Michigan community colleges urge sustaining scholarships, operations funding and capital investments

Brandy Johnson, president of the Michigan Community College Association, told the House Appropriations Subcommittee on Higher Education and Community Colleges that community colleges are “the Swiss army knife of institutions of higher education” and urged lawmakers to sustain recently created student-aid programs and increase operations and capital funding for two‑year institutions.

Johnson said Michigan’s 28 public community colleges and three tribal colleges serve more than 283,000 students and rely on a funding model once envisioned as “a three‑legged stool” funded roughly one‑third each by state appropriations, local property tax and tuition and fees. “In reality,” she said, “our stool is a little wobbly with only about 23% of our revenue coming from state appropriations.”

The Association asked the committee to: make the Michigan Achievement Scholarship permanent including the community college guarantee; maintain community college operations funding at least at 4%; continue full funding for the Michigan Indian Tuition Waiver; and invest $45 million in an “ITEMS” package (infrastructure, technology, equipment, maintenance, safety and housing). Johnson also supported continued funding for MyLEAP student success grants and a modest increase in MyLEAP’s marketing and reimbursement flexibility to help cash flow for smaller rural colleges.

“The community college guarantee, on average is saving students $2,134 per year in tuition and fees and we serve over 18,000 students this year,” Johnson said, referring to the last‑dollar portion of the Michigan Achievement Scholarship that covers tuition and fees for eligible, full‑time recent high‑school graduates who complete the FAFSA.

Northwestern Michigan College President Dr. Nick Nisley described local examples of how state investments translate into program growth and regional economic activity. He said NMC has a two‑year waiting list for its aviation program and that the state allocated $3,750,000 toward hangar construction. “Starting this fall that waiting list is going to be reduced,” Nisley said, adding that aviation graduates often begin at salaries “about $100,000 a year” and later move to higher‑paying carrier positions.

Nisley also urged continued support for capital planning authorizations such as a proposed student services hub to centralize financial aid and enrollment offices, and for additional funding for the ITEMS program to address aging campus infrastructure and student housing shortages.

Al Poshulka, vice president for enrollment, marketing and government relations at Lake Michigan College, framed the broader economic argument: Michigan faces large employer demand, with about 222,000 jobs open on an average day in 2024, and community colleges are key to “growing our own talent.” Poshulka asked the legislature to support an additional $50 million into the postsecondary scholarship fund and to sustain $52 million in Michigan Reconnect funding.

Johnson also called attention to a capital‑outlay equity issue: community colleges currently face a 50% local matching requirement for state capital projects while universities have a 25% match requirement, despite community colleges’ smaller project sizes, smaller budgets and limited endowments. She said MCCA is asking for parity in matching rules.

Committee members asked for follow‑up data. Johnson said MCCA and state data partners can provide district‑level information on dual‑enrollment participation and capital outlay distributions, and Nisley offered project‑level details on NMC’s aviation hangar and housing investments.

Why it matters: Committee members make budget recommendations that determine whether the state sustains or scales back the scholarship programs and capital investments community college leaders say are expanding access and meeting workforce demand. The presenters emphasized both student affordability gains from last‑year policies and remaining funding gaps for operations and facilities.

Less critical details: Presenters also noted student demographic trends — about 40% of community college students are age 25 or older, and 57% are female — and that community colleges confer applied degrees and certificates in fields such as advanced manufacturing, IT, skilled trades and health care.

Looking ahead: Speakers asked the committee to consider multi‑year, sustained investment rather than one‑time increases to move toward the historic “one‑third” funding balance Johnson described.