HB-4396,As Passed House,May 13, 2003                                        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                  SUBSTITUTE FOR                                

                                                                                

                               HOUSE BILL NO. 4396                              

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to make appropriations for the state institutions of                       

                                                                                

    higher education and certain state purposes related to education for        

                                                                                

    the fiscal year ending September 30, 2004; to provide for the               

                                                                                

    expenditures of those appropriations; and to prescribe the powers and       

                                                                                

    duties of certain state departments, institutions, agencies,                

                                                                                

    employees, and officers.                                                    

                                                                                

                  THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                    

                                                                                

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 higher education for       

                                                                                

5   the fiscal year ending September 30, 2004, from the funds indicated in      

                                                                                

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

                                                                                

7   part:                                                                       

                                                                                

8   HIGHER EDUCATION                                                            

                                                                                


                                                                                

1       Full-time equated classified positions..........1.0                     

                                                                                

2     GROSS APPROPRIATION................................. $   1,775,437,000    

                                                                                

3       Interdepartmental grant revenues:                                       

                                                                                

4     Total interdepartmental grants and intradepartmental                      

                                                                                

5       transfers......................................... $               0    

                                                                                

6     ADJUSTED GROSS APPROPRIATION........................ $   1,775,437,000    

                                                                                

7         Appropriated from:                                                    

                                                                                

8       Federal revenues:                                                       

                                                                                

9     Total federal revenues..............................         4,400,000    

                                                                                

10      Special revenue funds:                                                  

                                                                                

11    Total other state restricted revenues...............       138,350,000    

                                                                                

12    State general fund/general purpose.................. $   1,632,687,000    

                                                                                

13      Sec. 102.  CENTRAL MICHIGAN UNIVERSITY                                      

                                                                                

14    Operations.......................................... $      81,867,000    

                                                                                

15    GROSS APPROPRIATION................................. $      81,867,000    

                                                                                

16        Appropriated from:                                                    

                                                                                

17    State general fund/general purpose.................. $      81,867,000    

                                                                                

18      Sec. 103.  EASTERN MICHIGAN UNIVERSITY                                      

                                                                                

19    Operations.......................................... $      78,873,300    

                                                                                

20    GROSS APPROPRIATION................................. $      78,873,300    

                                                                                

21        Appropriated from:                                                    

                                                                                

22    State general fund/general purpose.................. $      78,873,300    

                                                                                

23      Sec. 104.  FERRIS STATE UNIVERSITY                                          

                                                                                

24    Operations.......................................... $      49,968,200    

                                                                                

25    GROSS APPROPRIATION................................. $      49,968,200    

                                                                                

26        Appropriated from:                                                    

                                                                                

27    State general fund/general purpose.................. $      49,968,200    


                                                                                

1       Sec. 105.  GRAND VALLEY STATE UNIVERSITY                                    

                                                                                

2     Operations.......................................... $      54,833,200    

                                                                                

3     GROSS APPROPRIATION................................. $      54,833,200    

                                                                                

4         Appropriated from:                                                    

                                                                                

5     State general fund/general purpose.................. $      54,833,200    

                                                                                

6       Sec. 106.  LAKE SUPERIOR STATE UNIVERSITY                                   

                                                                                

7     Operations.......................................... $      12,841,800    

                                                                                

8     GROSS APPROPRIATION................................. $      12,841,800    

                                                                                

9         Appropriated from:                                                    

                                                                                

10    State general fund/general purpose.................. $      12,841,800    

                                                                                

11      Sec. 107.  MICHIGAN STATE UNIVERSITY                                        

                                                                                

12    Operations.......................................... $     293,975,900    

                                                                                

13    GROSS APPROPRIATION................................. $     293,975,900    

                                                                                

14        Appropriated from:                                                    

                                                                                

15    State general fund/general purpose.................. $     293,975,900    

                                                                                

16      Sec. 108.  MICHIGAN TECHNOLOGICAL UNIVERSITY                                

                                                                                

17    Operations.......................................... $      49,717,400    

                                                                                

18    GROSS APPROPRIATION................................. $      49,717,400    

                                                                                

19        Appropriated from:                                                    

                                                                                

20    State general fund/general purpose.................. $      49,717,400    

                                                                                

21      Sec. 109.  NORTHERN MICHIGAN UNIVERSITY                                     

                                                                                

22    Operations.......................................... $      46,811,500    

                                                                                

23    GROSS APPROPRIATION................................. $      46,811,500    

                                                                                

24        Appropriated from:                                                    

                                                                                

25    State general fund/general purpose.................. $      46,811,500    

                                                                                

26      Sec. 110.  OAKLAND UNIVERSITY                                               

                                                                                

27    Operations.......................................... $      47,645,300    


                                                                                

1     GROSS APPROPRIATION................................. $      47,645,300    

                                                                                

2         Appropriated from:                                                    

                                                                                

3     State general fund/general purpose.................. $      47,645,300    

                                                                                

4       Sec. 111.  SAGINAW VALLEY STATE UNIVERSITY                                  

                                                                                

5     Operations.......................................... $      24,995,000    

                                                                                

6     GROSS APPROPRIATION................................. $      24,995,000    

                                                                                

7         Appropriated from:                                                    

                                                                                

8     State general fund/general purpose.................. $      24,995,000    

                                                                                

9       Sec. 112.  UNIVERSITY OF MICHIGAN-ANN ARBOR                                 

                                                                                

10    Operations.......................................... $     327,206,100    

                                                                                

11    GROSS APPROPRIATION................................. $     327,206,100    

                                                                                

12        Appropriated from:                                                    

                                                                                

13    State general fund/general purpose.................. $     327,206,100    

                                                                                

14      Sec. 113.  UNIVERSITY OF MICHIGAN-DEARBORN                                  

                                                                                

15    Operations.......................................... $      25,193,900    

                                                                                

16    GROSS APPROPRIATION................................. $      25,193,900    

                                                                                

17        Appropriated from:                                                    

                                                                                

18    State general fund/general purpose.................. $      25,193,900    

                                                                                

