The Michigan Senate has passed legislation (SB 911) to permanently reduce the contributions that public school districts must make to the teacher retirement system, lowering the rate from 20.96% to 15.21%. This change is expected to free up between $600 million to $700 million annually for school districts, which supporters argue will allow more funding for classroom needs. The bill, backed by Governor Gretchen Whitmer and passed along party lines, is viewed by Democrats as a significant investment in education, while Republicans have criticized it as fiscally irresponsible, warning it could jeopardize the long-term health of the pension system. The measure is part of an $82.5 billion budget that maintains the per-pupil funding at $9,608, marking a departure from past increases. Public education advocates have celebrated the reduction as a way to level the playing field with charter schools, which do not face the same pension costs. The bill now awaits a vote in the state House before heading to the governor's desk.