Introduced
by
To provide a "template" or "place holder" for a potential supplemental multi-section school aid budget for the 2003 and 2004 fiscal years. This bill contains no appropriations, but may be amended at a later date to include some.
Referred to the Committee on Appropriations
Reported without amendment
With the recommendation that the substitute (S-2) be adopted and that the bill then pass.
Substitute offered
To replace the previous version of the bill with one which embodies a December 2003 agreement struck between Sen. Majority Leader Ken Sikkema and Gov. Granholm to close an expected $330 million shortfall in the School Aid Fund. See Senate-passed version for details.
The substitute passed by voice vote
Passed in the Senate 38 to 0 (details)
A supplemental K-12 school aid budget for FY 2003-2004. The bill appropriates $152.4 million in new revenue to close an expected $330 million shortfall in the School Aid Fund. It is part of a December, 2003 agreement struck between Sen. Majority Leader Ken Sikkema and Gov. Granholm to make up the shortfall. Part of that deal includes Senate Bill 852, which would increase the income rate from 3.9 percent to 4.0 percent between Jan.1, 2004 and July 1, 2004. This bill appropriates part of that revenue, plus revenue from new lottery games, a proposed tax amnesty and boosted tax collection enforcement. It cuts $22 million previously appropriated to give laptop computers to all public school sixth-graders. The balance of the school aid shortfall will be closed by an executive order imposing “pro-rated” cuts of approximately $100 from per pupil grants to schools. The statewide average per-pupil grant is approximately $8,000, and the minimum grant is $6,700. See also House Bill 4367. Much more information on Michigan’s budget is available at <a href="http://www.mackinac.org/4964">Hot Topics: Michigan’s Budget Challenge</a> at www.mackinac.org/4964.
Substitute offered
by
To replace the previous version of the bill with one which has $22.5 million in spending cuts over and above the Senate version, but does not include revenue from a six-month income tax rate increase that is part of the December 9, 2003 deficit agreement struck by Senate Majority Leader Ken Sikkema and Gov. Jennifer Granholm. The substitute cuts $10 million from approximately $112 million in Intermediate School District (ISD) reserve funds, $5 million from a special $15 million grant to the Detroit School District, $5 million from the $55 million in supplementary state school aid payments to wealthier school districts to compensate them for a loss of local funding that resulted from the 1994 Proposal A school finance initiative, and $2.5 million from a $26.5 million "class size reduction" grant. See House-passed version for more details.
The substitute passed by voice vote
Amendment offered
by
Allow schools to increase class sizes in proportion to a cut in "class size reduction" grants.
The amendment passed by voice vote
Amendment offered
by
To cut grants for "class size reduction" by $2.5 million, instead of $5 million as proposed in the House substitute.
The amendment passed by voice vote
Passed in the House 56 to 46 (details)
A supplemental K-12 school aid budget for FY 2003-2004. The bill makes spending cuts and shifts of approximately $130 million to close an expected $330 million shortfall in the School Aid Fund. It amends a December, 2003 agreement struck between Sen. Majority Leader Ken Sikkema and Gov. Granholm to make up the shortfall. Part of that deal included Senate Bill 852, which would increase the income rate from 3.9 percent to 4.0 percent between Jan. 1, 2004 and July 1, 2004. However, that tax bill was defeated by the House shortly after this vote. Instead, this bill cuts an additional $22.5 million in “categorical” grants to schools and intermediate school districts, and transfers additional general fund money to the school aid fund. The bill also appropriates revenue from new lottery games, a proposed tax amnesty and boosted tax collection enforcement; and cuts $22 million previously appropriated to give laptop computers to all public school sixth-graders. The balance of the school aid shortfall will be closed by an executive order imposing “pro-rated” cuts of approximately $100 from per pupil grants to schools. The statewide average per-pupil grant is approximately $8,000, and the minimum grant is $6,700. See also House Bill 4367. Much more information on Michigan’s budget is available at <a href="http://www.mackinac.org/4964">Hot Topics: Michigan’s Budget Challenge</a> at www.mackinac.org/4964.
Failed in the Senate 0 to 38 (details)
To concur with a House-passed version of the bill. The vote sends the bill to a House-Senate conference committee to work out the differences.
Passed in the House 107 to 1 (details)
To adopt a compromise version of the bill reported by a House-Senate conference committee, which is the same as the bill previously passed by the Senate, and does not include the additional spending cuts added by the House. This conference report was adopted after the House passed Senate Bill 852, which raises the income rate from 3.9 percent to 4.0 percent between Jan. 1, 2004 and July 1, 2004.
Passed in the Senate 37 to 0 (details)