19      Sec. 114.  UNIVERSITY OF MICHIGAN-FLINT                                     

                                                                                

20    Operations.......................................... $      21,661,300    

                                                                                

21    GROSS APPROPRIATION................................. $      21,661,300    

                                                                                

22        Appropriated from:                                                    

                                                                                

23    State general fund/general purpose.................. $      21,661,300    

                                                                                

24      Sec. 115.  WAYNE STATE UNIVERSITY                                           

                                                                                

25    Operations.......................................... $     228,279,900    

                                                                                

26    GROSS APPROPRIATION................................. $     228,279,900    

                                                                                

27        Appropriated from:                                                    


                                                                                

1     State general fund/general purpose.................. $     228,279,900    

                                                                                

2       Sec. 116.  WESTERN MICHIGAN UNIVERSITY                                      

                                                                                

3     Operations.......................................... $     114,065,700    

                                                                                

4     GROSS APPROPRIATION................................. $     114,065,700    

                                                                                

5         Appropriated from:                                                    

                                                                                

6     State general fund/general purpose.................. $     114,065,700    

                                                                                

7       Sec. 117.  STATE AND REGIONAL PROGRAMS                                      

                                                                                

8       Full-time equated classified positions..........1.0                     

                                                                                

9     Agricultural experiment station..................... $      33,163,800    

                                                                                

10    Cooperative extension service.......................        28,604,300    

                                                                                

11    Japan center for Michigan universities..............           150,000    

                                                                                

12    Higher education database maintenance and                                 

                                                                                

13      enhancement--1.0 FTE positions....................           200,000    

                                                                                

14    Midwestern higher education compact.................            82,500    

                                                                                

15    GROSS APPROPRIATION................................. $      62,200,600    

                                                                                

16        Appropriated from:                                                    

                                                                                

17    State general fund/general purpose.................. $      62,200,600    

                                                                                

18      Sec. 118.  MARTIN LUTHER KING, JR.  - CESAR CHAVEZ                          

                                                                                

19  - ROSA PARKS PROGRAM                                                        

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

24        Appropriated from:                                                    

                                                                                

25    State general fund/general purpose.................. $       2,691,500    

                                                                                

26      Sec. 119.  GRANTS AND FINANCIAL AID                                         

                                                                                

27    State competitive scholarships...................... $      35,993,500    


                                                                                

1     Tuition grants......................................        64,447,700    

                                                                                

2     Michigan work-study program.........................         9,547,900    

                                                                                

3     Michigan education opportunity grants...............         2,223,300    

                                                                                

4     Dental clinics grant................................         4,547,000    

                                                                                

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

                                                                                

6     Nursing scholarship program.........................         4,000,000    

                                                                                

7     Michigan merit award program........................       125,100,000    

                                                                                

8     Tuition incentive program...........................         5,250,000    

                                                                                

9     GROSS APPROPRIATION................................. $     252,609,400    

                                                                                

10        Appropriated from:                                                    

                                                                                

11      Federal revenues:                                                       

                                                                                

12    Higher education act of 1965, title IV, 20 U.S.C....         2,900,000    

                                                                                

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

                                                                                

14      Special revenue funds:                                                  

                                                                                

15    Michigan merit award trust fund.....................       138,350,000    

                                                                                

16    State general fund/general purpose.................. $     109,859,400    

                                                                                

                                                                                

                                                                                

17                                    PART 2                                    

                                                                                

18                     PROVISIONS CONCERNING APPROPRIATIONS                     

                                                                                

19  GENERAL SECTIONS                                                            

                                                                                

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

                                                                                

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

                                                                                

22  part 1 for fiscal year 2003-2004 is $1,771,037,000.00 and state             

                                                                                

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

                                                                                

24  for fiscal year 2003-2004 is $3,032,000.00.  The itemized statement         

                                                                                

25  below identifies the estimated appropriations from which spending to        

                                                                                

26  units of local government will occur:                                       


                                                                                

1     Michigan education opportunity grant................ $         995,000    

                                                                                

2     Michigan work-study.................................             2,037    

                                                                                

3     TOTAL............................................... $       3,032,000    

                                                                                

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

                                                                                

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

                                                                                

6   18.1594.                                                                    

                                                                                

7       Sec. 208.  Unless otherwise specified, the institutions of higher           

                                                                                

8   education receiving appropriations in part 1 shall use the Internet to      

                                                                                

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

                                                                                

10  include transmission of reports via electronic mail to the recipients       

                                                                                

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

                                                                                

12  of reports on an Internet or Intranet site.                                 

                                                                                

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

                                                                                

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

                                                                                

15  priced and of comparable quality American goods and services, or both,      

                                                                                

16  are available.                                                              

                                                                                

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

                                                                                

18  institutions of higher education shall be paid out of the state             

                                                                                

19  treasury and distributed by the state treasurer to the respective           

                                                                                

20  institutions in 11 equal monthly installments on the sixteenth of each      

                                                                                

21  month, or the next succeeding business day, beginning with October 16,      

                                                                                

22  2003.  Except for Wayne State University, each institution shall            

                                                                                

23  accrue its July and August 2004 payments to its institutional fiscal        

                                                                                

24  year ending June 30, 2004.                                                  

                                                                                

25      (2) All universities shall submit higher education institutional            

                                                                                

26  data inventory (HEIDI) data and associated financial and program            

                                                                                

27  information requested by and in a manner prescribed by the state            


                                                                                

1   budget director.  For universities with fiscal years ending June 30,        

                                                                                

2   2003, these data shall be submitted to the state budget director by         

                                                                                

3   October 15, 2003.  Universities with a fiscal year ending September         

                                                                                

4   30, 2003 shall submit preliminary HEIDI data by November 15, 2003 and       

                                                                                

5   final data by December 15, 2003.  If a university fails to submit           

                                                                                

6   HEIDI data and associated financial aid program information in              

                                                                                

7   accordance with this reporting schedule, the state treasurer shall          

                                                                                

8   withhold the monthly installments under subsection (1) to the               

                                                                                

9   university until those data are submitted.                                  

