The bill amends the Revised School Code of 1976, specifically section 1351a, to clarify the borrowing and bonding capabilities of school districts in Michigan. It stipulates that school districts, including community districts, are prohibited from borrowing money and issuing bonds for certain technology-related expenses, such as upgrades to software and training. However, the bill allows for borrowing to cover costs associated with purchasing, remodeling, and equipping school facilities, as well as acquiring school buses. Notably, the language regarding the exclusion of technology-related equipping has been removed, allowing for broader use of bond proceeds for technology purchases.

Additionally, the bill introduces new definitions and categories for what constitutes "technology," expanding it to include hardware, software, cloud-hosted services, and cybersecurity measures. It also specifies that school districts must conduct independent audits of their bonding activities and submit these reports to the Department of Treasury. The bill empowers residents of school districts to bring legal action to enforce compliance with these provisions, ensuring accountability in the use of bond proceeds.

Statutes affected:
House Introduced Bill: 380.1351