Substitute For

SENATE BILL NO. 769

A bill to make appropriations for the department of education for the fiscal year ending September 30, 2025; and to provide for the expenditure of the appropriations.

the people of the state of michigan enact:


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part 1

line-item appropriations

Sec. 101. There is appropriated for the department of education for the fiscal year ending September 30, 2025 from the following funds:

DEPARTMENT OF EDUCATION

 

 

 

APPROPRIATION SUMMARY

 

 

 

Full-time equated unclassified positions

6.0

 

 

Full-time equated classified positions

567.5

 

 


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GROSS APPROPRIATION

 

$

163,450,100

Interdepartmental grant revenues:

 

 

 

Total interdepartmental grants and intradepartmental transfers

 

 

0

ADJUSTED GROSS APPROPRIATIONS

 

$

163,450,100

Federal revenues:

 

 

 

Total federal revenues

 

 

82,550,500

Special revenue funds:

 

 

 

Total local revenues

 

 

5,868,500

Total private revenues

 

 

2,542,200

Total other state restricted revenues

 

 

10,117,800

State general fund/general purpose

 

$

62,371,100

Sec. 102. STATE BOARD OF EDUCATION/OFFICE OF THE SUPERINTENDENT

 

 

 

Full-time equated unclassified positions

6.0

 

 

Full-time equated classified positions

11.0

 

 

Unclassified salaries--FTEs

6.0

$

1,155,600

Education commission of the states

 

 

120,800

State board of education, per diem payments

 

 

24,400

State board/superintendent operations--FTEs

11.0

 

2,527,000

GROSS APPROPRIATION

 

$

3,827,800

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

306,600

Special revenue funds:

 

 

 

Private foundations

 

 

80,000

Certification fees

 

 

835,100

State general fund/general purpose

 

$

2,606,100


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Sec. 103. DEPARTMENTAL ADMINISTRATION AND SUPPORT

 

 

 

Full-time equated classified positions

42.6

 

 

Central support operations--FTEs

39.6

$

6,451,000

Federal and private grants

 

 

3,000,000

Grant and contract operations--FTEs

3.0

 

2,029,900

Property management

 

 

3,985,000

Terminal leave payments

 

 

353,300

Training and orientation workshops

 

 

150,000

Worker's compensation

 

 

6,200

GROSS APPROPRIATION

 

$

15,975,400

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal indirect revenues

 

 

2,296,800

Federal revenues

 

 

5,539,100

Special revenue funds:

 

 

 

Private foundations

 

 

1,000,000

Certification fees

 

 

616,800

Teacher testing fees

 

 

80,600

Training and orientation workshop fees

 

 

150,000

State general fund/general purpose

 

$

6,292,100

Sec. 104. INFORMATION TECHNOLOGY

 

 

 

Information technology services and projects

 

$

4,783,400

GROSS APPROPRIATION

 

$

4,783,400

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal indirect revenues

 

 

1,821,500

Federal revenues

 

 

670,600


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Special revenue funds:

 

 

 

Certification fees

 

 

977,400

State general fund/general purpose

 

$

1,313,900

Sec. 105. SPECIAL EDUCATION SERVICES

 

 

 

Full-time equated classified positions

47.0

 

 

Special education operations--FTEs

47.0

$

9,555,600

GROSS APPROPRIATION

 

$

9,555,600

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

8,955,700

Special revenue funds:

 

 

 

Private foundations

 

 

111,800

Certification fees

 

 

49,200

State general fund/general purpose

 

$

438,900

Sec. 106. MICHIGAN SCHOOLS FOR THE DEAF AND BLIND

 

 

 

Full-time equated classified positions

82.0

 

 

ASL literacy resource

 

$

1,000,000

Camp Tuhsmeheta--FTE

1.0

 

1,000,400

Low incidence outreach program

 

 

1,000,000

Michigan schools for the deaf and blind operations--FTEs

81.0

 

16,714,000

Private gifts - blind

 

 

200,000

Private gifts - deaf

 

 

150,000

GROSS APPROPRIATION

 

$

20,064,400

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

7,639,400


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Special revenue funds:

 

 

 

Local cost sharing (schools for deaf/blind)

 

 

5,868,500

Gifts, bequests, and donations

 

 

1,350,400

Low incidence outreach fund

 

 

1,000,000

Student insurance revenue

 

 

206,100

State general fund/general purpose

 

$

4,000,000

Sec. 107. EDUCATOR EXCELLENCE

 

 

 

Full-time equated classified positions

53.0

 

 

Educator excellence operations--FTEs

52.0

$

10,480,000

Educator recruitment and preparation programs--FTE

1.0

 

1,675,600

Teacher license renewals

 

 

280,000

GROSS APPROPRIATION

 

$

12,435,600

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

3,173,000

Special revenue funds:

 

 

 

Certification fees

 

 

4,190,100

Teacher testing fees

 

 

203,300

State general fund/general purpose

 

$

4,869,200

Sec. 108. SYSTEMS, EVALUATION, AND TECHNOLOGY

 

 

 

Full-time equated classified positions

18.0

 

 

Office of systems, evaluation, and technology operations--FTEs

18.0

$

3,082,900

GROSS APPROPRIATION

 

$

3,082,900

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal indirect revenues

 

 

145,500


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Federal revenues

 

