HB-4391,As Passed House,May 15, 2003                                        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                  SUBSTITUTE FOR                                

                                                                                

                               HOUSE BILL NO. 4391                              

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to make appropriations for the department of education and                 

                                                                                

    certain other purposes relating to education for the fiscal year            

                                                                                

    ending September 30, 2004; to provide for the expenditure of the            

                                                                                

    appropriations; to prescribe the powers and duties of certain state         

                                                                                

    departments, school districts, and other governmental bodies; and to        

                                                                                

    provide for the disposition of fees and other income received by            

                                                                                

    certain legal entities and state agencies.                                  

                                                                                

                  THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                    

                                                                                

1                                   PART 1                                      

                                                                                

2                          LINE-ITEM APPROPRIATIONS                             

                                                                                

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

                                                                                

4   amounts listed in this part are appropriated for the department of          

                                                                                

5   education for the fiscal year ending September 30, 2004, from the           

                                                                                

6   funds indicated in this part.  The following is a summary of the            

                                                                                

7   appropriations in this part:                                                

                                                                                


                                                                                

1   DEPARTMENT OF EDUCATION                                                     

                                                                                

2   APPROPRIATION SUMMARY:                                                      

                                                                                

3       Full-time equated unclassified positions........6.0                     

                                                                                

4       Full-time equated classified positions........427.1                     

                                                                                

5     GROSS APPROPRIATION................................. $     112,925,100    

                                                                                

6       Interdepartmental grant revenues:                                       

                                                                                

7     Interdepartmental grant from corrections academy                          

                                                                                

8       lease.............................................         1,000,000    

                                                                                

9     Total interdepartmental grants and intradepartmental                      

                                                                                

10      transfers.........................................         1,000,000    

                                                                                

11    ADJUSTED GROSS APPROPRIATION........................ $     111,925,100    

                                                                                

12        Appropriated from:                                                    

                                                                                

13      Federal revenues:                                                       

                                                                                

14    Total federal revenues..............................        64,479,400    

                                                                                

15      Special revenue funds:                                                  

                                                                                

16    Local cost sharing (schools for blind/deaf).........         4,641,600    

                                                                                

17    Local school district service fees..................           102,600    

                                                                                

18    Total local revenues................................         4,744,200    

                                                                                

19    Private gifts, bequests, and donations..............           504,200    

                                                                                

20    Private foundations.................................           197,200    

                                                                                

21    Total private revenues..............................           701,400    

                                                                                

22    Total local and private revenues....................         5,445,600    

                                                                                

23    Teacher certification revenues......................         3,081,000    

                                                                                

24    Commodity distribution fees.........................            72,300    

                                                                                

25    Driver fees.........................................         8,128,000    

                                                                                

26    Lansing, Michigan school for the blind rent.........           739,000    

                                                                                

27    Motorcycle license fees.............................               100    


                                                                                

1     Student insurance revenues..........................           205,100    

                                                                                

2     Teacher testing fees................................           282,100    

                                                                                

3     Training and orientation workshop fees..............           100,000    

                                                                                

4     Total other state restricted revenues...............        12,607,600    

                                                                                

5     State general fund/general purpose.................. $      29,392,500    

                                                                                

6       Sec. 102.  STATE BOARD OF EDUCATION/OFFICE OF THE                           

                                                                                

7   SUPERINTENDENT                                                              

                                                                                

8       Full-time equated unclassified positions........6.0                     

                                                                                

9       Full-time equated classified positions.........13.0                     

                                                                                

10    State board of education, per diem payments......... $          24,400    

                                                                                

11    Unclassified positions--6.0 FTE positions...........           515,600    

                                                                                

12    State board/superintendent operations--13.0 FTE                           

                                                                                

13      positions.........................................         1,909,300    

                                                                                

14    GROSS APPROPRIATION................................. $       2,449,300    

                                                                                

15        Appropriated from:                                                    

                                                                                

16      Federal revenues:                                                       

                                                                                

17    Federal revenues....................................         1,128,900    

                                                                                

18      Special revenue funds:                                                  

                                                                                

19    Certification fees..................................            70,700    

                                                                                

20    Private foundations.................................            23,000    

                                                                                

21    State general fund/general purpose.................. $       1,226,700    

                                                                                

22      Sec. 103.  CENTRAL SUPPORT                                                  

                                                                                

23      Full-time equated classified positions.........43.3                     

                                                                                

24    Central support--43.3 FTE positions................. $       4,754,800    

                                                                                

25    Worker's compensation...............................            26,000    

                                                                                

26    Building occupancy charges-property management                            

                                                                                

27      services..........................................         1,346,000    


                                                                                

1     Training and orientation workshops..................           100,000    

                                                                                

2     Terminal leave payments.............................           624,100    

                                                                                

3     GROSS APPROPRIATION................................. $       6,850,900    

                                                                                

4         Appropriated from:                                                    

                                                                                

5       Federal revenues:                                                       

                                                                                

6     Federal revenues....................................         4,349,600    

                                                                                

7      Special revenue funds:                                                  

                                                                                

8     Certification fees..................................           256,900    

                                                                                

9     Driver fees.........................................            28,100    

                                                                                

10    Local cost sharing..................................            93,400    

                                                                                

11    Commodity distribution fees.........................             7,000    

                                                                                

12    Teacher testing fees................................            12,300    

                                                                                

13    Training and orientation workshop fees..............           100,000    

                                                                                

14    State general fund/general purpose.................. $       2,003,600    

                                                                                

15      Sec. 104.  SCHOOL SUPPORT SERVICES                                          

                                                                                

16      Full-time equated classified positions.........40.4                     

                                                                                

17    School support operations--40.4 FTE positions....... $       4,667,600    

                                                                                

18    Motorcycle safety education program.................               100    

                                                                                

19    GROSS APPROPRIATION................................. $       4,667,700    

                                                                                

20        Appropriated from:                                                    

                                                                                

21      Federal revenues:                                                       

                                                                                

22    Federal revenues....................................         3,946,000    

                                                                                

23      Special revenue funds:                                                  

                                                                                

24    Commodity distribution fees.........................            65,300    

                                                                                

