Hood, Jr. educator development

program which is intended to increase the number of academically or

economically disadvantaged students who enroll in and complete K-12

teacher education programs at the baccalaureate level. Preference

may not be given to participants on the basis of race, color,

ethnicity, gender, or national origin. Institutions should

encourage participation from those who would otherwise not

adequately be represented in the teacher education student

population.

(2) The program described in this section shall be

administered by each state-approved teacher education institution

in a manner prescribed by the Michigan department of energy, labor,

and economic growth.

(3) Approved teacher education institutions may and are

encouraged to use student support services funding in coordination

with the Morris Hood, Jr. funding to achieve the goals of the

program described in this section.

Sec. 507. Each institution receiving funds under section 503,

504, or 506 shall notify the Michigan department of energy, labor,

and economic growth by April 15, 2010 as to whether it will expend

by the end of its fiscal year the funds received under section 503,

504, or 506. Notwithstanding the award limitations in sections 503

and 504, the amount of funding reported as not being expended will

be reallocated to the institutions that intend to expend all

funding received under section 503, 504, or 506.

STUDENT PERFORMANCE REPORTING

Sec. 601. (1) From the amount appropriated in part 1, the

public universities shall systematically inform Michigan high

schools regarding the academic status of students from each high

school in a manner prescribed by the presidents council, state

universities of Michigan in cooperation with the Michigan

association of secondary school principals.

(2) The Michigan high schools shall systematically inform the

public universities about the use of information received under

this section in a manner prescribed by the Michigan association of

secondary school principals in cooperation with the presidents

council, state universities of Michigan.

Sec. 602. From the amount appropriated in part 1, the public

universities shall inform Michigan community colleges regarding the

academic status of community college transfer students in a manner

prescribed by the presidents council, state universities of

Michigan in cooperation with the Michigan community college

association.

Sec. 603. Public universities shall work with the state

community colleges to encourage the transfer of students from the

community colleges to the state universities and to facilitate the

transfer of credits from the community colleges to the public

universities.

GENERAL REPORTS AND AUDITS

Sec. 701. (1) The auditor general shall review higher

education institutional data inventory (HEIDI) enrollment data

submitted by all public universities and may perform audits of

selected public universities if determined necessary. The review

and audits shall be based upon the definitions, requirements, and

uniform reporting categories established by the state budget

director and the house and senate fiscal agencies in consultation

with the HEIDI advisory committee. The auditor general shall submit

a report of findings to the house and senate appropriations

committees and the state budget director no later than July 1,

2010.

(2) Student credit hours reports shall not include the

following:

(a) Student credit hours generated through instructional

activity by faculty or staff in classrooms located outside

Michigan, with the exception of instructional activity related to

study-abroad programs or field programs.

(b) Student credit hours generated through distance learning

instruction for students not eligible for the public university's

in-state main campus resident tuition rate. However, in instances

where a student is enrolled in distance education and non-distance

education credit hours in a given term and the student's non-

distance education enrollment is at a campus or site located within

Michigan, student credit hours per the student's eligibility for

in-state or out-of-state tuition rates may be reported.

examination.

(d) Student credit hours generated through inmate prison

programs regardless of teaching location.

(e) Student credit hours generated in new degree programs

after January 1, 1975, that have not been specifically authorized

for funding by the legislature, except spin-off programs converted

from existing core programs that do all of the following:

(i) Represent new options, fields, or concentrations within

existing programs.

(ii) Are consistent with the current institutional role and

mission.

(iii) Are accommodated within the continuing funding base of the

public university.

(iv) Do not require a new degree level beyond that which the

public university is currently authorized to grant within that

discipline or field.

(v) Do not require funding from the state other than that

provided by the student credit hours generated within the program,

either before program initiation or within the first 3 years of

program operation.

(3) The auditor general shall periodically audit higher

education institutional data inventory (HEIDI) data as submitted by

the public universities for compliance with the definitions

established by the state budget director in consultation with the

HEIDI advisory committee for the HEIDI database.

