Fall Conference 2018 Legislative Update

MASA Michigan Association of Superintendents & Administrators

Legislative Update Fall Conference 2018 September 21, 2018

Service • Leadership • Collaboration • Excellence Legislative Update – Agenda • Election 2018 • Lame Duck Predictions

• School Aid Erosion • Truancy

• School Finance Research • Taxes Collaborative • School Safety • CSC Changes • Educator Evaluations • Marshall Plan • Supplemental Budget • Administrator Certiﬁcation • Odds and Ends

• Rep. Tim Greimel

• Sen. Mike Kowall

• Rep. Klint Kesto

• Sen. Coleman Young

• Sen. Ian Conyers

•

• Rep. Dave Pagel • Rep. Daniela Garcia

• Rep. Brett Roberts • Rep. Gary Glenn

• Rep. Fred Durhal • Sen. Vincent Gregory (House) • Rep. Robert Kosowski

©2017, Michigan Association of School Administrators. All Rights Reserved. Incumbents Losses • Rep. Dave Maturen • Sen. Vincent Gregory (House) • Rep. Patrick Green • Sen. David Knezek (upset of the night)

©2017, Michigan Association of School Administrators. All Rights Reserved. Millage Proposals • 96.3% of millage requests • 88% of those that were actual were passed by voters. increases over renewals were passed. • School bonds - 9 of 11. • Road millages - 33 of 41. • Sinking Funds - 14 of 18. Public safety tax increases - • Senior services - 28 of 28. 86 of 90. • Parks and Rec - 8 of 10.

• 28/38 Senate seats (71% of chamber and roughly the same percentage of each caucus)

• 43/110 House seats (39% of the chamber roughly the same percentage of each caucus)*

• 4/4 (100%) of statewide executive ofﬁces

Bill Schuette - Republican Gretchen Whitmer - Democrat

• 1991-1993: Director of Michigan Department of Agriculture

• 1995-2002: State Senator

• 2003-2009: Judge for the Fourth District Court of Appeals

• 2011-Present: Attorney General Bill Schuette - R Midland

• 2001-2006: State Representative

• 2006-2015: State Senator

• 2011-2015: Senate Minority Leader

• 2016: Ingham County Prosecutor

Gretchen Whitmer - D East Lansing

Lisa Posthumus Lyons - Republican Garlin Gilchrist II - Democrat

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 14 Election 2018 – Lt. Governor • Before Election: Director of Public Policy for the Grand Rapids Association of REALTORs

• 2011-2016: Michigan House of Reps

• 2017-Present: Kent County Clerk and Register of Deeds

Lisa Posthumus Lyons - Republican

• Computer programming for Microsoft

• Political Organizer for MoveOn.org

• Social Media for Pres. Barack Obama’s 2008 Campaign

• City of Detroit Director of Innovation & Emerging Technology

• Ran for Detroit City Clerk

Garlin Gilchrist II - Democrat

Tom Leonard - Republican Dana Nessel - Democrat

• Former Assistant Attorney General

• 2012- Present Michigan House of Representatives

• 2016-Current: Speaker of the House

Tom Leonard - Republican

• Former Assistant Prosecutor in Wayne County

• Started own ﬁrm in 2015

• President and founder of the Fair Michigan Foundation

Dana Nessel - Democrat

Mary Trader Lang - Republican Jocelyn Benson- Democrat

• Held senior management roles in a number of Computer Security Companies

• Current: Vice President of Major Gifts for Vista Maria

Mary Trader Lang - Republican

• Ran for SOS previously in 2010

• Former Dean of Wayne State Law School

• Current: CEO and Executive Director of the Ross Imitative in Sports for Equality

Jocelyn Benson- Democrat

• One sitting member (Eileen Weiser) not returning.

• Statewide election, 8 year term.

• No straight party voting!

Wednesday, October 17, 2018 6:00 PM at the Kellogg Center

http://gomasa.org/SBEforum

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 26 Potential House District Flips from Republican-Democrat • 17th: Rep. Joe Bellino (Incumbent) v. Michelle • 62th: Dave Morgan v. Jim Haadsma (Currently LaVoy Rep. John Bizon)

• 19th: Brian Meakin v. Laurie Pohutsky (Currently • 71th: Christine Barnes v. Angela Witwer (Currently Rep. Laura Cox) Rep. Tom Barrett)

• 20th: Rep. Jeff Noble (Incumbent) v. Matt Koleszar • 91th: Greg VanWoerkom v. Tanya Cabala (Currently Rep. Holly Hughes) • 38th : Rep. Kathy Crawford (Incumbent) v. Kelly Breen • 99th: Rep. Roger Hauck (Incumbent) v. Kristen Brown • 39th : Ryan Bergman v. Jennifer Suidan (Currently Rep. Klint Kesto) • 104th: Rep. Larry Inman (Incumbent) v. Dan O’Neil

