February 11, 2014, Introduced by Senator BOOHER and referred to the Committee on Appropriations.
A bill to amend 1979 PA 94, entitled
"The state school aid act of 1979,"
by amending sections 201 and 201a (MCL 388.1801 and 388.1801a), as
amended by 2013 PA 60.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 201. (1) Subject to the conditions set forth in this
article, the amounts listed in subsections (2), (4), (5), (6), and
(7) are appropriated for community colleges for the fiscal year
ending
September 30, 2014, 2015, from the funds indicated in this
section. The following is a summary of the appropriations in
subsections
(2), (4), (5), (6), and (7):this
section:
(a)
The gross appropriation is $335,977,600.00.
$_______________. After deducting total interdepartmental grants
and intradepartmental transfers in the amount of $0.00, the
adjusted
gross appropriation is $335,977,600.00.$_______________.
(b) The sources of the adjusted gross appropriation described
in subdivision (a) are as follows:
(i) Total federal revenues, $0.00.
(ii) Total local revenues, $0.00.
(iii) Total private revenues, $0.00.
(iv) Total other state restricted revenues,
$197,614,100.00.$_______________.
(v) State general fund/general purpose money,
$138,363,500.00.$_______________.
(2) Subject to subsection (3), the amount appropriated for
community
college operations is $_______________.
$298,244,000.00,
allocated
as follows:
(a)
Alpena Community College, $5,221,100.00.
(b)
Bay de Noc Community College, $5,263,800.00.
(c)
Delta College, $14,022,200.00.
(d)
Glen Oaks Community College, $2,434,300.00.
(e)
Gogebic Community College, $4,317,500.00.
(f)
Grand Rapids Community College, $17,403,500.00.
(g)
Henry Ford Community College, $20,997,900.00.
(h)
Jackson Community College, $11,723,600.00.
(i)
Kalamazoo Valley Community College, $12,086,900.00
(j)
Kellogg Community College, $9,494,000.00.
(k)
Kirtland Community College, $3,046,800.00.
(l) Lake Michigan College, $5,162,900.00.
(m)
Lansing Community College, $29,935,300.00.
(n)
Macomb Community College, $31,837,200.00.
(o)
Mid Michigan Community College, $4,504,700.00.
(p)
Monroe County Community College, $4,329,900.00.
(q)
Montcalm Community College, $3,112,000.00.
(r)
C.S. Mott Community College, $15,202,200.00.
(s)
Muskegon Community College, $8,628,000.00.
(t)
North Central Michigan College, $3,055,400.00.
(u)
Northwestern Michigan College, $8,799,300.00.
(v)
Oakland Community College, $20,422,900.00.
(w)
St. Clair County Community College, $6,839,900.00.
(x)
Schoolcraft College, $12,076,700.00.
(y)
Southwestern Michigan College, $6,385,400.00.
(z)
Washtenaw Community College, $12,573,900.00.
(aa)
Wayne County Community College, $16,146,700.00.
(bb)
West Shore Community College, $2,342,900.00.
(cc)
Local strategic value, $877,100.00.
(3) The amount appropriated in subsection (2) for community
college operations is appropriated from the following:
(a)
State school aid fund, $195,880,500.00.$_______________.
(b) State general fund/general purpose money,
$102,363,500.00.$_______________.
(4)
From the appropriations described in subsection (1), there
is
appropriated for fiscal year 2013-2014 an amount not to exceed
$1,733,600.00
for payments to community colleges from the state
school
aid fund. A community college that receives money under this
subsection
shall use that money solely for the purpose of
offsetting
a portion of the retirement contributions owed by the
college
for the fiscal year ending September 30, 2014. The amount
allocated
to each participating community college under this
section
shall be based on each participating college's total
payroll
covered by the retirement system-covered payroll for all
participating
colleges for the immediately preceding state fiscal
year.
(5)
From the appropriations described in subsection (1), there
is
appropriated an amount not to exceed $31,400,000.00 from the
state
general fund for payments to community colleges that are
participating
entities of the retirement system. All of the
following
apply to the appropriations described in this subsection:
(a)
The amount of a payment under this subsection shall be the
difference
between the unfunded actuarial accrued liability
contribution
rate as calculated under 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% under section 41 of the
public
school employees retirement act of 1979, 1980 PA 300, MCL
38.1341.
(b)
The amount allocated to each community college under this
subsection
shall be based on each community college's percentage of
the
total covered payroll for all community colleges that are
participating
colleges in the immediately preceding fiscal year. A
community
college that receives funds under this subsection shall
use
the funds solely for the purpose of retirement contributions
under
subdivision (c).
(c)
Each participating college receiving funds under this
subsection
shall forward an amount equal to the amount allocated
under
subdivision (b) to the retirement system in a form and manner
determined
by the retirement system.
(6)
All of the following apply to community colleges described
in
section 12(3) of the Michigan renaissance zone act, MCL
125.2692:
(a)
From the appropriations described in subsection (1), the
following
amount is appropriated for reimbursement to community
colleges
under section 12(3) of the Michigan renaissance zone act,
MCL
125.2692:
(i) If the amount of tax revenue lost by community
colleges as
a
result of the exemption of property under the Michigan
renaissance
zone act in fiscal year 2012-2013 is $3,500,000.00 or
more,
$3,500,000.00 from the state general fund.
(ii) If the amount of tax revenue lost by community
colleges as
a
result of the exemption of property under the Michigan
renaissance
zone act in fiscal year 2012-2013 is less than
$3,500,000.00,
the actual amount of tax revenue lost by the
community
colleges.
(b)
The amount allocated to each community college under this
subsection
shall be based on that community college's proportion of
total
revenue lost by community colleges in fiscal year 2012-2013
as
a result of the exemption of property under the Michigan
renaissance
zone act.
(c)
The appropriations described in this subsection shall be
made
to each eligible community college within 60 days after the
department
of treasury certifies to the state budget director that
it
has received all necessary information to properly determine the
amounts
of tax revenue lost by each eligible community college in
fiscal
year 2012-2013 under section 12 of the Michigan renaissance
zone
act, MCL 125.2692.
(7)
From the appropriations described in subsection (1), there
is
appropriated $1,100,000.00 from the state general fund, for
fiscal
year 2013-2014 only, to the Michigan community college
association,
for the purpose of expanding the Michigan community
college
virtual learning collaborative. The Michigan community
college
association shall provide information on request to the
house
and senate subcommittees on community colleges, the house and
senate
fiscal agencies, and the state budget director on the use of
these
funds until the project is completed.
(8)
As used in this section:
(a)
"Michigan renaissance zone act" means the Michigan
renaissance
zone act, 1996 PA 376, MCL 125.2681 to 125.2696.
(b)
"Participating college" means a community college that is
a
reporting unit of the retirement system and that reports
employees
to the retirement system for the state fiscal year.
(c)
"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.
(d)
"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.
Sec. 201a. It is the intent of the legislature to provide
appropriations
for the fiscal year ending on September 30, 2015
2016
for the items listed in section 201. The
fiscal year 2014-2015
appropriations
are anticipated to be the same as those for fiscal
year
2013-2014, except that the amounts will be adjusted for
changes
in caseload and related costs, federal fund match rates,
economic
factors, and available revenue. These adjustments will be
determined
after the January 2014 consensus revenue estimating
conference.