25    Driver fees.........................................           499,900    

                                                                                

26    Motorcycle license fees.............................               100    

                                                                                

27    State general fund/general purpose.................. $         156,400    


                                                                                

1       Sec. 105.  INFORMATION TECHNOLOGY SERVICES                                  

                                                                                

2     Information technology operations................... $       2,514,100    

                                                                                

3     GROSS APPROPRIATION................................. $       2,514,100    

                                                                                

4         Appropriated from:                                                    

                                                                                

5       Federal revenues:                                                       

                                                                                

6     Federal revenues....................................         1,276,900    

                                                                                

7       Special revenue funds:                                                  

                                                                                

8     Certification fees..................................           168,200    

                                                                                

9     Local cost sharing (schools for blind/deaf).........            44,800    

                                                                                

10    State general fund/general purpose.................. $       1,024,200    

                                                                                

11      Sec. 106.  SPECIAL EDUCATION SERVICES                                       

                                                                                

12      Full-time equated classified positions.........68.6                     

                                                                                

13    Special education operations--68.6 FTE positions.... $      11,237,900    

                                                                                

14    GROSS APPROPRIATION................................. $      11,237,900    

                                                                                

15        Appropriated from:                                                    

                                                                                

16      Federal revenues:                                                       

                                                                                

17    Federal revenues....................................        11,006,500    

                                                                                

18      Special revenue funds:                                                  

                                                                                

19    Certification fees..................................            35,200    

                                                                                

20    State general fund/general purpose.................. $         196,200    

                                                                                

21      Sec. 107.  LANSING, MICHIGAN SCHOOL FOR THE BLIND                           

                                                                                

22  FORMER SITE                                                                 

                                                                                

23    General services.................................... $       1,749,000    

                                                                                

24    GROSS APPROPRIATION................................. $       1,749,000    

                                                                                

25      Interdepartmental grant revenues:                                       

                                                                                

26    Interdepartmental grant from corrections academy                          

                                                                                

27      lease.............................................         1,000,000    


                                                                                

1       Special revenue funds:                                                  

                                                                                

2     Lansing, Michigan school for the blind rent.........           739,000    

                                                                                

3     Gifts, bequests, and donations......................            10,000    

                                                                                

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

                                                                                

5       Sec. 108.  MICHIGAN SCHOOLS FOR THE DEAF AND BLIND                          

                                                                                

6       Full-time equated classified positions.........93.0                     

                                                                                

7     Michigan schools for the deaf and blind                                   

                                                                                

8       operations--92.0 FTE positions.................... $       9,154,000    

                                                                                

9     Summer institute....................................            90,000    

                                                                                

10    Camp Tuhsmeheta--1.0 FTE positions..................           250,100    

                                                                                

11    Private gifts - blind...............................            90,000    

                                                                                

12    Private gifts - deaf................................            50,000    

                                                                                

13    GROSS APPROPRIATION................................. $       9,634,100    

                                                                                

14        Appropriated from:                                                    

                                                                                

15      Federal revenues:                                                       

                                                                                

16    Federal revenues....................................         4,328,800    

                                                                                

17      Special revenue funds:                                                  

                                                                                

18    Local cost sharing (schools for blind/deaf).........         4,503,400    

                                                                                

19    Local school district service fees..................           102,600    

                                                                                

20    Gifts, bequests, and donations......................           494,200    

                                                                                

21    Student insurance revenue...........................           205,100    

                                                                                

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

                                                                                

23      Sec. 109.  PROFESSIONAL PREPARATION SERVICES                                

                                                                                

24      Full-time equated classified positions.........31.0                     

                                                                                

25    Professional preparation operations--31.0 FTE                             

                                                                                

26      positions......................................... $       4,468,900    

                                                                                

27    Department of attorney general......................            50,000    


                                                                                

1     GROSS APPROPRIATION................................. $       4,518,900    

                                                                                

2         Appropriated from:                                                    

                                                                                

3       Federal revenues:                                                       

                                                                                

4     Federal revenues....................................         1,976,100    

                                                                                

5       Special revenue funds:                                                  

                                                                                

6     Certification fees..................................         2,273,000    

                                                                                

7     Teacher testing fees................................           269,800    

                                                                                

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

                                                                                

9       Sec. 110.  FIELD SERVICES                                                   

                                                                                

10      Full-time equated classified positions.........46.9                     

                                                                                

11    Field services operations--46.9 FTE positions....... $       5,868,300    

                                                                                

12    GROSS APPROPRIATION................................. $       5,868,300    

                                                                                

13        Appropriated from:                                                    

                                                                                

14      Federal revenues:                                                       

                                                                                

15    Federal revenues....................................         5,868,300    

                                                                                

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

                                                                                

17      Sec. 111.  OFFICE OF SCHOOL EXCELLENCE                                      

                                                                                

18      Full-time equated classified positions.........61.5                     

                                                                                

19    School excellence operations--61.5 FTE positions.... $      10,260,600    

                                                                                

20    GROSS APPROPRIATION................................. $      10,260,600    

                                                                                

21        Appropriated from:                                                    

                                                                                

22      Federal revenues:                                                       

                                                                                

23    Federal revenues....................................         8,665,500    

                                                                                

24      Special revenue funds:                                                  

                                                                                

25    Private foundations.................................            79,400    

                                                                                

26    State general fund/general purpose.................. $       1,515,700    

                                                                                

27      Sec. 112.  GOVERNMENT SERVICES                                              


                                                                                

1       Full-time equated classified positions..........9.1                     

                                                                                

2     Government services operations--9.1 FTE positions... $         572,300    

                                                                                

3     GROSS APPROPRIATION................................. $         572,300    

                                                                                

4         Appropriated from:                                                    

                                                                                

5       Federal revenues:                                                       

                                                                                

6     Federal revenues....................................           420,400    

                                                                                

7       Special revenue funds:                                                  

                                                                                

8     State general fund/general purpose.................. $         151,900    

                                                                                

9       Sec. 113.  SAFE SCHOOLS AND ADMINISTRATIVE LAW                              

                                                                                

10      Full-time equated classified positions.........11.5                     

                                                                                

