2014 House Bill 5728

Establish procedures for dissolving fiscally failed school district

Introduced in the House

Aug. 27, 2014

Introduced by Rep. Douglas Geiss (D-12)

To establish procedures for transferring the property of a school district that has become fiscally unviable to one or more nearby school districts. (See <a href="http://www.michiganvotes.org/2013-HB-4813">2013 House Bill 4813</a>, now Public Act 96 of 2013, enacted when the Buena Vista and Inkster school districts reached this state.) Specifically, this bill specifies procedures for when the receiving district does not want the dissolved district’s buildings or land. The Intermediate School District would then have the right of first refusal, with other local government entities next in line. If none of them wanted the property it would be sold, with unpaid lenders of the dissolved district having first claim to the proceeds. The state would be responsible for any demolition costs.

Referred to the Committee on Education