:: Welcome to the GVSU CSO ::









	General Frequently Asked Questions 1. What is a public school academy (PSA)? A PSA is a state supported public school. A PSA may include grades K-12 or any combination of those grades. 2. What law governs the establishment and operation of a PSA? The Revised School Code, 1995 Public Act 291, Part 6A. 3. Is a PSA considered a local school district? Sec. 501. (1) a public school academy is a public school under section 2 of article VIII of the state constitution of 1963, is a school district for the purposes of section 11 of article IX of the state constitution of 1963 and for the purposes of section of 1225, and is subject to the leadership and general supervision of the state board over all public education under section 3 of article VIII of the state constitution of 1963. A public school academy is a body corporate and is a governmental agency. The powers granted to a public school academy under this part constitute the performance of essential public purposes and governmental functions of this state. For the purpose of state aid and federal funding, a PSA is considered a local district. For the purpose of the Revised School Code and federal mandates, a PSA is also considered a public school building. 4. What does the term “authorizing body” mean? An authorizing body is a public educational institution that has been granted the power to issue contracts to those interested in establishing and operating a PSA. Authorizing bodies include boards of: a. public state universities, b. intermediate school districts, c. community colleges, and d. local school districts operating grades K-12. 5. What does it mean when an authorizing body grants a PSA contract? A contract, subject to the constitutional powers of the State Board of Education and applicable law, allows applicants to establish and operate a PSA. 6. What are the major components of a PSA application that are required by law? a. The educational goals of the school and the methods by which they will be assessed. b. The method to be used to monitor the school’s compliance with applicable law. c. The address and description of the physical plant. d. The governance structure of the school. e. The school’s admissions policy. f. The school calendar and school day schedule. g. The age or grade range of the pupils attending the school. h. Description of staff responsibilities. i. The articles of incorporation. 7. What are the major responsibilities of an authorizing body? a. To thoroughly review the applicant’s educational plan. The plan must address the educational needs of the students, curriculum goals and objectives, teaching methods, and student assessment. b. To determine if all fire, safety, and health codes are met. c. To review and approve the PSA bylaws. d. To set and enforce the terms of the authorizing contract. e. To recommend PSA status to the State Board of Education within ten days of granting an applicant a contract. f. Continuously monitor the PSA for compliance with all state and federal regulations. g. Ensure the school’s board of directors operates with high standards and in good faith on behalf of the school. 8. May a PSA be selective in their admissions policy? A PSA may not be selective. It may not screen out students based on race, religion, sex, test scores, etc. It may predetermine the ages, grades, and number of students it will serve. A random selection process must be used if the number of applicants exceeds the school’s enrollment capacity. 9. If a student is enrolled in a PSA during a particular school year, does the student have to be part of the random selection if the PSA exceeds its enrollment number the following school year? No, a student is automatically granted enrollment privileges for succeeding school years. Siblings of admitted students are granted enrollment priority. 10. Must a PSA use certified teachers? Certification requirements for PSA teachers are identical to those of local school district teachers. Special exceptions are made for a PSA that is operated by a state university or community college that may wish to use collegiate staff to teach PSA students. 11. May a PSA be religiously affiliated? No. A PSA must maintain the separation between church and state. 12. May private schools become a PSA? Private schools can become a PSA only if they are reconstituted as public entities and accept the duties and responsibilities of becoming a public school. 13. May a PSA charge tuition? A PSA may not charge tuition. 14. How is a PSA funded? A PSA is funded through the State School Aid Act. A PSA receives funding through the per-pupil base foundation. By law, this amount may not exceed the per-pupil base foundation received by the local school district where the PSA is geographically located. For 1996-1997, this amount was currently capped at $5,808. 15. Does a PSA qualify for state and federal grant funds in the same manner as a local school district? Yes, a PSA may access state and federal grants in the same manner as local school districts. Various factors apply to the eligibility of academies and school districts to apply for grants. The Michigan Department of Education publishes a report entitled “Grants Available” that lists all grants made available to PSAs and local school districts. This report can be assessed at Website or by calling 517/373-1806. 16. Must all state and federal education dollars be sent directly to the authorizing body of the PSA? No. The law requires that payments under the State School Aid Act be sent directly to the authorizing bodies. A PSA may receive federal grant funds from the Michigan Department of Education by following the same procedures, as local school districts are required to follow. 