HB-4295, As Passed Senate, March 20, 2014
SENATE SUBSTITUTE FOR
HOUSE BILL NO. 4295
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending sections 11, 11m, 20, 20g, 21f, 22a, 22b, 22g, 25e,
31a, 51a, 51c, 99h, 101, and 147c (MCL 388.1611, 388.1611m,
388.1620, 388.1620g, 388.1621f, 388.1622a, 388.1622b, 388.1622g,
388.1625e, 388.1631a, 388.1651a, 388.1651c, 388.1699h, 388.1701,
and 388.1747c), sections 11 and 22a as amended and section 20g as
added by 2013 PA 97, sections 11m, 22b, 22g, 31a, 51a, 51c, 101,
and 147c as amended and section 99h as added by 2013 PA 60, and
sections 20, 21f, and 25e as amended by 2013 PA 130, and by adding
sections 25f, 31b, 32r, 64d, and 94.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
11. (1) For the fiscal year ending September 30, 2013,
there
is appropriated for the public schools of this state and
certain
other state purposes relating to education the sum of
$10,928,614,200.00
from the state school aid fund and the sum of
$282,400,000.00
from the general fund. For the
fiscal year ending
September 30, 2014, there is appropriated for the public schools of
this state and certain other state purposes relating to education
the
sum of $11,211,382,300.00 $11,145,232,300.00
from the state
school aid fund, the sum of $156,000,000.00 from the MPSERS
retirement obligation reform reserve fund created under section
147b, and the sum of $234,900,000.00 from the general fund. In
addition,
all other available federal funds
, except those
otherwise
appropriated under section 11p, are
appropriated for the
fiscal
year ending September 30, 2013 and for the fiscal year
ending September 30, 2014.
(2) The appropriations under this section shall be allocated
as provided in this article. Money appropriated under this section
from the general fund shall be expended to fund the purposes of
this article before the expenditure of money appropriated under
this section from the state school aid fund.
(3) Any general fund allocations under this article that are
not expended by the end of the state fiscal year are transferred to
the school aid stabilization fund created under section 11a.
Sec. 11m. From the appropriations in section 11, there is
allocated
for 2013-2014 an amount not to exceed $4,000,000.00
$2,500,000.00 for fiscal year cash-flow borrowing costs solely
related to the state school aid fund established by section 11 of
article IX of the state constitution of 1963.
Sec. 20. (1) For 2013-2014, the basic foundation allowance is
$8,049.00.
(2) The amount of each district's foundation allowance shall
be calculated as provided in this section, using a basic foundation
allowance in the amount specified in subsection (1).
(3) Except as otherwise provided in this section, the amount
of a district's foundation allowance shall be calculated as
follows, using in all calculations the total amount of the
district's foundation allowance as calculated before any proration:
(a) For a district that had a foundation allowance for the
immediately preceding state fiscal year that was at least equal to
the sum of $7,108.00 plus the total dollar amount of all
adjustments made from 2006-2007 to the immediately preceding state
fiscal year in the lowest foundation allowance among all districts,
but less than the basic foundation allowance for the immediately
preceding state fiscal year, the district shall receive a
foundation allowance in an amount equal to the sum of the greater
of $6,966.00 or the district's foundation allowance for the
immediately preceding state fiscal year plus the difference between
twice the dollar amount of the adjustment from the immediately
preceding state fiscal year to the current state fiscal year made
in the basic foundation allowance and [(the dollar amount of the
adjustment from the immediately preceding state fiscal year to the
current state fiscal year made in the basic foundation allowance
minus $10.00) times (the difference between the district's
foundation allowance for the immediately preceding state fiscal
year and the sum of $7,108.00 plus the total dollar amount of all
adjustments made from 2006-2007 to the immediately preceding state
fiscal year in the lowest foundation allowance among all districts)
divided by the difference between the basic foundation allowance
for the current state fiscal year and the sum of $7,108.00 plus the
total dollar amount of all adjustments made from 2006-2007 to the
immediately preceding state fiscal year in the lowest foundation
allowance among all districts]. For 2011-2012, for a district that
had a foundation allowance for the immediately preceding state
fiscal year that was at least equal to the sum of $7,108.00 plus
the total dollar amount of all adjustments made from 2006-2007 to
the immediately preceding state fiscal year in the lowest
foundation allowance among all districts, but less than the basic
foundation allowance for the immediately preceding state fiscal
year, the district shall receive a foundation allowance in an
amount equal to the district's foundation allowance for 2010-2011,
minus $470.00. However, the foundation allowance for a district
that had less than the basic foundation allowance for the
immediately preceding state fiscal year shall not exceed the basic
foundation allowance for the current state fiscal year.
(b) Except as otherwise provided in this subsection, for a
district that in the immediately preceding state fiscal year had a
foundation allowance in an amount at least equal to the amount of
the basic foundation allowance for the immediately preceding state
fiscal year, the district shall receive a foundation allowance for
2011-2012 in an amount equal to the district's foundation allowance
for 2010-2011, minus $470.00.
(c) Except as otherwise provided in subdivision (d), for a
district that in the 1994-95 state fiscal year had a foundation
allowance greater than $6,500.00, the district's foundation
allowance is an amount equal to the sum of the district's
foundation allowance for the immediately preceding state fiscal
year plus the lesser of the increase in the basic foundation
allowance for the current state fiscal year, as compared to the
immediately preceding state fiscal year, or the product of the
district's foundation allowance for the immediately preceding state
fiscal year times the percentage increase in the United States
consumer price index in the calendar year ending in the immediately
preceding fiscal year as reported by the May revenue estimating
conference conducted under section 367b of the management and
budget act, 1984 PA 431, MCL 18.1367b. Except as otherwise provided
in subdivision (d), for 2011-2012, for a district that in the 1994-
1995 state fiscal year had a foundation allowance greater than
$6,500.00, the district's foundation allowance is an amount equal
to the district's foundation allowance for the 2010-2011 fiscal
year minus $470.00.
(d) For a district that in the 1994-95 state fiscal year had a
foundation allowance greater than $6,500.00 and that had a
foundation allowance for the 2009-2010 state fiscal year, as
otherwise calculated under this section, that was less than the
basic foundation allowance, the district's foundation allowance for
2011-2012 and each succeeding fiscal year shall be considered to be
an amount equal to the basic foundation allowance.
(e) For a district that has a foundation allowance that is not
a whole dollar amount, the district's foundation allowance shall be
rounded up to the nearest whole dollar.
(f) For a district that received a payment under section 22c
as that section was in effect for 2001-2002, the district's 2001-
2002 foundation allowance shall be considered to have been an
amount equal to the sum of the district's actual 2001-2002
foundation allowance as otherwise calculated under this section
plus the per pupil amount of the district's equity payment for
2001-2002 under section 22c as that section was in effect for 2001-
2002.
(g) For a district that received a payment under section 22c
as that section was in effect for 2006-2007, the district's 2006-
2007 foundation allowance shall be considered to have been an
amount equal to the sum of the district's actual 2006-2007
foundation allowance as otherwise calculated under this section
plus the per pupil amount of the district's equity payment for
2006-2007 under section 22c as that section was in effect for 2006-
2007.
(h) For 2012-2013, for a district that had a foundation
allowance for the 2011-2012 state fiscal year of less than
$6,966.00, the district's foundation allowance is an amount equal
to $6,966.00.
(4) Except as otherwise provided in this subsection, the state
portion of a district's foundation allowance is an amount equal to
the district's foundation allowance or the basic foundation
allowance for the current state fiscal year, whichever is less,
minus the difference between the sum of the product of the taxable
value per membership pupil of all property in the district that is
nonexempt property times the district's certified mills and, for a
district with certified mills exceeding 12, the product of the
taxable value per membership pupil of property in the district that
is commercial personal property times the certified mills minus 12
mills and the quotient of the ad valorem property tax revenue of
the district captured under tax increment financing acts divided by
the district's membership excluding special education pupils. For a
district described in subsection (3)(c), the state portion of the
district's foundation allowance is an amount equal to $6,962.00
plus the difference between the district's foundation allowance for
the current state fiscal year and the district's foundation
allowance for 1998-99, minus the difference between the sum of the
product of the taxable value per membership pupil of all property
in the district that is nonexempt property times the district's
certified mills and, for a district with certified mills exceeding
12, the product of the taxable value per membership pupil of
property in the district that is commercial personal property times
the certified mills minus 12 mills and the quotient of the ad
valorem property tax revenue of the district captured under tax
increment financing acts divided by the district's membership
excluding special education pupils. For a district that has a
millage reduction required under section 31 of article IX of the
state constitution of 1963, the state portion of the district's
foundation allowance shall be calculated as if that reduction did
not occur. For a receiving district, if school operating taxes
continue to be levied on behalf of a dissolved district that has
been attached in whole or in part to the receiving district to
satisfy debt obligations of the dissolved district under section 12
of the revised school code, MCL 380.12, the taxable value per
membership pupil of property in the receiving district used for the
purposes of this subsection, does not include the taxable value of
property within the geographic area of the dissolved district.
(5) The allocation calculated under this section for a pupil
shall be based on the foundation allowance of the pupil's district
of residence. For a pupil enrolled pursuant to section 105 or 105c
in a district other than the pupil's district of residence, the
allocation calculated under this section shall be based on the
lesser of the foundation allowance of the pupil's district of
residence or the foundation allowance of the educating district.
For a pupil in membership in a K-5, K-6, or K-8 district who is
enrolled in another district in a grade not offered by the pupil's
district of residence, the allocation calculated under this section
shall be based on the foundation allowance of the educating
district if the educating district's foundation allowance is
greater than the foundation allowance of the pupil's district of
residence.
(6) Except as otherwise provided in this subsection, for
pupils in membership, other than special education pupils, in a
public school academy, the allocation calculated under this section
is an amount per membership pupil other than special education
pupils in the public school academy equal to the foundation
allowance of the district in which the public school academy is
located or the state maximum public school academy allocation,
whichever is less. However, a public school academy that had an
allocation under this subsection before 2009-2010 that was equal to
the sum of the local school operating revenue per membership pupil
other than special education pupils for the district in which the
public school academy is located and the state portion of that
district's foundation allowance shall not have that allocation
reduced as a result of the 2010 amendment to this subsection.
Notwithstanding section 101, for a public school academy that
begins operations after the pupil membership count day, the amount
per membership pupil calculated under this subsection shall be
adjusted by multiplying that amount per membership pupil by the
number of hours of pupil instruction provided by the public school
academy after it begins operations, as determined by the
department, divided by the minimum number of hours of pupil
instruction required under section 101(3). The result of this
calculation shall not exceed the amount per membership pupil
otherwise calculated under this subsection.
(7) Except as otherwise provided in this subsection, for
pupils attending an achievement school and in membership in the
education achievement system, other than special education pupils,
the allocation calculated under this section is an amount per
membership pupil other than special education pupils equal to the
foundation allowance of the district in which the achievement
school is located, not to exceed the basic foundation allowance.
Notwithstanding section 101, for an achievement school that begins
operation after the pupil membership count day, the amount per
membership pupil calculated under this subsection shall be adjusted
by multiplying that amount per membership pupil by the number of
hours of pupil instruction provided by the achievement school after
it begins operations, as determined by the department, divided by
the minimum number of hours of pupil instruction required under
section 101(3). The result of this calculation shall not exceed the
amount per membership pupil otherwise calculated under this
subsection. For the purposes of this subsection, if a public school
is transferred from a district to the state school reform/redesign
district or the achievement authority under section 1280c of the
revised school code, MCL 380.1280c, that public school is
considered to be an achievement school within the education
achievement system and not a school that is part of a district, and
a pupil attending that public school is considered to be in
membership in the education achievement system and not in
membership in the district that operated the school before the
transfer.
(8) Subject to subsection (4), for a district that is formed
or reconfigured after June 1, 2002 by consolidation of 2 or more
districts or by annexation, the resulting district's foundation
allowance under this section beginning after the effective date of
the consolidation or annexation shall be the lesser of the sum of
the average of the foundation allowances of each of the original or
affected districts, calculated as provided in this section,
weighted as to the percentage of pupils in total membership in the
resulting district who reside in the geographic area of each of the
original or affected districts plus $100.00 or the highest
foundation allowance among the original or affected districts. This
subsection does not apply to a receiving district unless there is a
subsequent consolidation or annexation that affects the district.
(9) Each fraction used in making calculations under this
section shall be rounded to the fourth decimal place and the dollar
amount of an increase in the basic foundation allowance shall be
rounded to the nearest whole dollar.
(10) State payments related to payment of the foundation
allowance for a special education pupil are not calculated under
this section but are instead calculated under section 51a.
(11) To assist the legislature in determining the basic
foundation allowance for the subsequent state fiscal year, each
revenue estimating conference conducted under section 367b of the
management and budget act, 1984 PA 431, MCL 18.1367b, shall
calculate a pupil membership factor, a revenue adjustment factor,
and an index as follows:
(a) The pupil membership factor shall be computed by dividing
the estimated membership in the school year ending in the current
state fiscal year, excluding intermediate district membership, by
the estimated membership for the school year ending in the
subsequent state fiscal year, excluding intermediate district
membership. If a consensus membership factor is not determined at
the revenue estimating conference, the principals of the revenue
estimating conference shall report their estimates to the house and
senate subcommittees responsible for school aid appropriations not
later than 7 days after the conclusion of the revenue conference.
