School aid: local districts; grant program for school districts to maintain smaller classroom sizes; provide for. Amends sec. 11 of 1979 PA 94 (MCL 388.1611).

SB 494 appropriates $17.77 billion for Michigan public schools in fiscal year 2025 and $65 million for fiscal year 2026 from multiple state funds, including the state school aid fund and dedicated education reserves. It specifies how these funds must be allocated across education programs and requires unspent general fund money to transfer to a school aid stabilization fund. The bill does not create new programs but adjusts funding allocations for existing state education budgets. This legislation directly affects all public school districts receiving state education funding under Michigan's school aid system.