2003 Senate Bill 572 ↩

House Roll Call 321: Passed

To allow schools to repay money owed to the School Bond Loan Fund (SBLF) by borrowing from the Michigan Municipal Bond Authority. The Senate Fiscal Agency reports that as a result of this refinancing, the measure would generate an estimated $100 million for the School Aid Fund. However, to compensate for their transaction costs, the state would forgive up to ten percent of the SBLF loans to school districts repaying their debt. This bill is one of several authorizing accounting and financing changes which Gov. Jennifer Granholm proposed to close a gap between state spending and expected revenue in the Fiscal Year 2003-2004 budget. It is part of a legislative package comprised of Senate Bills 572 and 573.