(4) "Distance learning instruction" as used in subsection (2)

means instruction that occurs solely in other than a traditional

classroom setting where the student and instructor are in the same

physical location and for which a student receives course credits

and is charged tuition and fees. Examples of distance learning

instruction are instruction delivered solely through the Internet,

cable television, teleconference, or mail.

Sec. 701a. (1) Pursuant to section 701(2)(e), public

universities may establish the following degree programs:

(a) Bachelor's degree programs:

Central Michigan University, Photojournalism, B.A./B.S.

Central Michigan University, Online Journalism Major, B.A./B.S.

Eastern Michigan University, Sport Management, B.A./B.S.

Eastern Michigan University, Simulation, Animation and Gaming,

B.A./B.S.

Ferris State University, Business Data Analytics, B.S.

Grand Valley State University, Women and Gender Studies, B.A./B.S.

Lake Superior State University, Applied Geographic Information

Studies, B.S.

Lake Superior State University, Fish Health, B.S.

Michigan State University, Arabic, B.A.

Northern Michigan University, Art History, B.A.

Oakland University, Writing and Rhetoric, B.A.

Oakland University, Japanese, B.A.

University of Michigan - Ann Arbor, Art and Design, B.A.

University of Michigan - Dearborn, Social Studies Major, B.A.

Western Michigan University, Community and Regional Planning, B.S.

Western Michigan University, Child and Family Development, B.S.

(b) Master's degree programs:

Ferris State University, Educational Leadership, M.S.

Michigan State University, Business Research, M.S.

University of Michigan - Ann Arbor, Robotics and Autonomous

Vehicles, Master of Engineering

University of Michigan - Flint, Art Administration, M.A.

Western Michigan University, Criminology, Law and Public Policy,

M.A.

Western Michigan University, Music, M.A.

Grand Valley State University, Doctor of Nursing Practice, D.N.P.

Oakland University, Electrical and Computer Engineering, Ph.D.

University of Michigan - Dearborn, Information Systems Engineering,

Ph.D.

University of Michigan - Dearborn, Automotive Systems Engineering,

Ph.D.

University of Michigan - Dearborn, Doctorate in Education, Ed.D.

(2) The listing of degree programs in subsection (1) does not

constitute legislative intent to provide additional dollars for

those programs.

(3) When submitting the listing of new degree programs for

purposes of section 701(2)(e), the presidents council of state

universities shall also provide a listing of degree programs that

institutions of higher education will no longer offer in subsequent

academic years.

Sec. 702. The principal executive officer of each public

university receiving an appropriation under part 1 shall expend a

portion of the funds appropriated to that public university to make

a report to the auditor general, the house and senate fiscal

agencies, and the state budget director within 60 days after the

auditor general issues his or her report on the operation of the

institution. The public university's report shall specify all of

the following:

(a) The recommendations of the auditor general implemented by

the public university, including projected dates and resources

required, if any, to achieve compliance.

(b) The recommendations of the auditor general not implemented

by the public university or implemented by the public university as

modified.

auditor general or of implementing a recommendation as modified.

Sec. 708. The auditor general may conduct performance audits

of public universities receiving funds in part 1 during the fiscal

year ending September 30, 2010 as the auditor general considers

necessary.

Sec. 709. A public university receiving funds under part 1 and

also subject to the student right-to-know and campus security act,

Public Law 101-542, 104 Stat. 2381, shall make a copy of all

material prepared pursuant to the public information reporting

requirements under the crime awareness and campus security act of

1990, title II of the student right-to-know and campus security

act, Public Law 101-542, 104 Stat. 2381, available in electronic

Internet format on their websites.

Sec. 714. A public university receiving funds under this act

and also subject to the family educational rights and privacy act

(FERPA), 20 USC 1232g, 34 CFR part 99, shall, when requested,

provide information from the records of a student to any person or

persons to whom the student has authorized disclosure on a written

consent form pursuant to 34 CFR 99.30.