MI HB5390

Expands allowable uses of school district sinking fund taxes authorized on or after March 29, 2017 to include installation or repair of water filtration systems and water softeners, in addition to existing uses for school buildings, security improvements, and technology acquisition.

Reduces the maximum sinking fund tax rate from 5 mills to 3 mills for taxes authorized on or after March 29, 2017, while maintaining the 5 mill limit for pre-existing authorizations.

Shortens the maximum levy period for new sinking fund taxes from 20 years to 10 years, while maintaining the 20-year period for taxes authorized before March 29, 2017.

Requires school districts levying sinking fund taxes to conduct annual independent audits and submit reports to the Department of Treasury; districts found to have misused funds must repay them and are prohibited from future sinking fund tax levies.

Defines "school security improvement" to include physical deterrents (metal detectors, cameras, locks, lighting) and mobile emergency communication applications, while excluding personnel and operational costs.