(b) The revenue adjustment factor shall be computed by
dividing the sum of the estimated total state school aid fund
revenue for the subsequent state fiscal year plus the estimated
total state school aid fund revenue for the current state fiscal
year, adjusted for any change in the rate or base of a tax the
proceeds of which are deposited in that fund and excluding money
transferred into that fund from the countercyclical budget and
economic stabilization fund under the management and budget act,
1984 PA 431, MCL 18.1101 to 18.1594, by the sum of the estimated
total school aid fund revenue for the current state fiscal year
plus the estimated total state school aid fund revenue for the
immediately preceding state fiscal year, adjusted for any change in
the rate or base of a tax the proceeds of which are deposited in
that fund. If a consensus revenue factor is not determined at the
revenue estimating conference, the principals of the revenue
estimating conference shall report their estimates to the house and
senate subcommittees responsible for school aid appropriations not
later than 7 days after the conclusion of the revenue conference.
(c) The index shall be calculated by multiplying the pupil
membership factor by the revenue adjustment factor. If a consensus
index is not determined at the revenue estimating conference, the
principals of the revenue estimating conference shall report their
estimates to the house and senate subcommittees responsible for
school aid appropriations not later than 7 days after the
conclusion of the revenue conference.
(12) For a district that received a grant under former section
32e for 2001-2002, the district's foundation allowance for 2002-
2003 and each succeeding fiscal year shall be adjusted to be an
amount equal to the sum of the district's foundation allowance, as
otherwise calculated under this section, plus the quotient of 100%
of the amount of the grant award to the district for 2001-2002
under former section 32e divided by the number of pupils in the
district's membership for 2001-2002 who were residents of and
enrolled in the district. All of the following apply to districts
receiving a foundation allowance adjustment under this subsection:
(a) Except as otherwise provided in this subdivision, a
district qualifying for a foundation allowance adjustment under
this subsection shall use the funds resulting from this adjustment
for at least 1 of grades K to 3 for purposes allowable under former
section 32e as in effect for 2001-2002. For an individual school or
schools operated by a district qualifying for a foundation
allowance adjustment under this subsection that have been
determined by the department to meet the adequate yearly progress
standards of the federal no child left behind act of 2001, Public
Law 107-110, in both mathematics and English language arts at all
applicable grade levels for all applicable subgroups, the district
may submit to the department an application for flexibility in
using the funds resulting from this adjustment that are
attributable to the pupils in the school or schools. The
application shall identify the affected school or schools and the
affected funds and shall contain a plan for using the funds for
specific purposes identified by the district that are designed to
reduce class size, but that may be different from the purposes
otherwise allowable under this subdivision. The department shall
approve the application if the department determines that the
purposes identified in the plan are reasonably designed to reduce
class size. If the department does not act to approve or disapprove
an application within 30 days after it is submitted to the
department, the application is considered to be approved. If an
application for flexibility in using the funds is approved, the
district may use the funds identified in the application for any
purpose identified in the plan.
(b)
A Subject to subdivision
(e), a district receiving an
adjustment under this subsection shall not receive as a result of
this adjustment an amount that exceeds 68.5% of the amount the
district received as a result of this adjustment for 2010-2011.
(c) Notwithstanding subsection (8), for a district that is
formed or reconfigured by consolidation of 2 or more districts, 1
of which received an adjustment under this subsection for 2012-
2013, the resulting district's foundation allowance for 2013-2014
and each succeeding fiscal year shall be adjusted to be an amount
equal to the sum of the resulting district's foundation allowance
as calculated under subsection (8) excluding any adjustment
calculated under this subsection plus [(the original district's
adjustment under this subsection in 2012-2013 times the number of
pupils in the original district's membership for 2012-2013) divided
by the number of pupils in the resulting district's membership for
2013-2014].
(d) Beginning in 2013-2014, for a district that received an
adjustment for the immediately preceding fiscal year and that had a
foundation allowance as adjusted by this subsection for the
immediately preceding fiscal year equal to $6,966.00, the district
shall not receive an adjustment under this section for the current
fiscal year.
(e) Notwithstanding subdivision (b), in addition to the
calculations provided in this subsection, for 2013-2014 only, each
district that received a grant under former section 32e for 2001-
2002 and that is receiving an adjustment under this subsection for
2013-2014 shall receive an additional adjustment in an amount equal
to 17.6% of the per-pupil adjustment received under this subsection
for 2013-2014. The adjustment under this subdivision shall be
calculated and added to each district's foundation allowance after
all other calculations under this section. A district that received
a grant under former section 32e for 2001-2002 that subsequently
consolidated with another district or a district that issued a
contract to authorize a public school academy and contracted with
that public school academy to operate all of its schools shall not
receive an additional adjustment under this subdivision.
(13) Payments to districts, public school academies, or the
education achievement system shall not be made under this section.
Rather, the calculations under this section shall be used to
determine the amount of state payments under section 22b.
(14) If an amendment to section 2 of article VIII of the state
constitution of 1963 allowing state aid to some or all nonpublic
schools is approved by the voters of this state, each foundation
allowance or per pupil payment calculation under this section may
be reduced.
(15) As used in this section:
(a) "Certified mills" means the lesser of 18 mills or the
number of mills of school operating taxes levied by the district in
1993-94.
(b) "Combined state and local revenue" means the aggregate of
the district's state school aid received by or paid on behalf of
the district under this section and the district's local school
operating revenue.
(c) "Combined state and local revenue per membership pupil"
means the district's combined state and local revenue divided by
the district's membership excluding special education pupils.
(d) "Current state fiscal year" means the state fiscal year
for which a particular calculation is made.
(e) "Dissolved district" means a district that loses its
organization, has its territory attached to 1 or more other
districts, and is dissolved as provided under section 12 of the
revised school code, MCL 380.12.
(f) "Immediately preceding state fiscal year" means the state
fiscal year immediately preceding the current state fiscal year.
(g) "Local school operating revenue" means school operating
taxes levied under section 1211 of the revised school code, MCL
380.1211. For a receiving district, if school operating taxes are
to be levied on behalf of a dissolved district that has been
attached in whole or in part to the receiving district to satisfy
debt obligations of the dissolved district under section 12 of the
revised school code, MCL 380.12, local school operating revenue
does not include school operating taxes levied within the
geographic area of the dissolved district.
(h) "Local school operating revenue per membership pupil"
means a district's local school operating revenue divided by the
district's membership excluding special education pupils.
(i) "Maximum public school academy allocation", except as
otherwise provided in this subdivision, means the maximum per-pupil
allocation as calculated by adding the highest per-pupil allocation
among all public school academies for the immediately preceding
state fiscal year plus the difference between twice the dollar
amount of the adjustment from the immediately preceding state
fiscal year to the current state fiscal year made in the basic
foundation allowance and [(the dollar amount of the adjustment from
the immediately preceding state fiscal year to the current state
fiscal year made in the basic foundation allowance minus $10.00)
times (the difference between the highest per-pupil allocation
among all public school academies for the immediately preceding
state fiscal year and the sum of $7,108.00 plus the total dollar
amount of all adjustments made from 2006-2007 to the immediately
preceding state fiscal year in the lowest per-pupil allocation
among all public school academies) divided by the difference
between the basic foundation allowance for the current state fiscal
year and the sum of $7,108.00 plus the total dollar amount of all
adjustments made from 2006-2007 to the immediately preceding state
fiscal year in the lowest per-pupil allocation among all public
school academies].
(j) "Membership" means the definition of that term under
section 6 as in effect for the particular fiscal year for which a
particular calculation is made.
(k) "Nonexempt property" means property that is not a
principal residence, qualified agricultural property, qualified
forest property, supportive housing property, industrial personal
property, or commercial personal property.
(l) "Principal residence", "qualified agricultural property",
"qualified forest property", "supportive housing property",
"industrial personal property", and "commercial personal property"
mean those terms as defined in section 1211 of the revised school
code, MCL 380.1211.
(m) "Receiving district" means a district to which all or part
of the territory of a dissolved district is attached under section
12 of the revised school code, MCL 380.12.
(n) "School operating purposes" means the purposes included in
the operation costs of the district as prescribed in sections 7 and
18 and purposes authorized under section 1211 of the revised school
code, MCL 380.1211.
(o) "School operating taxes" means local ad valorem property
taxes levied under section 1211 of the revised school code, MCL
380.1211, and retained for school operating purposes.
(p) "Tax increment financing acts" means 1975 PA 197, MCL
125.1651 to 125.1681, the tax increment finance authority act, 1980
PA 450, MCL 125.1801 to 125.1830, the local development financing
act, 1986 PA 281, MCL 125.2151 to 125.2174, the brownfield
redevelopment financing act, 1996 PA 381, MCL 125.2651 to 125.2672,
or the corridor improvement authority act, 2005 PA 280, MCL
125.2871 to 125.2899.
(q) "Taxable value per membership pupil" means taxable value,
as certified by the department of treasury, for the calendar year
ending in the current state fiscal year divided by the district's
membership excluding special education pupils for the school year
ending in the current state fiscal year.
Sec.
20g. (1) From the general fund money appropriated under
section
11, there is allocated an the
following amounts are
allocated for 2013-2014:
(a) From the general fund money, an amount not to exceed
$2,200,000.00 for 2013-2014 for grants to eligible districts for
transition costs related to the enrollment of pupils who were
previously enrolled in a district that was dissolved under section
12 of the revised school code, MCL 380.12, allocated as provided
under subsection (3). It is the intent of the legislature to
continue this transition funding for a total of 4 fiscal years
following the dissolution of a district.
(b) From the state school aid fund money, an amount not to
exceed $5,000,000.00 for reimbursements to eligible districts for
costs incurred by the eligible district associated with the
transfer of property from a dissolved school district to the
eligible district, allocated as provided under subsection (4).
(2) A receiving school district, as that term is defined in
section 12 of the revised school code, MCL 380.12, is an eligible
district under this section.
(3)
The amount allocated to each eligible district under this
section
subsection (1)(a) is an amount equal to the product of the
number of membership pupils enrolled in the eligible district who
were previously enrolled in the dissolved district in the school
year immediately preceding the dissolution, or who reside in the
geographic area of the dissolved district and are entering
kindergarten, times 10.0% of the lesser of the foundation allowance
of the eligible district as calculated under section 20 or the
basic foundation allowance under section 20(1).
(4) To allocate funds under subsection (1)(b), the department
shall develop a reimbursement application process and a
reimbursement distribution process. Reimbursable costs shall
include, but are not limited to, the costs of maintenance,
utilities, security, or insurance associated with, or the
demolition of, buildings transferred from a dissolved school
district to the eligible district. However, the reimbursement made
to eligible districts for all of the property transferred from a
single dissolved school district shall not exceed the total
cumulative sum of $2,500,000.00 for all of the eligible districts
to which property was transferred from that dissolved school
district.
(5) The funds allocated under subsection (1)(b) are considered
work project appropriations and any unexpended funds for 2013-2014
are carried forward into 2014-2015. The purpose of the work project
is as described in subsection (1)(b). The total estimated cost of
the work project is $5,000,000.00. The tentative estimated
completion date for the work project is September 30, 2015.
(6) As used in this section, "dissolved school district" means
a school district that has been declared dissolved under section 12
of the revised school code, 1976 PA 451, MCL 380.12.
Sec. 21f. (1) A pupil enrolled in a district in any of grades
5 to 12 is eligible to enroll in an online course as provided for
in this section. However, this section does not apply to a pupil
enrolled in a school of excellence that is a cyber school, as
defined in section 551 of the revised school code, MCL 380.551.
(2) With the consent of the pupil's parent or legal guardian,
a district shall enroll an eligible pupil in up to 2 online courses
as requested by the pupil during an academic term, semester, or
trimester. It is the intent of the legislature to consider
increasing the limit on the number of online courses that a pupil
may enroll in beginning in 2014-2015 for pupils who have
demonstrated previous success with online courses. Consent of the
pupil's parent or legal guardian is not required if the pupil is at
least age 18 or is an emancipated minor.
(3) An eligible pupil may enroll in an online course published
in the pupil's educating district's catalog of online courses
described in subsection (7)(a) or the statewide catalog of online
courses maintained by the Michigan virtual university pursuant to
section 98.
(4) A district shall determine whether or not it has capacity
to accept applications for enrollment from nonresident applicants
in online courses and may use that limit as the reason for refusal
to enroll an applicant. If the number of nonresident applicants
eligible for acceptance in an online course does not exceed the
capacity of the district to provide the online course, the district
shall accept for enrollment all of the nonresident applicants
eligible for acceptance. If the number of nonresident applicants
exceeds the district's capacity to provide the online course, the
district shall use a random draw system, subject to the need to
abide by state and federal antidiscrimination laws and court
orders.
(5) A district may deny a pupil enrollment in an online course
if any of the following apply, as determined by the district:
(a) The pupil has previously gained the credits provided from
the completion of the online course.
(b) The online course is not capable of generating academic
credit.
