FY 2021-22 School Aid Budgets
The House and Senate Appropriation subcommittees released and subsequently voted on their respective Fiscal Year 2021-22 budgets on Thursday. Procedurally, this step of the budget process is largely routine. HB 4407 and SB 83 will continue through the negotiation process and neither proposal detailed below will be the final product.
The House and Senate budget versions are significantly different. The House’s proposal rolled up and consolidated many categoricals and focused on larger line-items. In the other chamber, the Senate included nearly every categorical from previous fiscal years and included funding for several projects that we often refer to as “pork.” Some examples include funding for drowning prevention safety presentations, Algebra Nation, Michigan Fitness Foundation, and Orton-Gillingham.
Below we’ve summarized most of the high points, but will continue to refine our analysis and provide more detail soon.
Here are some resources to aid in understanding the proposals:
House: $16.349 billion
Senate: $15.525 billion
House: $50 to $100 per pupil (2x)
- Minimum Foundation Allowance: $8,211
- Maximum (Target) Foundation Allowance: $8,579
Senate: $125 to $250 per pupil (2x)
- Minimum Foundation Allowance: $8,361
- Maximum (Target) Foundation Allowance: $8,654
Both the House and Senate maintain the cyber school foundation allowance at 100%. Additionally, both chambers eliminated the “super blend” that was included in the FY 2020-21 fiscal year budget. Under both proposals, pupil membership would be calculated using the more familiar 90/10 blend.
Sec. 31a: At-Risk Funding
House: maintains current-year appropriation. Revises allocation to a district with state and local revenue exceeding the Target foundation allowance for both the current and prior year from 30% to 35% of the amount for which it would otherwise be eligible. Expands "at-risk pupil" definition to include Pre-K.
Senate: standard funding is maintained at $510 million with another $12 million in At-Risk Hold Harmless funding. Revises allowable uses to add that districts could use this portion of at-risk funding for parent liaisons.
Sec. 32d: Great Start Readiness Program
House: Increases by $5 million SAF, which increases the allocation per child from $7,250 to $7,400 for a full-day program and from $3,625 to $3,700 for a part-day program. Revises pathways to eligibility as a lead teacher, including provides that five years of experience as a paraprofessional qualifies as an additional pathway for eligibility.
Senate: Raises the per-child full-day slot payment from $7,250 up to the proposed minimum foundation allowance level of $8,275, and to increase the longitudinal study appropriation from $350,000 to $600,000 GF/GP.
Sec. 81: ISD General Operations Support
House: Maintains current year funding.
Senate: Provides for a 2.0% increase and adds a condition for funding that ISDs must include PSAs in communications, particularly as they relate to COVID-19. Gives section immediate effect.
Sec. 152b: Reimbursement to Nonpublic Schools
House: $2.5 million GF and requires reimbursements to also be made for expenses incurred over previous fiscal years.
Senate: Retains the section and funds at $250,000 GF/GP. Extends work projects through Sept. 30, 2023.
Senate Only Items of Significance:
- Sec. 25k: During-School Social and Emotional Learning ($100 Placeholder)
- Includes a $100 placeholder for a program that provides dropout prevention solutions for at risk students and disengaged learners by providing during-school social and emotional learning, enrichment, career exploration, and counseling.
- Sec. 31p: NEW TRAILS ($1.4 million)
- New competitive grant program for ISDs to support the TRAILS program, which provides training to school mental health professionals.
House Only Items of Significance:
- Sec 11d: Per Pupil Reduction Payments ($172 million SAF)
- Payments to districts based on an equal per-pupil basis
- Sec. 22e: Rural Transportation Reimbursement ($50 million SAF)
- $250 per pupil for districts with fewer than 10 pupils per square mile; $200 per pupil for districts with at least 10 but fewer than 15 pupils per square mile; and $150 per pupil for districts with at least 15 but fewer than 20 pupils per square mile.
- Sec. 23b: Remediation Services ($152.4 million SAF)
- $90 million for in-person summer programs for grades K-8; $45 million for high school credit recovery programs; and $17.4 million for in-person before and/or after school programs. An eligible district, ISD, or consortium of districts or ISDs receives $550 for each student in a K-8 summer program, $550 for each student in a credit recovery program, and up to $25,000 for a before and/or after school program. Payments may be prorated if funds are insufficient.
- Sec. 23e: Community Based Organizations Before/After School Programs ($5 million GF)
- Competitive grants to community-based organizations for in-person before and/or after school programs for grades K-8. To the extent practicable, requires MDE to ensure that eligible entities in all geographic regions of the state are represented in the distribution of grant funding. Also requires prioritization of entities that are located within districts or ISDs that do not provide the same before and/or after school programming.
- Sec. 97: School Safety Grants ($10 million GF)
- Competitive grants for public and nonpublic schools, districts, and ISDs to create a safer school environment through equipment and technology enhancements. Caps grants at $50,000 for a school and $250,000 for a district or ISD.