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Board debates whether to accept $463,000 31aa allocation amid concerns over waiving privileges and student privacy

Boyne City Public Schools Board of Education · June 9, 2026
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Summary

Staff outlined a $463,000 31aa allocation and legal strings tied to accepting it; board members debated whether opting in — potentially waiving privileges to speed investigations — is prudent given FERPA and permanence concerns; no decision was made.

Finance staff told the board that a technical error left the 31aa allocation in state aid and the district’s share is now estimated at about $463,000. Staff described the money as deferred state aid and said there will be a formal mechanism to return funds if necessary. They cautioned the board that accepting the funds could carry statutory 'strings' tied to investigations and public-access rules modeled on changes made after the Oxford case.

Board members raised multiple concerns before any decision: one board member said they were worried about protecting students’ education and health records and noted the need to confirm that accepting funds would not violate FERPA. Another board member said the prospect of an indefinite waiver of attorney-client privilege felt like a substantial trade-off. A member asked whether the board could opt in later if it said no now; staff said opting in remains available but opting out after accepting money is complicated and could be legally fraught depending on future legislative action. Staff advised the board the decision is discretionary and that the board can request more details or place the item on a future agenda for formal action.

No formal vote was taken. The superintendent and finance staff said they would follow up with legal clarifications and consult with state offices; the board asked to revisit the item at the next meeting or by a separate check-in, and several members said they wanted more time to review the detailed three-page letter staff referenced.