The bill amends the State School Aid Act of 1979, focusing on appropriations for higher education for the fiscal year ending September 30, 2026. It increases the gross appropriation from $2,324,292,600 to $2,412,322,700, with adjustments in funding sources, including a rise in state restricted revenues and a decrease in state general fund contributions. The bill revises funding for individual public universities, enhancing support for operations and specific programs, such as the North American Indian tuition waiver. It also introduces new funding initiatives, including the Michigan student loan refinance program and the Michigan reconnect grant program, while increasing the Michigan achievement scholarships from $330 million to $345 million.

Additionally, the bill establishes a postsecondary scholarship fund within the Department of Treasury and mandates public universities to enhance transparency by maintaining a public transparency website. It introduces new definitions and requirements for universities regarding transfer agreements and academic support services, while limiting tuition and fee increases to ensure affordable education. The bill also outlines new reporting requirements for public universities, including compliance with open meetings and freedom of information laws, and mandates annual reporting on scholarship qualifications and student performance metrics. Several sections of existing law are deleted or modified to accommodate these changes, with certain provisions set to be repealed effective October 1, 2025.

Statutes affected:
Senate Introduced Bill: 388.1836, 388.1841