The bill amends the State School Aid Act of 1979, focusing on appropriations for community colleges for the fiscal year ending September 30, 2026. It reduces the gross appropriation from $462,220,800 to $456,652,500 and adjusts funding allocations for individual colleges, notably eliminating performance funding for many while maintaining support for the North American Indian tuition waiver. New sections (217d, 217e, 217f, 217g, 217h, and 217i) are introduced, and certain acts are repealed, specifying appropriations for retirement contributions and tax reimbursements. The bill also updates fiscal year references to 2025-2026 and mandates that appropriated funds not be used for foreign goods if comparable American options are available.

Additionally, the bill establishes a Michigan Community College Data Inventory for data management and requires colleges to submit various reports, including tuition and degree statistics, with penalties for non-compliance. It sets a maximum tuition increase of 3.0% or $149.00 for the academic year 2025-2026 and mandates compliance with federal Title IX regulations. The bill introduces restrictions on diversity, equity, and inclusion initiatives, stating that appropriated funds cannot be used for such purposes, and establishes penalties for violations. It also requires community colleges to designate athletic teams based on biological sex and prohibits restricted common areas based on sex or race, with the state budget director empowered to enforce compliance and withhold funding if necessary.

Statutes affected:
House Introduced Bill: 388.1801, 388.1806