House Approves Funding for Detroit Public Schools

Liz Gullett

Mar 18, 2016

This week, the House passed a two-bill package providing a $48.7 million appropriation for the Detroit Public Schools (DPS), using funds from the tobacco settlement money. Without the supplemental, Judge Steven Rhodes, DPS’ transition manager, testified that the district wouldn’t have funding to pay teachers after April 8, 2016. The appropriation was tie-barred to legislation amending the Michigan Financial Review Commission Act to increase the scope in order to cover DPS. Under the legislation, the financial review commission (FRC) would oversee the fiscal management of a school district within the city and would add the DPS superintendent and school board chair as non-voting members of the FRC. The commission would ensure compliance with state statutes, establish requirements increasing managerial accountability, streamline services, and review compensation and benefits. Additionally, DPS would provide the commission with financial stability reports and allow for audits and inspections. The FRC would file bi-annual reports with the Governor, Senate Majority Leader, and the House Speaker. The reports would also be made publicly available on the Department of Treasury’s website. The legislation will be sent to the Senate for further consideration.

The House and Senate are continuing to work on additional legislation that would provide long-term solutions for the Detroit Public School system.

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