                                                                                

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

                                                                                

11  amounts appropriated in part 1 shall be submitted to each institution       

                                                                                

12  by the senate and house fiscal agencies.                                    

                                                                                

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

                                                                                

14  government or private sources for the use of a college or university        

                                                                                

15  are appropriated for the purposes for which they are provided.  The         

                                                                                

16  acceptance and use of federal or private funds do not place an              

                                                                                

17  obligation upon the legislature to continue the purposes for which the      

                                                                                

18  funds are made available.                                                   

                                                                                

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

                                                                                

20  PA 281, MCL 206.274, is not repealed and if a state institution of          

                                                                                

21  higher education that receives funds under this act notifies the            

                                                                                

22  department of treasury regarding its tuition and fee rates in order to      

                                                                                

23  qualify as an eligible institution for the Michigan tuition tax credit      

                                                                                

24  under section 274 of the income tax act of 1967, 1967 PA 281,               

                                                                                

25  MCL 206.274, the institution shall also submit the notification and         

                                                                                

26  applicable documentation of tuition and fee changes to the house and        

                                                                                

27  senate fiscal agencies.                                                     


                                                                                

1       Sec. 215.  A state institution of higher education that receives            

                                                                                

2   funds under this act shall furnish all program and financial                

                                                                                

3   information that is required by and in a manner prescribed by the           

                                                                                

4   state budget director or the house or senate appropriations                 

                                                                                

5   committee.                                                                  

                                                                                

                                                                                

                                                                                

6   GRANTS AND FINANCIAL AID                                                    

                                                                                

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

                                                                                

8   state competitive scholarship program shall be distributed pursuant to      

                                                                                

9   1964 PA 208, MCL 390.971 to 390.981.                                        

                                                                                

10      (2) The Michigan higher education assistance authority shall                

                                                                                

11  implement a proportional competitive scholarship maximum award level        

                                                                                

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

                                                                                

13  term.                                                                       

                                                                                

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

                                                                                

15  or her tuition and fees paid under the Michigan educational trust           

                                                                                

16  program, pursuant to the Michigan education trust act, 1986 PA 316,         

                                                                                

17  MCL 390.1421 to 390.1444, and still has financial need, the funds           

                                                                                

18  awarded under this section may be used for educational expenses other       

                                                                                

19  than tuition and fees.                                                      

                                                                                

20      (4) If the Michigan higher education assistance authority                   

                                                                                

21  increases the maximum award per eligible student from that provided in      

                                                                                

22  the previous fiscal year, it shall not have the effect of reducing the      

                                                                                

23  number of eligible students receiving awards in relation to the total       

                                                                                

24  number of eligible applicants.  Any increase in the maximum grant           

                                                                                

25  shall be proportional for all eligible students receiving awards.           

                                                                                

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

                                                                                

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


                                                                                

1   MCL 390.991 to 390.997a.                                                    

                                                                                

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

                                                                                

3   residents who apply before July 15, 2003 and who are qualified.             

                                                                                

4   Tuition grant awards shall not be made to students newly enrolled in a      

                                                                                

5   juris doctor law degree program after the 1995-96 academic year.            

                                                                                

6       (3) The Michigan higher education assistance authority shall                

                                                                                

7   determine an actual maximum tuition grant award per student that            

                                                                                

8   ensures that the aggregate payments for the tuition grant program do        

                                                                                

9   not exceed the appropriation contained in part 1 for the state tuition      

                                                                                

10  grant program.  By December 15, 2003, and again by February 1, 2004,        

                                                                                

11  the authority shall analyze the status of award commitments, shall          

                                                                                

12  make any necessary adjustments, and shall confirm that those award          

                                                                                

13  commitments will not exceed the appropriation contained in part 1 for       

                                                                                

14  the tuition grant program.  The determination and actions shall be          

                                                                                

15  reported to the state budget director and the house and senate fiscal       

                                                                                

16  agencies no later than February 15, 2004.  If award adjustments are         

                                                                                

17  necessary, the students shall be notified of the adjustment by the          

                                                                                

18  third Monday in February.                                                   

                                                                                

19      (4) Any unexpended and unencumbered funds remaining on                      

                                                                                

20  September 30, 2004 from the amounts appropriated in part 1 for the          

                                                                                

21  tuition grant program shall not lapse on September 30, 2004, but shall      

                                                                                

22  continue to be available for expenditure for tuition grants provided        

                                                                                

23  in the 2004-2005 fiscal year.  The use of these unexpended fiscal year      

                                                                                

24  2003-2004 funds shall terminate at the end of the 2004-2005 fiscal          

                                                                                

25  year.                                                                       

                                                                                

26      (5) The Michigan higher education assistance authority shall                

                                                                                

27  continue a proportional tuition grant maximum award level for               


                                                                                

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

                                                                                

2       (6) If the Michigan higher education assistance authority                   

                                                                                

3   increases the maximum award per eligible student from that provided in      

                                                                                

4   the previous fiscal year, it shall not have the effect of reducing the      

                                                                                

5   number of eligible students receiving awards in relation to the total       

                                                                                

6   number of eligible applicants.  Any increase in the maximum grant           

                                                                                

7   shall be proportional for all eligible students receiving awards for        

                                                                                

8   fiscal year 2003-2004.                                                      

                                                                                

9       (7) All Ferris State University students enrolled at Kendall                

                                                                                

10  College of Art and Design prior to January 1, 2001 who were qualified       

                                                                                

11  for the state tuition grant shall continue to receive the dollar            

                                                                                

12  amount of the state tuition grant for which they were eligible until        

                                                                                

13  they graduate or are no longer enrolled in the Kendall College of Art       

                                                                                

14  and Design at Ferris State University.                                      

                                                                                

15      Sec. 303.  (1) Included in the appropriation in part 1 is funding           

                                                                                

16  for the Michigan work-study program established under 1986 PA 288,          

                                                                                

17  MCL 390.1371 to 390.1382, and 1986 PA 303, MCL 390.1321 to 390.1332.        

                                                                                

18  An effort should be made by each institution participating in the           

                                                                                

19  Michigan work-study program to assure that not less than 10% of those       

                                                                                

20  undergraduate, graduate, and professional students eligible to              

                                                                                

21  participate in the program are placed with for-profit employers no          

                                                                                

22  later than December 31 of each year for which funding is provided           

                                                                                

23  under this act.                                                             

                                                                                

24      (2) The Michigan higher education assistance authority shall                

                                                                                

25  allocate funds to institutions eligible for work-study money based          

                                                                                

26  upon each institution's specific Pell grant index and each                  

                                                                                

27  institution's utilization rate of work-study funds for the 3 most           


                                                                                

1   recent years for which statistics are available.                            