 

1,656,800

Special revenue funds:

 

 

 

Certification fees

 

 

11,000

State general fund/general purpose

 

$

1,269,600

Sec. 109. STRATEGIC PLANNING AND IMPLEMENTATION

 

 

 

Full-time equated classified positions

6.0

 

 

Strategic planning and implementation operations--FTEs

6.0

$

1,194,100

GROSS APPROPRIATION

 

$

1,194,100

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

643,100

State general fund/general purpose

 

$

551,000

Sec. 110. ADMINISTRATIVE LAW SERVICES

 

 

 

Full-time equated classified positions

2.0

 

 

Administrative law operations--FTEs

2.0

$

1,424,500

GROSS APPROPRIATION

 

$

1,424,500

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

573,300

Special revenue funds:

 

 

 

Certification fees

 

 

745,800

State general fund/general purpose

 

$

105,400

Sec. 111. ACCOUNTABILITY SERVICES

 

 

 

Full-time equated classified positions

63.6

 

 

Accountability services operations--FTEs

63.6

$

14,921,300

GROSS APPROPRIATION

 

$

14,921,300

Appropriated from:

 

 

 


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Federal revenues:

 

 

 

Federal revenues

 

 

12,981,800

State general fund/general purpose

 

$

1,939,500

Sec. 112. SCHOOL SUPPORT SERVICES

 

 

 

Full-time equated classified positions

85.6

 

 

Adolescent and school health

 

$

334,100

School support services operations--FTEs

85.6

 

16,595,400

GROSS APPROPRIATION

 

$

16,929,500

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

13,127,300

Special revenue funds:

 

 

 

Commodity distribution fees

 

 

150,000

State general fund/general purpose

 

$

3,652,200

Sec. 113. EDUCATIONAL SUPPORTS

 

 

 

Full-time equated classified positions

84.7

 

 

Educational supports operations--FTEs

84.7

$

17,696,000

Michigan core curriculum

 

 

750,000

GROSS APPROPRIATION

 

$

18,446,000

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

13,175,600

Special revenue funds:

 

 

 

Certification fees

 

 

602,400

State general fund/general purpose

 

$

4,668,000

Sec. 114. CAREER AND TECHNICAL EDUCATION

 

 

 

Full-time equated classified positions

26.0

 

 

Career and technical education operations--FTEs

26.0

$

5,859,200


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GROSS APPROPRIATION

 

$

5,859,200

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

4,099,200

State general fund/general purpose

 

$

1,760,000

Sec. 115. LIBRARY OF MICHIGAN

 

 

 

Full-time equated classified positions

33.0

 

 

Library of Michigan operations--FTEs

31.0

$

5,173,000

Library services and technology program--FTE

1.0

 

5,630,700

Michigan eLibrary--FTE

1.0

 

1,740,800

Renaissance zone reimbursements

 

 

2,200,000

State aid to libraries

 

 

15,567,700

GROSS APPROPRIATION

 

$

30,312,200

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

5,630,700

Special revenue funds:

 

 

 

Library fees

 

 

300,000

State general fund/general purpose

 

$

24,381,500

Sec. 116. PARTNERSHIP DISTRICT SUPPORT

 

 

 

Full-time equated classified positions

13.0

 

 

Partnership district support operations--FTEs

13.0

$

3,638,200

GROSS APPROPRIATION

 

$

3,638,200

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Federal revenues

 

 

114,500

State general fund/general purpose

 

$

3,523,700

Sec. 117. ONE-TIME APPROPRIATIONS

 

 

 


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Charter school transparency database

 

$

150,000

Mental health training

 

 

350,000

Community health worker career center

 

 

500,000

GROSS APPROPRIATION

 

$

1,000,000

Appropriated from:

 

 

 

State general fund/general purpose

 

$

1,000,000

 

part 2

provisions concerning appropriations

for fiscal year 2024-2025

general sections

Sec. 201. In accordance with section 30 of article IX of the state constitution of 1963, for the fiscal year ending September 30, 2025, total state spending under part 1 from state sources is $71,863,900.00 and state spending under part 1 from state sources to be paid to local units of government is $17,987,700.00. The following itemized statement identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF EDUCATION

 

 

 

Renaissance zone reimbursements

 

 

2,200,000

School support services operations

 

 

220,000

State aid to libraries

 

 

15,567,700

TOTAL

 

$

17,987,700

Sec. 202. The appropriations under this part and part 1 are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. As used in this part and part 1:

(a) "Department" means the department of education.

(b) "DHHS" means the department of health and human services.


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(c) "District" means a local school district as that term is defined in section 6 of the revised school code, 1976 PA 451, MCL 380.6, or a public school academy as that term is defined in section 5 of the revised school code, 1976 PA 451, MCL 380.5.

(d) "FTE" means full-time equated.

(e) "HHS" means the United States Department of Health and Human Services.

(f) "Standard report recipients" means the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office.

Sec. 204. The department shall use the internet to fulfill the reporting requirements of this part. This requirement includes transmitting reports to the standard report recipients and any other required recipients by email and posting the reports on a website.

Sec. 206. To the extent permissible under section 261 of the management and budget act, 1984 PA 431, MCL 18.1261, all of the following apply to the expenditure of funds appropriated in part 1:

(a) The funds must not be used for the purchase of foreign goods or services, or both, if competitively priced and of comparable quality American goods or services, or both, are available.

