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. The bill removes previous restrictions on equipping or reequipping school buildings for technology and instead allows for the purchase of technology, while also specifying that the proceeds from bonds must be used for capital expenditures and not for maintenance costs. Additionally, it mandates that an independent audit of bonding activities be conducted within 120 days after project completion.

Furthermore, 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 cannot use bond proceeds for consumables, repairs of end-user devices outside of warranty, or curriculum-specific software training. The bill grants residents of school districts the standing to sue to enforce these provisions, ensuring accountability in the use of bond funds.

Statutes affected:
House Introduced Bill: 380.1351