· In the 1920s, the Legislature made a promise to local governments: If local governments would stop levying certain taxes, the state would provide funding to support essential local services.
· In the past six years, the Legislature has broken its promise to local communities by cutting revenue sharing by $3 billion. These dollars fund police patrols, fire fighters, municipal water systems, road maintenance, garbage collection and other services essential to quality of life for residents of Michigan communities.
· Revenue sharing cuts since 9/11/01 have forced local governments in Michigan to reduce law enforcement officers by more than 1,600 and fire fighters by 2,400.
· Governor Granholm’s proposed fiscal year 2009 budget (House Bill 5816), includes a modest 4-percent increase in statutory revenue sharing.
· The House-passed budget includes a 4-percent statutory revenue sharing increase, which means $16 million more would go to local governments.  
· This budget, now in the Senate General Government Appropriations Subcommittee; it appears the Senate has plans to remove this increase and return the budget to “flat funding” for statutory revenue sharing. 
· Tell your Senators to leave the increase as it was passed by the House or increase it further (as House Republicans tried to do).

Talking Points School Aid Budget (SB 1106)-

· Funding for public schools has been reduced, many schools are struggling with larger class sizes, schools in some communities have closed, and some districts are even facing bankruptcy.
· For the 2009 fiscal year, the Governor is proposing a budget that increases per-pupil funding by at least $108 and up to $216, with the smallest increase provided to districts above $8,433 in the current year, and the largest to those at $7,204. The Senate reduces this amount from $71 up to $142. Sec. 20
· It also proposes that a school district, in order to qualify for full per-pupil funding for children in kindergarten, the program must be full day. Current law provides full funding for either a half-day or full-day program. Sec. 6
· It also includes reduction in foundation allowances for schools not offering grades 9 - 12. For each high school grade not offered, the proposed foundation allowance increase would be reduced by 7.5%. Sec. 20(22)
· For the School Readiness Program, it proposes an increase of $24.0 million ($2.0 million in GF/GP) to expand the number of at-risk four-year-olds serviced by approximately 7,000. Sec. 32d
· ISD Operational Funding, it proposes an increase in funding for ISD operations to $83,812,000. ISD would receive a 1.2% increase in basic funding, and the remaining $1,929,000 would be for ISDs to collaborate with the Department to strengthen curriculum and instruction related to the Michigan Merit Curriculum in high schools not achieving AYP. Sec. 81
· 21st Century Fund,  it authorizes $300 million in bond revenues to help districts replace high schools with over 800 pupils that have not made Adequate Yearly Progress for two years and high dropout rates with small high schools that use strong personal relationships, consistent discipline, and real-world relevance to help at-risk students achieve high academic goals. Related debt-service costs of $32 million are appropriated. NEW - Sec. 11n
· Adult Education, it continues the current $24,000,000 appropriation into FY 2008-09. Requires a funded program to determine educational gain by testing participants before enrollment and at the end of the instructional period or program year using assessment instruments approved by the Department. Sec. 107