17. Do local public school districts have the responsibility for transporting PSA students to and from school? No. The transportation of students is the responsibility of the PSA. 18. Does a PSA have to participate in the federal free and reduced lunch program? No, participation in this program is optional for a PSA. If a PSA elects not to serve lunch, the PSA is encouraged to determine the number of students who would qualify for free or reduced lunch. The number of qualifying students is used to determine funding levels for various other state and federal programs (Title I, At-Risk, etc.). For information please contact (517) 373-3347; Fax (517) 373-4022. 19. If a student voluntarily leaves a PSA must the student’s resident school district enroll the student? Yes, the only exception is in the case of an expulsion. Expulsions should be handled on an individual basis. *20.* If a student voluntarily leaves a local school district must a PSA enroll the student? Yes, the only exceptions are when a PSA has reached their enrollment capacity or in the case of an expulsion. Expulsions should be handled on an individual basis. 21. Is a PSA permitted to offer Career and Technological Education (Vocational Education) programs for students? Yes. As a public education entity, these programs may be offered at a PSA in the same manner as the program is offered in any public school district. Since most programs are offered at the high school level, the cost may be prohibitive just as it is in many small K-12 districts due to expensive equipment/supplies and low student numbers. *22.* What options exist to deliver Career and Technological Education through a PSA? Programs located at and taught by PSA staff. Programs provided to PSA students under contract with other education agencies and/or business/industry. PSA student enrollment in an established area vocational center located in the intermediate school district. The PSA may seek approval from the Michigan Jobs Commission to become a “Trade Academy.” 23. Is a PSA considered a constituent district in intermediate school districts levying area vocational education millage, and do PSA students have access to the programs and services provided with those funds? Yes, just as with any other public school district located in the intermediate school district. Services must be allocated to a PSA on the same proportional basis used for other constituent districts. *24.* What makes a “Trade Academy” unique? Trade Academies are formally established to provide programs and services directed toward preparing the enrollees for specific careers and continuing education beyond high school. Integration of Academies with occupational skills and knowledge is important. Extensive collaboration with business/industry and labor is critical to the success of programs. Program scope may range from one to multiple career ideas. Trade Academies must obtain formal approval for establishment from the Michigan Jobs Commission. Information may be obtained by calling (517) 373-6227; FAX (517) 373-0314. 25. Is a PSA eligible for categorical vocational education state aid payments? Yes. As with all other public school districts, the program must meet the guidelines and be approved by the Michigan Department of Education. 26. Where do I get information in the Michigan Department of Education about vocational education program approval? Contact the Office of Career and Technical Education, telephone (517) 373-3365; FAX (517) 373-8776. 27. What are the common responsibilities of a PSA to the Michigan Department of Education as they relate to financial reporting? *a. A “PSA” is required to follow a common fiscal year.* That year begins July 1 and ends June 30 of the following calendar year. (Michigan Administrative Rules Relating to Education, 1989, R340.852) *b. A “PSA” is required to follow Generally Accepted Accounting Principles for Governmental Entities.* The Michigan School Accounting Manual addresses many of these and should be used as a reference. Specific questions related to school accounting issues may be directed to Glenda Rader at (517) 335-0524. *c. A “PSA” is required to follow a uniform chart of accounts.* That chart of accounts is found in the Michigan School Accounting Manual. The Revised School Code, PA291 of 1995, section 1281c, requires the Michigan Department of Education to: Prescribe appropriate uniform pupil and finance accounting records for use in school districts, public school academies, and intermediate school districts, and promulgate rules for their adoption. In addition, Michigan Administrative Rules Relating to Education (R340.852) states: The Chart of Accounts ( Michigan School Accounting Manual) prescribed and published by the MDE shall be used by all public schools… *d. A “PSA” is to submit an annual financial report, Form B, using the chart of accounts prescribed in the Michigan School Accounting Manual.* The report is submitted electronically and is due at MDE on November 15 each year. The penalty for noncompliance is the withholding of state school aid payments. See the State School Aid Act, Section 18 (3&5). *e. A “PSA” is required to have an audit of their financial accounting records conducted at least annually by a certified public accountant.* The PSA shall file the audit reports with MDE no later than November 15 each year. Guidance for the audit is given in the Michigan School Auditing Manual. The penalty for non-compliance is the withholding of state school aid payments. See the State School Aid Act , Section 18 (2&5). Contact Tom Howell, Office of Audits, (517) 373-4591. f. *All Financial Audits of a PSA is subject to Government Auditing Standards* *(GAS).* The Pamphlet describing the standards is for sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20401, stock number 020-000-00243-3. g. *A “PSA’s” board shall adopt a budget prior to the commencement of the fiscal year using the minimum levels of appropriation described in the Michigan School Accounting Manual.* See SectionIV of The Michigan School Accounting Manual. h. *A “PSA” is not to adopt or operate under a “deficit budget”* State School Aid Act, Section 102. MDE closely monitors entities who violate this statute. i. *A “PSA” is to follow guidance in The Revised School Code of 1996 when procuring short-term operating loans.