MFT and SRP Michigan Federation of Teachers & School Related Personnel

 

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June 2004

Cigarette Tax Increase Signed
Shift of Funds to School Aid Awaits Governor's Signature
New Set of ISD Bills Moving
Senate Panel Approves Improved ISD Bills
Latest ISD Bill On House Floor
Separation from Community College District
Sex Education Abstinence Bills Become Law
Granholm Vetoes Student Work-Hours Bill
Social Studies Task Force Announces Forums

Links to current Legislative Action Alerts
may be found on the Legislative Hotline page of this website.


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Cigarette Tax Increase Signed

Governor Granholm has signed House Bill 5632 (Julian, R-Lemon) to become Public Act 164 increasing the cigarette tax from $1.25 to $2.00 per pack. It will also raise the tax on other tobacco products, such as cigars and pipe tobacco, from 20 percent to 32 percent on the wholesale price.

For the remainder of this fiscal year, the increase on cigarettes and other tobacco products should raise some $97 million, and $313 million in 2004-05. While the increase will play a major role in helping resolve the state's budget problems, it by no means is the total solution. For the remainder of the current fiscal year, the state still has to close a $150 million shortfall, and for the 2004-05 fiscal year the state still has to struggle with a $1 billion shortfall.

Under the new law, the 75-cent increase will go completely to the Medicaid Trust Fund for both the remainder of this fiscal year and next.

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Shift of Funds to School Aid Awaits Governor's Signature

On June 14, the House unanimously passed Senate Bill 1194 (Johnson, R-Royal Oak) that would transfer $51 million from the general fund to the school aid fund. The Governor is expected to sign Senate Bill 1194 to help deal with holes in the budget for the 2004 fiscal year and avoid a $28 per pupil cut in school districts' state funding.

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New Set of ISD Bills Moving

The House Education Committee is currently working on a new set of ISD bills that would require additional audits of intermediate school districts and that would provide criminal penalties for misusing special education and vocational education funds. The Michigan Federation of Teachers and School Related Personnel opposes all of these bills. We urge you to contact your state legislators and members of the House Education Committee making them aware of the detrimental effect these bills will have on public education. You can locate and contact your legislator via e-mail from the Legislative Hotline page of this website.

Listed below are the highlights of these bills:

HB 5475 (Sub. H-2 Draft 2) Bradstreet, R-Gaylord: Requires ISDs to file reports to the state Department of Education with detailed information on their travel, conference, and training expenses; and details on all contracts. The department would be required to post this information on the Internet.

HB 5627 (H-1 Draft 1) Ruth Johnson , R-Holly: Tied to HB 5475 to put information being disclosed Form B reported to C.E.P.I. All state aid would be withheld if this provision is violated.

HB 5921 (H-1) Ruth Johnson, R-Holly: Requires ISDs to adopt a policy designed to avoid conflicts of interest by officials and employees; prohibit ISD contracts with entities in which a board member, administrator or employee has a financial interest; ban gifts to ISD board members and administrators worth more than $44 in a given month; require that ISDs have a policy against using public money to buy alcoholic beverages, jewelry, gifts, entertainment or sporting event ticket, golf or other recreational activity fees, or illegal items; require ISD contracts with administrators to have a "moral turpitude" clause; and prohibit a member of constituent school district board from also serving on an ISD board.

HB 5839 (H-2) Ruth Johnson, R-Holly: Prohibits ISD millage authorizations that have a duration of more than 25 years, and prohibit ISD bond issues from being used for any purpose other than providing facilities for special education or vocational-technical education. ISDs would be required to have annual independent audits done to ensure that bond money has not been used for any other purpose, and if it was, voter approval of the bond millage could be reconsidered in an election if 10 percent of the registered voters in the ISD sign petitions requesting a vote.

HB 5850 (Star) Ruth Johnson, R-Holly: Prohibits the use of school district or ISD money for the purchase of alcoholic beverages, jewelry, gifts, tickets for entertainment or sporting events, fees for golf or other recreational activities, or any item that is illegal to purchase or possess. School personnel who violate the ban would be subject to paying restitution, 93 days in jail and a $5,000 penalty. The bill would also make it a felony and require restitution from school personnel who knowingly or intentionally use bonds revenue for a purpose other than the purpose for which the bonds were issued, or who violate competitive bidding requirements for school buildings or repairs.