11    Safe schools operations--2.5 FTE positions.......... $         393,700    

                                                                                

12    Administrative law operations--9.0 FTE positions....           660,900    

                                                                                

13    GROSS APPROPRIATION................................. $       1,054,600    

                                                                                

14       Appropriated from:                                                    

                                                                                

15      Federal revenues:                                                       

                                                                                

16    Federal revenues....................................           532,200    

                                                                                

17      Special revenue funds:                                                  

                                                                                

18    Certification fees..................................           177,000    

                                                                                

19    State general fund/general purpose.................. $         345,400    

                                                                                

20      Sec. 114.  EDUCATION OPTIONS, CHARTERS, AND CHOICE                          

                                                                                

21      Full-time equated classified positions..........8.8                     

                                                                                

22    Education options operations--8.8 FTE positions..... $       1,132,500    

                                                                                

23    GROSS APPROPRIATION................................. $       1,132,500    

                                                                                

24        Appropriated from:                                                    

                                                                                

25      Federal revenues:                                                       

                                                                                

26    Federal revenues....................................           980,200    

                                                                                

27      Special revenue funds:                                                  


                                                                                

1     State general fund/general purpose.................. $         152,300    

                                                                                

2       Sec. 115.  GRANTS AND DISTRIBUTIONS                                         

                                                                                

3   FEDERAL PROGRAMS:                                                           

                                                                                

4     Christa McAuliffe grants............................ $          94,800    

                                                                                

5     Urgent school renovation grants.....................        20,000,000    

                                                                                

6   STATE PROGRAMS:                                                             

                                                                                

7     Driver education.................................... $       7,600,000    

                                                                                

8     National board certification........................           100,000    

                                                                                

9     School breakfast program-state share................        10,370,100    

                                                                                

10    School readiness grants.............................        12,250,000    

                                                                                

11    GROSS APPROPRIATION................................. $      50,414,900    

                                                                                

12        Appropriated from:                                                    

                                                                                

13      Federal revenues:                                                       

                                                                                

14    DED-OESE, urgent school renovation..................        20,000,000    

                                                                                

15      Special revenue funds:                                                  

                                                                                

16    Driver fees.........................................         7,600,000    

                                                                                

17    Certification fees..................................           100,000    

                                                                                

18    Private foundations.................................            94,800    

                                                                                

19    State general fund/general purpose.................. $      22,620,100    

                                                                                

                                                                                

                                                                                

20                                    PART 2                                    

                                                                                

21                     PROVISIONS CONCERNING APPROPRIATIONS                     

                                                                                

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

                                                                                

23  constitution of 1963, total state spending from state resources under       

                                                                                

24  part 1 for fiscal year 2003-2004 is $42,000,000.00 and state spending       

                                                                                

25  from state resources to be paid to local units of government for            


                                                                                

1   fiscal year 2003-2004 is estimated at $19,597,000.00.  The itemized         

                                                                                

2   statement below identifies appropriations from which spending to units      

                                                                                

3   of local government will occur:                                             

                                                                                

4   GRANTS AND DISTRIBUTIONS                                                    

                                                                                

5   STATE PROGRAMS:                                                             

                                                                                

6     Driver education.................................... $       7,600,000    

                                                                                

7     School readiness grants.............................         1,626,900    

                                                                                

8     School lunch and breakfast..........................        10,370,100    

                                                                                

9     TOTAL............................................... $      19,597,000    

                                                                                

10      Sec. 202.  The appropriations authorized under this act are                 

                                                                                

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

                                                                                

12  18.1594.                                                                    

                                                                                

13      Sec. 203.  As used in this act:                                             

                                                                                

14      (a)  "DED-OESE" means the United States department                          

                                                                                

15  of education office of elementary and secondary education.                  

                                                                                

16      (b)  "Department" means the Michigan department of education.               

                                                                                

17      (c)  "District" means a local school district as defined in section         

                                                                                

18  6 of the revised school code, 1976 PA 451, MCL 380.6,                       

                                                                                

19  or a local act school district or public school                             

                                                                                

20  academy as defined in section 5 of the revised school code, 1976 PA 451,    

                                                                                

21  MCL 380.5.                                                                  

                                                                                

22      (d)  "FTE" means full-time equated.                                         

                                                                                

23      Sec. 204.  The department of civil service shall bill departments           

                                                                                

24  and agencies at the end of the first fiscal quarter for the 1% charge       

                                                                                

25  authorized by section 5 of article XI of the state constitution of          

                                                                                

26  1963.  Payments shall be made for the total amount of the billing by        

                                                                                

27  the end of the second fiscal quarter.                                       


                                                                                

1       Sec. 205.  (1) Beginning October 1, a hiring freeze is imposed on           

                                                                                

2   the state classified civil service.  State departments and agencies         

                                                                                

3   are prohibited from hiring any new full-time state classified civil         

                                                                                

4   service employees and prohibited from filling any vacant state              

                                                                                

5   classified civil service positions.  This hiring freeze does not apply      

                                                                                

6   to internal transfers of classified employees from 1 position to            

                                                                                

7   another within a department.                                                

                                                                                

8       (2) The state budget director shall grant exceptions to this                

                                                                                

9   hiring freeze when the state budget director believes that the hiring       

                                                                                

10  freeze will result in rendering a state department or agency unable to      

                                                                                

11  deliver basic services, cause loss of revenue to the state, result in       

                                                                                

12  the inability of the state to receive federal funds, or necessitate         

                                                                                

13  additional expenditures that exceed any savings from maintaining a          

                                                                                

14  vacancy.  The state budget director shall report monthly to the             

                                                                                

15  chairpersons of the senate and house appropriations committees and the      

                                                                                

16  fiscal agencies the number of exceptions to the hiring freeze approved      

                                                                                

17  during the previous month and the reasons to justify the exceptions.        

                                                                                

18      Sec. 206.  Unless otherwise specified, the departments and                  

                                                                                

19  agencies receiving appropriations in part 1 shall use the Internet to       

                                                                                

20  fulfill the reporting requirements of this act.  This requirement may       

                                                                                

21  include transmission of reports via electronic mail to the recipients       

                                                                                

22  identified for each reporting requirement, or it may include placement      

                                                                                

23  of reports on an Internet or Intranet site.                                 