                                                                                

2       (3) The Michigan higher education assistance authority shall set            

                                                                                

3   aside not more than 5% of the total work-study appropriation to             

                                                                                

4   process requests from participating institutions for allocation             

                                                                                

5   adjustments.  Allocation adjustments shall be based on criteria set by      

                                                                                

6   the authority prior to making the allocations under subsection (2).         

                                                                                

7       Sec. 304.  (1) If funding is restored for the general degree                

                                                                                

8   reimbursement program established under 1974 PA 75, MCL 390.1021 to         

                                                                                

9   390.1027, payments shall be made for all degrees identified in              

                                                                                

10  section 1(1) of 1974 PA 75, MCL 390.1021, except doctor of dental           

                                                                                

11  surgery, doctor of dental medicine, juris doctor law, and allied            

                                                                                

12  health degrees.                                                             

                                                                                

13      (2) The reimbursement rate per eligible degree shall be the                 

                                                                                

14  equally prorated amount permitted by the appropriation, except that         

                                                                                

15  the amount of the reimbursement for each associate degree shall be 1/2      

                                                                                

16  of the rate of reimbursement for the other degrees eligible under           

                                                                                

17  subsection (1) for the general degree reimbursement program.                

                                                                                

18      Sec. 305.  The sums appropriated in part 1 for the Michigan merit           

                                                                                

19  award program are payable for qualifying students from the high school      

                                                                                

20  graduating classes of 2000 through 2004.  The sum included in part 1        

                                                                                

21  for payments to students from the graduating class of 2004 represents       

                                                                                

22  1/2 of the estimated total payments for that graduating class.              

                                                                                

23      Sec. 306.  Funds disbursed through the degree reimbursement                 

                                                                                

24  program shall not be used by any recipient institution for theology or      

                                                                                

25  divinity programs.                                                          

                                                                                

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

                                                                                

27  degrees, and awards at selected independent colleges and universities       


                                                                                

1   receiving awards administered by the department of treasury.  The           

                                                                                

2   audits shall be based upon definitions and requirements established by      

                                                                                

3   the Michigan higher education assistance authority, the state budget        

                                                                                

4   director, and the senate and house fiscal agencies.  The auditor            

                                                                                

5   general shall accept the Free Application for Federal Student Aid           

                                                                                

6   (FAFSA) form as the standard of residency documentation.  The auditor       

                                                                                

7   general shall submit a report of findings to the senate and house           

                                                                                

8   appropriations committees and state budget director by May 1, 2004.         

                                                                                

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

                                                                                

10  financial aid and degree reimbursement programs shall be paid out of        

                                                                                

11  the state treasury and shall be distributed to the respective               

                                                                                

12  institutions under a quarterly payment system as follows:                   

                                                                                

13      (a) For the state competitive scholarship, tuition incentive, and           

                                                                                

14  tuition grant programs, 40% shall be paid at the beginning of the           

                                                                                

15  state's first fiscal quarter, 40% at the beginning of the state's           

                                                                                

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

                                                                                

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

                                                                                

18  quarter.                                                                    

                                                                                

19      (b) For the work-study program, payments shall be made in 11                

                                                                                

20  monthly installments from October 1 to August 31 of any year.               

                                                                                

21      (c) For the Michigan education opportunity grant program, 50%               

                                                                                

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

                                                                                

23  25% at the beginning of the state's second fiscal quarter, and 25% at       

                                                                                

24  the beginning of the state's third fiscal quarter.                          

                                                                                

25      (d) For the dental clinics grant program and Robert C. Byrd honors          

                                                                                

26  scholarship program, 50% shall be paid at the beginning of the state's      

                                                                                

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


                                                                                

1   fiscal quarter after the number of earned degrees conferred and total       

                                                                                

2   amounts to be paid are certified.                                           

                                                                                

3       Sec. 309.  The Michigan higher education assistance authority               

                                                                                

4   shall determine the needs analysis criteria for students to qualify         

                                                                                

5   for the competitive scholarship program and tuition grant program.  To      

                                                                                

6   be consistent with federal requirements, student wages may be taken         

                                                                                

7   into consideration when determining the amount of the award.                

                                                                                

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

                                                                                

9   incentive program/high school completion program shall be distributed       

                                                                                

10  as provided in this section and pursuant to the administrative              

                                                                                

11  procedures for the tuition incentive program/high school completion         

                                                                                

12  program of the department of treasury.                                      

                                                                                

13      (2) As used in this section:                                                

                                                                                

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

                                                                                

15  assistance program defined as the academic period of 80 semester or         

                                                                                

16  120 term credits, or less, leading to an associate degree or                

                                                                                

17  certificate.                                                                

                                                                                

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

                                                                                

19  assistance program which provides assistance in the third and fourth        

                                                                                

20  year of 4-year degree programs.                                             

                                                                                

21      (c) "Department" means the department of treasury.                          

