MI HB5728

Allows receiving school districts to decline ownership of school buildings and real property from dissolved school districts by submitting a resolution within 30 days of dissolution.

If a receiving district declines property, the intermediate school district may assume ownership or offer it to contiguous school districts, local municipalities, or the county in the specified order.

If no entity accepts the declined property, the intermediate school district must assume ownership and the state shall demolish any buildings at the intermediate district's request.

Proceeds from sales of assumed property are distributed sequentially to repay bondholders, other creditors, demolition costs, and then deposited into the state school aid fund.

Maintains existing provisions allowing dissolved school districts to retain limited identity as separate taxing units for outstanding debt and sinking fund taxes.