• 40th: : David Wolkinson v. Mari Manoogian • 110th: Gregory Markkanen v. Ken Summers (Currently. Rep. Michael McCready) (Currently Rep. Scott Dianda)

• 61th: Brandt Iden (Incumbent) v. Alberta Grifﬁn

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 27 Potential Senate District Flips from Republican-Democrat • 7th: Rep. Laura Cox v. Dayna Polehanki • 20th: Sen. Margaret O’Brien (Incumbent) v. (Currently Sen. Patrick Colbeck) Sean McCann

• 10th: Michael MacDonald v. Rep. Henry • 24th: Rep. Tom Barrett v. Kelly Rossman- Yanez (Currently Sen. Tory Rocca) McKinney (Currently Sen. Rick Jones)

• 12th: Rep. Mike McCready v. Rosemary • 29th: Rep. Chris Afendoulis v. Rep. Winnie Bayer (Currently Sen. Jim Marleau) Brinks (Currently Sen. Dave Hildenbrand)

• 13th: Sen. Marty Knollenberg (Incumbent) v. • 34th: Jon Bumstead v. Poppy Sias- Mallory McMorrow Hernandez (Currently Sen. Goeff Hansen)

• 15th: Rep. Jim Runstead v. Julia Pulver • 38th: Ed McBroom v. Rep. Scott Dianda (Currently Sen. Mike Kowall) (Currently Sen. Tom Casperson)

•

• 20th House: Jeff Noble • 20th Senate: Margaret O’Brien

• 38th: House: Kathy Crawford

• 61st House: Brandt Iden

• 99th House: Roger Hauck

• 104th House: Larry Inman

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 30 Marijuana - Proposal 1 • The petition would legalize, regulate and tax recreational marijuana. Those over 21 could use marijuana, but would still be unable to consume it in a public place or drive under the inﬂuence.

• Local governments would decide whether or not to allow these businesses within their boundaries, and then the state Department of Licensing and Regulatory Affairs would regulate those businesses.

• The language would also give Michigan the highest marijuana limits in the nation, allowing residents to legally carry 2.5 ounces of marijuana on their person and have 10 ounces at home.

• The proposal would amend the Michigan Constitution to create an independent redistricting commission. The 13-member commission would consist of ﬁve independent members, four self-declared Democrats and four self-declared Republicans.

• Elected ofﬁcials, candidates, lobbyists and political consultants or staffers -- as well as family members of politicians or other insiders -- would be barred from participating within six years of their politically- afﬁliated position.

• The commissioners would be selected randomly from a pool of registered voters who submitted applications to the Secretary of State. The Secretary of State would be required to circulate commissioner applications to 10,000 registered Michigan voters at random from various regions of the state.

• Final maps for congressional and state House and Senate lines would require majority approval and support from at least two Republicans, two Democrats and two independents on the commission.

• no-reason absentee voting,

• give military members additional time to vote,

• let citizens register to vote anytime with proof of residency,

• allow straight party voting,

• protect secret ballots;

• and require audits for election results.

PA 158 of 2010 – COMMUNITY COLLEGES Sec. 301. It is the intent of the legislature that the state school aid fund revenues appropriated under part 1 for community colleges for the fiscal year ending September 30, 2010 shall be considered a loan from the state school aid fund to the state general fund and shall be repaid from the state general fund to the state school aid fund over a period of 5 fiscal years beginning in the fiscal year ending September 30, 2012.

• $4.5 billion since 2010

• Started out as a loan

• Foundation still 2012 levels

Budget Year School Aid Fund Dollars Percent of operations from SAF Total SAF Dollars Universities Community Colleges Universities Community Coleges 2009 $0 $0 0% 0% $0

2010 $0 $208,400,000 0% 70% $208,400,000

2011 $0 $0 0% 0% $0

2012 $200,019,500 $259,629,400 15% 91% $459,648,900

2013 $200,465,700 $197,614,100 16% 67% $398,079,800

2014 $200,465,700 $197,614,100 16% 66% $398,079,800

2015 $206,467,900 $364,724,900 15% 100% $571,192,800

2016 $205,179,500 $256,714,800 15% 76% $461,894,300

2017 $237,109,500 $260,414,800 17% 59% $497,524,300

2018 $238,343,500 $398,301,500 16% 100% $636,645,000

2019 $500,088,300 $418,215,500 34% 100% $918,303,800

Total $1,988,139,600 $2,561,629,100 $4,549,768,700

75%

50%

25%

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Universities Community Colleges

Source: Michigan League for Public Policy

$900,000,000

$600,000,000

$300,000,000

1994-95 1996-97 1998-99 2000-01 2002-03 2004-05 2006-07 2008-09 2010-11 2012-13 2014-15 2016-17 2018-19 GF/GP Appropriation SAF to Higher Ed