HB 5851 (a) Ruth Johnson, R-Holly: Provides guidelines for the crimes proposed by House Bill 5850 of failing to comply with school competitive bidding processes and improperly using school bond proceeds. Tie barred to House Bill 5850.

HB 5457 (H-1 Draft 2) Palmer, R-Romeo: Requires the Department of Treasury to conduct 5 random "performance audits" on Intermediate School Districts every two years replacing their regular audits but at district cost.

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Senate Panel Approves Improved ISD Bills

The original ISD five-bill package (HB 4338, HB 4947, HB 5530, HB 5458, and HB 5376) that would overhaul the governance of intermediate school districts was taken up by the Senate Education Committee on June 24. The bills are greatly-improved versions of legislation that Rep. Ruth Johnson (R-Holly) first proposed.

Before approving House Bill 4338 (Ruth Johnson, R-Royal Oak), the Senate Education Committee removed provisions that would have limited ISD board members to 18 years in office. They also deleted language that would have placed limits on the ability of the Detroit Public School CEO to approve contracts. As reported out of committee, the main bill in the ISD accountability package would:
  • permit citizens to recall an intermediate school district board member;

  • authorize constituent school districts to remove an ISD board member;

  • permit the governor to remove an ISD board member or a school board member; and

  • all officers shall be members of the ISD board.
Other ISD reform legislation approved by the Senate Education Committee includes:
  • HB 4947 (Gleason, D-Flushing) requiring that local school districts conduct public meetings to select new ISD board members. The committee amended the bill to allow the local boards to send any representative to that meeting, not necessarily a member of the local board.

  • HB 5376 (Caswell, R-Hillsdale) requiring that ISDs follow the same public bid rules as school boards and public school academies when constructing or repairing buildings, though the bill increases the minimum cost for the bid requirement to $17,932 from the current $12,500 and tied the amount to the consumer price index. The bill as reported also would require disclosure of any familial relationships between contractors and board members, though it would not prohibit such relationships.

  • HB 5458 (Woodward , D-Royal Oak) providing for local district review of ISD budgets. As reported, the bill does not require local district approval of the budgets, but it does require the districts to adopt, by June 1 of each year, resolutions either supporting the budget or recommending adjustments.
The committee postponed action on House Bill 5530 (Stahl, R-North Branch) that would have required each ISD to create a special education parent advisory committee and Senate Bill 643 (Cherry, D-Burton) that would have required local school boards to publicly announce their preferred candidate for an open ISD board seat.

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Latest ISD Bill On House Floor

House Government Operations Committee Chair Jim Koetje (R-Walker) introduced House Bill 5962, which would give voters the ability to limit the powers of larger Intermediate School Districts. It was on the agenda for their June 1meeting, however, due to intense lobbying it was not taken up because of lack of support. House Bill 5962 was then reassigned to the House Committee on Education on June 2.

Under the bill, ISDs that include school districts with 75,000 students or more, would be required to place a ballot issue on the June 2005 school election asking voters whether they want to cease ISD operations and divert all ISD tax revenue to constituent districts. In its current form, House Bill 5962 would affect four ISDs: Kent, Genesee, Macomb, and Oakland. To date, this bill has not been scheduled for a hearing.

However, on June 23 the content of House Bill 5962 was inserted into Senate Bill 599 by amendment on the House floor. (Until then, Senate Bill 599 (Basham, D-Taylor) was a relatively innocuous bill to allow school district employees to enroll their children in their district if the family does not live in the district.) Senate Bill 599 could move at any time.

Due to approximately 100 MFT&SRP members, ISD employees, board members, and special education parents ascending on the capitol, Senate Bill 599 was not brought up on the House floor. The House Education Committee hearing on Senate Bill 599 was also cancelled. A very special thank you to all members who traveled to Lansing to lobby their legislators.

