MI HB4021

Expands the permissible uses of school district sinking funds to include purchasing school buses, in addition to existing uses of purchasing real estate and constructing or repairing school buildings.

Requires school districts that levy a sinking fund tax to conduct annual independent audits and submit audit reports to the Department of Treasury.

Authorizes the Department of Treasury to require school districts to repay any sinking fund money used for unauthorized purposes from operating funds and prohibits future sinking fund tax levies by non-compliant districts.

Maintains existing requirements that sinking fund tax levies not exceed 5 mills, be approved by school electors, last no more than 20 years, and comply with constitutional and statutory tax limitations.

Permits sinking fund tax propositions to be submitted to school electors at regular or special school elections using a specified ballot form.