(c) The online course is inconsistent with the remaining
graduation requirements or career interests of the pupil.
(d) The pupil does not possess the prerequisite knowledge and
skills to be successful in the online course or has demonstrated
failure in previous online coursework in the same subject.
(e) The online course is of insufficient quality or rigor. A
district that denies a pupil enrollment for this reason shall make
a reasonable effort to assist the pupil to find an alternative
course in the same or a similar subject that is of acceptable rigor
and quality.
(6) If a pupil is denied enrollment in an online course by a
district, the pupil may appeal the denial by submitting a letter to
the superintendent of the intermediate district in which the
pupil's educating district is located. The letter of appeal shall
include the reason provided by the district for not enrolling the
pupil and the reason why the pupil is claiming that the enrollment
should be approved. The intermediate district superintendent or
designee shall respond to the appeal within 5 days after it is
received. If the intermediate district superintendent or designee
determines that the denial of enrollment does not meet 1 or more of
the reasons specified in subsection (5), the district shall allow
the pupil to enroll in the online course.
(7) To offer or provide an online course, a district or
intermediate district shall do all of the following:
(a) Provide the Michigan virtual university with the course
syllabus in a form and method prescribed by the Michigan virtual
university for inclusion in a statewide online course catalog. The
district or intermediate district shall also provide on its
publicly accessible website a link to the course syllabi for all of
the online courses offered by the district or intermediate district
and a link to the statewide catalog of online courses maintained by
the Michigan virtual university.
(b) Offer the online course on an open entry and exit method,
or aligned to a semester, trimester, or accelerated academic term
format.
(8) For a pupil enrolled in 1 or more online courses published
in the pupil's educating district's catalog of online courses under
subsection (7) or in the statewide catalog of online courses
maintained by the Michigan virtual university, the district shall
use foundation allowance or per pupil funds calculated under
section 20 to pay for the expenses associated with the online
course or courses. The district shall pay 80% of the cost of the
online course upon enrollment and 20% upon completion as determined
by the district. A district is not required to pay toward the cost
of an online course an amount that exceeds 1/12 of the district's
foundation allowance or per pupil payment as calculated under
section 20 per semester or an amount that exceeds 1/18 of the
district's foundation allowance or per pupil payment as calculated
under section 20 per trimester.
(9) An online learning pupil shall have the same rights and
access to technology in his or her educating district's school
facilities as all other pupils enrolled in the educating district.
(10) If a pupil successfully completes an online course, as
determined by the district, the pupil's district shall grant
appropriate academic credit for completion of the course and shall
count that credit toward completion of graduation and subject area
requirements. A pupil's school record and transcript shall identify
the online course title as it appears in the online course
syllabus.
(11) The enrollment of a pupil in 1 or more online courses
shall not result in a pupil being counted as more than 1.0 full-
time equivalent pupils under this act.
(12) As used in this section:
(a) "Online course" means a course of study that is capable of
generating a credit or a grade, that is provided in an interactive
internet-connected learning environment, in which pupils are
separated from their teachers by time or location, or both, and in
which a teacher who holds a valid Michigan teaching certificate is
responsible for determining appropriate instructional methods for
each pupil, diagnosing learning needs, assessing pupil learning,
prescribing intervention strategies, reporting outcomes, and
evaluating the effects of instruction and support strategies.
(b) "Online course syllabus" means a document that includes
all of the following:
(i) The state academic standards addressed in an online course.
(ii) The online course content outline.
(iii) The online course required assessments.
(iv) The online course prerequisites.
(v) Expectations for actual instructor contact time with the
online learning pupil and other pupil-to-instructor communications.
(vi) Academic support available to the online learning pupil.
(vii) The online course learning outcomes and objectives.
(viii) The name of the institution or organization providing the
online content.
(ix) The name of the institution or organization providing the
online instructor.
(x) The course titles assigned by the district or intermediate
district and the course titles and course codes from the national
center for education statistics (NCES) school codes for the
exchange of data (SCED).
(xi) The number of eligible nonresident pupils that will be
accepted by the district or intermediate district in the online
course.
(xii) The results of the online course quality review using the
guidelines and model review process published by the Michigan
virtual university.
(c) "Online learning pupil" means a pupil enrolled in 1 or
more online courses.
Sec. 22a. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $5,630,000,000.00 for 2012-2013
and
there is allocated an amount not to exceed $5,536,700,000.00
$5,526,000,000.00 for 2013-2014 for payments to districts and
qualifying public school academies to guarantee each district and
qualifying public school academy an amount equal to its 1994-95
total state and local per pupil revenue for school operating
purposes under section 11 of article IX of the state constitution
of 1963. Pursuant to section 11 of article IX of the state
constitution of 1963, this guarantee does not apply to a district
in a year in which the district levies a millage rate for school
district operating purposes less than it levied in 1994. However,
subsection (2) applies to calculating the payments under this
section. Funds allocated under this section that are not expended
in the state fiscal year for which they were allocated, as
determined by the department, may be used to supplement the
allocations under sections 22b and 51c in order to fully fund those
calculated allocations for the same fiscal year.
(2) To ensure that a district receives an amount equal to the
district's 1994-95 total state and local per pupil revenue for
school operating purposes, there is allocated to each district a
state portion of the district's 1994-95 foundation allowance in an
amount calculated as follows:
(a) Except as otherwise provided in this subsection, the state
portion of a district's 1994-95 foundation allowance is an amount
equal to the district's 1994-95 foundation allowance or $6,500.00,
whichever is less, minus the difference between the sum of the
product of the taxable value per membership pupil of all property
in the district that is nonexempt property times the district's
certified mills and, for a district with certified mills exceeding
12, the product of the taxable value per membership pupil of
property in the district that is commercial personal property times
the certified mills minus 12 mills and the quotient of the ad
valorem property tax revenue of the district captured under tax
increment financing acts divided by the district's membership. For
a district that has a millage reduction required under section 31
of article IX of the state constitution of 1963, the state portion
of the district's foundation allowance shall be calculated as if
that reduction did not occur. For a receiving district, if school
operating taxes are to be levied on behalf of a dissolved district
that has been attached in whole or in part to the receiving
district to satisfy debt obligations of the dissolved district
under section 12 of the revised school code, MCL 380.12, taxable
value per membership pupil of all property in the receiving
district that is nonexempt property and taxable value per
membership pupil of property in the receiving district that is
commercial personal property do not include property within the
geographic area of the dissolved district; ad valorem property tax
revenue of the receiving district captured under tax increment
financing acts does not include ad valorem property tax revenue
captured within the geographic boundaries of the dissolved district
under tax increment financing acts; and certified mills do not
include the certified mills of the dissolved district.
(b) For a district that had a 1994-95 foundation allowance
greater than $6,500.00, the state payment under this subsection
shall be the sum of the amount calculated under subdivision (a)
plus the amount calculated under this subdivision. The amount
calculated under this subdivision shall be equal to the difference
between the district's 1994-95 foundation allowance minus $6,500.00
and the current year hold harmless school operating taxes per
pupil. If the result of the calculation under subdivision (a) is
negative, the negative amount shall be an offset against any state
payment calculated under this subdivision. If the result of a
calculation under this subdivision is negative, there shall not be
a state payment or a deduction under this subdivision. The taxable
values per membership pupil used in the calculations under this
subdivision are as adjusted by ad valorem property tax revenue
captured under tax increment financing acts divided by the
district's membership. For a receiving district, if school
operating taxes are to be levied on behalf of a dissolved district
that has been attached in whole or in part to the receiving
district to satisfy debt obligations of the dissolved district
under section 12 of the revised school code, MCL 380.12, ad valorem
property tax revenue captured under tax increment financing acts do
not include ad valorem property tax revenue captured within the
geographic boundaries of the dissolved district under tax increment
financing acts.
(3) Beginning in 2003-2004, for pupils in membership in a
qualifying public school academy, there is allocated under this
section to the authorizing body that is the fiscal agent for the
qualifying public school academy for forwarding to the qualifying
public school academy an amount equal to the 1994-95 per pupil
payment to the qualifying public school academy under section 20.
(4) A district or qualifying public school academy may use
funds allocated under this section in conjunction with any federal
funds for which the district or qualifying public school academy
otherwise would be eligible.
(5) Except as otherwise provided in this subsection, for a
district that is formed or reconfigured after June 1, 2000 by
consolidation of 2 or more districts or by annexation, the
resulting district's 1994-95 foundation allowance under this
section beginning after the effective date of the consolidation or
annexation shall be the average of the 1994-95 foundation
allowances of each of the original or affected districts,
calculated as provided in this section, weighted as to the
percentage of pupils in total membership in the resulting district
in the state fiscal year in which the consolidation takes place who
reside in the geographic area of each of the original districts. If
an affected district's 1994-95 foundation allowance is less than
the 1994-95 basic foundation allowance, the amount of that
district's 1994-95 foundation allowance shall be considered for the
purpose of calculations under this subsection to be equal to the
amount of the 1994-95 basic foundation allowance. This subsection
does not apply to a receiving district unless there is a subsequent
consolidation or annexation that affects the district.
(6) As used in this section:
(a) "1994-95 foundation allowance" means a district's 1994-95
foundation allowance calculated and certified by the department of
treasury or the superintendent under former section 20a as enacted
in 1993 PA 336 and as amended by 1994 PA 283.
(b) "Certified mills" means the lesser of 18 mills or the
number of mills of school operating taxes levied by the district in
1993-94.
(c) "Current state fiscal year" means the state fiscal year
for which a particular calculation is made.
(d) "Current year hold harmless school operating taxes per
pupil" means the per pupil revenue generated by multiplying a
district's 1994-95 hold harmless millage by the district's current
year taxable value per membership pupil. For a receiving district,
if school operating taxes are to be levied on behalf of a dissolved
district that has been attached in whole or in part to the
receiving district to satisfy debt obligations of the dissolved
district under section 12 of the revised school code, MCL 380.12,
taxable value per membership pupil does not include the taxable
value of property within the geographic area of the dissolved
district.
(e) "Dissolved district" means a district that loses its
organization, has its territory attached to 1 or more other
districts, and is dissolved as provided under section 12 of the
revised school code, MCL 380.12.
(f) "Hold harmless millage" means, for a district with a 1994-
95 foundation allowance greater than $6,500.00, the number of mills
by which the exemption from the levy of school operating taxes on a
homestead, qualified agricultural property, qualified forest
property, supportive housing property, industrial personal
property, and commercial personal property could be reduced as
provided in section 1211 of the revised school code, MCL 380.1211,
and the number of mills of school operating taxes that could be
levied on all property as provided in section 1211(2) of the
revised school code, MCL 380.1211, as certified by the department
of treasury for the 1994 tax year. For a receiving district, if
school operating taxes are to be levied on behalf of a dissolved
district that has been attached in whole or in part to the
receiving district to satisfy debt obligations of the dissolved
district under section 12 of the revised school code, MCL 380.12,
school operating taxes do not include school operating taxes levied
within the geographic area of the dissolved district.
(g) "Homestead", "qualified agricultural property", "qualified
forest property", "supportive housing property", "industrial
personal property", and "commercial personal property" mean those
terms as defined in section 1211 of the revised school code, MCL
380.1211.
(h) "Membership" means the definition of that term under
section 6 as in effect for the particular fiscal year for which a
particular calculation is made.
(i) "Nonexempt property" means property that is not a
principal residence, qualified agricultural property, qualified
forest property, supportive housing property, industrial personal
property, or commercial personal property.
(j) "Qualifying public school academy" means a public school
academy that was in operation in the 1994-95 school year and is in
operation in the current state fiscal year.
(k) "Receiving district" means a district to which all or part
of the territory of a dissolved district is attached under section
12 of the revised school code, MCL 380.12.
(l) "School operating taxes" means local ad valorem property
taxes levied under section 1211 of the revised school code, MCL
380.1211, and retained for school operating purposes as defined in
section 20.
(m) "Tax increment financing acts" means 1975 PA 197, MCL
125.1651 to 125.1681, the tax increment finance authority act, 1980
PA 450, MCL 125.1801 to 125.1830, the local development financing
act, 1986 PA 281, MCL 125.2151 to 125.2174, the brownfield
redevelopment financing act, 1996 PA 381, MCL 125.2651 to 125.2672,
or the corridor improvement authority act, 2005 PA 280, MCL
125.2871 to 125.2899.
(n) "Taxable value per membership pupil" means each of the
following divided by the district's membership:
(i) For the number of mills by which the exemption from the
levy of school operating taxes on a homestead, qualified
agricultural property, qualified forest property, supportive
housing property, industrial personal property, and commercial
personal property may be reduced as provided in section 1211 of the
revised school code, MCL 380.1211, the taxable value of homestead,
qualified agricultural property, qualified forest property,
supportive housing property, industrial personal property, and
commercial personal property for the calendar year ending in the
current state fiscal year. For a receiving district, if school
operating taxes are to be levied on behalf of a dissolved district
that has been attached in whole or in part to the receiving
district to satisfy debt obligations of the dissolved district
under section 12 of the revised school code, MCL 380.12, mills do
not include mills within the geographic area of the dissolved
district.
