FY 2022-23 COMMUNITY COLLEGES BUDGET����������������������������� S.B. 843 (S-1):� SENATE SUBCOMMITTEE REC.
Senate Bill 843 (S-1 as reported)�������������������������������������������� Throughout this document Senate means Subcommittee.
Committee:� Appropriations
*As of April 12, 2022.
|
|
Gross |
GF/GP |
|
FY 2021-22 Year-to-Date Appropriation................................................. |
$431,417,000 |
$0 |
|
|
|
|
|
1. One-Time Operations Increase. The Governor included a 5.0% one-time operations increase for community colleges using the existing community college funding formula. The Senate included a 3.0% increase using the formula. |
9,709,800 |
0 |
|
2. Ongoing Operations Increase. The Governor included a 5.0% ongoing operations increase for community colleges using the existing community college funding formula. The Senate included a 3.0% increase using the formula. |
9,709,900 |
0 |
|
3. Michigan Public School Employees' Retirement System (MPSERS) UAAL Stabilization Payment. The Governor and Senate included an adjustment for MPSERS unfunded actuarily accrued liability (UAAL) costs that exceed the statutory payroll rate cap of 20.96%. This adjustment would bring the total amount for this item to $92.6 million. |
5,400,000 |
0 |
|
4. MPSERS Retiree Healthcare. The Governor and Senate included an increase in support for MPSERS retiree health care to meet the State�s projected share of those costs. This adjustment would bring the total amount for this item to $7.0 million. |
5,286,400 |
0 |
|
5. FY 2021-22 One-Time Increase. The Governor and Senate removed the 1.0% one-time operations increase that was provided to community colleges for FY 2021-22. |
(3,236,500) |
0 |
|
6. MPSERS Normal Cost Adjustment. The Governor and Senate reduced the MPSERS normal cost offset to reflect the contributions necessary to support the reduction to the assumed rate of return on investment funds that has been enacted over the past few years. This adjustment would bring the total amount for this item to $10.8 million. |
(900,000) |
0 |
|
7. North American Indian Tuition Waiver (ITW) Adjustment. The Governor and Senate reduced North American Indian tuition waiver payments based on the most recent cost data provided by the colleges. The total amount included for this item is $1.4 million. |
(306,500) |
0 |
|
8. Comparison to the Governor�s Recommendation. The Senate is $12,948,300 Gross and $0 GF/GP under the Governor. |
|
|
|
Total Changes...................................................................................... |
$25,663,100 |
$0 |
|
FY 2022-23 Senate Appropriations Subcommittee Recommendation............. |
$457,080,100 |
$0 |
|
FY 2022-23 Boilerplate Changes from FY 2021-22 Year-to-Date: |
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1. Schedule of Payments to Community Colleges. The Governor removed and Senate retained language requiring the State Budget Director to notify the House and Senate Subcommittees before funds are withheld because of a failure to report certain information as required by statute. (Sec. 206) |
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2. Use and Finance Noncompliance Penalty. The Governor removed and Senate retained a section that imposes a 1% reduction in State funding to a community college for each violation of certain requirement of the Management and Budget Act. (Sec. 208) |
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3. Transparency Reporting - Noncompliance Penalty. The Governor removed and Senate retained language that allows the State Budget Director to withhold monthly payments to community colleges if the colleges do not comply with statutory transparency reporting requirements. The Governor also removed various reporting requirements from this section, as well as a requirement that the State Budget Office compile a single report from the various reports submitted by colleges under this section. (Sec. 209) |
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4. Campus Safety Information. The Governor removed and Senate retained the requirement that colleges certify compliance with the requirements of this section, as well as the ability for the State Budget Director to withhold payments to colleges that fail to do so. (Sec. 209a) |
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5. Bachelor of Nursing Report. The Governor and Senate removed a report on articulation agreements on Bachelor of Nursing programs between community colleges and universities (Sec. 210g) |
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6. COVID-19 Mandatory Vaccine Exemptions. The Governor removed a section requiring community colleges that has a mandatory COVID-19 vaccine policy to grant exceptions to that policy under certain circumstances. The Senate modified the section to prohibit a vaccine mandate for attendance of in-person classes and to withhold the operations payments of colleges that violate the section. (Sec. 210h) |
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7. Cost Containment. The Governor removed and Senate retained a section requiring community colleges to pursue various efficiencies in their operations. (Sec. 212) |
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8. Performance Audits. The Governor removed and Senate retained a section allowing the Auditor General to conduct performance audits on community colleges. (Sec. 220) |
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9. COVID-19 Federal Funds Report. The Governor and Senate removed a report on COVID-19-related Federal funds received by community colleges. (Sec. 226b) |
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10. Campus Free Speech Report. The Governor removed and Senate retained a section of legislative intent language requesting a report from each college on strategic planning and other activities related to free speech on campus. (Sec. 226d) |
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11. Postsecondary Achievement Goal. The Governor included a new section stating a goal that 60% of Michigan residents achieve some type of postsecondary credential by 2030. The Senate did not include this section. (Sec. 226e) |
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12. Pregnant and Parenting Student Services. The Senate included a new section allowing community colleges to use their State operations payments to establish a Pregnant and Parenting Student Services Center. (Sec. 226f) |
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13. Campus Advocacy Policy. The Governor removed and Senate retained a section of legislative intent requesting that each college adopt an advocacy policy for faculty, staff, students, and other people on campus. (Sec. 226g) |
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14. Communication with the Legislature. The Governor removed and Senate retained a section prohibiting a community college from taking disciplinary action against an employee who communicates with members of the Legislature or their staff. (Sec. 228) |
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15. Tuition Restraint. The Senate included language to restrict a community college from raising tuition by more than 5.0% or $226, whichever is greater. A college that violated the tuition cap would forfeit its performance funding payments and be ineligible to receive a capital outlay project in fiscal year 2022-23 and 2023-24. |
Date Completed:� 4-21-22������������������������������������������������������������������������������������������������� Fiscal Analyst:� Josh Sefton
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.