Observer reports: Pappageorge pushes bill to boost school funding

The Observer & Eccentric covered Sen. Pappageorge's boost in public school funding:

State Sen. John Pappageorge (R-Troy) announced that he has negotiated an additional $26 million in both Fiscal Years 2010 and 2011 funding for 20j school districts.

“The governor's misguided veto of $52 million in 20j funding last fall was extremely short-sighted,” said Pappageorge, vice-chair of the Senate Appropriations Committee. “Since then I have been aggressively working with my colleagues for a solution that would restore these desperately needed funds.”

Under Pappageorge's amendment to the School Aid budget, Senate Bill 1163, 20j districts would see half of the original $52 million slated for them, with the other $26 million to all other districts using the 2x formula.


“By adopting this amendment, every single school district could expect an at least $10 per-pupil increase in funding - with the lowest-funded schools potentially seeing a $20 per-pupil increase,”

Pappageorge said. “Times are tough, but we have to prioritize, and education is at the top of the list.”

Section 20j arose in 2001, when hold harmless districts were ineligible to receive the same per-pupil increase all other districts received due to technical issues stemming from the passage of Proposal A. There are 12 school districts in Oakland County - including Birmingham, Bloomfield Hills and Royal Oak - and another 28 across Michigan that receive 20j funding.

The amendment makes funding contingent to passage of SB 884, which would establish a tax amnesty in Michigan. The measure was approved by the Senate last October.

If SB 884 is not signed into law, the funding would not be available.

If enacted, but the actual revenue generated falls short of full funding, then a prorated amount equal to that revenue would be distributed accordingly.

Estimates vary on how much revenue SB 884 could generate, but the state of Oklahoma recently granted tax amnesty with the modest goal of collecting $22 million in delinquent taxes. To the surprise of state officials, the tax amnesty generated $115 million in new revenue.

“My amendment will allow us to restore this unfairly vetoed funding, while simultaneously helping the lowest-funded districts without increasing our own debt or raising taxes,” Pappageorge said.

As amended by Pappageorge, SB 1154 now goes to the House of Representatives for further consideration.