Michigan Senate Bill SB0671

Michigan 2025-2026 Regular Session

• Introduced: 10/30/25
• Refer: 10/30/25

Caption

Economic development: other; the state school aid act of 1979; amend to reflect elimination of the Michigan strategic fund. Amends secs. 26d & 65 of 1979 PA 94 (MCL 388.1626d & 388.1665). TIE BAR WITH: SB 0631'25

Summary

Senate Bill 671 amends the State School Aid Act to update two existing appropriations and related references for the 2024-2025 fiscal year. First, it allocates up to $14.4 million from the State School Aid Fund to reimburse intermediate school districts for certain property tax revenues under the Brownfield Redevelopment Financing Act. The bill requires those reimbursements to be used only for the purposes for which the taxes were originally levied and directs the Michigan Strategic Fund, the Michigan Economic Development Corporation, and the Department of Treasury to identify the reimbursable amounts and administer payments. Second, the bill allocates up to $900,000 for a pre-college K-12 engineering program in southeast Michigan that serves multiple communities and school districts. The program must be designed to expose and prepare students for STEM careers and postsecondary education, with special attention to at-risk and underrepresented students in technical fields. The bill also updates statutory references so that, if the separate economic development restructuring bill becomes law, the term “Michigan Strategic Fund” will instead refer to the successor entity created under that legislation.

Impact

The bill would amend sections 26d and 65 of the State School Aid Act, affecting how state school aid dollars are distributed for brownfield-related school tax reimbursements and for a specific STEM/engineering education program. It does not create a new program from scratch, but continues and updates existing appropriations and administrative language, including a tie-in to a separate economic development bill that would eliminate or replace the Michigan Strategic Fund. The practical effect is to preserve funding flows to intermediate districts and a regional engineering education initiative while aligning the statute with the state’s broader economic development reorganization.

Sentiment

The available record suggests the bill is largely administrative and supportive in nature, with no recorded committee testimony or votes indicating strong opposition or controversy. Its focus on school aid reimbursements and STEM education, especially for underrepresented students, suggests generally favorable policy goals. The tie-bar to SB 631 indicates the bill is also part of a broader legislative package, so support may be tied to the companion economic development restructuring measure.

Contention

The main point of potential contention is the bill’s dependency on SB 631, meaning SB 671 cannot take effect unless the companion bill is enacted. That tie-bar could make the school aid changes contingent on agreement over the separate economic development restructuring proposal. Another possible issue is the use of state school aid funds for reimbursements tied to brownfield redevelopment and a specific regional engineering program, which may prompt questions about funding priorities, though no explicit opposition is shown in the provided materials.