                                                                                

24      Sec. 207.  The department may carry into the succeeding fiscal              

                                                                                

25  year unexpended federal pass-through funds to local institutions and        

                                                                                

26  governments that do not require additional state matching funds.            

                                                                                

27  Federal pass-through funds to local institutions and governments that       


                                                                                

1   are received in amounts in addition to those included in part 1 and         

                                                                                

2   that do not require additional state matching funds are appropriated        

                                                                                

3   for the purposes intended.                                                  

                                                                                

4       Sec. 208.  The department shall provide the state budget director           

                                                                                

5   and the senate and house fiscal agencies with copies of the state           

                                                                                

6   board of education agenda and all supporting documents at the time the      

                                                                                

7   agenda and supporting documents are provided to state board of              

                                                                                

8   education members.                                                          

                                                                                

9       Sec. 209.  (1) Upon receipt of the federal drug free grant, the             

                                                                                

10  department shall allocate $225,000.00 of the grant to the office for        

                                                                                

11  safe schools within the department.  The office for safe schools shall      

                                                                                

12  work with local school boards, law enforcement agencies, community          

                                                                                

13  leaders, and the office of drug control policy for the prevention of        

                                                                                

14  school violence.  The office for safe schools shall develop and             

                                                                                

15  implement, and serve as coordinator of, a statewide clearinghouse for       

                                                                                

16  information, program development, model programs and policies, and          

                                                                                

17  technical assistance on school violence prevention.                         

                                                                                

18      (2) To accomplish its functions under this section, the office for          

                                                                                

19  safe schools shall do all of the following:                                 

                                                                                

20      (a) Evaluate the effectiveness of, and make recommendations to              

                                                                                

21  local school boards concerning public school violence prevention            

                                                                                

22  programs, including, but not limited to, programs aimed at reducing         

                                                                                

23  the possession of weapons and the incidence of other violent behaviors      

                                                                                

24  on school campuses, violence prevention curricula, conflict resolution      

                                                                                

25  and peer mediation training, interagency cooperative referral and           

                                                                                

26  treatment programs, parental involvement programs, and school safety        

                                                                                

27  planning.                                                                   


                                                                                

1       (b) In consultation with appropriate organizations, develop and             

                                                                                

2   distribute to school districts and public school academies a model          

                                                                                

3   code of conduct for pupils.                                                 

                                                                                

4       (c) Coordinate with the office of drug control policy in the                

                                                                                

5   department of community health to ensure that there is a meaningful         

                                                                                

6   linkage between the efforts under this act to provide safe schools and      

                                                                                

7   the initiatives undertaken through that office, including, but not          

                                                                                

8   limited to, school districts' safe and drug-free school plans, and to       

                                                                                

9   facilitate timely applications for and distribution of available grant      

                                                                                

10  money.                                                                      

                                                                                

11      (d) Provide through the Internet the availability to and                    

                                                                                

12  information regarding the state model policy on locker searches, the        

                                                                                

13  state model policy on firearm safety and awareness, and any other           

                                                                                

14  state or local safety policies that the office considers exemplary.         

                                                                                

15      Sec. 210.  The department shall require all public school                   

                                                                                

16  districts to maintain complete records within the personnel file of a       

                                                                                

17  teacher or school employee of any disciplinary actions taken by the         

                                                                                

18  local school board against the teacher or employee for sexual               

                                                                                

19  misconduct.  The records shall not be destroyed or removed from the         

                                                                                

20  teacher's or employee's personnel file except as required by a court        

                                                                                

21  order.                                                                      

                                                                                

22      Sec. 211.  From the general funds appropriated in part 1 for                

                                                                                

23  special education services, the department shall provide funding for        

                                                                                

24  1.0 special education auditors to audit school districts.                   

                                                                                

25      Sec. 212.  From the funds appropriated in part 1 for information            

                                                                                

26  technology, the department shall pay user fees to the department of         

                                                                                

27  information technology for technology related services and projects.        


                                                                                

1   Such user fees shall be subject to provisions of an interagency             

                                                                                

2   agreement between the department and the department of information          

                                                                                

3   technology.                                                                 

                                                                                

4       Sec. 213.  Amounts appropriated in part 1 for information                   

                                                                                

5   technology may be designated as work projects and carried forward to        

                                                                                

6   support department of education projects under the direction of the         

                                                                                

7   department of information technology.  Funds designated in this manner      

                                                                                

8   are not available for expenditure until approved as work projects           

                                                                                

9   under section 451a of the management and budget act, 1984 PA 431,           

                                                                                

10  MCL 18.1451a.                                                               

                                                                                

11      Sec. 214.  The departments and agencies receiving appropriations            

                                                                                

12  in part 1 shall receive and retain copies of all reports funded from        

                                                                                

13  appropriations in part 1.  The department shall follow all federal          

                                                                                

14  guidelines and state laws regarding short-term and long-term retention      

                                                                                

15  of records.                                                                 

                                                                                

16      Sec. 215.  At least 60 days before beginning any effort to                  

                                                                                

17  privatize services, the department shall submit a complete project          

                                                                                

18  plan to the appropriate house and senate appropriations subcommittees       

                                                                                

19  and the fiscal agencies.  The plan shall include the criteria under         

                                                                                

20  which the privatization initiative will be evaluated.  The evaluation       

                                                                                

21  shall be completed and submitted to the appropriate subcommittees of        

                                                                                

22  the house and senate standing committees on appropriations and the          

                                                                                

23  fiscal agencies within 30 months.                                           

                                                                                

24      Sec. 216.  Funds appropriated in part 1 shall not be used for the           

                                                                                

25  purchase of foreign goods or services, or both, if competitively            

                                                                                

26  priced American goods or services, or both, of comparable quality, are      

                                                                                

27  available.                                                                  


                                                                                

1       Sec. 217.  The director of each department receiving                        

                                                                                

2   appropriations in part 1 shall take all reasonable steps to ensure          

                                                                                

3   businesses in deprived and depressed communities compete for and            

                                                                                

4   perform contracts to provide services or supplies, or both.  Each           

                                                                                

5   director shall strongly encourage firms with which the department           

                                                                                

6   contracts to subcontract with certified businesses in depressed and         

                                                                                

7   deprived communities for services, supplies, or both.                       