* (380.1225). Contact Lori Schomisch (517) 373-1728 for short term borrowing questions. Competent legal counsel should be sought before an academy enters into any borrowing agreement! *Special Education* 1. What options may a PSA use to meet its responsibilities to provide a student with a disability with a free appropriate public education as required by state and federal law? Special education includes all programs and services as defined in Rule 340.170lb(e) of the Revised Administrative Rules for Special Education. Accordingly, a PSA may use any of the methods below to provide a student with a disability with appropriate special education programs as determined by an individualized educational planning committee. a. Directly employ appropriately qualified personnel to meet the individualized education programs of their students with disabilities. b. Contract with another local or intermediate school district. There are special provisions in the Revised School code for a PSA to contract with an immediately adjacent public school in states bordering Michigan. c. Contract with the Michigan Schools for the Deaf and Blind, the Michigan Department of Community Health, or the Michigan Family Independence Agency. d. By Attorney General Opinion No. 6915 (1996), “A public school academy is not subject to Section 1231 of the Revised School Code which requires the board of a school district to “hire and contract with qualified teachers.” and it may contract with an outside company for the provision of instructional services by employees of that company.” For a service, in addition to the four methods listed above, a PSA may contract with any agency approved by the State Board for delivery of an ancillary professional education service. “Ancillary and other related services” are defined at Rule 340.1701 in the Revised Administrative Rules for Special Education (April 1997). 2. If a PSA chooses to hire staff or contract with a private agency for “services” as described in question #1 above, is the PSA entitled to apply for reimbursement under the State School Aid Act (Section 51a, special education funding), and the intermediate school district special education millage? Yes. A PSA is a public local school district under the State School Aid Act for purposes of state school aid and are to be considered local districts included in the Intermediate School District Plan for Special Education Programs and Services. Therefore, they have the same right to participate in state aid and intermediate school district special education funding as any other local school district in accordance with the provisions of the Intermediate School District Plan for Special Education Programs and Services. 3. If a PSA is entitled to Act 18 (intermediate school district special education millage) funds, may they be held to the same limitations as other local districts; i.e., cap on student-staff ratio used only for certain categories of programming? Yes. For purposes of special education services, a PSA is bound to the same requirements as other local constituent districts served by their respective intermediate school districts. To participate, the PSA, just as any other constituent district, must be recognized in its respective Intermediate School District Plan for Special Education Programs and Services. 4. Is a PSA eligible for Individuals with Disabilities Education Act funds? Federal special education funds under the Individuals with Disabilities Education Act are granted to the intermediate school district. These funds are distributed to constituent local school districts according to the Intermediate School District Plan for Special Education Programs and Services which, in turn, must comply with state and federal regulations controlling use and distribution of federal Individuals with Disabilities Education Act funds. The Intermediate School District Plan for Special Education Programs and Services is developed cooperatively with local constituent school districts, including PSA’s. 5. If a PSA is eligible for intermediate school district special education millage and Individuals with Disabilities Education Act funds, must a PSA follow the same requirements as other local educational agencies for obtaining funds; e.g., filing of forms and applications? Yes. A PSA must follow the same requirements as other local educational agencies. Both state and federal funds are appropriated under Article 5 of the State School Aid Act of 1979, as amended, MCLA 388.1651a, et seq. a. Article 5 of the State School Aid Act indicates the funds may be used for the purpose of reimbursing districts and intermediate school districts for special education programs, services, and special education personnel. b. Article 5 of the State School Aid Act allocates funds for: i. Special education programs and services as defined in Article 3 of the Revised School Code, 1995 PA 291, MCLA 380.1701, et seq. ii. A total of salaries and other compensation paid to approved special education personnel. Rule 340.1771 through Rule 340.1799d provide personnel approval criteria. c. Section 58 of the State School Aid Act, MCLA 388.1658, allocates funds to districts and intermediate districts for providing specialized transportation services, as determined by MDE, for pupils in special education programs and services as defined in Section 6 of the Revised School Code. Specialized transportation is defined in Rule 340.1701b(h) of the Revised Administrative Rules for Special Education, with related rules found in Rule 388.371 through Rule 388.388 of the Michigan Administrative Code. 6. Must a PSA adhere to all of the Michigan Revised Administrative Rules for Special Education, the Family Education Rights and Privacy Act, the Individuals with Disabilities Education, and Section 504? Yes. The Individuals with