                                                                                

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

                                                                                

23  thresholds to be eligible for tuition incentive benefits:                   

                                                                                

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

                                                                                

25  following criteria:                                                         

                                                                                

26                                                                               (i) Apply for certification to the department before graduating                     

                                                                                

27  from high school or completing the general education development (GED)      


                                                                                

1   certificate.                                                                

                                                                                

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

                                                                                

3   graduation or GED completion.                                               

                                                                                

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

                                                                                

5   according to institutional criteria.                                        

                                                                                

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

                                                                                

7   semester or 120 term credits at a participating educational                 

                                                                                

8   institution within 4 years of high school graduation or GED                 

                                                                                

9   certificate completion.                                                     

                                                                                

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

                                                                                

11  following criteria in addition to the criteria in subdivision (a):          

                                                                                

12                                                                               (i) Complete at least 56 transferable semester or 84 transferable                   

                                                                                

13  term credits.                                                               

                                                                                

14      (ii) Obtain an associate degree or certificate at a participating            

                                                                                

15  institution.                                                                

                                                                                

16      (c) To be eligible for phase I or phase II, a person must be                

                                                                                

17  financially eligible as determined by the department.  A person is          

                                                                                

18  financially eligible for the tuition incentive program if that person       

                                                                                

19  was Medicaid eligible for 24 months within the 36 months before             

                                                                                

20  application.  Certification of eligibility may begin in the sixth           

                                                                                

21  grade and continue until the time of enrollment in a participating          

                                                                                

22  institution.                                                                

                                                                                

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

                                                                                

24  a person eligible under subsection (3).  The department shall reject        

                                                                                

25  billings that are excessive or outside the guidelines for the type of       

                                                                                

26  educational institution.                                                    

                                                                                

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


                                                                                

1       (a) Payments for associate degree or certificate programs shall             

                                                                                

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

                                                                                

3   individual student at any participating institution.                        

                                                                                

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

                                                                                

5   department shall pay the current in-district tuition and mandatory          

                                                                                

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

                                                                                

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

                                                                                

8   authorized.                                                                 

                                                                                

9       (c) For persons enrolled at a Michigan public university, the               

                                                                                

10  department shall pay lower level resident tuition and mandatory fees        

                                                                                

11  for the current year.                                                       

                                                                                

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

                                                                                

13  degree granting college or university, or a Michigan federal tribally       

                                                                                

14  controlled community college, or Focus:  HOPE, the department shall         

                                                                                

15  pay mandatory fees for the current year and a per-credit payment that       

                                                                                

16  does not exceed the average community college in-district per-credit        

                                                                                

17  tuition rate as reported on August 1, for the immediately preceding         

                                                                                

18  academic year.                                                              

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

22  conditions:                                                                 

                                                                                

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

                                                                                

24  granting 4-year college or university.                                      

                                                                                

25      (b) The tuition reimbursement is for coursework completed within            

                                                                                

26  30 months of completion of the phase I requirements.                        

                                                                                

27      (7) Program payments shall not be used by any recipient for                 


     House Bill No. 4396 (H-1) as amended May 13, 2003

   

1   theology or divinity courses.                                               

                                                                                

2       (8) The department shall work closely with participating                    

                                                                                

3   institutions to develop an application and eligibility determination        

                                                                                

4   process that will provide the highest level of participation and            

                                                                                

5   ensure that all requirements of the program are met.                        

                                                                                

6       (9) New application approvals for the tuition incentive program             

                                                                                

7   shall not be made after September 30, [2004].  If a determination of        

                                                                                

8   financial eligibility is made prior to September 30, [2004], that           

                                                                                

9   determination is valid as long as the student meets all other program       

                                                                                

10  requirements and conditions.                                                

                                                                                

11      (10) Each institution shall ensure that all known available                 

                                                                                

12  restricted grants for tuition and fees are used prior to billing the        

                                                                                

13  tuition incentive program for any portion of a student's tuition and        

                                                                                

14  fees.                                                                       

                                                                                

15      (11) The department shall ensure that the tuition incentive                 

                                                                                

16  program is well publicized to students who received notification of         

                                                                                

17  the program prior to September 30, [2004], and were determined to be        

                                                                                

18  financially eligible.  The department shall provide the necessary           

                                                                                

19  funding and staff to fully operate the program.                             

                                                                                

20      (12) Any unexpended and unencumbered funds remaining on September           

                                                                                

21  30, 2004 from the amounts appropriated in part 1 for the tuition            

                                                                                

22  incentive program shall not lapse on September 30, 2004, but shall          

                                                                                

23  continue to be available for expenditure for the tuition incentive          

                                                                                

24  program in the fiscal year ending September 30, 2005.                       

                                                                                

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

                                                                                

26  director to evaluate the appropriation needs of higher education, each      

                                                                                

27  independent college and university shall make available to the              


                                                                                

1   legislature or state budget director, upon request, data regarding          

                                                                                

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

                                                                                

3       Sec. 312.  From the funds appropriated in part 1, the Michigan              

                                                                                

4   higher education assistance authority shall administer the nursing          

                                                                                

5   scholarship program pursuant to 2002 PA 591, MCL 390.1181 to                

                                                                                

6   390.1189.                                                                   

                                                                                

7       Sec. 315.  Included in part 1 is funding for the dental clinics             

                                                                                

8   grant.  This appropriation is for the University of Detroit Mercy to        

                                                                                

9   support dental clinical services provided by its school of dentistry        

                                                                                

10  to low income residents in southeastern Michigan.                           

                                                                                

                                                                                

                                                                                

11  STATE UNIVERSITIES                                                          

                                                                                

12      Sec. 401.  (1) Included in part 1 is $5,608,390.00 to Wayne State           

                                                                                

13  University for the Joseph F. Young, Sr. psychiatric research and            

                                                                                

14  training program.  Wayne State University shall use these funds for         

                                                                                

15  psychiatric laboratory and clinical research, training, and treatment       

                                                                                

16  services.  Within the available appropriation, services shall not be        

                                                                                

17  denied to any patient who meets established research guidelines for         

                                                                                

18  treatment on the basis of personal financial circumstances, age,            

                                                                                

19  geographic residence, or projected/actual length of treatment as            

                                                                                

20  medically warranted.                                                        

                                                                                

21      (2) Wayne State University shall report the following information           

                                                                                

22  to the department of community health by November 1, 2004:                  

                                                                                

23      (a) The number and type of psychiatric research projects funded by          

                                                                                

24  the appropriation described in subsection (1).                              