(b) Preference must be given to goods or services, or both, manufactured or provided by Michigan businesses, if they are competitively priced and of comparable quality.

(c) Preference must be given to goods or services, or both, that are manufactured or provided by Michigan businesses owned and operated by veterans, if they are competitively priced and of


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comparable quality.

Sec. 207. To the extent permissible under the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594, the state superintendent of public instruction shall take all reasonable steps to ensure geographically disadvantaged business enterprises compete for and perform contracts to provide services or supplies, or both. The state superintendent of public instruction shall strongly encourage firms with which the department contracts to subcontract with certified geographically disadvantaged business enterprises for services, supplies, or both. As used in this section, "geographically disadvantaged business enterprises" means that term as defined in Executive Directive No. 2019-08.

Sec. 208. Consistent with section 217 of the management and budget act, 1984 PA 431, MCL 18.1217, the department shall prepare a report on out-of-state travel expenses not later than January 1. The report must list all travel by classified and unclassified employees outside this state in the previous fiscal year that was funded in whole or in part with funds appropriated in the department's budget. The department shall submit the report to the standard report recipients and to the senate and house appropriations committees. The report must include all of the following information:

(a) The dates of each travel occurrence.

(b) The total transportation and related expenses of each travel occurrence and the proportions funded with state general fund/general purpose revenues, state restricted revenues, federal revenues, and other revenues.

Sec. 209. The department shall not use funds appropriated in part 1 to hire a person to provide legal services that are the


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responsibility of the attorney general. This section does not apply to legal services for bonding activities or to outside legal services that the attorney general authorizes.

Sec. 210. Not later than December 15, the state budget office shall prepare and submit a report that provides estimates of the total general fund/general purpose appropriation lapses at the close of the previous fiscal year. The report must summarize the projected year-end general fund/general purpose appropriation lapses by major departmental program or program areas. The state budget office shall transmit the report to the standard report recipients and to the chairpersons of the senate and house appropriations committees.

Sec. 211. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $5,000,000.00 for federal contingency authorization. Amounts appropriated under this subsection are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $400,000.00 for state restricted contingency authorization. Amounts appropriated under this subsection are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(3) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $250,000.00 for local contingency authorization. Amounts appropriated under this subsection are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of


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the management and budget act, 1984 PA 431, MCL 18.1393.

(4) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $1,500,000.00 for private contingency authorization. Amounts appropriated under this subsection are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 212. (1) Funds appropriated in part 1 must not be used to restrict or impede a marginalized community's access to government resources, programs, or facilities.

(2) From the funds appropriated in part 1, local governments shall report any action or policy that attempts to restrict or interfere with the duties of the local health officer.

Sec. 213. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is not limited to, all of the following for the department:

(a) Fiscal year-to-date expenditures by category.

(b) Fiscal year-to-date expenditures by appropriation unit.

(c) Fiscal year-to-date payments to a selected vendor, including the vendor name, payment date, payment amount, and payment description.

(d) The number of active department employees by job classification.

(e) Job specifications and wage rates.

Sec. 214. Not later than 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide an annual report on estimated state restricted fund balances, state restricted fund


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projected revenues, and state restricted fund expenditures for the previous 2 fiscal years. The report must be submitted to the standard report recipients and to the chairpersons of the senate and house appropriations committees.

Sec. 215. (1) From the funds appropriated in part 1, the department shall develop a 5-year strategic plan in accordance with this section, and shall implement that plan after the state board of education ratifies the plan. It is the intent of the legislature that the department and state board of education review this strategic plan annually to understand progress toward achieving the plan's goals and targets and to make adjustments as needed.

(2) The strategic plan required under subsection (1) must do all of the following:

(a) Create for the department and for all levels and institutions of public education in this state, from preschool through postsecondary, an integrated vision and SMART goals and targets. The goals and targets must meet all of the following:

(i) Incorporate concepts of world-class high-quality educational outcomes and equity into the current top 10 strategic plan vision.

(ii) Develop and incorporate SMART goal targets into the top 10 state plan's long-term outcome-based goals, including the setting of the annual milestones for reaching the long-term SMART goals.

(b) Build recommended strategies to realize SMART goal targets, including at least all of the following:

(i) Develop and incorporate recommended strategies for local school districts and intermediate school districts to use to implement each state SMART goal target, phased in by focusing on core subjects first.


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(ii) Create professional development coaching and training networks or professional learning communities, in collaboration with intermediate school districts, to scale understanding of each recommended strategy and associated assessing measures. These networks must be designed to bring relevant teachers and administrators together in person and virtually throughout the year.

(iii) Deposit state recommended strategies into MiStrategyBank, considering any locally developed strategies, and including research-based vetting processes for strategy recommendation.

(c) By the end of fiscal year 2025-2026, scale strategic planning into each local school district and intermediate school district. It is the intent of the legislature that this strategic planning accomplish all of the following:

(i) Ensure that each local school board and intermediate school board develops, approves, and implements a strategic plan that is aligned with the state's strategic plan. Based on local core beliefs and values, data, and priorities, successful enactment and fulfillment of these coherent plans will enable the state to meet its vision and SMART outcome-based goals.