Disabilities Education Act considers the state a whole. If the state as a whole receives federal funds, then all entities of the public educational system are responsible to comply with the Individuals with Disabilities Education Act provisions, including ensuring that each eligible child with a disability is provided a “free appropriate public education.” Michigan complies with the Individuals with Disabilities Education Act and its implementing regulations. A PSA is required to adhere to Michigan statutes and rules for special education. The Family Education Rights and Privacy Act has broader applicability than special education; it applies to all public educational entities and their students, whether or not special education is at issue. Section 504 of the Vocational Rehabilitation Act is essentially a civil rights statute which applies to individuals “with disabilities” and bars discrimination on the basis of a disability. The definition in Section 504 of “disabled” is broader or more inclusive than the definition in the Individuals with Disabilities Education Act or Michigan standards for special education eligibility. Michigan has no authority to exempt a PSA from those federal requirements. Further, the Act in Section 380.514 (2) specifically prohibits a PSA from employing discriminatory pupil admission policies or practices on the basis of intellectual or athletic ability, measures of achievement or aptitude, status as a person with a disability, or any other basis that would be illegal if used by a school district. 7. Is the intermediate school district required to monitor special education programs and services? Yes. A PSA is identified in statute as a local public school district and has the same rights and responsibilities as any other school district. The Michigan Department of Education is required to monitor local and intermediate school districts for compliance with the Individuals with Disabilities Education Act and with Michigan’s Revised Administrative Rules for Special Education. This activity includes a PSA. The intermediate school districts are an integral part of the monitoring process. As such, intermediate school districts must monitor a PSA to ensure their compliance with pertinent special education requirements. 8. To what extent is the intermediate school district responsible to support a PSA that is serving pupils whose parents reside outside of the intermediate school district where the PSA is located? The PSA is a constituent district of the intermediate school district in which it is located. The intermediate school district has the same responsibility to the PSA as it does to any other constituent district. It is not unusual for a public school district to serve pupils who come from other districts, including pupils whose parents live in another intermediate school district. The intermediate school district has the same obligation to pupils whose parents live elsewhere as it does to any other pupil legally enrolled by a constituent district. This applies to tuition pupils, pupils released by their district of residence under Section 388.1605 (Section (6)(4)(b)) of the State School Aid Act, eligible migrant pupils under Section (4)(5) of the State School Aid Act, and pupils in a PSA located within the intermediate school district geographic boundaries. 9. With which special education rules is a PSA obliged to comply? For reasons stated in the response to questions #6, a PSA is obligated to comply with all state and federal special education rules and regulations. 10. Is there a need to certify students for special education services and identify them as such on our enrollment count if we are not planning to claim additional state funding or federal funding? If “certify” refers to the process of identifying children who are suspected to have a disability under state or federal law, the response is yes. There is a need to certify irrespective of application or claim for additional state or federal funding. Michigan, through the state educational agency, is responsible to ensure a free and appropriate public education for every student with a disability who is enrolled in its public school system. Since a PSA is a public school, they are bound by the same requirements as other public intermediate and local school districts within the state. The determination of a PSA to seek no state or federal funds related to special education does not exempt it from this obligation. 11. If a PSA contracts with a private concern to provide speech, psychological, and social work services: (a) must the credentials of the providers be the same as those employed by public schools in general, and (b) must the PSA submit its personnel inventory to the intermediate school district? This response is intended to refer only to professional personnel related to “special education programs or services.” In response to the first part “(a)” of the question, the answer is yes. Standards are articulated in the Revised Administrative Rules for Special Education and the Rules for Special Education and the rules governing the different professional specialties. In response to the second part of the question “(b)” to meet federal reporting requirements prerequisite to receipt of federal funds requires reporting particular information about public school students and professional personnel to the federal government on an annual basis. The pertinent requirements are contained in 34 CFR 300.380 through 300.383. This information is collected through the Michigan Department of Education’s Special Education “December One Count” reporting process. This process is implemented through intermediate school district data collection procedures for constituent districts. If there are students with disabilities enrolled in a PSA, then the information pertaining to the personnel providing special education programs or services to those students must be reported as part of the “December One Count.”