(ii) For the number of mills of school operating taxes that may
be levied on all property as provided in section 1211(2) of the
revised school code, MCL 380.1211, the taxable value of all
property for the calendar year ending in the current state fiscal
year. For a receiving district, if school operating taxes are to be
levied on behalf of a dissolved district that has been attached in
whole or in part to the receiving district to satisfy debt
obligations of the dissolved district under section 12 of the
revised school code, MCL 380.12, school operating taxes do not
include school operating taxes levied within the geographic area of
the dissolved district.
Sec. 22b. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $3,215,000,000.00 for 2012-2013
and
there is allocated an amount not to exceed $3,373,700,000.00
$3,337,000,000.00 for 2013-2014 for discretionary nonmandated
payments to districts under this section. Funds allocated under
this section that are not expended in the state fiscal year for
which they were allocated, as determined by the department, may be
used to supplement the allocations under sections 22a and 51c in
order to fully fund those calculated allocations for the same
fiscal year.
(2) Subject to subsection (3) and section 296, the allocation
to a district under this section shall be an amount equal to the
sum of the amounts calculated under sections 20, 51a(2), 51a(3),
and 51a(11), minus the sum of the allocations to the district under
sections 22a and 51c.
(3) In order to receive an allocation under subsection (1),
each district shall do all of the following:
(a) Comply with section 1280b of the revised school code, MCL
380.1280b.
(b) Comply with sections 1278a and 1278b of the revised school
code, MCL 380.1278a and 380.1278b.
(c) Furnish data and other information required by state and
federal law to the center and the department in the form and manner
specified by the center or the department, as applicable.
(d) Comply with section 1230g of the revised school code, MCL
380.1230g.
(e) Comply with section 21f.
(4) Districts are encouraged to use funds allocated under this
section for the purchase and support of payroll, human resources,
and other business function software that is compatible with that
of the intermediate district in which the district is located and
with other districts located within that intermediate district.
(5) From the allocation in subsection (1), the department
shall pay up to $1,000,000.00 in litigation costs incurred by this
state related to commercial or industrial property tax appeals,
including, but not limited to, appeals of classification, that
impact revenues dedicated to the state school aid fund.
(6) From the allocation in subsection (1), the department
shall pay up to $1,000,000.00 in litigation costs incurred by this
state associated with lawsuits filed by 1 or more districts or
intermediate districts against this state. If the allocation under
this section is insufficient to fully fund all payments required
under this section, the payments under this subsection shall be
made in full before any proration of remaining payments under this
section.
(7) It is the intent of the legislature that all
constitutional obligations of this state have been fully funded
under sections 22a, 31d, 51a, 51c, and 152a. If a claim is made by
an entity receiving funds under this article that challenges the
legislative determination of the adequacy of this funding or
alleges that there exists an unfunded constitutional requirement,
the state budget director may escrow or allocate from the
discretionary funds for nonmandated payments under this section the
amount as may be necessary to satisfy the claim before making any
payments to districts under subsection (2). If funds are escrowed,
the escrowed funds are a work project appropriation and the funds
are carried forward into the following fiscal year. The purpose of
the work project is to provide for any payments that may be awarded
to districts as a result of litigation. The work project shall be
completed upon resolution of the litigation.
(8) If the local claims review board or a court of competent
jurisdiction makes a final determination that this state is in
violation of section 29 of article IX of the state constitution of
1963 regarding state payments to districts, the state budget
director shall use work project funds under subsection (7) or
allocate from the discretionary funds for nonmandated payments
under this section the amount as may be necessary to satisfy the
amount owed to districts before making any payments to districts
under subsection (2).
(9) If a claim is made in court that challenges the
legislative determination of the adequacy of funding for this
state's constitutional obligations or alleges that there exists an
unfunded constitutional requirement, any interested party may seek
an expedited review of the claim by the local claims review board.
If the claim exceeds $10,000,000.00, this state may remove the
action to the court of appeals, and the court of appeals shall have
and shall exercise jurisdiction over the claim.
(10) If payments resulting from a final determination by the
local claims review board or a court of competent jurisdiction that
there has been a violation of section 29 of article IX of the state
constitution of 1963 exceed the amount allocated for discretionary
nonmandated payments under this section, the legislature shall
provide for adequate funding for this state's constitutional
obligations at its next legislative session.
(11) If a lawsuit challenging payments made to districts
related to costs reimbursed by federal title XIX medicaid funds is
filed against this state, then, for the purpose of addressing
potential liability under such a lawsuit, the state budget director
may place funds allocated under this section in escrow or allocate
money from the funds otherwise allocated under this section, up to
a maximum of 50% of the amount allocated in subsection (1). If
funds are placed in escrow under this subsection, those funds are a
work project appropriation and the funds are carried forward into
the following fiscal year. The purpose of the work project is to
provide for any payments that may be awarded to districts as a
result of the litigation. The work project shall be completed upon
resolution of the litigation. In addition, this state reserves the
right to terminate future federal title XIX medicaid reimbursement
payments to districts if the amount or allocation of reimbursed
funds is challenged in the lawsuit. As used in this subsection,
"title XIX" means title XIX of the social security act, 42 USC 1396
to 1396v.
Sec. 22g. (1) From the funds appropriated in section 11, there
is allocated for 2013-2014 only an amount not to exceed
$5,000,000.00 for competitive assistance grants to districts and
intermediate districts.
(2) Funds received under this section may be used for
reimbursement of transition costs associated with the consolidation
of operations or services between 2 or more districts, intermediate
districts, or other local units of government or the consolidation
of districts or intermediate districts. Grant funding shall be
available for consolidations that occur on or after June 1, 2013.
The department shall develop an application process and method of
grant distribution.
Sec. 25e. (1) The center shall work with the department,
districts, and intermediate districts to develop a pupil membership
transfer application and a pupil transfer process under this
section. The center shall complete development of this pupil
membership transfer application not later than November 1, 2013.
(2)
If Except as otherwise provided
in section 25f, if a pupil
counted in membership for the pupil membership count day transfers
from a district or intermediate district to enroll in another
district or intermediate district after the pupil membership count
day and before the supplemental count day and, due to the pupil's
enrollment and attendance status as of the pupil membership count
day, the pupil was not counted in membership in the educating
district or intermediate district, the educating district or
intermediate district may report the enrollment and attendance
information to the center through the pupil transfer process within
30 days after the transfer or within 30 days after the sixth
Wednesday after the pupil membership count day, whichever is later.
Pupil transfers may be submitted no earlier than the first day
after the certification deadline for the pupil membership count day
and before the supplemental count day. Upon receipt of the transfer
information under this subsection indicating that a pupil has
enrolled and is in attendance in an educating district or
intermediate district as described in this subsection, the pupil
transfer process shall do the following:
(a) Notify the district in which the pupil was previously
enrolled.
(b) Notify both the pupil auditing staff of the intermediate
district in which the educating district is located and the pupil
auditing staff of the intermediate district in which the district
that previously enrolled the pupil is located. The pupil auditing
staff shall approve or deny the pupil membership transfer.
(c) Aggregate the districtwide changes and notify the
department for use in adjusting the state aid payment system.
(3)
The Upon receipt of a
notification under subsection
(2)(c), the department shall do all of the following:
(a) Adjust the membership calculation for each district or
intermediate district in which the pupil was previously counted in
membership or that previously received an adjustment in its
membership calculation under this section due to a change in the
pupil's enrollment and attendance so that the district's or
intermediate district's membership is prorated to allow the
district or intermediate district to receive for each school day,
as determined by the financial calendar furnished by the center, in
which the pupil was enrolled and in attendance in the district or
intermediate district an amount equal to 1/105 of a full-time
equated membership claimed in the fall pupil membership count. The
district or intermediate district shall receive a prorated
foundation allowance in an amount equal to the product of the
adjustment under this subdivision for the district or intermediate
district multiplied by the foundation allowance or per pupil
payment as calculated under section 20 for the district or
intermediate district. The foundation allowance or per pupil
payment shall be adjusted by the pupil's full-time equated status
as affected by the membership definition under section 6(4).
(b) Adjust the membership calculation for the educating
district or intermediate district in which the pupil is enrolled
and is in attendance so that the district's or intermediate
district's membership is increased to allow the district or
intermediate district to receive an amount equal to the difference
between the full-time equated membership claimed in the fall pupil
membership count and the sum of the adjustments calculated under
subdivision (a) for each district or intermediate district in which
the pupil was previously enrolled and in attendance. The educating
district or intermediate district shall receive a prorated
foundation allowance in an amount equal to the product of the
adjustment under this subdivision for the educating district or
intermediate district multiplied by the foundation allowance or per
pupil payment as calculated under section 20 for the educating
district or intermediate district. The foundation allowance or per
pupil payment shall be adjusted by the pupil's full-time equated
status as affected by the membership definition under section 6(4).
(4) The changes in calculation of state school aid required
under subsection (3) shall take effect as of the date that the
pupil becomes enrolled and in attendance in the educating district
or intermediate district, and the department shall base all
subsequent payments under this article for the fiscal year to the
affected districts or intermediate districts on this recalculation
of state school aid.
(5) If a pupil enrolls in an educating district or
intermediate district as described in subsection (2), the district
or intermediate district in which the pupil is counted in
membership or another educating district or intermediate district
that received an adjustment in its membership calculation under
subsection (3), if any, and the educating district or intermediate
district shall provide to the center and the department all
information they require to comply with this section.
(6) As used in this section, "educating district or
intermediate district" means the district or intermediate district
in which a pupil enrolls after the pupil membership count day or
after an adjustment was made in another district's or intermediate
district's membership calculation under this section due to the
pupil's enrollment and attendance.
Sec. 25f. (1) If a pupil is enrolled in a strict discipline
academy for pupils who have been expelled or suspended from school
or otherwise placed in a strict discipline academy as described in
section 1311g of the revised school code, MCL 380.1311g, and if the
pupil is counted in membership in another district or intermediate
district, the strict discipline academy shall report the enrollment
information to the department and to the district or intermediate
district in which the pupil is counted in membership. Except as
otherwise directed by the department, the strict discipline academy
shall report the enrollment and attendance information to the
intermediate district and the center through the pupil transfer
process under section 25e. An intermediate district that is
notified of an enrollment transfer under this subsection shall
approve or deny the enrollment transfer within 30 days after the
notification or the department shall automatically process the
enrollment transfer for inclusion in the next school aid
installment payment. an intermediate district may issue a
correction in subsequent payments to collect any enrollment
transfer paid in error. Upon receipt of enrollment information
under this section indicating that a pupil has enrolled in a strict
discipline academy as described in this section, the department
shall do both of the following:
(a) Adjust the membership calculation for the district or
intermediate district in which the pupil was counted in membership
so that the district's or intermediate district's membership is
prorated to allow the district or intermediate district to receive
for each school day in which the pupil was enrolled in the district
an amount equal to 1/180 of the foundation allowance or per-pupil
payment as calculated under section 20 for the district or
intermediate district. The foundation allowance or per-pupil
payment shall be adjusted by the pupil's full-time equated status
as affected by the membership definition under section 6(4).
(b) Include in the calculation of state school aid for the
strict discipline academy for each school day in which the pupil is
enrolled in the strict discipline academy, not to exceed a number
of school days equal to the difference between 180 and the number
of school days in which the pupil was reported under this section
as previously enrolled in 1 or more other districts or intermediate
districts, an amount equal to 1/180 of the per-pupil payment as
calculated under section 20 for the strict discipline academy. The
per-pupil payment shall be adjusted by the pupil's full-time
equated status as affected by the membership definition under
section 6(4).
(2) The changes in calculation of state school aid required
under this section shall take effect as of the date that the pupil
enrolls in the strict discipline academy, and the department shall
base all subsequent payments under this act for the fiscal year to
the affected districts or intermediate districts and for the strict
discipline academy, as applicable, on this recalculation of state
school aid.
(3) If a pupil enrolls in a strict discipline academy as
described in subsection (1), the district or intermediate district
in which the pupil is counted in membership and the strict
discipline academy shall provide to the department all information
the department requires to comply with this section.
(4) This section applies beginning with payments made for the
2013-2014 fiscal year.
(5) This section and section 25e shall not be construed or
administered to allow an individual pupil to be counted for more
than 1 full-time equated membership for a fiscal year.
Sec. 31a. (1) From the state school aid fund money
appropriated in section 11, there is allocated for 2013-2014 an
amount
not to exceed $317,695,500.00 $347,695,500.00
for payments
to eligible districts, eligible public school academies, and the
education achievement system under this section. Subject to
subsection (14), the amount of the additional allowance under this
section, other than funding under subsection (6) or (7), shall be
based on the number of actual pupils in membership in the district
or public school academy or the education achievement system who
met the income eligibility criteria for free breakfast, lunch, or
milk in the immediately preceding state fiscal year, as determined
under the Richard B. Russell national school lunch act, 42 USC 1751
to 1769i, and reported to the department not later than the fifth
Wednesday after the pupil membership count day of the immediately
preceding fiscal year and adjusted not later than December 31 of
the immediately preceding fiscal year in the form and manner
prescribed by the center. However, for a public school academy that
began operations as a public school academy, or for an achievement
school that began operations as an achievement school, after the
pupil membership count day of the immediately preceding school
year, the basis for the additional allowance under this section
shall be the number of actual pupils in membership in the public
school academy or the education achievement system who met the
income eligibility criteria for free breakfast, lunch, or milk in
the current state fiscal year, as determined under the Richard B.