(ii) Expand MICIP to include local school district and intermediate school district strategic plans.

(iii) Ensure that each local and intermediate school district uses MICIP to develop strategies that will be used to achieve the district's SMART goals. These strategies must be documented in accompanying documents and in MICIP and submitted to the MiStrategyBank for scaling.

(iv) Ensure that, at least annually, each local and intermediate school district uses MICIP to evaluate progress toward


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meeting district SMART goals and assess effectiveness of the strategies being used to implement them, and to implement corrective actions if necessary.

(v) Ensure that, in accordance with the Michigan board of education governance standards adopted by the Michigan Association of School Boards, each local school board and intermediate school board holds its superintendent accountable for the outcomes identified in the district's strategic plan. Local school boards and intermediate school boards will formally adopt and implement these governance standards.

(d) Reorganize the department to promote collaboration with educators in the field and recommend changes across state government, within the department, and within local and intermediate school districts on structure, staffing, and sub-department partnerships that will be required to successfully implement the vision and SMART goals described in this section at the state, intermediate school district, and local school district levels.

(e) Promote strategic visioning across early childhood, K-12, and throughout higher education by collaborating with the department of lifelong education, advancement, and potential to require that educator preparation programs, including locally adopted, alternative certification, and traditional programs, are aligned to successfully prepare aspiring educators for state-recommended educational practice strategies, in support of state and local SMART goals and the state's top 10 vision.

(f) Report to stakeholders on progress in achieving the SMART goals and targets. The superintendent of public instruction shall provide public quarterly comprehensive reports to the state board


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of education on the status of progress made by the department and local and intermediate districts toward achieving the state's SMART goals. These reports must include recommended changes to state statute, to budgets, and to the department and other units of state government to expedite progress. The department shall provide these reports to the legislature and the governor.

(3) The department shall develop and implement specific metrics to measure progress toward achieving the SMART goals and targets required under subsection (2) and to evaluate outcomes.

(4) As used in this section, "MICIP" means the Michigan integrated continuous improvement process.

Sec. 216. From the funds appropriated in part 1, the department shall provide through the internet the state board of education agenda and all supporting documents, and shall notify the state budget director and the senate and house fiscal agencies that the agenda and supporting documents are available on the internet, at the time the agenda and supporting documents are provided to state board of education members.

Sec. 217. On a quarterly basis, the department shall report on the number of full-time equated positions in pay status by civil service classification, including a comparison by line item of the number of full-time equated positions authorized from funds appropriated in part 1 to the actual number of full-time equated positions employed by the department at the end of the reporting period. The report must be submitted to the senate and house appropriations committees and to the standard report recipients.

Sec. 218. From the funds appropriated in part 1, the department may assist DHHS, other departments, intermediate school districts, and local school districts to secure reimbursement for


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eligible services provided in Michigan schools from the federal Medicaid program. The department may submit reports of direct expenses related to this effort to DHHS for reimbursement.

Sec. 219. If the state administrative board, acting under section 3 of 1921 PA 2, MCL 17.3, transfers funds from an amount appropriated under this part and part 1, the legislature may, by a concurrent resolution adopted by a majority of the members elected to and serving in each house, inter-transfer funds within this part and part 1 for the particular department, board, commission, officer, or institution.

Sec. 220. From the funds appropriated in part 1, the department shall do both of the following:

(a) Post on its website a link to the federal Institute of Education Sciences' What Works Clearinghouse.

(b) Disseminate knowledge about the What Works Clearinghouse to districts and intermediate school districts so that it may be used to improve reading proficiency for pupils in grades K to 3.

Sec. 221. Not later than April 1, the department shall report on each specific policy change made to implement a public act affecting the department that took effect during the previous calendar year. The department shall submit the report to the standard report recipients, to the senate and house appropriations committees, and to the joint committee on administrative rules.

Sec. 222. The department shall not take disciplinary action against an employee of the department for communicating with a member of the legislature or legislative staff, unless the communication is prohibited by law and the department is exercising its authority as provided by law.

Sec. 223. The department shall receive and retain copies of


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all reports funded from appropriations in part 1. The department shall follow federal and state guidelines for short-term and long-term retention of records. The department may electronically retain copies of reports unless otherwise required by federal and state guidelines.

Sec. 224. To the extent possible, the department shall not expend appropriations under part 1 until all existing authorized work project funds available for the same purposes are exhausted.

Sec. 225. (1) From the funds appropriated in part 1, the department shall, not later than February 1, report on the total amount of severance pay remitted to former department employees during the previous fiscal year and the total number of former department employees that were remitted severance pay during the previous fiscal year.

(2) Reports required by this section must be submitted to the standard report recipients and to the senate and house appropriations committees.

(3) As used in this section, "severance pay" means compensation that is both payable or paid on the termination of employment and in addition to either wages or benefits earned during the course of employment or generally applicable retirement benefits.

Sec. 226. From the funds appropriated in part 1, the department shall coordinate with the other departments to streamline state services and resources, reduce duplication, and increase efficiency, including, but not limited to, all of the following:

(a) Working with the department of treasury to coordinate with the financial independence team and overseeing deficit districts.


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(b) Working with DHHS and the department of lifelong education, advancement, and potential to coordinate with early childhood programs.

(c) Working with the department of labor and economic opportunity on career and technical education programs.

