HB 4577 Michigan House · 2025-2026 Regular Session

Appropriations: school aid; appropriations for K-12 school aid; provide for. Amends secs. 11 & 17b of 1979 PA 94 (MCL 388.1611 & 388.1617b).

HB 4577 modifies Michigan's state funding formula for public K-12 schools, directly affecting school districts that receive state school aid. It amends two sections of the school aid law (MCL 388.1611 and 388.1617b) to adjust how funds are distributed to schools. The bill passed the House on June 11, 2025, with immediate effect, meaning the revised funding method applies without delay. This change alters the state's process for allocating annual school aid appropriations.

Issues: ✓ Budget & Taxes

Bill status passed both 4 of 5 stages cleared

Introduction

Jun 2025

Committee Review

Jun 2025

House Passage

Jun 2025

Senate Passage

Jun 2025

Governor

Introduced Jun 5, 2025 Last action Jun 12, 2025

Maddy AI version diff · 2 comparisons

What changed between versions

As Passed by the House → Substitute (H-3) · 1 edit

MINOR

The bill text has been updated from the House-passed version to a substitute version (H-3), primarily involving the replacement of internal tracking codes and document identifiers. These changes are administrative and technical, intended to update the bill's metadata for the legislative record rather than altering any substantive policy, funding, or eligibility rules.

TECHNICAL

Internal document tracking codes and identifiers were updated to reflect the new substitute version (H-3).

House Introduced Bill → As Passed by the House · 7 edits · Jun 11, 2025

MODERATE

This bill significantly overhauls Michigan's school funding law by replacing the old 2024-2025 budget with new funding levels for 2025-2026, creating new funds for school infrastructure and consolidation, and establishing strict rules against race/gender stereotyping in curricula. It also completely rewrites the definitions of student 'membership' and attendance to ensure accurate funding distribution and clarifies how cyber schools and special education students are counted.

Scope change

The bill expands the scope of the law to include new funds for school infrastructure and consolidation, adds specific prohibitions on diversity initiatives and unisex bathrooms, and clarifies the applicability of membership rules to cyber schools and public school academies.

FISCAL

Updated total state aid appropriations for the 2025-2026 fiscal year to approximately $19.1 billion from the state school aid fund and $72 million from the general fund, replacing the previous 2024-2025 figures.

Created a new 'School Consolidation and Infrastructure Fund' to provide grants for facility repairs (like roofs and HVAC), consolidation studies, and incentives to reduce class sizes and implement reading programs.

REQUIREMENT

Added Section 16, which prohibits curriculum from promoting race or gender stereotyping, bans state funding for DEI initiatives, and mandates separate athletic teams for males and females.

Added a requirement that districts must not provide multistall unisex bathrooms for students.

DEFINITION

Completely redefined 'Membership' and 'Attendance' to include detailed rules for counting cyber school students, special education pupils, and students in cooperative programs to ensure accurate funding allocation.

Added new definitions for terms like 'Community District,' 'Center,' and 'District of Residence' to clarify jurisdiction and funding responsibilities.

TIMELINE

Extended the timeline for certain membership calculations and clarified the start date for counting cyber school participation as regular daily attendance.

Floor votes · House Jun 11, 2025

How they voted

This bill passed the Senate by voice vote (no roll call recorded).

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Amendments

Jun 12, 2025

Committee

REFERRED TO COMMITTEE ON APPROPRIATIONS

upper

Jun 12, 2025

Upper · Passed

PASSED BY HOUSE WITH IMMEDIATE EFFECT

upper

Jun 11, 2025

Introduced

title amended

lower

Jun 11, 2025

Lower · Passed

passed; given immediate effect Roll Call #149 Yeas 56 Nays 53 Excused 0 Not Voting 1

lower

Jun 11, 2025

Lower · Passed

substitute (H-3) adopted

lower

Jun 11, 2025

Committee

referred to second reading

lower

Jun 11, 2025

Lower · Passed

reported with recommendation with substitute (H-3)

lower

Jun 5, 2025

Committee

referred to Committee on Appropriations

lower

Jun 5, 2025

Introduced

introduced by Representative Rep. Tim Kelly

lower

1 primary · 0 co-sponsors