Russell national school lunch act and reported to the department
not later than the fifth Wednesday after the pupil membership count
day.
(2) To be eligible to receive funding under this section,
other than funding under subsection (6) or (7), a district or
public school academy that has not been previously determined to be
eligible or the education achievement system shall apply to the
department, in a form and manner prescribed by the department, and
a district or public school academy or the education achievement
system must meet all of the following:
(a) The sum of the district's or public school academy's or
the education achievement system's combined state and local revenue
per membership pupil in the current state fiscal year, as
calculated under section 20, is less than or equal to the basic
foundation allowance under section 20 for the current state fiscal
year.
(b) The district or public school academy or the education
achievement system agrees to use the funding only for purposes
allowed under this section and to comply with the program and
accountability requirements under this section.
(3) Except as otherwise provided in this subsection, an
eligible district or eligible public school academy or the
education achievement system shall receive under this section for
each membership pupil in the district or public school academy or
the education achievement system who met the income eligibility
criteria for free breakfast, lunch, or milk, as determined under
the Richard B. Russell national school lunch act and as reported to
the department not later than the fifth Wednesday after the pupil
membership count day of the immediately preceding fiscal year and
adjusted not later than December 31 of the immediately preceding
fiscal year, an amount per pupil equal to 11.5% of the sum of the
district's foundation allowance or the public school academy's or
the education achievement system's per pupil amount calculated
under section 20, not to exceed the basic foundation allowance
under section 20 for the current state fiscal year, or of the
public school academy's or the education achievement system's per
membership pupil amount calculated under section 20 for the current
state fiscal year. A public school academy that began operations as
a public school academy, or an achievement school that began
operations as an achievement school, after the pupil membership
count day of the immediately preceding school year shall receive
under this section for each membership pupil in the public school
academy or in the education achievement system who met the income
eligibility criteria for free breakfast, lunch, or milk, as
determined under the Richard B. Russell national school lunch act
and as reported to the department not later than the fifth
Wednesday after the pupil membership count day of the current
fiscal year and adjusted not later than December 31 of the current
fiscal year, an amount per pupil equal to 11.5% of the public
school academy's or the education achievement system's per
membership pupil amount calculated under section 20 for the current
state fiscal year.
(4) Except as otherwise provided in this section, a district
or public school academy, or the education achievement system,
receiving funding under this section shall use that money only to
provide instructional programs and direct noninstructional
services, including, but not limited to, medical or counseling
services, for at-risk pupils; for school health clinics; and for
the purposes of subsection (5), (6), or (7). In addition, a
district that is a school district of the first class or a district
or public school academy in which at least 50% of the pupils in
membership met the income eligibility criteria for free breakfast,
lunch, or milk in the immediately preceding state fiscal year, as
determined and reported as described in subsection (1), or the
education achievement system if it meets this requirement, may use
not more than 20% of the funds it receives under this section for
school security. A district, the public school academy, or the
education achievement system shall not use any of that money for
administrative costs or to supplant another program or other funds,
except for funds allocated to the district or public school academy
or the education achievement system under this section in the
immediately preceding year and already being used by the district
or public school academy or the education achievement system for
at-risk pupils. The instruction or direct noninstructional services
provided under this section may be conducted before or after
regular school hours or by adding extra school days to the school
year and may include, but are not limited to, tutorial services,
early childhood programs to serve children age 0 to 5, and reading
programs as described in former section 32f as in effect for 2001-
2002. A tutorial method may be conducted with paraprofessionals
working under the supervision of a certificated teacher. The ratio
of pupils to paraprofessionals shall be between 10:1 and 15:1. Only
1 certificated teacher is required to supervise instruction using a
tutorial method. As used in this subsection, "to supplant another
program" means to take the place of a previously existing
instructional program or direct noninstructional services funded
from a funding source other than funding under this section.
(5) Except as otherwise provided in subsection (12), a
district or public school academy that receives funds under this
section and that operates a school breakfast program under section
1272a of the revised school code, MCL 380.1272a, or the education
achievement system if it operates a school breakfast program, shall
use from the funds received under this section an amount, not to
exceed $10.00 per pupil for whom the district or public school
academy or the education achievement system receives funds under
this section, necessary to pay for costs associated with the
operation of the school breakfast program.
(6) From the funds allocated under subsection (1), there is
allocated for 2013-2014 an amount not to exceed $3,557,300.00 to
support child and adolescent health centers. These grants shall be
awarded for 5 consecutive years beginning with 2003-2004 in a form
and manner approved jointly by the department and the department of
community health. Each grant recipient shall remain in compliance
with the terms of the grant award or shall forfeit the grant award
for the duration of the 5-year period after the noncompliance. To
continue to receive funding for a child and adolescent health
center under this section a grant recipient shall ensure that the
child and adolescent health center has an advisory committee and
that at least one-third of the members of the advisory committee
are parents or legal guardians of school-aged children. A child and
adolescent health center program shall recognize the role of a
child's parents or legal guardian in the physical and emotional
well-being of the child. Funding under this subsection shall be
used to support child and adolescent health center services
provided to children up to age 21. If any funds allocated under
this subsection are not used for the purposes of this subsection
for the fiscal year in which they are allocated, those unused funds
shall be used that fiscal year to avoid or minimize any proration
that would otherwise be required under subsection (14) for that
fiscal year.
(7) From the funds allocated under subsection (1), there is
allocated for 2013-2014 an amount not to exceed $5,150,000.00 for
the state portion of the hearing and vision screenings as described
in section 9301 of the public health code, 1978 PA 368, MCL
333.9301. A local public health department shall pay at least 50%
of the total cost of the screenings. The frequency of the
screenings shall be as required under R 325.13091 to R 325.13096
and R 325.3271 to R 325.3276 of the Michigan administrative code.
Funds shall be awarded in a form and manner approved jointly by the
department and the department of community health. Notwithstanding
section 17b, payments to eligible entities under this subsection
shall be paid on a schedule determined by the department.
(8) Each district or public school academy receiving funds
under this section and the education achievement system shall
submit to the department by July 15 of each fiscal year a report,
not to exceed 10 pages, on the usage by the district or public
school academy or the education achievement system of funds under
this section, which report shall include at least a brief
description of each program conducted by the district or public
school academy or the education achievement system using funds
under this section, the amount of funds under this section
allocated to each of those programs, the number of at-risk pupils
eligible for free or reduced price school lunch who were served by
each of those programs, and the total number of at-risk pupils
served by each of those programs. If a district or public school
academy or the education achievement system does not comply with
this subsection, the department shall withhold an amount equal to
the August payment due under this section until the district or
public school academy or the education achievement system complies
with this subsection. If the district or public school academy or
the education achievement system does not comply with this
subsection by the end of the state fiscal year, the withheld funds
shall be forfeited to the school aid fund.
(9) In order to receive funds under this section, a district
or public school academy or the education achievement system shall
allow access for the department or the department's designee to
audit all records related to the program for which it receives
those funds. The district or public school academy or the education
achievement system shall reimburse the state for all disallowances
found in the audit.
(10) Subject to subsections (5), (6), (7), (12), and (13), a
district may use up to 100% of the funds it receives under this
section to reduce the ratio of pupils to teachers in grades K-12,
or any combination of those grades, in school buildings in which
the percentage of pupils described in subsection (1) exceeds the
district's aggregate percentage of those pupils. Subject to
subsections (5), (6), (7), (12), and (13), a district may use up to
100% of the funds it receives under this section to reduce the
ratio of pupils to teachers in grades K-12, or any combination of
those grades, in school buildings in which the percentage of pupils
described in subsection (1) is at least 60% of the district's
aggregate percentage of those pupils and at least 30% of the total
number of pupils enrolled in the school building.
(11) A district or public school academy or the education
achievement system may use funds received under this section for
adult high school completion, general educational development
(G.E.D.) test preparation, adult English as a second language, or
adult basic education programs described in section 107.
(12) For an individual school or schools operated by a
district or public school academy receiving funds under this
section or the education achievement system that have been
determined by the department to meet the adequate yearly progress
standards of the no child left behind act of 2001, Public Law 107-
110, in both mathematics and English language arts at all
applicable grade levels for all applicable subgroups, the district
or public school academy or the education achievement system may
use not more than 20% of the funds it receives under this section
for specific alternative purposes identified by the district or
public school academy or the education achievement system that are
designed to benefit at-risk pupils in the school, but that may be
different from the purposes otherwise allowable under this section.
If a district or public school academy or the education achievement
system uses funds for alternative purposes allowed under the
flexibility provisions under this subsection, the district or
public school academy or the education achievement system shall
maintain documentation of the amounts used for those alternative
purposes and shall make that information available to the
department upon request.
(13) A district or public school academy that receives funds
under this section or the education achievement system may use
funds it receives under this section to implement and operate an
early intervening program for pupils in grades K to 3 that meets
either or both of the following:
(a) Monitors individual pupil learning and provides specific
support or learning strategies to pupils as early as possible in
order to reduce the need for special education placement. The
program shall include literacy and numeracy supports, sensory motor
skill development, behavior supports, instructional consultation
for teachers, and the development of a parent/school learning plan.
Specific support or learning strategies may include support in or
out of the general classroom in areas including reading, writing,
math, visual memory, motor skill development, behavior, or language
development. These would be provided based on an understanding of
the individual child's learning needs.
(b) Provides early intervening strategies using school-wide
systems of academic and behavioral supports and is scientifically
research-based. The strategies to be provided shall include at
least pupil performance indicators based upon response to
intervention, instructional consultation for teachers, and ongoing
progress monitoring. A school-wide system of academic and
behavioral support should be based on a support team available to
the classroom teachers. The members of this team could include the
principal, special education staff, reading teachers, and other
appropriate personnel who would be available to systematically
study the needs of the individual child and work with the teacher
to match instruction to the needs of the individual child.
(14) If necessary, and before any proration required under
section 296, the department shall prorate payments under this
section by reducing the amount of the per pupil payment under this
section by a dollar amount calculated by determining the amount by
which the amount necessary to fully fund the requirements of this
section exceeds the maximum amount allocated under this section and
then dividing that amount by the total statewide number of pupils
who met the income eligibility criteria for free breakfast, lunch,
or milk in the immediately preceding fiscal year, as described in
subsection (1).
(15) If a district is formed by consolidation after June 1,
1995, and if 1 or more of the original districts was not eligible
before the consolidation for an additional allowance under this
section, the amount of the additional allowance under this section
for the consolidated district shall be based on the number of
pupils described in subsection (1) enrolled in the consolidated
district who reside in the territory of an original district that
was eligible before the consolidation for an additional allowance
under this section.
(16) As used in this section, "at-risk pupil" means a pupil
for whom the district has documentation that the pupil meets at
least 2 of the following criteria: is a victim of child abuse or
neglect; is below grade level in English language arts or
mathematics; is a pregnant teenager or teenage parent; is eligible
for a federal free or reduced-price lunch subsidy; has atypical
behavior or attendance patterns; or has a family history of school
failure, incarceration, or substance abuse. At-risk pupil also
includes all pupils in a priority school as defined in the
elementary and secondary education act of 2001 flexibility request
approved by the United States department of education. For pupils
for whom the results of at least the applicable Michigan education
assessment program (MEAP) test have been received, at-risk pupil
also includes a pupil who does not meet the other criteria under
this subsection but who did not achieve at least a score of level 2
on the most recent MEAP English language arts, mathematics, science
test, or social studies for which results for the pupil have been
received. For pupils for whom the results of the Michigan merit
examination have been received, at-risk pupil also includes a pupil
who does not meet the other criteria under this subsection but who
did not achieve proficiency on the reading, writing, mathematics,
science, or social studies components of the most recent Michigan
merit examination for which results for the pupil have been
received. For pupils in grades K-3, at-risk pupil also includes a
pupil who is at risk of not meeting the district's core academic
curricular objectives in English language arts or mathematics.
(17) A district or public school academy that receives funds
under this section or the education achievement system may use
funds received under this section to provide an anti-bullying or
crisis intervention program.
Sec. 31b. (1) From the appropriations in section 11, there is
allocated an amount not to exceed $2,000,000.00 for 2013-2014 for
grants to at-risk districts for implementing a year-round
instructional program for at least 1 of its schools.
(2) The department shall select districts for grants under
this section from among applicant districts that meet both of the
following:
(a) The district is eligible in 2013-2014 for the community
eligibility option for free and reduced price lunch under 42 USC
1759a.
(b) The board of the district has adopted a resolution stating
that the district will implement for the first time a year-round
instructional calendar that will begin in 2014-2015 for at least 1
school operated by the district and committing to providing the
year-round instructional calendar in each of those schools for at
least 3 school years.
(3) A district seeking a grant under this section shall apply
to the department in the form and manner prescribed by the
department not later than May 1, 2014. The department shall select
districts for grants and make notification not later than June 1,
2014.
(4) The department shall award grants under this section on a
competitive basis, but shall give priority based solely on
consideration of the following criteria:
(a) Giving priority to districts with lower general fund
balances as a percent of revenues.
