2016 House Bill 5296 / Public Act 54

Make "downpayment" on Detroit school bailout

Introduced in the House

Feb. 2, 2016

Introduced by Rep. Al Pscholka (R-79)

To provide a template or "place holder" for a potential supplemental multidepartment appropriation for Fiscal Year 2016-2017. This bill contains no appropriations, but may be amended at a later date to include them.

Referred to the Committee on Appropriations

March 16, 2016

Reported without amendment

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

March 17, 2016

Substitute offered by Rep. Al Pscholka (R-79)

To replace the previous version of the bill with one that uses this as a "vehicle" bill for a partial bailout of the insolvent Detroit public school system.

The substitute passed by voice vote

Amendment offered by Rep. Brian Banks (D-1)

To not make the appropriation contingent on including the Detroit school system under a financial reform oversight panel created for the city of Detroit as a condition of a state bailout given to the city.

The amendment failed by voice vote

Amendment offered by Rep. Alberta Talabi (D-2)

To not allow the appropriated money to be used to fund the operations of a state-appointed emergency manager.

The amendment failed by voice vote

Passed in the House 104 to 5 (details)

To appropriate $48.7 million to keep the insolvent Detroit school district afloat until the end of the current school year. This is essentially a "downpayment" on a larger bailout package whose details have yet to find a consensus (the House majority wants more education reforms). The bill essentially "borrows" the money from a state account used to pay for college scholarships, and also places the Detroit school district under the same state oversight commission created to oversee the city after its 2014 bailout(see House Bill 5385).

Received in the Senate

March 22, 2016

Referred to the Committee of the Whole

March 24, 2016

Amendment offered

To clarify provisions dealing with state oversight of the Detroit school district.

The amendment passed by voice vote

Passed in the Senate 29 to 7 (details)

To appropriate $48.7 million to keep the insolvent Detroit school district afloat until the end of the current school year. This is essentially a "down-payment" on a larger bailout package whose details have yet to find a consensus (the House majority wants more education reforms, and is not friendly toward Senate-passed bills that potentially restrict the expansion of school choice in the city).

Received in the House

March 24, 2016

Passed in the House 104 to 4 (details)

To concur with the Senate-passed version of the bill.

Signed by Gov. Rick Snyder

March 29, 2016