School Aid Fund surplus sent to community colleges

LANSING, Mich. — Patching part of a hole in the state budget, lawmakers and Gov. Jennifer Granholm officially moved $208 million out of the School Aid Fund to use for community colleges, freeing up general fund money for other uses, according to media reports.

The shift addresses part of a $302 million overspending issue in the current fiscal year, which ends Sept. 30, according to Crain's Detroit Business. The Michigan Information & Research Service Inc. reported Thursday that Gov. Granholm, who earlier proposed the shift, made the transfer official.

The Michigan Education Association opposed the move, according to Crain's. Doug Pratt, director of public affairs at the Michigan Education Association, said the surplus money in the School Aid Fund would not have been there if lawmakers had not cut $154 per pupil from K-12 schools earlier, Crain's reported.

A separate bill that in part would make up that cut through the use of recently approved federal education funds is expected to be taken up soon, Crain's reported.

SOURCES:

Crain's Detroit Business, "Michigan Senate shifts $208 million from School Aid Fund to community colleges," Sept. 8, 2010

FURTHER READING:

Michigan Votes, "2010 House Bill 5872 (Spend federal 'edujobs' stimulus money)," Feb. 24, 2010