                                                                                

8       Sec. 218.  (1) The department of management and budget and each             

                                                                                

9   principal executive department and agency shall provide to the senate       

                                                                                

10  and house of representatives standing committees on appropriations and      

                                                                                

11  the senate and house fiscal agencies a monthly report on all personal       

                                                                                

12  service contracts awarded without competitive bidding, pricing, or          

                                                                                

13  rate-setting.  The notification shall include all of the following:         

                                                                                

14      (a) The total dollar amount of the contract.                                

                                                                                

15      (b) The duration of the contract.                                           

                                                                                

16      (c) The name of the vendor.                                                 

                                                                                

17      (d) The type of service to be provided.                                     

                                                                                

18      (2) For personal service contracts of $100,000.00 or more, the              

                                                                                

19  department of management and budget shall provide a monthly report          

                                                                                

20  including all of the following:                                             

                                                                                

21      (a) The total dollar amount of the contract.                                

                                                                                

22      (b) The duration of the contract.                                           

                                                                                

23      (c) The name of the vendor.                                                 

                                                                                

24      (d) The type of service to be provided.                                     

                                                                                

25      (3) The department of management and budget shall provide a                 

                                                                                

26  monthly listing of all bid requests or requests for proposal that were      

                                                                                

27  issued.                                                                     


     House Bill No. 4391 (H-1) as amended May 15, 2003

   

1       (4) Each principal executive department and agency shall provide a          

                                                                                

2   monthly summary listing of information that identifies any                  

                                                                                

3   authorization for personal service contracts that are provided to the       

                                                                                

4   department of civil service pursuant to delegated authority granted to      

                                                                                

5   each principal executive department and agency related to personal          

                                                                                

6   service contracts.                                                          

                                                                                

7       Sec. 219.  The department shall work with the department of state           

                                                                                

8   to ensure that the motorcycle safety education program and grants are       

                                                                                

9   administered in the same manner as in 2002-2003.                            

                                                                                

10      Sec. 220.  The department shall work with the department of                 

                                                                                

11  natural resources to ensure that the off-road vehicle safety training       

                                                                                

12  program and grants are administered in the same manner as in                

                                                                                

13  2002-2003.                                                                  

        [Sec. 221.  From the funds appropriated in part 1 for school excellence operations, the department shall allocate $100.00 to develop an on-line assessment system to supplement the Michigan education assessment program test and provide immediate feedback on student achievement.  The assessment system shall include high quality tests aligned to the Michigan curriculum framework and tests that can be customized by teachers and integrated with on-line instructional resources.  The department shall work in partnership with the department of treasury to implement the assessment program.  The department shall give first priority in implementing the assessment systems to districts not meeting adequate yearly progress requirements as established by the no child left behind act of 2001, Public Law 107-110, 115 Stat. 1425 and to schools participating in one-to-one wireless learning environments.]                                                         

                                                                                

                                                                                

14  STATE BOARD/OFFICE OF THE SUPERINTENDENT                                    

                                                                                

15      Sec. 301.  (1) The appropriations in part 1 may be used for per             

                                                                                

16  diem payments to the state board at which a quorum is present.  The         

                                                                                

17  per diem payments shall be at a rate as follows:                            

                                                                                

18       (a) State board of education - president......... $  110.00 per day    

                                                                                

19       (b) State board of education - member other than                       

                                                                                

20      president......................................... $  100.00 per day    

                                                                                

21      (2) A state board of education member shall not be paid a per diem          

                                                                                

22  for more than 30 days per year.                                             

                                                                                

23      (3) The administrative secretary of the state board of education            

                                                                                

24  shall report to the public, the senate and house fiscal agencies, and       

                                                                                

25  the state budget director the previous quarter's expenses by fund           

                                                                                

26  source for members of the state board of education related to the           


                                                                                

1   performance of their responsibilities.                                      

                                                                                

2       Sec. 302.  From the amount appropriated in part 1 to the state              

                                                                                

3   board of education, not more than $35,000.00 shall be expended for          

                                                                                

4   travel.                                                                     

                                                                                

                                                                                

                                                                                

5   MICHIGAN SCHOOLS FOR THE DEAF AND BLIND                                     

                                                                                

6       Sec. 401.  The employees at the Michigan schools for the deaf and           

                                                                                

7   blind who work on a school year basis shall be considered annual            

                                                                                

8   employees for purposes of service credits, retirement, and insurance        

                                                                                

9   benefits.                                                                   

                                                                                

10      Sec. 402.  For each student enrolled at the Michigan schools for            

                                                                                

11  the deaf and blind, the department shall assess the intermediate            

                                                                                

12  school district of residence 100% of the cost of operating the              

                                                                                

13  student's instructional program.  The amount shall exclude room and         

                                                                                

14  board related costs and the cost of weekend transportation between the      

                                                                                

15  school and the student's home.                                              

                                                                                

16      Sec. 403.  (1) The department may assess rent to any state agency           

                                                                                

17  for the use of any facility at the Michigan school for the blind's          

                                                                                

18  former site in Lansing.  The rental rates and all leasing arrangements      

                                                                                

19  shall be subject to the approval of the department of management and        

                                                                                

20  budget.                                                                     

                                                                                

21      (2) In addition to those funds appropriated in part 1, the                  

                                                                                

22  department may receive and expend additional funds from lease               

                                                                                

23  agreements at the Michigan school for the blind's former site in            

                                                                                

24  Lansing that have been negotiated with the approval of the department       

                                                                                

25  of management and budget.  These funds are appropriated to the              

                                                                                

26  department for operation, maintenance, and renovation expenses              


                                                                                

1   associated with the leased space.                                           

                                                                                

2       (3) Security guards or other patrols at the Michigan school for             

                                                                                

3   the blind's former site shall not be funded through section 108 funds       

                                                                                

4   appropriated for the Michigan schools for the deaf and blind.               

