Education: financing; interest-free loans to school districts and intermediate schools districts from the state’s surplus funds; allow under certain circumstances. Amends 1855 PA 105 (MCL 21.141 - 21.147) by adding sec. 2g.
Key claim: Michigan HB6144 would allow the state to provide interest-free loans to school districts and intermediate school districts from the state’s surplus funds under certain circumstances.
Abstract
(HB6144 · 103rd Legislature) Education: financing; interest-free loans to school districts and intermediate schools districts from the state’s surplus funds; allow under certain circumstances. Amends 1855 PA 105 (MCL 21.141 - 21.147) by adding sec. 2g. Latest action (2026-07-01): Bill Electronically Reproduced 06/30/2026
Why this matters
If enacted, this bill would create a new cash-flow tool for K-12 and intermediate school districts, letting them borrow from state surplus funds without interest rather than tapping commercial credit markets during revenue gaps. That could reduce borrowing costs for districts facing timing mismatches between expenses and state aid payments, though the ‘certain circumstances’ triggering eligibility will determine how broadly it applies.