Sec. 228. (1) As a condition of receiving appropriations in part 1, the department shall, in collaboration with DHHS, promote and support initiatives in schools and other educational organizations that include, but are not limited to, training for educators, teachers, and other personnel in school settings for all of the following:

(a) Using trauma-informed practices.

(b) Age-appropriate education and information on human trafficking.

(c) Age-appropriate education and information on sexual abuse prevention.

(2) If requested by the department, the department of state police and the department of attorney general shall consult with the department in the promotion and support of initiatives in schools and other educational organizations under subsection (1).

Sec. 231. It is the intent of the legislature that the department maximize the efficiency of the state workforce, and, if possible, prioritize in-person work and post its in-person, remote, or hybrid work policy on its website.

Sec. 232. From the funds appropriated in part 1, the department shall ensure that the most recently issued report of regional in-demand occupations issued by the department of technology, management, and budget is distributed in electronic or paper form to all high schools in each school district,


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intermediate school district, and public school academy.

Sec. 240. (1) For any grant programs and projects funded in part 1, those grant programs and projects are for a public purpose and the department shall follow procurement statutes of this state, including any bidding requirements, unless the department can fully validate, through information detailed in this part or public supporting documents, both of the following:

(a) The specific organization or unit of local government that will receive or administer the funds.

(b) How the funds will be administered and expended.

(2) Notwithstanding any other conditions or requirements for direct appropriation grants, the department shall perform at least all of the following activities to administer the grants described in subsection (1):

(a) Develop a standard application process, grantee reporting requirements, and any other necessary documentation including sponsorship information as specified under subsection (3).

(b) Establish a process to review, complete, and execute a grant agreement with a grant recipient. The department shall not execute a grant agreement unless all necessary documentation has been submitted and reviewed.

(c) Verify to the extent possible that a grant recipient will use funds for a public purpose that serves the economic prosperity, health, safety, or general welfare of the residents of this state.

(d) Review and verify all necessary information to ensure the grant recipient is reasonably able to execute the grant agreement, perform its fiduciary duty, and comply with all applicable state and federal statutes. The department may deduct the cost of background checks performed as part of this verification from the


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amount of the designated grant award.

(e) Establish a standard timeline to review all documents submitted by grant recipients and provide a response within 45 business days stating whether submitted documents by a grant recipient are sufficient or in need of additional information.

(3) A sponsor of a grant described in subsection (1) must be a legislator or the department. A legislative sponsor must be identified through a letter submitted by that legislator's office to the department and state budget director containing the name of the grant recipient, the intended amount of the grant, a certification from that legislator that the grant is for a public purpose, and specific citation of the section and subsection of the public act that authorizes the grant, as applicable. If a legislative sponsor is not identified before January 15, 2025, the department shall do 1 of the following:

(a) Identify the department as the sponsor.

(b) Decline to execute the grant agreement.

(4) An executed grant agreement under this section between the department and a grant recipient must include at least all of the following:

(a) All necessary identifying information for the grant recipient, including any tax and financial information for the department to administer funds under this section.

(b) A description of the project for which the grant funds will be expended, including tentative timelines and the estimated budget. The department shall not reimburse expenditures that are outside of the project purpose, as stated in the executed grant agreement, from appropriations in part 1.

(c) Unless otherwise specified in department policy, a


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requirement that funds appropriated for the grants described in subsection (1) may be used only for expenditures that occur on or after the effective date of this act.

(d) At the discretion of the department, a provision for an initial disbursement of 50% to the grant recipient on execution of the grant agreement consistent with part II, chapter 10, section 200 of the Financial Management Guide.

(e) A requirement that after the initial 50% disbursement under subdivision (d), additional funds will be disbursed only after verification that the initial payment has been fully expended in accordance with the project purpose. The department shall disburse the remaining funds after the grantee has provided sufficient documentation, as determined by the department, to verify that all expenditures were made in accordance with the project purpose.

(f) A requirement for reporting by the grant recipient to the department that provides the status of the project and an accounting of all funds expended by the grant recipient, as determined by the department.

(g) A claw-back provision that allows the department of treasury to recoup or otherwise collect any funds that are declined, unspent, or otherwise misused.

(5) If appropriate to improve the administration or oversight of a grant described in subsection (1), the department may adopt a memorandum of understanding with another state department to perform the required duties under this section.

(6) A grant recipient shall respond to all reasonable information requests from the department related to grant expenditures and retain grant records for not less than 7 years,


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and the grant may be subject to monitoring, site visits, and audits as determined by the department. The grant agreement required under this section must include signed assurance by the chief executive officer or other executive officer of the grant recipient that the requirements of this subsection will be met.

(7) The grant recipient shall expend all funds awarded and complete all projects not later than September 30, 2029. If at that time any unexpended funds remain, the grant recipient shall return those funds to the state treasury. If a grant recipient does not provide information sufficient to execute a grant agreement not later than June 1, 2025, the department shall return funds associated with the grant to the state treasury.

(8) The state budget director may, on a case-by-case basis, extend the deadline in subsection (7) on request by a grant recipient. The state budget director shall notify the chairs of the house and senate appropriations committees not later than 5 days after an extension is granted.