Source: Michigan League for Public Policy

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 40 School Aid Erosion Other Expenditures Stop the Bleeding Fiscal Year Amount 2010 $186,140,200 $260,000,000 2 2011 $157,490,700 $195,000,000 2012 $166,155,400 $130,000,000 2013 $252,831,900 2014 $251,937,700 $65,000,000

2015 $259,221,500 $0 2016 $97,807,600 2017 $207,503,000 2009-102010-112011-122012-132013-142014-152015-162016-172017-182018-19 2018 $217,849,200 Other Items 2019 $102,548,700

Source: House Fiscal Agency

PILT Reimbursement Juvenile Detention Facility

Durant - Debt Service School Readiness - Competitive Challenge Program Renaissance Zone Costs

School Breakfast Program School Bond Redemption Fund Cash Flow Borrowing Costs Bus Inspections Hearing and Vision Screening

• Cuts to Financial Aid

• Cuts to Revenue Sharing

• Swapped Michigan Business Tax with the Corporate Income Tax

• Total Cost: $1.5 Billion

• Legacy business tax credits

• Repeal of the personal property tax

• Triggered income tax rate cuts

• Small property and sales tax exemptions

• Increase in the personal exemption

• $908 million would bring everyone to the same foundation allowance and still leave $258 million for other investments

• $63 million would fully fund Early On

• Fully fund At-Risk categorical

• Purchase 756,000 high end MacBooks

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 46 ©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 47 ©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 48 SFRC – Recommendations 1. The base per-pupil cost to educate a regular education K-12 student in Michigan is $9,590, which does not include transportation, food service or capital costs, and only includes pension costs at 4.6% of wages.

2. In addition to the base per-pupil cost, a percentage of the base cost should be provided for special education, English Language Learners and students living in poverty, and an additional 10% of the base cost for CTE enrolled students.

3. Enrollment size adjustment in addition to the base to address the absence of economies of scale. Applicability to charter schools is possible. Examples follow:

• An additional $1,892 per student in a district with enrollment of 670 students

• An additional $717 per student in a district with enrollment of 1,700 students

• An additional $364 per student in a districts with 5,020 students

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 49 SFRC – Recommendations 4. Charter schools should have the same base per-pupil funding for a regular education student and the same adjustments to the base amount that traditional districts receive.

5. It costs $14,155 to educate a preschool student age 3 or 4.

6. Transportation costs should be funded at $731 per rider until further study can be carried out.

Final Recommendation Base Foundation $9,590 Size Adjustment Adjusted by Formula Poverty Weight 0.35 ELL WIDA 1-2 0.70 WIDA 3-4 0.50 WIDA 5-6/FELS 0.35 Special Education Mild 0.70 Moderate 1.15 State Reimbursement CTESevere Base plus 10% per pupil PreschoolCTE 14,155 Isolation 0.04

2. SFRC Presentation at board meeting

3. Discuss with staff

4. Discuss with legislators and candidates

5. Write Op-Eds

• A student who is convicted of either:

• (1) criminal sexual conduct

• (2) assault with intent to commit criminal sexual conduct

• Court ordered to stay out of the same school building (including buses) as the victim

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 54 CSC Changes – HB 5531 • Provides for suspension and expulsion requirements when the crime involves two students in the same school district

• School board, superintendent, principal, or other designated district ofﬁcial may suspend or expel the student

• If the student pleads to or is convicted of criminal sexual conduct against another student in the district, the school board or its designee must expel the student permanently, subject to possible reinstatement.

• Previously, the crime must have occurred on school grounds

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 55 CSC Changes – HB 5532 • Allows a family court to issue a personal protection order ("PPO") to prohibit a student from the same school as victim of a sexual assault (i.e. criminal sexual conduct offense) perpetrated by the assaulting student

• Applies when a student has been convicted of furnishing obscene material to the victim

• Consistent with the HB 5530 reinforcing the idea that sexual violence perpetrators should not be allowed to have access to their victims.

• Balance between victim/survivor rights and the educational rights of all students

• What happens is…?

• Always consult with your legal counsel for speciﬁc cases

• September 5 – September 19: Talent Consortiums may submit the Concept Summary for review and comment. Those that have been approved will be notiﬁed within two to three weeks of submission. A Consortium must have an approved Concept Summary before it can move on to submit a Talent Agreement.

• October 9 – October 23: Talent Consortiums with an approved Concept Summary may submit the Talent Agreement to be considered for round-one funding. If the Talent Agreement is approved, invitation to apply for the grant will be made to the Talent Consortium. Those that have been approved will be notiﬁed within two to three weeks of submission. A consortium must have an approved Concept Summary and Talent Agreement before it can move on to submit a grant application.