                                                                                

25      (b) The number and type of students trained and the location of             

                                                                                

26  training funded by the appropriation.                                       


                                                                                

1       (c) Demographic data regarding the number and profile of patients           

                                                                                

2   to receive psychiatric services funded by the appropriation and a           

                                                                                

3   profile of the services provided.                                           

                                                                                

4       (d) A summary budget outlining major expenditure categories and             

                                                                                

5   any first- and third-party reimbursements.                                  

                                                                                

6       (3) Copies of these reports shall also be provided to the house             

                                                                                

7   and senate fiscal agencies and the state budget director.                   

                                                                                

8       Sec. 402.  The University of Michigan biological station at                 

                                                                                

9   Douglas Lake in Cheboygan County is regarded as a unique resource and       

                                                                                

10  is designated as a special research reserve.  It is the intent of the       

                                                                                

11  legislature to protect and preserve the unique long-term research           

                                                                                

12  value and capabilities of the biological station area and Douglas           

                                                                                

13  Lake.  The legislature further intends that no state programs or            

                                                                                

14  policies be developed that would have a deleterious impact on the           

                                                                                

15  research value of Douglas Lake.                                             

                                                                                

16      Sec. 405.  (1) There is created the higher education                        

                                                                                

17  institutional data inventory advisory committee.  The committee shall       

                                                                                

18  be appointed by the state budget director and shall consist of the          

                                                                                

19  following members:                                                          

                                                                                

20      (a) One representative from the house fiscal agency.                        

                                                                                

21      (b) One representative from the senate fiscal agency.                       

                                                                                

22      (c) One representative from the state budget director's office.             

                                                                                

23      (d) Three representatives of the presidents council of state                

                                                                                

24  universities.  The presidents council shall appoint 1 representative        

                                                                                

25  each from a masters, a doctoral, and a research university.                 

                                                                                

26      (2) The committee shall be responsible for maintaining and                  

                                                                                

27  enhancing the state higher education database for which funding is          


                                                                                

1   included in part 1.                                                         

                                                                                

2       Sec. 408.  The legislature recognizes that the first and foremost           

                                                                                

3   obligation of the public universities is undergraduate instruction.         

                                                                                

4   The public universities are therefore encouraged to increase their          

                                                                                

5   commitment of tenured and tenure track faculty to undergraduate             

                                                                                

6   instruction.                                                                

                                                                                

7       Sec. 409.  The amounts included in part 1 for public universities           

                                                                                

8   recognize 4 separate university groupings.  Funding floors for the 4        

                                                                                

9   groupings are established as follows:                                       

                                                                                

10      (a) Funding floor of $4,600.00 per fiscal-year-equated student for          

                                                                                

11  Eastern Michigan University, Ferris State University, Grand Valley          

                                                                                

12  State University, Lake Superior State University, Northern Michigan         

                                                                                

13  University, Saginaw Valley State University, and the University of          

                                                                                

14  Michigan-Flint.                                                             

                                                                                

15      (b) Funding floor of $4,800.00 per fiscal-year-equated student for          

                                                                                

16  Central Michigan University, Oakland University, and the University of      

                                                                                

17  Michigan-Dearborn.                                                          

                                                                                

18      (c) Funding floor of $5,800.00 per fiscal-year-equated student for          

                                                                                

19  Michigan Technological University and Western Michigan University.          

                                                                                

20      (d) Funding floor of $9,100.00 per fiscal-year-equated student for          

                                                                                

21  Michigan State University, the University of Michigan-Ann Arbor, and        

                                                                                

22  Wayne State University.                                                     

                                                                                

23      Sec. 418.  No state funds shall be used by any state university             

                                                                                

24  to undertake a collaborative effort with any other university that          

                                                                                

25  would have the effect of increasing its enrollment of first-time            

                                                                                

26  professional law degree seeking students.                                   

                                                                                

27      Sec. 421.  (1) Central Michigan University shall report by                  


                                                                                

1   September 30, 2004 to the state budget director, house and senate           

                                                                                

2   appropriations committees, and the house and senate fiscal agencies         

                                                                                

3   information on the activities and effectiveness of the national             

                                                                                

4   charter schools institute for which an appropriation is provided in         

                                                                                

5   part 1.  Included in the report shall be an accounting of all revenues      

                                                                                

6   and expenditures of the institute, the names of the public school           

                                                                                

7   academies served, and the type of assistance provided to each public        

                                                                                

8   school academy.                                                             

                                                                                

9       (2) All funds received under part 1 for the national charter                

                                                                                

10  schools institute are intended to be expended on activities of that         

                                                                                

11  institute.                                                                  

                                                                                

12      Sec. 426.  It is the legislative intent that private bookstores             

                                                                                

13  that sell textbooks to university students and student governments          

                                                                                

14  that provide a book swap for university students have accurate and          

                                                                                

15  timely access to lists of universities' required textbooks in order to      

                                                                                

16  provide prompt and efficient service for students.  It is further the       

                                                                                

17  legislative intent that each state university allow students who are        

                                                                                

18  on financial aid or are receiving tuition grants to decide where to         

                                                                                

19  purchase their textbooks.                                                   

                                                                                

20      Sec. 433.  (1) Included in part 1 is $2,953,400.00 for the                  

                                                                                

21  agricultural experiment station and $2,619,000.00 for the cooperative       

                                                                                

22  extension service for project GREEEN.  Project GREEEN is intended to        

                                                                                

23  address critical regulatory, food safety, economic, and environmental       

                                                                                

24  problems faced by this state's plant-based agriculture, forestry, and       

                                                                                

25  processing industries.  "GREEEN" is an acronym for generating research      

                                                                                

26  and extension to meet environmental and economic needs.                     

                                                                                

27      (2) The department of agriculture and Michigan State University,            


                                                                                

1   in consultation with agricultural commodity groups and other                

                                                                                

2   interested parties, shall develop project GREEEN and its program            

                                                                                

3   priorities.                                                                 

                                                                                

4       (3) Not later than September 30, 2004, a report shall be submitted          

                                                                                

5   by Michigan State University to the state budget director, the house        

                                                                                

6   and senate appropriations subcommittees on agriculture and on higher        

                                                                                

7   education, and the house and senate fiscal agencies for the preceding       

                                                                                

8   fiscal year regarding project GREEEN projects.  The report shall            

                                                                                

9   include, but is not limited to, the dollar amount of each project and       

                                                                                

10  a review of each project's performance and accomplishments.                 