(9) Subject to subsection (10), the department shall post a report in a publicly accessible location on its website not later than March 15, 2025. The report must list the grant recipient, project purpose, and location of the project for each grant described in subsection (1), the status of funds allocated and disbursed under the grant agreement, and the legislative sponsor, if applicable. The department shall update the report not later than June 15, 2025 and again not later than September 15, 2025, and post the updated reports. At each posting of the report, the department shall include the most comprehensive information it has available at the time of posting for grants awarded.

(10) If the state budget office determines that it is more


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efficient for the state budget office to compile the information required under subsection (9) for all of the affected departments and post a report of the compiled information by the date required under subsection (9) than for the individual departments to comply with subsection (9), the state budget office may compile that information and post that report.

(11) As applicable, the legislative sponsor of a grant described in subsection (1) shall comply with all applicable laws concerning conflicts of interest in seeking a direct grant. A legislative sponsor shall not seek a grant for a recipient if a conflict of interest exists.

(12) If the department reasonably determines that the funds allocated for an executed grant agreement under this section were misused or that use of the funds was misrepresented by the grant recipient, the department shall not award any additional funds under the executed grant agreement and shall refer the grant for review following internal audit protocols.

 

STATE BOARD OF EDUCATION/OFFICE OF THE SUPERINTENDENT

Sec. 301. (1) The department may use the appropriations from the state board of education, per diem payments in part 1 for per diem payments to the state board members for meetings at which a quorum is present or for performing official business authorized by the state board. The per diem payments are set at the following rates:

(a) State board of education - president - $110.00 per day.

(b) State board of education - member other than president - $100.00 per day.

(2) The department shall not pay a state board of education


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member a per diem for more than 30 days per year.

 

SPECIAL EDUCATION SERVICES

Sec. 350. From the funds appropriated in part 1 for special education operations, the department shall use $100,000.00 to design and distribute to all parents and legal guardians of a student with a disability the following information:

(a) Federal and state mandates regarding the rights and protections of students with disabilities, including, but not limited to, individualized education programs to ensure that parents and legal guardians are fully informed about laws, rules, procedural safeguards, and problem-solving options.

(b) Any other information the department determines is necessary to allow parents and legal guardians to provide meaningful input in collaboration with districts to develop and implement an individualized education program.

 

MICHIGAN SCHOOLS FOR THE DEAF AND BLIND

Sec. 401. From the funds appropriated in part 1, the employees at the Michigan Schools for the Deaf and Blind who work on a school-year basis are considered annual employees for purposes of service credits, retirement, and insurance benefits.

Sec. 402. For each student enrolled at the Michigan Schools for the Deaf and Blind, the department shall assess the intermediate school district of residence 100% of the cost of operating the student's instructional program, excluding room and board related costs and the cost of weekend transportation between the school and the student's home.

Sec. 406. (1) From the funds appropriated in part 1, the


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Michigan Schools for the Deaf and Blind may promote its residential program as a possible appropriate option for children who are deaf or hard of hearing or who are blind or visually impaired. From the funds appropriated in part 1, the Michigan Schools for the Deaf and Blind shall distribute information detailing its services to all intermediate school districts in this state.

(2) If an intermediate school district knows that a child in the district is deaf or hard of hearing or blind or visually impaired, the intermediate school district shall provide to the parents of the child the literature distributed by the Michigan Schools for the Deaf and Blind to intermediate school districts under subsection (1).

(3) Parents will continue to have a choice regarding the educational placement of their deaf or hard-of-hearing children.

Sec. 407. Revenue received by the Michigan Schools for the Deaf and Blind from gifts, bequests, and donations that is unexpended at the end of the state fiscal year may be carried over to the succeeding fiscal year and does not revert to the general fund.

Sec. 408. (1) The funds appropriated in part 1 for the low incidence outreach fund are appropriated from money collected by the Michigan Schools for the Deaf and Blind and the low incidence outreach program for providing qualified services and may be used for any expenses necessary to provide the qualified services. Any money that is unexpended at the end of the current fiscal year does not revert to the general fund and may be carried forward into the succeeding fiscal year.

(2) As used in this section, "qualified services" means any of the following:


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(a) Document reproduction and services.

(b) Conducting conferences, workshops, and training classes.

(c) Providing specialized equipment, facilities, and software.

Sec. 409. When conducting a due process hearing resulting from a parent's appeal of that parent's child's individualized education program team's decision on the child's educational placement, a state administrative law judge shall consider designating the Michigan School for the Deaf as 1 of the options for the least restrictive environment under federal law for the parent's child who is deaf, deafblind, or hard of hearing.

Sec. 410. From the funds appropriated in part 1 for ASL literacy resources, the department shall expend the funds to comply with all requirements in section 1705 of the revised school code, 1976 PA 451, MCL 380.1705.

 

EDUCATOR EXCELLENCE

Sec. 501. From the funds appropriated in part 1 for educator excellence, the department shall maintain certificate revocation and felony conviction files of educational personnel.

Sec. 502. From the funds appropriated in part 1 for teacher license renewals, the department shall implement a program to waive fees or associated costs for the recruitment and retention of educators.

Sec. 503. From the funds appropriated in part 1, the department shall, if requested by the Michigan Virtual Learning Research Institute, consult with the Michigan Virtual Learning Research Institute and external stakeholders in connection with the department's implementation and administration of professional development training described in section 35a of the state school


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aid act of 1979, 1979 PA 94, MCL 388.1635a, including, but not limited to, the online training of educators of pupils in grades K to 3 described in that section.