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Separation from Community College District

House Bill 4228 (Gaffney, R-Grosse Pointe) would permit a school district, city, village, or township to separate from a community college district by a majority vote of its electors. The question of separation could be placed on the ballot by resolution of the appropriate governing body or by petition signed by not less than 500 electors of the district, city, village, or township. The separation would be effective on the date of the election or on the date specified in the resolution or petition, whichever was later.

If a local jurisdiction separated from the community college district, its territory would no longer be subject to operating taxes levied by the district as of the next succeeding tax year after the effective date of the separation. However, the jurisdiction's territory would remain as a separate assessing unit for the purpose of any outstanding bonded indebtedness of the community college district until it was retired or refunded.

House Bill 4228 is currently before the House Higher Education Committee. The Michigan Federation of Teachers and School Related Personnel oppose this bill because of the detrimental effect it would have the Wayne County Community College, as well as other community colleges throughout the state. Please contact your state legislators in opposition to House Bill 4228.

This bill has been on the committee agenda for two consecutive weeks but has had insufficient votes to report it out. However, the Speaker could discharge it from committee to the floor of the House at any time.

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Sex Education Abstinence Bills Become Law

Public Act 165 (Senate Bill 943 - Kuipers, R-Holland) requires that public school instruction on HIV, AIDS, and sex education emphasize abstinence, the consequences of sexual behavior, refusal skills, and other content. The bill also would prescribe the membership, terms, and responsibilities of each district's "sex education advisory board."

The sex education advisory board shall consist of the following:

  • at least 1of the co-chairs for the advisory board must be a parent of a child attending a school in the district;

  • at least 1/2 of the members of the sex education advisory board shall be parents who have a child attending a school in the district;

  • a majority of these parent members shall be individuals who are not employed by a school district;

  • pupils of the school district, educators, local clergy, and community health professionals.
Public Act 166 (Senate Bill 5478 - Stahl, R-North Branch) provides for a complaint process for a parent or guardian who believed that the school district is not complying with current statutory sex education requirements or with provisions requiring each school district to form a "sex education advisory board."

In addition, the bill reduces the percentage of State aid a district must forfeit (from 5% to 1%) if it fails to comply with requirements for sex education instruction and includes violations of the advisory board provisions among those subject to the penalty.

Under House Bill 5478, a parent or legal guardian who believes a district was out of compliance can file a complaint with his or her district or intermediate district's superintendent. The superintendent has to investigate the complaint and provide a written report to the parent within 30 days. The district has to take corrective action.

In the event a parent believes the district still is not in compliance with the law, the bill establishes a process for appealing, first to the intermediate school district and then to the Department of Education. The Department has to track the number of complaints and appeals it received for the 2004-2005 school year and report this information to the Legislature.

Through intense lobbying and various work-group efforts by the MFT&SRP and other education organizations, enormous improvements were made in these bills before their passage.

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Granholm Vetoes Student Work-Hours Bill

Governor Jennifer Granholm has vetoed Senate Bill 320 (Stamas, R-Midland), that would have relaxed employment standards to allow 16-17 year old students to work up to 22 hours a week, regardless of how much time they spent in school.

Existing law prevents students from going to school and working more than a combined 48 hours a week. Senate Bill 320 would have allowed for a combination of 52 work and school hours per week. The MFT&SRP requested this veto as we felt increased pupil work hours would decrease academic performance.

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Social Studies Task Force Announces Forums

The State Board of Education's Social Studies Task Force has set five forums to gather public input on the state's social studies standards and curriculum. The events are as follows:
July 9: Wayne RESA, 33500 Van Born Road, Wayne, 9 a.m.
Saginaw ISD, 6235 Gratiot Road, Saginaw, 1:30 p.m.
July 22: Kent ISD, 2930 Knapp Street NE, Grand Rapids, 1 p.m.
July 23: Lenawee ISD, 4107 North Adrian Highway, Adrian, 9:30 a.m.
July 26: Charlevoix-Emmet ISD, 8568 Mercer Boulevard, Charlevoix, 1 p.m.
July 27: Marquette-Alger RESA, 321 East Ohio, Marquette, 1 p.m.


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July 6, 2004
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