                                                                                

5       (4) If the department leases real property to a person or                   

                                                                                

6   organization that is not a department of state government, the              

                                                                                

7   department shall not expend funds in excess of the lease revenue            

                                                                                

8   received to replace, renovate, or repair that real property.  This          

                                                                                

9   section shall not apply to emergency repairs or costs associated with       

                                                                                

10  technological renovations.                                                  

                                                                                

11      (5) The department shall not lease real property for less than              

                                                                                

12  fair market value.                                                          

                                                                                

13      (6) Unexpended balances of appropriations and any surplus                   

                                                                                

14  restricted revenue for the former school for the blind site in              

                                                                                

15  Lansing, up to $100,000.00 in total, shall not lapse to the state           

                                                                                

16  general fund at the end of the fiscal year.  Any unexpended and             

                                                                                

17  unencumbered funds remaining on September 30, 2004 may be carried           

                                                                                

18  forward as a work project or as restricted revenue and expended for         

                                                                                

19  special maintenance and repairs of facilities at the former Michigan        

                                                                                

20  school for the blind site in Lansing.  The work project shall be            

                                                                                

21  performed by state employees or by contract when necessary at an            

                                                                                

22  estimated cost of $100,000.00.  The estimated completion date of the        

                                                                                

23  work project is September 30, 2005.                                         

                                                                                

24      Sec. 404.  (1) The department may assess rent or lease excess               

                                                                                

25  property located on the campus of the Michigan schools for the deaf         

                                                                                

26  and blind in Flint to private or publicly funded organizations.             

                                                                                

27      (2) In addition to those funds appropriated in part 1, the                  


                                                                                

1   department may receive and expend additional funds from lease               

                                                                                

2   agreements at the Michigan schools for the deaf and blind Flint campus      

                                                                                

3   that have been negotiated with the approval of the department of            

                                                                                

4   management and budget.  These funds are appropriated to the department      

                                                                                

5   for the operation, maintenance, and renovation expenses associated          

                                                                                

6   with the leased space.                                                      

                                                                                

7       (3) Unexpended balances of appropriations for the schools for the           

                                                                                

8   deaf and blind operations, and from proceeds of the sale of surplus         

                                                                                

9   property and facilities at the Michigan schools for the deaf and            

                                                                                

10  blind, up to $250,000.00 in total, shall not lapse to the state             

                                                                                

11  general fund at the end of the fiscal year.  Any unexpended and             

                                                                                

12  unencumbered funds remaining on September 30, 2004 may be carried           

                                                                                

13  forward as a work project or as restricted revenue and expended for         

                                                                                

14  special maintenance and repairs of facilities at the campus of the          

                                                                                

15  Michigan schools for the deaf and blind in Flint.  The work shall be        

                                                                                

16  carried out by state employees, or by contract as necessary, at an          

                                                                                

17  estimated cost of $250,000.00.  The estimated completion date of the        

                                                                                

18  work is September 30, 2005.                                                 

                                                                                

19      Sec. 408.  The department may assist the department of community            

                                                                                

20  health, other departments, and local school districts to secure             

                                                                                

21  reimbursement for eligible services provided in Michigan schools from       

                                                                                

22  the federal Medicaid program.  The department may submit reports of         

                                                                                

23  direct expenses related to this effort to the department of community       

                                                                                

24  health for reimbursement.                                                   

                                                                                

25      Sec. 409.  (1) The Michigan schools for the deaf and blind may              

                                                                                

26  promote its residential program as a possible appropriate option for        

                                                                                

27  children who are deaf or hard of hearing or who are blind or visually       


                                                                                

1   impaired.  The Michigan schools for the deaf and blind shall                

                                                                                

2   distribute information detailing its services to all intermediate           

                                                                                

3   school districts in the state.                                              

                                                                                

4       (2) Upon knowledge of or recognition by an intermediate school              

                                                                                

5   district that a child in the district is deaf or hard of hearing or         

                                                                                

6   blind or visually impaired, the intermediate school district shall          

                                                                                

7   provide to the parents of the child the literature distributed by the       

                                                                                

8   Michigan schools for the deaf and blind to intermediate school              

                                                                                

9   districts under subsection (1).                                             

                                                                                

10      (3) It is the intent of the legislature that parents continue to            

                                                                                

11  have a choice regarding the educational placement of their deaf or          

                                                                                

12  hard of hearing children.                                                   

                                                                                

13      Sec. 410.  In addition to those funds appropriated in part 1, the           

                                                                                

14  department may receive and expend funds from the mid-Michigan academy       

                                                                                

15  for capital improvements.  The department shall report to the house         

                                                                                

16  and senate fiscal agencies and the state budget office on an annual         

                                                                                

17  basis any expenditures made under this section.  These additional           

                                                                                

18  funds are appropriated specifically for capital improvements                

                                                                                

19  authorized by the department of management and budget and shall be          

                                                                                

20  negotiated as part of the lease agreement.                                  

                                                                                

21      Sec. 411.  The department shall ensure that rental payments made            

                                                                                

22  by each tenant for space at the Michigan school for the blind former        

                                                                                

23  site are used for operation, maintenance, and renovation expenses           

                                                                                

24  associated with the leased space designated in the tenant's lease           

                                                                                

25  agreement.                                                                  

                                                                                

                                                                                

                                                                                

26  PROFESSIONAL PREPARATION SERVICES                                           


                                                                                

1       Sec. 501.  From the funds appropriated in part 1 for professional           

                                                                                

2   preparation services, the department shall maintain the professional        

                                                                                

3   personnel register and certificate revocation/felony conviction             

                                                                                

4   files.                                                                      

                                                                                

5       Sec. 502.  The department shall authorize teacher preparation               

                                                                                

6   institutions to provide an alternative program by which up to 1/2 of        

                                                                                

7   the required student internship or student teaching credits may be          

                                                                                

8   earned through substitute teaching.  The department shall require that      

                                                                                

9   teacher preparation institutions collaborate with school districts to       

                                                                                

10  ensure that the quality of instruction provided to student teachers is      

                                                                                

11  comparable to that required in a traditional student teaching               

                                                                                

12  program.                                                                    

                                                                                

                                                                                

                                                                                

13  EDUCATION OPTIONS, CHARTERS, AND CHOICE                                     

                                                                                

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

                                                                                

15  education options, charters, and choice, there is allocated                 

                                                                                

16  $350,000.00 and 3.5 FTE positions to operate a charter school office        

                                                                                

17  to administer charter school legislation and associated regulations,        

                                                                                

18  and to coordinate the activities of the department relating to charter      

                                                                                

19  schools.                                                                    

                                                                                

20      (2) It is the intent of the legislature to assess the number of             

                                                                                

21  FTEs allocated for the charter school office based on information           

                                                                                

22  provided by the department describing current staffing and the future       

                                                                                

23  staffing needed to sufficiently administer charter school legislation       

                                                                                

24  and associated regulations, coordinate the activities of the                

                                                                                

25  department relating to charter schools, and address the findings in         

                                                                                

26  the office of the auditor general audit report of June 2002.                