Sec. 504. From the funds appropriated in part 1 for educator recruitment and preparation programs, the department shall award $1,000,000.00 to districts for both of the following:

(a) Educator preparation program tuition, program fees, testing fees, and substitute permit costs for any individual employed in grades pre-k to 12 working toward certification or an additional endorsement.

(b) Program costs associated with hands-on learning experiences for students in grades 6 to 12 interested in the field of education, with supervision and mentoring from educators who are champions of, and committed to, the success of the profession.

Sec. 505. From the funds appropriated in part 1 for educator recruitment and preparation programs, not less than $190,000.00 and not fewer than 1.0 FTE position is allocated for educator recruitment and preparation programs.

Sec. 506. Revenue received from teacher testing fees that is unexpended at the end of the current fiscal year may be carried over to the succeeding fiscal year and does not revert to the general fund.

Sec. 507. From the funds appropriated in part 1, the department shall adopt a teacher certification test that ensures that all newly certified elementary teachers have the skills to deliver evidence-based literacy instruction grounded in the science of reading. The department may use teacher certification or teacher testing fee revenue to the extent allowable under law to implement this section, or may pass along increased testing fees to teachers


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as allowable and appropriate.

 

SCHOOL SUPPORT SERVICES

Sec. 601. From the funds appropriated in part 1 for adolescent and school health, the department shall use the funds to replace federal funding reductions from the HHS - Centers for Disease Control and Prevention to the department and section 39a(2)(a) of the state school aid act of 1979, 1979 PA 94, MCL 388.1639a.

Sec. 602. (1) From the funds appropriated in part 1 for school support services operations, there is appropriated $220,000.00 for school board member training. The department shall approve 1 or more training programs for school board members that include courses of instruction for school board members in 1 or more of the following topic areas:

(a) Conflicts of interest, including, but not limited to, the application of section 1203 of the revised school code, 1976 PA 451, MCL 380.1203.

(b) Labor relations, including, but not limited to, a school board's role in collective bargaining agreements in 1947 PA 336, MCL 423.201 to 423.217, and in other laws related to employment.

(c) Education law, including, but not limited to, the revised school code, 1976 PA 451, MCL 380.1 to 380.1852, the state school aid act of 1979, 1979 PA 94, MCL 388.1601 to 388.1896, the open meetings act, 1976 PA 267, MCL 15.261 to 15.275, and 1937 (Ex Sess) PA 4, MCL 38.71 to 38.191, dealing with teacher tenure.

(d) School finance, including, but not limited to, the creation and management of school district budgets.

(e) Board governance, including, but not limited to, roles and responsibilities, parliamentary procedure, and best practices.


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(f) Implicit bias training.

(g) Rater reliability training.

(2) On completion of an eligible training program, a school board member may apply for reimbursement for the cost of the eligible training program through the board member's local district, up to $100.00 per course. The department may determine the form and manner of the application to reimburse the district for the cost.

(3) The department shall create a process for the provider of a course in a topic listed in subsection (1) to apply to the department to have the course approved and be eligible for a school board member to be reimbursed for completing that course as provided under subsection (2).

(4) As used in this section:

(a) "Eligible training program" means a training program that is approved under subsection (1).

(b) "School board member" means a member of the board of a school district or intermediate school district or a member of the board of directors of a public school academy in this state.

Sec. 603. From the funds appropriated in part 1 for school support services, not less than $375,000.00 and not fewer than 2.0 FTE positions shall administer funding for school consolidation, infrastructure, and the MI healthy climate plan.

Sec. 604. (1) From the funds appropriated in part 1 for school support services, not less than $350,000.00 and not fewer than 2.0 FTE positions shall provide technical assistance to all eligible districts to make them effective at using Medicaid dollars for mental health.

(2) From the funds appropriated in part 1 for school support


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services, not less than $150,000.00 and not fewer than 1.0 FTE position shall provide technical assistance to superintendents and the intermediate school district of eligible districts to make them effective at using Medicaid dollars for mental health.

(3) As used in this section, "eligible district" means a school district that receives funding under section 31n of the state school aid act of 1979, 1979 PA 94, MCL 388.1631n.

 

EDUCATIONAL SUPPORTS

Sec. 701. (1) From the funds appropriated in part 1 for educational supports, the department shall produce a report detailing the progress made by districts with grades K to 12 receiving at-risk funding under section 31a of the state school aid act of 1979, 1979 PA 94, MCL 388.1631a, in doing both of the following:

(a) Implementing multitiered systems of supports in the previous school fiscal year for grades K to 12.

(b) Providing reading intervention services described in section 1280f of the revised school code, 1976 PA 451, MCL 380.1280f, for pupils in grades K to 12.

(2) The department shall include, at a minimum, all of the following in the report described in subsection (1):

(a) A description of the training, coaching, and technical assistance offered by the department to districts to support the implementation of effective multitiered systems of supports and reading intervention programs.

(b) A list of districts determined by the department to have successfully implemented multitiered systems of supports and reading intervention programs.


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(c) A list of best practices that the department has identified that may be used by districts to implement multitiered systems of supports and reading intervention programs.