                                                                                

11      Sec. 434.  All state universities shall work with the Michigan              

                                                                                

12  economic development corporation (MEDC) to foster the state's economic      

                                                                                

13  development.  The presidents council shall meet quarterly with the          

                                                                                

14  MEDC or its representative to discuss potential cooperative efforts         

                                                                                

15  and examine any strategies or issues of concern related to advancement      

                                                                                

16  of Michigan's economic development.  The state universities, through        

                                                                                

17  its presidents council, shall submit a report that summarizes the           

                                                                                

18  discussion and identifies any conclusions or recommendations of the         

                                                                                

19  participants at each quarterly meeting.  The quarterly report shall be      

                                                                                

20  submitted to the state budget director, the house and senate                

                                                                                

21  appropriations subcommittees on higher education, and the house and         

                                                                                

22  senate fiscal agencies no later than 30 days after each quarterly           

                                                                                

23  meeting.                                                                    

                                                                                

24      Sec. 436.  The appropriations in part 1 for Michigan's 15 public            

                                                                                

25  universities are intended to maintain the access and affordability to       

                                                                                

26  these institutions for students and parents.  As a condition to             

                                                                                

27  receiving the appropriations in part 1, public universities shall           


     House Bill No. 4396 (H-1) as amended May 13, 2003

   

1   adopt reasonable tuition and fee increases for the 2003-2004 academic       

                                                                                

2   year.                                                                       

                                                                                

3       Sec. 437.  It is the intent of the legislature that funds in a              

                                                                                

4   Michigan public school employee retirement system (MPSERS)                  

                                                                                

5   stabilization subaccount be used for fiscal year 2003-04 to maintain        

                                                                                

6   the annual level percentage of payroll contribution rate at the fiscal      

                                                                                

7   year 2002-03 estimated rate of 12.99% for the 7 state universities          

                                                                                

8   that have employees in the MPSERS system.                                   

        [Sec. 439.  Any of Michigan’s public universities which have a policy allowing smoking in their dormitories or residence halls shall report to the legislature, by December 1, 2003, the reason or reasons for that policy.]                       

                                                                                

                                                                                

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

                                                                                

10  PROGRAMS                                                                   

                                                                                

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

                                                                                

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

                                                                                

13  Cesar Chavez - Rosa Parks future faculty program, that is intended to       

                                                                                

14  increase the pool of minority candidates pursuing faculty teaching          

                                                                                

15  careers in postsecondary education.  Each university shall apply the        

                                                                                

16  percentage increase applicable to every university in the calculation       

                                                                                

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

                                                                                

18  future faculty program.                                                     

                                                                                

19      (2) The program shall be administered by each university in a               

                                                                                

20  manner prescribed by the Michigan department of career development.         

                                                                                

21  The Michigan department of career development shall use a good faith        

                                                                                

22  effort standard to evaluate whether a fellowship is in default.             

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

26  introduce schoolchildren underrepresented in postsecondary education        


                                                                                

1   to the potential of a college education.                                    

                                                                                

2       (2) Individual program plans of each university shall include a             

                                                                                

3   budget of equal contributions from this program, the participating          

                                                                                

4   public university, the participating school district, and the               

                                                                                

5   participating independent degree granting college.  College day funds       

                                                                                

6   shall not be expended to cover indirect costs.  Not more than 20% of        

                                                                                

7   the university match shall be attributable to indirect costs.  Each         

                                                                                

8   university shall apply the percentage increase applicable to every          

                                                                                

9   university in the calculation of appropriations in part 1 to the            

                                                                                

10  amount of funds allocated to the college day program.                       

                                                                                

11      (3) The program shall be administered by each university in a               

                                                                                

12  manner prescribed by the Michigan department of career development.         

                                                                                

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

                                                                                

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

                                                                                

15  services program for developing academically and economically               

                                                                                

16  disadvantaged student retention programs for 4-year public and              

                                                                                

17  independent educational institutions in this state.                         

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

21      (3) The program shall be administered by the Michigan department            

                                                                                

22  of career development.                                                      

                                                                                

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

                                                                                

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

                                                                                

25  partnership program between 4-year public and independent colleges and      

                                                                                

26  universities and public community colleges, which is intended to            

                                                                                

27  increase the number of academically and economically disadvantaged          


                                                                                

1   students who transfer from community colleges into baccalaureate            

                                                                                

2   programs.                                                                   

                                                                                

3       (2) The grants shall be made under this program to Michigan public          

                                                                                

4   and independent colleges and universities.  An award to any 1               

                                                                                

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

                                                                                

6   awarded shall be matched on a 70% state, 30% college or university          

                                                                                

7   basis.                                                                      

                                                                                

8       (3) The program shall be administered by the Michigan department            

                                                                                

9   of career development.                                                      

                                                                                

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

                                                                                

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

                                                                                

12  Cesar Chavez - Rosa Parks visiting professors program which is              

                                                                                

13  intended to increase the number of underrepresented minority                

                                                                                

14  instructors in the classroom and provide role models for                    

                                                                                

15  underrepresented minority students.                                         

                                                                                

16      (2) The program shall be administered by the Michigan department            

                                                                                

17  of career development.                                                      

                                                                                

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

                                                                                

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

                                                                                

20  initiative for the Morris Hood, Jr. educator development program which      

                                                                                

21  is intended to increase the number of minority students, especially         

                                                                                

22  males, who enroll in and complete K-12 teacher education programs at        

                                                                                

23  the baccalaureate level.                                                    

                                                                                

24      (2) The program shall be administered by each state-approved                

                                                                                

25  teacher education institution in a manner prescribed by the Michigan        

                                                                                

26  department of career development.                                           

                                                                                

27      (3) Approved teacher education institutions may and are encouraged          


                                                                                

1   to use student support services funding in coordination with the            

                                                                                

2   Morris Hood, Jr. funding to achieve the goals of the program.               

                                                                                

3       Sec. 507.  Each state institution of higher education receiving             

                                                                                

4   funds under section 503, 504, or 506 shall notify the Michigan              

                                                                                

5   department of career development by April 15, 2004 as to whether it         

                                                                                

6   will expend by the end of its fiscal year the funds received under          

                                                                                

7   section 503, 504, or 506.  Notwithstanding the award limitations in         

                                                                                

8   sections 503 and 504, the amount of funding reported as not being           

                                                                                

9   expended will be reallocated to the institutions that intend to expend      

                                                                                

10  all funding received under section 503, 504, or 506.                        

