HB 4060 Michigan House · 2025-2026 Regular Session

Education: financing; requirements concerning taxes levied for area career and technical education programs; modify. Amends secs. 681 & 684 of 1976 PA 451 (MCL 380.681 & 380.684).

HB 4060 amends Michigan's school code to update rules for funding area career and technical education (CTE) programs through local property taxes. It sets specific millage limits: new programs can levy up to 1 mill, while existing programs can increase to 1.5 times their 1993 rate (with elector approval only for new increases). The bill requires school districts to audit and publicly post CTE fund usage online, mandates repayment if funds are misused, and defines allowable CTE program expenses to include inter-district contracts. These changes directly affect intermediate school districts operating CTE programs and ensure tax dollars are used solely for designated career education purposes.
Bill status passed both 4 of 5 stages cleared
Introduction
Feb 2025
Committee Review
Mar 2025
House Passage
Mar 2025
Senate Passage
Mar 2025
Governor
Introduced Feb 4, 2025 Last action Mar 18, 2025
Maddy AI version diff · 1 comparison

What changed between versions

House Introduced Bill As Passed by the House · 6 edits · Mar 12, 2025
MODERATE
This bill amends the Revised School Code to formalize the process for Intermediate School Districts (ISDs) to establish Area Career and Technical Education (CTE) programs through a mandatory voter election. It clarifies funding limits based on 1993 history, mandates strict financial audits and public reporting, and expands the definition of allowable fund usage to include contracting with other districts. The changes aim to increase local control, ensure fiscal accountability, and streamline program operations.
Scope change
The bill applies to all Intermediate School Districts in Michigan that wish to establish or operate Area CTE programs, adding new procedural requirements for elections and financial oversight.
REQUIREMENT

ISDs must now hold a specific voter election to approve the establishment of an Area CTE program, replacing informal or unclear approval processes.

ISDs must form a Program Advisory Committee with a majority of members from business and industry to ensure programs meet local workforce needs.

ISDs are prohibited from holding more than two elections in a single calendar year regarding CTE millage rates.

FISCAL

Property tax millage limits are clarified: districts with no prior 1993 CTE tax can levy up to 1 mill, while those with prior history can levy up to 1.5 times their 1993 rate without re-voting for existing amounts.

ENFORCEMENT

New audit and reporting requirements mandate that ISDs publish audit results online for six months and establish a formal appeal process if the Department of Treasury finds funds were misused.

DEFINITION

The definition of allowable fund usage is expanded to explicitly include ISDs contracting with other districts to operate CTE programs.

Floor votes · House Mar 12, 2025

How they voted

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

Actions timeline

Total actions
13
Key actions
3
Committee
4
Mar 18, 2025
Committee
REFERRED TO COMMITTEE ON EDUCATION
upper
Mar 18, 2025
Upper · Passed
PASSED BY HOUSE WITH IMMEDIATE EFFECT
upper
Mar 12, 2025
Lower · Passed
passed; given immediate effect Roll Call #21 Yeas 107 Nays 2 Excused 0 Not Voting 1
lower
Feb 26, 2025
Committee
referred to second reading
lower
Feb 26, 2025
Lower · Passed
reported with recommendation without amendment
lower
Feb 4, 2025
Committee
referred to Committee on Education and Workforce
lower
Feb 4, 2025
Introduced
introduced by Representative Rep. Curtis VanderWall
lower
1 primary · 15 co-sponsors

Sponsors