(d) Other information the department determines would be useful to understanding the status of districts' implementation of effective multitiered systems of supports and reading intervention programs.

(3) The department shall provide the report described in subsection (1) to the state budget director, the house and senate subcommittees that oversee the department and school aid budgets, and the house and senate fiscal agencies by September 30 of the current fiscal year.

Sec. 702. From the funds appropriated in part 1, there is appropriated an amount not less than $1,000,000.00 for implementation costs associated with programs for early childhood literacy funded under section 35a of the state school aid act of 1979, 1979 PA 94, MCL 388.1635a.

Sec. 703. From the funds appropriated in part 1 for Michigan core curriculum, the department shall, in collaboration with the confederation of Michigan tribal education department, design, implement, and evaluate professional learning and optional curriculum modules for the purpose of teaching Michigan Indigenous tribal history including the history of Indian boarding schools in Michigan as described in the Michigan core curriculum standards for grades 8 to 12.

 

LIBRARY OF MICHIGAN

Sec. 801. (1) The funds appropriated in part 1 for Library fees are appropriated from money collected by the Library of


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Michigan for providing qualified services and may be used for any expenses necessary to provide the qualified services. Any money that is unexpended at the end of the current fiscal year does not lapse to the general fund and may be carried forward into the succeeding fiscal year.

(2) As used in this section, "qualified services" means any of the following:

(a) Document reproduction and services.

(b) Conducting conferences, workshops, and training classes.

(c) Providing specialized equipment, facilities, and software.

Sec. 804. (1) The department shall use the funds appropriated in part 1 for renaissance zone reimbursements to reimburse public libraries under section 12 of the Michigan renaissance zone act, 1996 PA 376, MCL 125.2692, for taxes levied in 2024. The department shall allocate the funds not later than 60 days after the department of treasury certifies to the department and to the state budget director that the department of treasury has received all necessary information to properly determine the amounts due to each eligible recipient.

(2) If the amount appropriated under this section is not sufficient to fully pay obligations under this section, the department shall prorate payments on an equal basis among all eligible recipients.

Sec. 805. From the funds appropriated in part 1 for the Library of Michigan, there is $100,000.00 appropriated for support of the Michigan poet laureate program to promote poetry, the spoken word, and literary arts across the state.

 

ONE-TIME APPROPRIATIONS


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Sec. 1100. From the funds appropriated in part 1 for charter school transparency database, the department shall develop and maintain an interactive website where parents and community members can access information about their charter schools. The department may contract with outside organizations to gather the information and maintain the database. The database must include, at least, the following information:

(a) The members of the charter board.

(b) The charter managing organization.

(c) The charter managing organizational leadership.

(d) The authorizer of the charter school.

(e) The authorizer's board members.

(f) The organizational structure of the charter managing organization through the school principal.

Sec. 1101. (1) From the funds appropriated in part 1 for mental health training, the department shall allocate no less than $110,000.00 to DHHS to deliver training to mental health providers, administrators, and superintendents in eligible districts.

(2) From the funds appropriated in part 1 for mental health training, all money remaining after the money allocated in subsection (1) shall be used to support activities and FTE positions in section 604.

(3) The unexpended funds appropriated in part 1 for mental health training are designated as a work project appropriation, and any unencumbered or unallotted funds do not lapse at the end of the fiscal year and are available for expenditures for projects under this section until the projects have been completed. The following is in compliance with section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a:


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(a) The purpose of the project is to provide technical assistance and training to intermediate school districts and local school districts for mental health administration.

(b) The project will be accomplished by the department or through a contractor.

(c) The total estimated cost for the work project is $350,000.00.

(d) The tentative completion date is September 30, 2029.

(4) As used in this section, "eligible district" means an intermediate school district or school district that receives funding under section 31n of the state school aid act of 1979, 1979 PA 94, MCL 388.1631n.

Sec. 1102. (1) From the funds appropriated in part 1 for mental health worker career center program, the department shall allocate funds to local school districts or intermediate school districts to develop an ongoing CHW certification program.

(2) Recipients of these funds shall develop a CHW certification program that can be duplicated by other districts or intermediate districts.

(3) Allowable expenditures of funds under subsection (2) include, but are not limited to, the following:

(a) Hiring or contracting staff to develop or administer the CHW certification program.

(b) Costs associated with curriculum development.

(c) Costs associated with obtaining CHW certificates materials.

(d) Costs associated with career and technical education accreditation fees.

(e) Any other service or product necessary to develop a CHW


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certification program as approved by the department.

(4) Districts or intermediate districts must apply for the funding in a form and manner as determined by the department.

(5) The department shall make payments under this section on a schedule determined by the department.

(6) The unexpended funds appropriated in part 1 for mental health worker career center program are designated as a work project appropriation, and any unencumbered or unallotted funds do not lapse at the end of the fiscal year and are available for expenditures for projects under this section until the projects have been completed. The following is in compliance with section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the project is create a CHW certification program.

(b) The project will be accomplished by the department, districts, and ISDs.

(c) The total estimated cost for the work project is $500,000.00.

(d) The tentative completion date is September 30, 2026.

(7) From the funds appropriated in this section, there is appropriated an amount not to exceed $50,000.00 for the department to create a grant application and cover other administrative requirements to support the program funded under this section.

(8) As used in this section, "CHW" means community health worker.