(b) Giving priority to districts that operate at least 1
school that has been identified by the department as either a
priority school or a focus school.
(c) Ensuring that grant funding includes both rural and urban
districts.
(5) The amount of a grant under this section to any 1 district
shall not exceed $250,000.00.
(6) A grant payment under this section to a district shall be
used for necessary modifications to instructional facilities and
other nonrecurring costs of preparing for the operation of a year-
round instructional program as approved by the department.
(7) A district receiving a grant under this section is not
required to provide more than the minimum number of days and hours
of pupil instruction prescribed under section 101, but shall spread
at least those minimum amounts of pupil instruction over the entire
year in each of its schools in which a year-round instructional
calendar is implemented. The district shall commit to providing the
year-round instructional calendar in each of those schools for at
least 3 school years.
(8) For a district receiving a grant under this section,
excessive heat is considered to be a condition not within the
control of school authorities for the purpose of days or hours
being counted as days or hours of pupil instruction under section
101(4).
(9) Notwithstanding section 17b, grant payments to districts
under this section shall be paid on a schedule determined by the
department.
Sec. 32r. (1) In addition to the funds appropriated under
section 11, for 2013-2014 only, there is appropriated the amount of
the federal funding awarded to this state under sections 14005,
14006, and 14013 of title XIV of the American recovery and
reinvestment act of 2009, Public Law 111-5, for the race to the top
- early learning challenge grant, estimated at $51,737,500.00.
(2) The department shall use the funds appropriated under this
section solely for the purposes of increasing the number of low-
income and disadvantaged infants, toddlers, and preschoolers
enrolled in high-quality early learning programs and shall spend
the funds in accordance with the state's application for the funds,
as approved by the United States department of education in
December 2013. Activities funded under this section shall focus on
the following objectives:
(a) Increase access for children with high needs to high-
quality learning programs.
(b) Increase opportunities for licensed and unlicensed
subsidized home care providers to improve the quality of their
programs.
(c) Improve families' engagement in their children's early
learning and development.
(d) Expand on efforts to identify and promote children's
physical, social, and emotional health.
(e) Increase professional development opportunities for early
learning care providers.
(f) Develop an early learning data system to monitor and
evaluate quality standards of individual programs. The department
shall ensure that data reported under the data system are reported
in the aggregate and do not identify individuals. This data system
shall be maintained only as long as there is federal funding
available for expenditure under this section.
(3) The funds appropriated under this section are to be spent
over 4 years and shall be considered a work project appropriation.
Any unexpended funds for 2013-2014 are carried forward into 2014-
2015. The purpose of the work project is as described under
subsection (2). The estimated completion date of the work project
is September 30, 2018.
Sec. 51a. (1) From the appropriation in section 11, there is
allocated
an amount not to exceed $952,569,100.00 for 2012-2013 and
there
is allocated an amount not to exceed $980,446,100.00
$919,846,100.00 for 2013-2014 from state sources and all available
federal funding under sections 611 to 619 of part B of the
individuals with disabilities education act, 20 USC 1411 to 1419,
estimated
at $365,000,000.00 for 2012-2013, and estimated
at
$370,000,000.00 for 2013-2014, plus any carryover federal funds
from previous year appropriations. The allocations under this
subsection are for the purpose of reimbursing districts and
intermediate districts for special education programs, services,
and special education personnel as prescribed in article 3 of the
revised school code, MCL 380.1701 to 380.1766; net tuition payments
made by intermediate districts to the Michigan schools for the deaf
and blind; and special education programs and services for pupils
who are eligible for special education programs and services
according to statute or rule. For meeting the costs of special
education programs and services not reimbursed under this article,
a district or intermediate district may use money in general funds
or special education funds, not otherwise restricted, or
contributions from districts to intermediate districts, tuition
payments, gifts and contributions from individuals or other
entities, or federal funds that may be available for this purpose,
as determined by the intermediate district plan prepared pursuant
to article 3 of the revised school code, MCL 380.1701 to 380.1766.
All federal funds allocated under this section in excess of those
allocated under this section for 2002-2003 may be distributed in
accordance with the flexible funding provisions of the individuals
with disabilities education act, Public Law 108-446, including, but
not limited to, 34 CFR 300.206 and 300.208. Notwithstanding section
17b, payments of federal funds to districts, intermediate
districts, and other eligible entities under this section shall be
paid on a schedule determined by the department.
(2) From the funds allocated under subsection (1), there is
allocated
the amount necessary, estimated at $251,000,000.00 for
2012-2013,
and estimated at $257,800,000.00 $247,000,000.00
for
2013-2014, for payments toward reimbursing districts and
intermediate districts for 28.6138% of total approved costs of
special education, excluding costs reimbursed under section 53a,
and 70.4165% of total approved costs of special education
transportation. Allocations under this subsection shall be made as
follows:
(a) The initial amount allocated to a district under this
subsection toward fulfilling the specified percentages shall be
calculated by multiplying the district's special education pupil
membership, excluding pupils described in subsection (11), times
the foundation allowance under section 20 of the pupil's district
of residence, not to exceed the basic foundation allowance under
section 20 for the current fiscal year, or, for a special education
pupil in membership in a district that is a public school academy,
times an amount equal to the amount per membership pupil calculated
under section 20(6) or, for a pupil described in this subsection
who is counted in membership in the education achievement system,
times an amount equal to the amount per membership pupil under
section 20(7). For an intermediate district, the amount allocated
under this subdivision toward fulfilling the specified percentages
shall be an amount per special education membership pupil,
excluding pupils described in subsection (11), and shall be
calculated in the same manner as for a district, using the
foundation allowance under section 20 of the pupil's district of
residence, not to exceed the basic foundation allowance under
section 20 for the current fiscal year.
(b) After the allocations under subdivision (a), districts and
intermediate districts for which the payments calculated under
subdivision (a) do not fulfill the specified percentages shall be
paid the amount necessary to achieve the specified percentages for
the district or intermediate district.
(3) From the funds allocated under subsection (1), there is
allocated
each fiscal year for 2012-2013 and for 2013-2014 an
amount not to exceed $1,000,000.00 to make payments to districts
and intermediate districts under this subsection. If the amount
allocated to a district or intermediate district for a fiscal year
under subsection (2)(b) is less than the sum of the amounts
allocated to the district or intermediate district for 1996-97
under sections 52 and 58, there is allocated to the district or
intermediate district for the fiscal year an amount equal to that
difference, adjusted by applying the same proration factor that was
used in the distribution of funds under section 52 in 1996-97 as
adjusted to the district's or intermediate district's necessary
costs of special education used in calculations for the fiscal
year. This adjustment is to reflect reductions in special education
program operations or services between 1996-97 and subsequent
fiscal years. Adjustments for reductions in special education
program operations or services shall be made in a manner determined
by the department and shall include adjustments for program or
service shifts.
(4) If the department determines that the sum of the amounts
allocated for a fiscal year to a district or intermediate district
under subsection (2)(a) and (b) is not sufficient to fulfill the
specified percentages in subsection (2), then the shortfall shall
be paid to the district or intermediate district during the fiscal
year beginning on the October 1 following the determination and
payments under subsection (3) shall be adjusted as necessary. If
the department determines that the sum of the amounts allocated for
a fiscal year to a district or intermediate district under
subsection (2)(a) and (b) exceeds the sum of the amount necessary
to fulfill the specified percentages in subsection (2), then the
department shall deduct the amount of the excess from the
district's or intermediate district's payments under this article
for the fiscal year beginning on the October 1 following the
determination and payments under subsection (3) shall be adjusted
as necessary. However, if the amount allocated under subsection
(2)(a) in itself exceeds the amount necessary to fulfill the
specified percentages in subsection (2), there shall be no
deduction under this subsection.
(5) State funds shall be allocated on a total approved cost
basis. Federal funds shall be allocated under applicable federal
requirements, except that an amount not to exceed $3,500,000.00 may
be
allocated by the department each fiscal year for 2012-2013 and
for 2013-2014 to districts, intermediate districts, or other
eligible entities on a competitive grant basis for programs,
equipment, and services that the department determines to be
designed to benefit or improve special education on a statewide
scale.
(6) From the amount allocated in subsection (1), there is
allocated
an amount not to exceed $2,200,000.00 each fiscal year
for
2012-2013 and for 2013-2014 to
reimburse 100% of the net
increase in necessary costs incurred by a district or intermediate
district in implementing the revisions in the administrative rules
for special education that became effective on July 1, 1987. As
used in this subsection, "net increase in necessary costs" means
the necessary additional costs incurred solely because of new or
revised requirements in the administrative rules minus cost savings
permitted in implementing the revised rules. Net increase in
necessary costs shall be determined in a manner specified by the
department.
(7) For purposes of sections 51a to 58, all of the following
apply:
(a) "Total approved costs of special education" shall be
determined in a manner specified by the department and may include
indirect costs, but shall not exceed 115% of approved direct costs
for section 52 and section 53a programs. The total approved costs
include salary and other compensation for all approved special
education personnel for the program, including payments for social
security and medicare and public school employee retirement system
contributions. The total approved costs do not include salaries or
other compensation paid to administrative personnel who are not
special education personnel as defined in section 6 of the revised
school code, MCL 380.6. Costs reimbursed by federal funds, other
than those federal funds included in the allocation made under this
article, are not included. Special education approved personnel not
utilized full time in the evaluation of students or in the delivery
of special education programs, ancillary, and other related
services shall be reimbursed under this section only for that
portion of time actually spent providing these programs and
services, with the exception of special education programs and
services provided to youth placed in child caring institutions or
juvenile detention programs approved by the department to provide
an on-grounds education program.
(b) Beginning with the 2004-2005 fiscal year, a district or
intermediate district that employed special education support
services staff to provide special education support services in
2003-2004 or in a subsequent fiscal year and that in a fiscal year
after 2003-2004 receives the same type of support services from
another district or intermediate district shall report the cost of
those support services for special education reimbursement purposes
under this article. This subdivision does not prohibit the transfer
of special education classroom teachers and special education
classroom aides if the pupils counted in membership associated with
those special education classroom teachers and special education
classroom aides are transferred and counted in membership in the
other district or intermediate district in conjunction with the
transfer of those teachers and aides.
(c) If the department determines before bookclosing for a
fiscal year that the amounts allocated for that fiscal year under
subsections (2), (3), (6), and (11) and sections 53a, 54, and 56
will exceed expenditures for that fiscal year under subsections
(2), (3), (6), and (11) and sections 53a, 54, and 56, then for a
district or intermediate district whose reimbursement for that
fiscal year would otherwise be affected by subdivision (b),
subdivision (b) does not apply to the calculation of the
reimbursement for that district or intermediate district and
reimbursement for that district or intermediate district shall be
calculated in the same manner as it was for 2003-2004. If the
amount of the excess allocations under subsections (2), (3), (6),
and (11) and sections 53a, 54, and 56 is not sufficient to fully
fund the calculation of reimbursement to those districts and
intermediate districts under this subdivision, then the
calculations and resulting reimbursement under this subdivision
shall be prorated on an equal percentage basis. This reimbursement
shall not be made after 2014-2015.
(d) Reimbursement for ancillary and other related services, as
defined by R 340.1701c of the Michigan administrative code, shall
not be provided when those services are covered by and available
through private group health insurance carriers or federal
reimbursed program sources unless the department and district or
intermediate district agree otherwise and that agreement is
approved by the state budget director. Expenses, other than the
incidental expense of filing, shall not be borne by the parent. In
addition, the filing of claims shall not delay the education of a
pupil. A district or intermediate district shall be responsible for
payment of a deductible amount and for an advance payment required
until the time a claim is paid.
(e) Beginning with calculations for 2004-2005, if an
intermediate district purchases a special education pupil
transportation service from a constituent district that was
previously purchased from a private entity; if the purchase from
the constituent district is at a lower cost, adjusted for changes
in fuel costs; and if the cost shift from the intermediate district
to the constituent does not result in any net change in the revenue
the constituent district receives from payments under sections 22b
and 51c, then upon application by the intermediate district, the
department shall direct the intermediate district to continue to
report the cost associated with the specific identified special
education pupil transportation service and shall adjust the costs
reported by the constituent district to remove the cost associated
with that specific service.
(8) A pupil who is enrolled in a full-time special education
program conducted or administered by an intermediate district or a
pupil who is enrolled in the Michigan schools for the deaf and
blind shall not be included in the membership count of a district,
but shall be counted in membership in the intermediate district of
residence.
(9) Special education personnel transferred from 1 district to
another to implement the revised school code shall be entitled to
the rights, benefits, and tenure to which the person would
otherwise be entitled had that person been employed by the
receiving district originally.
(10) If a district or intermediate district uses money
received under this section for a purpose other than the purpose or
purposes for which the money is allocated, the department may
require the district or intermediate district to refund the amount
of money received. Money that is refunded shall be deposited in the
state treasury to the credit of the state school aid fund.
