FY 2006-07 COMMUNITY COLLEGES BUDGET S.B. 1082: GOVERNOR'S RECOMMENDATION






Senate Bill 1082 (as introduced)
Committee: Appropriations

FY 2005-06 Year-to-Date Gross Appropriation $281,327,400
Changes from FY 2005-06 Year-to-Date:
  1. Operations. The Governor recommended a 2% increase for college operations to be allocated across the board to each college. 5,502,000
2. Renaissance Zone Reimbursements. The Governor recommended a 10.3% increase for this program to reflect anticipated need. This program reimbursed community colleges for the property tax revenue lost as a result of the establishment of a Renaissance Zone within their taxing district, as required by law. 300,000
Total Changes $5,802,000
  FY 2006-07 Governor's Recommendation $287,129,400
FY 2006-07 COMMUNITY COLLEGES BUDGET BOILERPLATE HIGHLIGHTS

Changes from FY 2005-06 Year to Date:
  1. Entrepreneurship Curriculum. The Governor removed the reporting requirement for language encouraging the Department of Labor and Economic Growth to work with colleges to develop an accelerated entrepreneurship curriculum. (Sec. 208)
2. ITEM Funding. The Governor deleted legislative intent language to restore funding for infrastructure, technology, equipment, and maintenance (ITEM) which in past years has been appropriated. (Sec. 220)
3. Abortion Coverage in Employee Health Insurance. The Governor removed language that prohibits the use of state funds for health insurance that included abortion services for college employees. (Sec. 230)
4. Benefits for Unmarried Partners. The Governor removed language that prohibits the use of State appropriations to provide benefits to unmarried partners of college employees. (Sec. 231)
5. University Acceptance of College Credits. The Governor removed language that creates a workgroup to make recommendations regarding university acceptance of college credits by students enrolled through the postsecondary enrollment options act. (Sec. 235)
6. Tuition Reciprocity Agreements. The Governor removed language that states intent that new and existing reciprocal tuition agreements be submitted for review and approval by the Legislative Appropriations Committees. (Sec. 236)
7. Payments in Lieu of Taxes. The Governor removed language that creates a workgroup to evaluate the possibility of state payments in lieu of taxes to colleges whose districts contain nontaxable land. (Sec. 237)
8. Optional Retirement Plans. The Governor removed language that creates a workgroup to evaluate the possibility of expanding eligibility for the optional retirement plan to include part-time faculty. (Sec. 238)
9. Community College Increases. The Governor removed language that states Legislative intent to ensure community college funding increases are similar to university increases. (Sec. 239)
10. Economic Development Job Training. The Governor removed language that states Legislative intent that 70% of the economic development job training grant money be awarded to community colleges. (Sec. 240)
11. Performance Indicator Task Force. The Governor removed language that creates a workgroup to evaluate and make recommendations for using performance indicators as a way of funding community colleges. (Sec. 242)
12. Full Funding of Gast-Mathieu Formula. The Governor removed language that states Legislative intent that the Gast-Mathieu fairness in funding formula be fully-funded. (Sec. 304)
13. Prior Year Appropriations. The Governor removed language that indicates colleges are to combine the Executive Order restoration appropriations from FY 2004-05 with the appropriations provided for in FY 2005-06. (Sec. 305)
14. At Risk Funds. The Governor removed the provision allowing for At-Risk funds to be used for the purchase of equipment. (Sec. 401)
15. Perkins Audits. The Governor removed language that states Legislative intent to limit the frequency and scope of Federal Perkins Act audits to those reasonably necessary to meet the requirements of the state plan. (Sec. 511)
16. Tax Increment Finance Authorities. The Governor removed language that requires the Department of Treasury to report on the property tax revenue lost by colleges as a result of tax increment finance authorities and tax abatements. (Sec. 513)

Date Completed: 2-28-06 Fiscal Analyst: Mike Hansen Bill Analysis @ http://www.senate.michigan.gov/sfa This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations. hiccl_gr.doc