FY 2006-07 SCHOOL AID SUPPLEMENTAL S.B. 437 (S-1): FLOOR ANALYSIS
Senate Bill 437 (Substitute S-1)
Sponsor: Senator Ron Jelinek
Committee: Appropriations
CONTENT
Senate Bill 437 (S-1) is a fiscal year (FY) 2006-07 School Aid supplemental. This bill would make several technical funding changes to the State School Aid Act driven by adjustments to pupil counts and special education costs. These changes total $15.0 million in savings, and are reflected in a $3.7 million reduction to Section 22a and a $1.0 million additional cost in Section 22b (foundation allowance payments), as well as a $12.3 million reduction in Section 51a (special education payments). After these savings are accounted for, there is estimated to be a deficit in the School Aid Fund (SAF) of $202.8 million for the current year.
In addition to the technical changes mentioned above, the bill would appropriate $140.3 million from the 21st Century Jobs Trust Fund into the School Aid fund to fill part of the projected SAF shortfall. The remaining projected SAF deficit of $62.5 million would be eliminated through a pro rata reduction of an estimated $36 per pupil beginning with the June 2007 school aid payment to districts, along with proportional cuts to intermediate school districts and other entities.
MCL 388.1611 et al.
Date Completed: 5-16-07 Fiscal Analyst: Kathryn Summers-Coty
floor\sb437 Analysis available @ http://www.michiganlegislature.org
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.
Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. SB437/0708