2016 House Bill 5384 / Public Act 192

Overhaul Detroit school district governance structure

Introduced in the House

Feb. 18, 2016

Introduced by Rep. Daniela Garcia (R-90)

To revise the state school code to accommodate Gov. Rick Snyder’s proposal to relieve the Detroit school district of debt acquired by years of deficit spending, but require additional education reforms not included in Governor’s proposal or the Senate version (Senate Bill 710).<br> Like those proposals, this bill would create a purely administrative entity to service the district’s accumulated debt, and another to actually operate the schools. The House package adds additional limits on allowable collective bargaining issues (see House Bill 5387); more certain sanctions against teachers who participate in illegal strikes (including “sick-outs”); a meaningful teacher assessment and merit pay system; exemptions from teacher certification mandates; a cap on administrative expenses; measures to accommodate a year-round school calendar; no longer enrolling new employees in the state-run school pension system; and more. The state would retain management oversight at least until the district goes five years with no new deficit spending. This is part of a package consisting of House Bills 5382 to 5387.

Referred to the Committee on Appropriations

May 3, 2016

Reported without amendment

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

May 5, 2016

Amendment offered by Rep. Stephanie Chang (D-6)

To insert the Senate-passed provision ((in Senate Bill 710) creating a new "Detroit education commission" appointed by the Detroit mayor and having the authority to block new charter schools from opening in the city, among other powers.

The amendment failed by voice vote

Amendment offered by Rep. Adam Zemke (D-55)

To remove a provision that would exempt Detroit from current state teacher certification requirements.

The amendment failed by voice vote

Amendment offered by Rep. Brian Banks (D-1)

To end a form of state receivership for academically failed Detroit schools (called "the education achievement authority, and return management of these schools to the Detroit school district.

The amendment failed by voice vote

Amendment offered by Rep. Sarah Roberts (D-18)

To prohibit any new charter schools in Detroit unless the school determination by the state Superintendent of Public Instruction that there is a population of underserved schoolchildren within 5-miles. The term "underserved" is not defined, so the amendment could potentially represent an outright ban on new charters in the city.

The amendment failed by voice vote

Amendment offered by Rep. Fred Durhal (D-5)

To not require a new Detroit school district Superintendent to be approved by a Financial Review Commission created for the city of Detroit as part of its bankruptcy, which under the bill would also have oversight over the school district. Instead, to instead require this commission to approve the district's chief financial officer.

The amendment failed by voice vote

Amendment offered by Rep. Brian Banks (D-1)

To declare "the intent of the legislature" to be that the federal Department of Justice conduct a forensic audit of the Detroit school district.

The amendment failed by voice vote

Amendment offered by Rep. Adam Zemke (D-55)

To declare "the intent of the legislature" that 10 percent of the Detroit school district's per student state foundation allowance, and of charter schools in the city, be used to create a school bus system for all students in the city.

The amendment failed by voice vote

Amendment offered by Rep. Henry Yanez (D-25)

To remove a provision that would require Detroit school principals to reapply for their job.

The amendment failed by voice vote

Amendment offered by Rep. Adam Zemke (D-55)

The amendment failed by voice vote

Amendment offered by Rep. Sherry Gay-Dagnogo (D-8)

To give the Detroit school district board authority over the administrative bureau the bill would create to service the district’s accumulated debt. This device is the actual means by which the $500 million bailout would be carried out.

The amendment failed by voice vote

Passed in the House 57 to 51 (details)

To end the state's emergency management of the insolvent Detroit school district, and give an elected school board control of the district's schools. Among many other changes and reforms, the bill requires a meaningful merit pay system for Detroit teachers, and caps central office overhead costs. The bill does not contain a Senate-passed provision creating a new "Detroit Education Commission" appointed by the Detroit mayor and having the authority to block new charter schools from opening in the city, among other powers. This is part of $500 million Detroit Public Schools bailout and governance package..

Received in the Senate

May 10, 2016

Referred to the Committee of the Whole

Received in the House

June 2, 2016

Motion to reconsider

The vote by which the House passed the bill.

The motion passed by voice vote

Substitute offered by Rep. Daniela Garcia (R-90)

To adopt a version that reflects the final bailout amounts and conditions agreed to by the House.

The substitute passed by voice vote

Amendment offered by Rep. Sarah Roberts (D-18)

To require the state Department of Education to hold a hearing before closing an academically failed Detroit school, "to determine the local population's interests" in whether the failing school should be closed.

The amendment failed by voice vote

Amendment offered by Rep. Sarah Roberts (D-18)

To prohibit an academically failed school from being closed if the Department of Education has not tabulated statewide school performance rankings in the current or previous year (which it had not at the time the amendment was offered), or if the Department makes a change to the student tests on which the ranking is based.

The amendment failed by voice vote

Amendment offered by Rep. Sarah Roberts (D-18)

The amendment failed by voice vote

Passed in the House 55 to 53 (details)

To end the state's emergency management of the insolvent Detroit school district, and give a school board to be elected in November 2016 control of the district's schools. Among many other changes and reforms, the bill requires a meaningful merit pay system for Detroit principals and administrators (but not necessarily teachers), allows the district to hire teachers that have not acquired a "certification" required by the state and more. Notably, the bill does not contain a Senate-passed provision creating a commission appointed by the Detroit mayor and having the authority to block new charter schools from opening in the city, among other powers. House Bill 5383 authorizes using $72 million annually in state revenue to cover $467 million in uncollectable loans the state has extended to Detroit schools over a number of years.

Received in the Senate

June 8, 2016

Referred to the Committee of the Whole

Amendment offered

To clarify that state officials have the authority to close a failing charter school.

The amendment passed by voice vote

Substitute offered by Sen. David Knezek (D-5)

To adopt a version of the bailout package that reflects the preferences of Democratic lawmakers.

The substitute failed 15 to 22 (details)

Amendment offered by Sen. Coleman Young (D-1)

To establish as the "intent of the legislature" that the federal Department of Justice conduct a forensic audit of the Detroit school district's financial operations and records.

The amendment failed 11 to 26 (details)

Amendment offered by Sen. Coleman Young (D-1)

To prohibit charter schools located in Detroit from hiring a for-profit management company to run the school.

The amendment failed 10 to 27 (details)

Amendment offered by Sen. Coleman Young (D-1)

To require charter schools in Detroit to provide transportation for students.

The amendment failed 10 to 27 (details)

Amendment offered by Sen. Coleman Young (D-1)

To tie-bar the bill to Senate Bills 711 and 854, meaning this bill cannot become law unless those ones do also. Those bills would revise details of proposed financial oversight of the district, and give more money to districts with low income families to provide extra hours of instruction.

The amendment failed 10 to 27 (details)

Passed in the Senate 19 to 18 (details)

To end the state's emergency management of the insolvent Detroit school district, and give a school board to be elected in November 2016 control of the district's schools. Among many other changes and reforms, the bill requires a meaningful merit pay system for Detroit principals and administrators (but not necessarily teachers), allows the district to hire teachers that have not acquired a "certification" required by the state and more. Notably, the bill does not contain a Senate-passed provision creating a commission appointed by the Detroit mayor and having the authority to block new charter schools from opening in the city, among other powers. House Bill 5383 authorizes using $72 million annually in state revenue to cover $467 million in uncollectable loans the state has extended to Detroit schools over a number of years.

Received in the House

June 9, 2016

Passed in the House 55 to 54 (details)

To concur with the minor changes made by the Senate to the bill passed by the House on June 2.

Signed by Gov. Rick Snyder

June 21, 2016