                                                                                

                                                                                

                                                                                

11  STUDENT PERFORMANCE REPORTING                                               

                                                                                

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

                                                                                

13  universities, the state universities shall systematically inform            

                                                                                

14  Michigan high schools regarding the academic status of students from        

                                                                                

15  each high school in a manner prescribed by the presidents council,          

                                                                                

16  state universities of Michigan in cooperation with the Michigan             

                                                                                

17  association of secondary school principals.                                 

                                                                                

18      (2) The Michigan high schools shall systematically inform the               

                                                                                

19  state universities about the use of information received under this         

                                                                                

20  section in a manner prescribed by the Michigan association of               

                                                                                

21  secondary school principals in cooperation with the presidents              

                                                                                

22  council, state universities of Michigan.                                    

                                                                                

23      Sec. 602.  From the amount appropriated in part 1 for state                 

                                                                                

24  universities, the state universities shall inform Michigan community        

                                                                                

25  colleges regarding the academic status of community college transfer        

                                                                                

26  students in a manner prescribed by the presidents council, state            


                                                                                

1   universities of Michigan in cooperation with the Michigan community         

                                                                                

2   college association.                                                        

                                                                                

                                                                                

                                                                                

3   GENERAL REPORTS AND AUDITS                                                  

                                                                                

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

                                                                                

5   institutional data inventory (HEIDI) enrollment data submitted by all       

                                                                                

6   public universities and may perform audits of selected public               

                                                                                

7   universities if determined necessary.  The review and audits shall be       

                                                                                

8   based upon the definitions, requirements, and uniform reporting             

                                                                                

9   categories established by the state budget director and the senate and      

                                                                                

10  house fiscal agencies.  The auditor general shall submit a report of        

                                                                                

11  findings to the house and senate appropriations committees and the          

                                                                                

12  state budget director no later than July 1, 2004.                           

                                                                                

13      (2) Student credit hours reports shall not include the following:           

                                                                                

14      (a) Student credit hours generated through correspondence courses,          

                                                                                

15  credit by examination, or inmate prison programs regardless of              

                                                                                

16  teaching location.                                                          

                                                                                

17      (b) Student credit hours generated in new degree programs after             

                                                                                

18  January 1, 1975, that have not been specifically authorized for             

                                                                                

19  funding by the legislature, except spin-off programs converted from         

                                                                                

20  existing core programs that do all of the following:                        

                                                                                

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

                                                                                

22  existing programs.                                                          

                                                                                

23      (ii) Are consistent with the current institutional role and                  

                                                                                

24  mission.                                                                    

                                                                                

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

                                                                                

26  institution.                                                                


                                                                                

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

                                                                                

2   institution is currently authorized to grant within that discipline or      

                                                                                

3   field.                                                                      

                                                                                

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

                                                                                

5   by the student credit hours generated within the program, either            

                                                                                

6   before program initiation or within the first 3 years of program            

                                                                                

7   operation.                                                                  

                                                                                

8       (3) The auditor general shall periodically audit higher education           

                                                                                

9   institutional data inventory (HEIDI) data as submitted by the state         

                                                                                

10  universities for compliance with the definitions approved by the HEIDI      

                                                                                

11  advisory committee for the HEIDI database.                                  

                                                                                

12      Sec. 702.  The principal executive officer of each institution of           

                                                                                

13  higher education receiving an appropriation under this act shall            

                                                                                

14  expend a portion of the funds appropriated to that institution to make      

                                                                                

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

                                                                                

16  and the state budget director within 60 days after the auditor general      

                                                                                

17  issues his or her report on the operation of the institution.  The          

                                                                                

18  institution's report shall specify all of the following:                    

                                                                                

19      (a) The recommendations of the auditor general implemented by the           

                                                                                

20  institution, including projected dates and resources required, if any,      

                                                                                

21  to achieve compliance.                                                      

                                                                                

22      (b) The recommendations of the auditor general not implemented by           

                                                                                

23  the institution or implemented by the institution as modified.              

                                                                                

24      (c) The rationale for not implementing a recommendation of the              

                                                                                

25  auditor general or of implementing a recommendation as modified.            

                                                                                

26      Sec. 708.  The auditor general may conduct performance audits of            

                                                                                

27  state universities during the fiscal year ending September 30, 2004 as      


                                                                                

1   the auditor general considers necessary.                                    

                                                                                

2       Sec. 709.  An institution receiving funds under this bill and               

                                                                                

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

                                                                                

4   Public Law 101-522, 104 Stat. 2381, shall make a copy of all material       

                                                                                

5   prepared pursuant to the public information reporting requirements          

                                                                                

6   under the crime awareness and campus security act of 1990, title II of      

                                                                                

7   the student right-to-know and campus security act, Public Law 101-542,      

                                                                                

8   104 Stat. 2381 available in electronic Internet format on their             

                                                                                

9   websites.                                                                   

                                                                                

10      Sec. 710.  By February 15, 2004, each public university that                

                                                                                

11  receives funds under this act shall report to the house and senate          

                                                                                

12  appropriations subcommittees on higher education and the house and          

                                                                                

13  senate fiscal agencies the aggregate dollar amount and the number and       

                                                                                

14  percentages of undergraduate students who receive need-based grants,        

                                                                                

15  merit-based scholarships and grants, loans, and work-study financial        

                                                                                

16  aid for the academic year 2002-2003.