(11) From the funds allocated in subsection (1), there is
allocated
the amount necessary, estimated at $4,300,000.00 for
2012-2013,
and estimated at $4,300,000.00 $3,500,000.00
for 2013-
2014, to pay the foundation allowances for pupils described in this
subsection. The allocation to a district under this subsection
shall be calculated by multiplying the number of pupils described
in this subsection who are counted in membership in the district
times the foundation allowance under section 20 of the pupil's
district of residence, not to exceed the basic foundation allowance
under section 20 for the current fiscal year, or, for a pupil
described in this subsection who is counted in membership in a
district that is a public school academy, times an amount equal to
the amount per membership pupil under section 20(6) or, for a pupil
described in this subsection who is counted in membership in the
education achievement system, times an amount equal to the amount
per membership pupil under section 20(7). The allocation to an
intermediate district under this subsection shall be calculated in
the same manner as for a district, using the foundation allowance
under section 20 of the pupil's district of residence, not to
exceed the basic foundation allowance under section 20 for the
current fiscal year. This subsection applies to all of the
following pupils:
(a) Pupils described in section 53a.
(b) Pupils counted in membership in an intermediate district
who are not special education pupils and are served by the
intermediate district in a juvenile detention or child caring
facility.
(c) Pupils with an emotional impairment counted in membership
by an intermediate district and provided educational services by
the department of community health.
(12) If it is determined that funds allocated under subsection
(2) or (11) or under section 51c will not be expended, funds up to
the amount necessary and available may be used to supplement the
allocations under subsection (2) or (11) or under section 51c in
order to fully fund those allocations. After payments under
subsections (2) and (11) and section 51c, the remaining
expenditures from the allocation in subsection (1) shall be made in
the following order:
(a) 100% of the reimbursement required under section 53a.
(b) 100% of the reimbursement required under subsection (6).
(c) 100% of the payment required under section 54.
(d) 100% of the payment required under subsection (3).
(e) 100% of the payments under section 56.
(13) The allocations under subsections (2), (3), and (11)
shall be allocations to intermediate districts only and shall not
be allocations to districts, but instead shall be calculations used
only to determine the state payments under section 22b.
(14) If a public school academy enrolls pursuant to this
section a pupil who resides outside of the intermediate district in
which the public school academy is located and who is eligible for
special education programs and services according to statute or
rule, or who is a child with disabilities, as defined under the
individuals with disabilities education act, Public Law 108-446,
the provision of special education programs and services and the
payment of the added costs of special education programs and
services for the pupil are the responsibility of the district and
intermediate district in which the pupil resides unless the
enrolling district or intermediate district has a written agreement
with the district or intermediate district in which the pupil
resides or the public school academy for the purpose of providing
the pupil with a free appropriate public education and the written
agreement includes at least an agreement on the responsibility for
the payment of the added costs of special education programs and
services for the pupil.
Sec. 51c. As required by the court in the consolidated cases
known as Durant v State of Michigan, Michigan supreme court docket
no. 104458-104492, from the allocation under section 51a(1), there
is
allocated each fiscal year for 2012-2013 and for 2013-2014 the
amount
necessary, estimated at $642,000,000.00 for 2012-2013, and
estimated
at $662,200,000.00 for 2013-2014, $613,200,000.00,
for
payments to reimburse districts for 28.6138% of total approved
costs of special education excluding costs reimbursed under section
53a, and 70.4165% of total approved costs of special education
transportation. Funds allocated under this section that are not
expended in the state fiscal year for which they were allocated, as
determined by the department, may be used to supplement the
allocations under sections 22a and 22b in order to fully fund those
calculated allocations for the same fiscal year.
Sec. 64d. (1) From the general fund money appropriated in
section 11, there is allocated to the department for 2013-2014 the
amount of $3,900,000.00 for a contract with a single provider to
provide information technology education opportunities to high
school, career academy, and community college students. The
provider shall allow participating students and faculty to achieve
broad-based information technology certifications and college
credit. The provider shall make available through districts,
intermediate districts, career academies, and community colleges
instruction on information technology skills and competencies that
are essential for the workplace and that are requested by
employers. The department shall use a competitive request for
proposals process for the contract, and the request for proposals
shall include, but not be limited to, all of the following
requirements:
(a) A curriculum based on research, information technology,
and skill development.
(b) Online access to the curriculum.
(c) Instructional software for classroom and student use.
(d) Certification of skills and competencies in a broad base
of information technology-related skill areas.
(e) Professional development for faculty.
(f) Deployment and program support, including, but not limited
to, integration with current curriculum standards.
(g) Methods for students to earn college credit.
(2) The department shall ensure that the request for proposals
under subsection (1) is delivered to all community colleges in this
state. If a community college or group of community colleges
submits a proposal, before making a decision to award a contract
under this section to any provider that is not a community college
or group of community colleges, the department shall provide to the
community college or group of community colleges an interactive
response to the proposal.
(3) The funds appropriated under this section are to be spent
over 3 years and shall be considered a work project appropriation.
Any unexpended funds for 2013-2014 are carried forward into 2014-
2015. The purpose of the work project is as described under
subsection (1). The estimated completion date of the work project
is September 30, 2017.
Sec. 94. (1) From the general fund appropriation in section
11, there is allocated to the department for 2013-2014 an amount
not to exceed $250,000.00 for efforts to increase the number of
pupils who participate and succeed in advanced placement and
international baccalaureate programs.
(2) From the funds allocated under this section, the
department shall award funds to cover all or part of the costs of
advanced placement test fees or international baccalaureate test
fees for low-income pupils who take an advanced placement or an
international baccalaureate test. Payments shall not exceed $20.00
per test completed.
(3) The department shall only award funds under this section
if the department determines that all of following criteria are
met:
(a) Each pupil for whom payment is made meets eligibility
requirements of the federal advanced placement test fee program
under section 1701 of the no child left behind act of 2001, Public
Law 107-110.
(b) The tests are administered by the college board, the
international baccalaureate organization, or another test provider
approved by the department.
(c) The pupil for whom payment is made pays at least $5.00
toward the cost of each test for which payment is made.
(4) The department shall establish procedures for awarding
funds under this section.
(5) Notwithstanding section 17b, payments under this section
shall be made on a schedule determined by the department.
Sec. 99h. (1) From the appropriation in section 11, there is
allocated an amount not to exceed $3,000,000.00 for 2013-2014 for
competitive grants to districts that provide pupils in grades 7 to
12 with expanded opportunities to improve mathematics, science, and
technology skills by participating in events hosted by a science
and technology development program known as FIRST (for inspiration
and recognition of science and technology) robotics.
(2) A district applying for a FIRST tech challenge or FIRST
robotics competition program grant shall submit an application in a
form and manner determined by the department. To be eligible for a
grant, a district shall demonstrate in its application that the
district has established a partnership for the purposes of the
FIRST program with at least 1 sponsor, business entity, higher
education institution, or technical school.
(3) The department shall distribute the grant funding under
this section for the following purposes:
(a)
Except as otherwise provided in subparagraph (iii), not more
than
an amount estimated at $1,000,000.00 for grants to districts
to pay for stipends of $1,500.00 for 1 coach per team, distributed
as follows:
(i) Not more than 500 stipends for coaches of high school
teams, including existing teams.
(ii) Not more than 100 stipends for coaches of middle school or
junior high teams, including existing teams.
(iii) If the requests for stipends exceed the numbers of
stipends allowed under subparagraphs (i) and (ii), and if there is
funding remaining unspent under subdivisions (b) and (c), the
department shall use that remaining unspent funding for grants to
districts to pay for additional stipends in a manner that expands
the geographical distribution of teams.
(b)
Not more than An amount
estimated at $1,000,000.00 for
grants to districts for event registrations, materials, travel
costs, and other expenses associated with the preparation for and
attendance at FIRST tech challenge and FIRST robotics competitions.
Each grant recipient shall provide a local match from other private
or local funds for the funds received under this subdivision equal
to at least 50% of the costs of participating in an event. The
department shall set maximum grant amounts under this subdivision
in a manner that maximizes the number of teams that will be able to
receive funding.
(c)
Not more than An amount
estimated at $1,000,000.00 for
grants to districts for awards to teams that advance to the state
and world championship competitions. The department shall determine
an equal amount per team for those teams that advance to the state
championship and a second equal award amount to those teams that
advance to the world championship.
(4) The funds allocated under this section are a work project
appropriation, and any unexpended funds for 2013-2014 are carried
forward into 2014-2015. The purpose of the work project is to
continue to implement the projects described under subsection (1).
The estimated completion date of the work project is September 30,
2016.
Sec. 101. (1) To be eligible to receive state aid under this
article, not later than the fifth Wednesday after the pupil
membership count day and not later than the fifth Wednesday after
the supplemental count day, each district superintendent shall
submit to the center and the intermediate superintendent, in the
form and manner prescribed by the center, the number of pupils
enrolled and in regular daily attendance in the district as of the
pupil membership count day and as of the supplemental count day, as
applicable, for the current school year. In addition, a district
maintaining school during the entire year, as provided under
section 1561 of the revised school code, MCL 380.1561, shall submit
to the center and the intermediate superintendent, in the form and
manner prescribed by the center, the number of pupils enrolled and
in regular daily attendance in the district for the current school
year pursuant to rules promulgated by the superintendent. Not later
than the sixth Wednesday after the pupil membership count day and
not later than the sixth Wednesday after the supplemental count
day, the district shall certify the data in a form and manner
prescribed by the center and file the certified data with the
intermediate superintendent. If a district fails to submit and
certify the attendance data, as required under this subsection, the
center shall notify the department and state aid due to be
distributed under this article shall be withheld from the
defaulting district immediately, beginning with the next payment
after the failure and continuing with each payment until the
district complies with this subsection. If a district does not
comply with this subsection by the end of the fiscal year, the
district forfeits the amount withheld. A person who willfully
falsifies a figure or statement in the certified and sworn copy of
enrollment shall be punished in the manner prescribed by section
161.
(2) To be eligible to receive state aid under this article,
not later than the twenty-fourth Wednesday after the pupil
membership count day and not later than the twenty-fourth Wednesday
after the supplemental count day, an intermediate district shall
submit to the center, in a form and manner prescribed by the
center, the audited enrollment and attendance data for the pupils
of its constituent districts and of the intermediate district. If
an intermediate district fails to submit the audited data as
required under this subsection, state aid due to be distributed
under this article shall be withheld from the defaulting
intermediate district immediately, beginning with the next payment
after the failure and continuing with each payment until the
intermediate district complies with this subsection. If an
intermediate district does not comply with this subsection by the
House Bill No. 4295 as amended March 20, 2014
end of the fiscal year, the intermediate district forfeits the
amount withheld.
(3) Except as otherwise provided in subsections (11) and (12),
all of the following apply to the provision of pupil instruction:
(a) Except as otherwise provided in this section, each
district shall provide at least 1,098 hours and, beginning in 2010-
2011, the required minimum number of days of pupil instruction.
Beginning in 2012-2013, the required minimum number of days of
pupil instruction is 170. Beginning in 2014-2015, the required
minimum number of days of pupil instruction is 175. However, a
district shall not provide fewer days of pupil instruction than the
district provided for 2009-2010. <<IF A COLLECTIVE BARGAINING
AGREEMENT THAT PROVIDES FOR AT LEAST 170 DAYS BUT LESS THAN 175
DAYS, AND AT LEAST 1,098 HOURS, OF PUPIL INSTRUCTION IS IN EFFECT
FOR EMPLOYEES OF A DISTRICT AS OF OCTOBER 1, 2013, THEN UNTIL THE
SCHOOL YEAR THAT BEGINS AFTER THE EXPIRATION OF THAT COLLECTIVE
BARGAINING AGREEMENT THE DISTRICT SHALL PROVIDE AT LEAST THE NUMBER
OF DAYS OF PUPIL INSTRUCTION IDENTIFIED IN THE COLLECTIVE BARGAINING
AGREEMENT, AND AT LEAST 1,098 HOURS OF PUPIL INSTRUCTION.>> A district may apply for a
waiver under subsection (9) from the requirements of this
subdivision. For 2012-2013 only, if a district is unable to provide
the required minimum number of days of pupil instruction because of
school closures occurring before April 20, 2013 due to conditions
not within the control of school authorities, such as severe
storms, fires, epidemics, utility power unavailability, water or
sewer failure, or health conditions as defined by the city, county,
or state health authorities, but the district does provide at least
the required minimum number of hours of pupil instruction, the
district is not subject to the minimum number of days of pupil
instruction requirement of this subsection. A district that uses
the 2012-2013 exception from the minimum number of days of pupil
instruction requirement shall submit to the department not later
than July 1, 2013, in the form and manner prescribed by the
department, a report that details the amount of instructional time
that was lost due to school closures and the amount of additional
instructional time that was added to compensate; when the
additional instructional time was provided; the activities that
were carried out and subject areas addressed during the additional
instructional time; and other information specified by the
department to assess whether appropriate instruction occurred
during the additional instructional time. The department shall
aggregate and provide these reports to the senate and house
standing committees on education.
(b) Except as otherwise provided in this article, a district
failing to comply with the required minimum hours and days of pupil
instruction under this subsection shall forfeit from its total
state aid allocation an amount determined by applying a ratio of
the number of hours or days the district was in noncompliance in
relation to the required minimum number of hours and days under
this subsection. Not later than August 1, the board of each
district shall certify to the department the number of hours and
days of pupil instruction in the previous school year. If the
district did not provide at least the required minimum number of
hours and days of pupil instruction under this subsection, the
deduction of state aid shall be made in the following fiscal year
from the first payment of state school aid. A district is not
subject to forfeiture of funds under this subsection for a fiscal
year in which a forfeiture was already imposed under subsection
(6).