• November 13 – November 26: Submit grant application for ﬁrst round of funding. Not more than 50 percent of the $59 million under the granting authority of MDE will be recommended for awards. Only grant applications that are considered innovative and exceptional will be awarded Marshall Plan for Talent funds. Consortia must have an approved Concept Summary and Talent Agreement before it can move on to submit a grant application.

• November 2018: Marshall Plan for Talent grant team reviews all applications and recommends awards.

• December 2018: First round of innovation grants awarded.

• January 9 – January 25: Talent Consortiums may submit Concept Summary for review and comment. A Consortium must have an approved Concept Summary before it can move on to submit a Talent Agreement.

• February 4 – March 1: Talent Consortiums may submit the Talent Agreement to be considered for round-two funding. A consortium must have an approved Concept Summary and Talent Agreement before it can move on to submit a grant application.

• March 11 – April 12: Submit grant application for second round of funding. Not more than 50 percent of the $59 million under the granting authority of MDE will be recommended for awards. Only grant applications that are deemed innovative and exceptional will be awarded Marshall Plan for Talent funds.

• April 2019: Marshall Plan for Talent grant team reviews all applications and recommends awards.

• May 2019: Second round of innovation grants awarded.

• Note: As required by law, not later than June 1, 2019, 50 percent of the funds under Sections 297a, 297b and 297d must be awarded.

• April 15 – 30: Talent Consortiums may submit Concept Summary for review and comment. A Consortium must have an approved Concept Summary before it can move on to submit a Talent Agreement.

• May 6 – June 7: Talent Consortiums may submit the Talent Agreement to be considered for round-three funding. A consortium must have an approved Concept Summary and Talent Agreement before it can move on to submit a grant application.

• June 17 – July 19: Submit grant application for third-round funding. The remainder of the $59 million under the granting authority of MDE will be recommended for awards. Only grant applications that are deemed innovative and exceptional will be awarded Marshall Plan for Talent funds.

• July 2019: Marshall Plan for Talent grant team reviews all applications and recommends awards.

• August 2019: Third round of innovation grants awarded.

• Required Experience-Based certiﬁcation for administrators who were “grandparented” with MDE

• New administrator permit for those who are working toward a certiﬁcate

• Every administrator will need to have a certiﬁcate or permit

• New admins can be hired w/o a certiﬁcate. (6 months to start, 3 years to ﬁnish)

• Truancy

• Chronic absenteeism

• In attendance

• Excused absence

• Unexcused absence

• Documentation

• Deﬁnitions not consistent with federal/pupil accounting policy or local attendance policies.

• Unworkable as currently drafted

• Negotiations at an impasse. Sticking points are few, but big.

• Best case scenario is mitigating problems not passing good policy.

• Things that are NOT on the table:

• Forcing court intervention when cases are referred.

• Financial support.

• Closing homeschool loophole

• Gross to net

• Internet Sales Tax Collection

• Personal Property Tax Changes

• Election Ramiﬁcations for Taxes

• 4 major proposals, myriad related bills

• House and Senate GOP have exchanged their proposals

• Safer Schools. Safer Students. (SB 1030 HB 5966)

• Money in the budget

• $100 million grant program for personnel, a $20 million grant program for safety infrastructure, and other reforms, including:

• Grants for more school resource ofﬁcers working in school facilities;

• Grants for more school mental health professionals;

• Grants to ensure safer buildings; and

• Mandatory reporting of threats and graduated penalties.

©2018, Michigan Association of Superintendents & Administrators. All Rights Reserved. 79 Concealed Carry in Schools • SB 584-585: allow person with CPL to obtain special endorsement for no-carry zones.

• SB 586: prohibit districts from creating policies for non-students stricter than federal or state law.

• Passed Senate last year.

• Legislature has the authority to pre-empt school boards

• Legislature has failed to pre-empt that authority

“The Legislature has, expressly, restricted some but not all local governments from regulating ﬁrearms. Schools in particular are not on the preempted list…. [T]he clarity of the statute that we are bound to respect is entirely inconsistent with the notion that the Legislature intended to occupy the ﬁeld here.”

• Keeps growth at 25%

• Possible admin companion bill expected

• Business community opposition

• $30 million in mental health

• F1 Visa Issue

• Other?

• HB 5907 (Frederick) Testing Notiﬁcations; Requires notiﬁcation of opportunities for advanced placement testing, college level program testing and DSST subject standardized tests.

• HB 6043 (Clemente) Employees; Requires districts to disclose to prospective employers and to report to MDE any information received about an applicant receiving disciplinary action for immorality, inappropriate behavior with a minor

• HB 6195 (Albert) School Aid; Revises School Aid Fund earmarks. House Tax Policy

• HB 4069 (PA 236 of 2018); Revises credit requirement for substitutes from 90 to 60 semester hours of college credit or attainment of an associate degree from a college, university, or community college.

Associate Executive Director Government Relations

517.896.5951 [email protected]