MI HB5830

Prohibits school districts, intermediate school districts, and public school academies from adopting or operating under deficit budgets or incurring operating deficits during a school fiscal year.

Requires immediate notification to the superintendent of public instruction and state treasurer when a deficit occurs, with amended budget and deficit elimination plan due within 30 days.

Transfers budget approval authority from school boards to superintendents/intermediate superintendents when a deficit-projecting budget is adopted, unless the board votes by 2/3 majority to retain that power; protects superintendent and chief financial officer employment for at least 2 years when exercising this authority.

Requires board members to complete training covering school board governance, public school financing, fiscal responsibility, and ethics to regain budget approval authority.

Establishes enhanced deficit elimination plans for schools with rapid financial deterioration, persistent enrollment decline, or unresolved deficits after 5 years; state treasurer may require financial recovery agreements with oversight, monitoring, and consultant requirements.