(c) Hours or days lost because of strikes or teachers'
conferences shall not be counted as hours or days of pupil
instruction.
(d) If a collective bargaining agreement that provides a
complete school calendar is in effect for employees of a district
as of October 19, 2009, and if that school calendar is not in
compliance with this subsection, then this subsection does not
apply to that district until after the expiration of that
collective bargaining agreement.
(e) Except as otherwise provided in subdivision (f), a
district not having at least 75% of the district's membership in
attendance on any day of pupil instruction shall receive state aid
in that proportion of 1/180 that the actual percent of attendance
bears to the specified percentage.
(f) At the request of a district that operates a department-
approved alternative education program and that does not provide
instruction for pupils in all of grades K to 12, the superintendent
may grant a waiver from the requirements of subdivision (e). The
waiver shall indicate that an eligible district is subject to the
proration provisions of subdivision (e) only if the district does
not have at least 50% of the district's membership in attendance on
any day of pupil instruction. In order to be eligible for this
waiver, a district must maintain records to substantiate its
compliance with the following requirements:
(i) The district offers the minimum hours of pupil instruction
as required under this section.
(ii) For each enrolled pupil, the district uses appropriate
academic assessments to develop an individual education plan that
leads to a high school diploma.
(iii) The district tests each pupil to determine academic
progress at regular intervals and records the results of those
tests in that pupil's individual education plan.
(g) All of the following apply to a waiver granted under
subdivision (f):
(i) If the waiver is for a blended model of delivery, a waiver
that is granted for the 2011-2012 fiscal year or a subsequent
fiscal year remains in effect unless it is revoked by the
superintendent.
(ii) If the waiver is for a 100% online model of delivery and
the educational program for which the waiver is granted makes
educational services available to pupils for a minimum of at least
1,098 hours during a school year and ensures that each pupil
participates in the educational program for at least 1,098 hours
during a school year, a waiver that is granted for the 2011-2012
fiscal year or a subsequent fiscal year remains in effect unless it
is revoked by the superintendent.
(iii) A waiver that is not a waiver described in subparagraph
(i) or (ii) is valid for 1 fiscal year and must be renewed annually
to remain in effect.
(h) The superintendent shall promulgate rules for the
implementation of this subsection.
(4) Except as otherwise provided in this subsection, the first
6 days or the equivalent number of hours for which pupil
instruction is not provided because of conditions not within the
control of school authorities, such as severe storms, fires,
epidemics, utility power unavailability, water or sewer failure, or
health conditions as defined by the city, county, or state health
authorities, shall be counted as hours and days of pupil
instruction. With the approval of the superintendent of public
instruction, the department shall count as hours and days of pupil
instruction for a fiscal year not more than 6 additional days or
the equivalent number of additional hours for which pupil
instruction is not provided in a district after April 1 of the
applicable school year due to unusual and extenuating occurrences
resulting from conditions not within the control of school
authorities such as those conditions described in this subsection.
Subsequent such hours or days shall not be counted as hours or days
of pupil instruction.
(5) A district shall not forfeit part of its state aid
appropriation because it adopts or has in existence an alternative
scheduling program for pupils in kindergarten if the program
provides at least the number of hours required under subsection (3)
for a full-time equated membership for a pupil in kindergarten as
provided under section 6(4).
(6) In addition to any other penalty or forfeiture under this
section, if at any time the department determines that 1 or more of
the following have occurred in a district, the district shall
forfeit in the current fiscal year beginning in the next payment to
be calculated by the department a proportion of the funds due to
the district under this article that is equal to the proportion
below the required minimum number of hours and days of pupil
instruction under subsection (3), as specified in the following:
(a) The district fails to operate its schools for at least the
required minimum number of hours and days of pupil instruction
under subsection (3) in a school year, including hours and days
counted under subsection (4).
(b) The board of the district takes formal action not to
operate its schools for at least the required minimum number of
hours and days of pupil instruction under subsection (3) in a
school year, including hours and days counted under subsection (4).
(7) In providing the minimum number of hours and days of pupil
instruction required under subsection (3), a district shall use the
following guidelines, and a district shall maintain records to
substantiate its compliance with the following guidelines:
(a) Except as otherwise provided in this subsection, a pupil
must be scheduled for at least the required minimum number of hours
of instruction, excluding study halls, or at least the sum of 90
hours plus the required minimum number of hours of instruction,
including up to 2 study halls.
(b) The time a pupil is assigned to any tutorial activity in a
block schedule may be considered instructional time, unless that
time is determined in an audit to be a study hall period.
(c) Except as otherwise provided in this subdivision, a pupil
in grades 9 to 12 for whom a reduced schedule is determined to be
in the individual pupil's best educational interest must be
scheduled for a number of hours equal to at least 80% of the
required minimum number of hours of pupil instruction to be
considered a full-time equivalent pupil. A pupil in grades 9 to 12
who is scheduled in a 4-block schedule may receive a reduced
schedule under this subsection if the pupil is scheduled for a
number of hours equal to at least 75% of the required minimum
number of hours of pupil instruction to be considered a full-time
equivalent pupil.
(d) If a pupil in grades 9 to 12 who is enrolled in a
cooperative education program or a special education pupil cannot
receive the required minimum number of hours of pupil instruction
solely because of travel time between instructional sites during
the school day, that travel time, up to a maximum of 3 hours per
school week, shall be considered to be pupil instruction time for
the purpose of determining whether the pupil is receiving the
required minimum number of hours of pupil instruction. However, if
a district demonstrates to the satisfaction of the department that
the travel time limitation under this subdivision would create
undue costs or hardship to the district, the department may
consider more travel time to be pupil instruction time for this
purpose.
(e) In grades 7 through 12, instructional time that is part of
a junior reserve officer training corps (JROTC) program shall be
considered to be pupil instruction time regardless of whether the
instructor is a certificated teacher if all of the following are
met:
(i) The instructor has met all of the requirements established
by the United States department of defense and the applicable
branch of the armed services for serving as an instructor in the
junior reserve officer training corps program.
(ii) The board of the district or intermediate district
employing or assigning the instructor complies with the
requirements of sections 1230 and 1230a of the revised school code,
MCL 380.1230 and 380.1230a, with respect to the instructor to the
same extent as if employing the instructor as a regular classroom
teacher.
(8) Except as otherwise provided in subsections (11) and (12),
the department shall apply the guidelines under subsection (7) in
calculating the full-time equivalency of pupils.
(9) Upon application by the district for a particular fiscal
year, the superintendent may waive for a district the minimum
number of hours and days of pupil instruction requirement of
subsection (3) for a department-approved alternative education
program or another innovative program approved by the department,
including a 4-day school week. If a district applies for and
receives a waiver under this subsection and complies with the terms
of the waiver, the district is not subject to forfeiture under this
section for the specific program covered by the waiver. If the
district does not comply with the terms of the waiver, the amount
of the forfeiture shall be calculated based upon a comparison of
the number of hours and days of pupil instruction actually provided
to the minimum number of hours and days of pupil instruction
required under subsection (3). Pupils enrolled in a department-
approved alternative education program under this subsection shall
be reported to the center in a form and manner determined by the
center. All of the following apply to a waiver granted under this
subsection:
(a) If the waiver is for a blended model of delivery, a waiver
that is granted for the 2011-2012 fiscal year or a subsequent
fiscal year remains in effect unless it is revoked by the
superintendent.
(b) If the waiver is for a 100% online model of delivery and
the educational program for which the waiver is granted makes
educational services available to pupils for a minimum of at least
1,098 hours during a school year and ensures that each pupil
participates in the educational program for at least 1,098 hours
during a school year, a waiver that is granted for the 2011-2012
fiscal year or a subsequent fiscal year remains in effect unless it
is revoked by the superintendent.
(c) A waiver that is not a waiver described in subdivision (a)
or (b) is valid for 1 fiscal year and must be renewed annually to
remain in effect.
(10) Until 2014-2015, a district may count up to 38 hours of
qualifying professional development for teachers as hours of pupil
instruction. However, if a collective bargaining agreement that
provides for the counting of up to 38 hours of qualifying
professional development for teachers as pupil instruction is in
effect for employees of a district as of October 1, 2013, then
until the school year that begins after the expiration of that
collective bargaining agreement a district may count up to the
contractually specified number of hours of qualifying professional
development for teachers as hours of pupil instruction.
Professional development provided online is allowable and
encouraged, as long as the instruction has been approved by the
district. The department shall issue a list of approved online
professional development providers, which shall include the
Michigan virtual school. As used in this subsection, "qualifying
professional development" means professional development that is
focused on 1 or more of the following:
(a) Achieving or improving adequate yearly progress as defined
under the no child left behind act of 2001, Public Law 107-110.
(b) Achieving accreditation or improving a school's
accreditation status under section 1280 of the revised school code,
MCL 380.1280.
(c) Achieving highly qualified teacher status as defined under
the no child left behind act of 2001, Public Law 107-110.
(d) Integrating technology into classroom instruction.
(e) Maintaining teacher certification.
(11) Subsections (3) and (8) do not apply to a school of
excellence that is a cyber school, as defined in section 551 of the
revised school code, MCL 380.551, and is in compliance with section
553a of the revised school code, MCL 380.553a.
(12) Subsections (3) and (8) do not apply to eligible pupils
enrolled in a dropout recovery program that meets the requirements
of section 23a. As used in this subsection, "eligible pupil" means
that term as defined in section 23a.
(13) Beginning in 2013, at least every 2 years the
superintendent shall review the waiver standards set forth in the
pupil accounting and auditing manuals to ensure that the waiver
standards and waiver process continue to be appropriate and
responsive to changing trends in online learning. The
superintendent shall solicit and consider input from stakeholders
as part of this review.
Sec.
147c. (1) From the state school aid fund money
appropriated
in section 11, there is allocated for 2012-2013 an
amount
not to exceed $160,000,000.00 for payments to districts and
intermediate
districts that are participating entities of the
retirement
system. From the appropriation in
section 11, there is
allocated
for 2013-2014 an amount not to exceed $247,300,000.00
$249,500,000.00 from the state school aid fund, and there is
appropriated for 2013-2014 an amount not to exceed $156,000,000.00
from the MPSERS retirement obligation reform reserve fund, for
payments to districts and intermediate districts that are
participating entities of the Michigan public school employees'
retirement system.
(2) In addition to the allocation under subsection (1), from
the general fund money appropriated under section 11, there is
allocated for payments to district libraries that are participating
entities of the retirement system an amount not to exceed
$500,000.00
for 2012-2013 and an amount not to exceed $1,300,000.00
for 2013-2014.
(3)
Payments made under this section for 2012-2013 shall be
equal
to the difference between the unfunded actuarial accrued
liability
contribution rate as calculated pursuant to section 41 of
the
public school employees retirement act of 1979, 1980 PA 300,
MCL
38.1341, and the maximum employer rate of 20.96% included in
section
41 of the public school employees retirement act of 1979,
1980
PA 300, MCL 38.1341. Payments made
under this section for
2013-2014 shall be equal to the difference between the unfunded
actuarial accrued liability contribution rate as calculated
pursuant to section 41 of the public school employees retirement
act of 1979, 1980 PA 300, MCL 38.1341, as calculated without taking
into account the maximum employer rate of 20.96% included in
section 41 of the public school employees retirement act of 1979,
1980 PA 300, MCL 38.1341, and the maximum employer rate of 20.96%
included in section 41 of the public school employees retirement
act of 1979, 1980 PA 300, MCL 38.1341.
(4) The amount allocated to each participating entity under
this section shall be based on each participating entity's
proportion of the total covered payroll for the immediately
preceding fiscal year for the same type of participating entities.
A participating entity that receives funds under this section shall
use the funds solely for the purpose of retirement contributions as
specified in subsection (5).
(5) Each participating entity receiving funds under this
section shall forward an amount equal to the amount allocated under
subsection (4) to the retirement system in a form, manner, and time
frame determined by the retirement system.
(6) Funds allocated under this section should be considered
when comparing a district's growth in total state aid funding from
1 fiscal year to the next.
(7) As used in this section:
(a) "Participating entity" means a district, intermediate
district, or district library that is a reporting unit of the
Michigan public school employees' retirement system under the
public school employees retirement act of 1979, 1980 PA 300, MCL
38.1301 to 38.1437, and that reports employees to the Michigan
public school employees' retirement system for the applicable
fiscal year.
(b) "Retirement board" means the board that administers the
retirement system under the public school employees retirement act
of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.
(c) "Retirement system" means the Michigan public school
employees' retirement system under the public school employees
retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.
Enacting section 1. In accordance with section 30 of article
IX of the state constitution of 1963, total state spending on
school aid under 2013 PA 60, 2013 PA 130, and this amendatory act
from state sources for fiscal year 2013-2014 is estimated at
$11,536,132,300.00 and state appropriations for school aid to be
paid to local units of government for fiscal year 2013-2014 are
estimated at $11,373,224,700.00.