                                                                                

1       (3) If an audit finds that a public school district has                     

                                                                                

2   significantly misrepresented its enrollment membership or financial         

                                                                                

3   data to the department, its funding shall be withheld and the public        

                                                                                

4   school district shall be required to reimburse the state any                

                                                                                

5   appropriations made as a result of the misrepresentations.                  

                                                                                

                                                                                

                                                                                

6   GRANTS AND DISTRIBUTIONS                                                    

                                                                                

7       Sec. 701.  The department shall disburse the funds to a general             

                                                                                

8   fund grantee in accordance with the same standards of timing and            

                                                                                

9   amount that apply to disbursements made by the department to a federal      

                                                                                

10  fund grantee.  The disbursement shall be restricted to the minimum          

                                                                                

11  amount needed for immediate disbursement by the grantee.  The               

                                                                                

12  department may waive this section if extenuating circumstances warrant      

                                                                                

13  and are substantiated in the grantee's application or other                 

                                                                                

14  appropriate documentation.  A waiver granted pursuant to this section       

                                                                                

15  shall not be effective until 15 days after written notice of the            

                                                                                

16  proposed waiver is given to the state budget director and the               

                                                                                

17  chairpersons of the senate and house appropriations subcommittees           

                                                                                

18  having jurisdiction over the department budget.                             

                                                                                

19      Sec. 702.  The funds appropriated in part 1 for school breakfast            

                                                                                

20  programs shall be made available to all eligible applicant public           

                                                                                

21  school districts as follows:                                                

                                                                                

22      (a) The public school district participates in the federal school           

                                                                                

23  breakfast program and meets all standards as prescribed by 7                

                                                                                

24  C.F.R. parts 220 and 245.                                                   

                                                                                

25      (b) Payment is made for each breakfast served meeting standards             

                                                                                

26  prescribed in subdivision (a).                                              


                                                                                

1       (c) The payment for a public school district is at a per meal rate          

                                                                                

2   equal to the lesser of the district's actual cost, or 100% of the cost      

                                                                                

3   of a breakfast served by an efficiently operated breakfast program as       

                                                                                

4   determined by the department, less federal reimbursement, participant       

                                                                                

5   payments, and other state reimbursement.  Determination of efficient        

                                                                                

6   cost by the department shall be determined by using a statistical           

                                                                                

7   sampling of statewide and regional cost as reported in a manner             

                                                                                

8   approved by the department for the preceding school year.                   

                                                                                

9       (d) The payment determined under subdivision (c) is prorated if             

                                                                                

10  the appropriation in part 1 is not sufficient to fund all payments          

                                                                                

11  determined under this section.                                              

                                                                                

12      Sec. 703.  (1) The funds appropriated in part 1 for school                  

                                                                                

13  readiness programs shall be made available through a competitive            

                                                                                

14  application process as follows:                                             

                                                                                

15      (a) An applicant may be any public or private nonprofit legal               

                                                                                

16  entity or agency other than a local or intermediate school district         

                                                                                

17  except a local or intermediate school district acting as a fiscal           

                                                                                

18  agent for a child caring organization regulated under 1973 PA 116,          

                                                                                

19  MCL 722.111 to 722.128.                                                     

                                                                                

20      (b) Applications shall be submitted in a form and manner as                 

                                                                                

21  required by the department.                                                 

                                                                                

22      (c) Applications shall be reviewed by a diverse interagency                 

                                                                                

23  committee composed of representatives of the department, appropriate        

                                                                                

24  community, volunteer, and social service agencies and organizations,        

                                                                                

25  and parents.                                                                

                                                                                

26      (d) Priority in the recommendation for awarding of grants by the            

                                                                                

27  state board of education to applicants shall be based upon the              


                                                                                

1   following criteria:                                                         

                                                                                

2                                                                                (i) Compliance with standards for early childhood development                       

                                                                                

3   consistent with programs for 4-year-olds, as approved by the state          

                                                                                

4   board of education.                                                         

                                                                                

5       (ii) Active and continuous involvement of the parents or guardians           

                                                                                

6   of the children participating in the program.                               

                                                                                

7       (iii) Employment of teachers possessing proper training in early             

                                                                                

8   childhood development, including an early childhood (ZA) endorsement        

                                                                                

9   or child development associate, and trained support staff.                  

                                                                                

10      (iv) Evidence of collaboration with the community of providers in            

                                                                                

11  early childhood development programs including documentation of the         

                                                                                

12  total number of children in the community who would meet the criteria       

                                                                                

13  established in subparagraph (vi), and who are being served by other          

                                                                                

14  providers, and the number of children who will remain unserved by           

                                                                                

15  other community early childhood programs if this program is funded.         

                                                                                

16      (v) The extent to which these funds will supplement other federal,          

                                                                                

17  state, local, or private funds.                                             

                                                                                

18      (vi) The extent to which these funds will be targeted to children            

                                                                                

19  who will be at least 4, but less than 5, years of age as of December 1      

                                                                                

20  of the year in which the programs are offered and who show evidence of      

                                                                                

21  2 or more "at-risk" factors as defined in the state board of education      

                                                                                

22  report entitled, "children at risk" that was adopted by the state           

                                                                                

23  board on April 5, 1988.                                                     

                                                                                

24      (e) Whether the application contains a comprehensive evaluation             

                                                                                

25  plan that includes implementation of all program components required        

                                                                                

26  and an assessment of the gains of children participating in an early        

                                                                                

27  childhood development program.                                              


                                                                                

1       (f) Applications shall provide for the establishment of a school            

                                                                                

2   readiness advisory committee that shall be involved in the planning         

                                                                                

3   and evaluation of the program and provides for the involvement of           

                                                                                

4   parents and appropriate community, volunteer, and social service            

                                                                                

5   agencies and organizations.  There shall be on the committee at least       

                                                                                

6   1 parent or guardian of a program participant for every 18 children         

                                                                                

7   enrolled in the program, with a minimum of 2 parent or guardian             

                                                                                

8   representatives.  The committee shall do all of the following:              

                                                                                

9                                                                                (i) Review the mechanisms and criteria used to determine referrals                  

                                                                                

10  for participation in the school readiness program.                          

                                                                                

11      (ii) Review the health screening program for all participants.               

                                                                                

12      (iii) Review the nutritional services provided to all                        

                                                                                

13  participants.                                                               

                                                                                

14      (iv) Review the mechanisms in place for the referral of families             

                                                                                

15  to community social service agencies, as appropriate.                       

                                                                                

16      (v) Review the collaboration with and the involvement of                    

                                                                                

17  appropriate community, volunteer, and social service agencies and           

                                                                                

18  organizations in addressing all aspects of education disadvantage.          

                                                                                

19      (vi) Review, evaluate, and make recommendations for changes in the           

                                                                                

20  school readiness program.                                                   

                                                                                

21      (g) More than 50% of the children participating in the program              

                                                                                

22  shall meet the income eligibility criteria for free or reduced price        

                                                                                

23  lunch, as determined under the national school lunch act, chapter 281,      

                                                                                

24  60 Stat. 230, 42 U.S.C. 1751 to 1753, 1755 to 1761, 1762a, 1765 to          

                                                                                

25  1766b, and 1769 to 1769h, or meet income and all other eligibility          

                                                                                

26  criteria for participation in the Michigan family independence agency       

                                                                                

27  unified child day care program.                                             


                                                                                

1       (2) Grant awards by the superintendent of public instruction may            

                                                                                

2   be at whatever level the superintendent determines appropriate.  A          

                                                                                

3   grant, when combined with other sources of state revenue for this           

                                                                                

4   program, shall not exceed $3,300.00 per child or the cost of the            

                                                                                

5   program, whichever is less.                                                 

                                                                                

6       (3) Except as otherwise provided, an applicant that receives a              

                                                                                

7   2003-2004 grant under this section shall also receive priority for          

                                                                                

8   fiscal years 2004-2005 and 2005-2006 funding.  However, after 3 fiscal      

                                                                                

9   years of continuous funding, an applicant will be required to compete       

                                                                                

10  openly with new programs and other programs completing their third          

                                                                                

11  year.  All grant awards are contingent on the availability of funds         

                                                                                

12  and documented evidence of grantee compliance with standards for early      

                                                                                

13  childhood development consistent with programs for 4-year-olds, as          

                                                                                

14  approved by the state board of education, and with all operational,         

                                                                                

15  fiscal, administrative, and other program requirements.  A program          

                                                                                

16  which offers supplementary day care and thereby offers full-day             

                                                                                

17  programs as part of its early childhood development program shall           

                                                                                

18  receive priority in the allocation of competitive funds.                    

                                                                                

19      Sec. 704.  From the funds appropriated in part 1 for national               

                                                                                

20  board certification, the department shall pay 1/2 of the application        

                                                                                

21  fee for teachers who are deemed by the department to be qualified to        

                                                                                

22  apply to the national board for professional teaching standards for         

                                                                                

23  professional teaching certificates or licenses and to provide grants        

                                                                                

24  to recognize and reward teachers who receive certification or               

                                                                                

25  licensure.                                                                  

                                                                                

26      Sec. 705.  Before expending funds for DED-OESE, title IV, part A,           

                                                                                

27  community service grants and DED-OESE, title IV, part B, 21st century       


                                                                                

1   community learning centers, the department shall provide an assurance       

                                                                                

2   to the United States department of education that the application was       

                                                                                

3   developed in consultation and coordination with appropriate state           

                                                                                

4   officials, including the chief state school officer, and other state        

                                                                                

5   agencies administering before and after school programs, the heads of       

                                                                                

6   the state health and mental health agencies or their designees, and         

                                                                                

7   representatives of teachers, parents, students, the business                

                                                                                

8   community, and community-based organizations.                               

                                                                                

                                                                                

                                                                                

9   SAFE SCHOOLS AND ADMINISTRATIVE LAW                                         

                                                                                

10      Sec. 801.  The department shall furnish a report to the                     

                                                                                

11  legislature on teacher tenure by December 31, 2003.  The report shall       

                                                                                

12  include at least all of the following:                                      

                                                                                

13      (a) A history of teacher tenure in this state.                              

                                                                                

14      (b) A statement of the purpose of teacher tenure and an assessment          

                                                                                

15  of the current need for teacher tenure.                                     

                                                                                

16      (c) A history of administrative law cases related to teacher                

                                                                                

17  tenure.                                                                     

                                                                                

18      (d) The number of teacher tenure cases heard by administrative law          

                                                                                

19  judges for the most recent year for which data is available.                

                                                                                

20      (e) An estimate of the cost incurred by the department related to           

                                                                                

21  teacher tenure.                                                             

                                                                                

                                                                                

                                                                                

22  INFORMATION TECHNOLOGY                                                      

                                                                                

23      Sec. 901.  The department shall work in collaboration with the              

                                                                                

24  center for educational performance and information to support the           

                                                                                

25  comprehensive educational information system and all data collection        


                                                                                

1   efforts of the department.                                                  

                                                                                

2       Sec. 902.  The department and the Michigan virtual university               

                                                                                

3   shall work collaboratively to implement section 98 of the state school      

                                                                                

4   aid act of 1979, 1979 PA 94, MCL 388.1698, in accordance with all           

                                                                                

5   applicable federal laws and regulations.