A school aid budget approved Tuesday by a legislative conference committee increases the minimum per-pupil funding level to $7,511 and the basic per-pupil funding to $8,229 in the fiscal year starting in October.
There is $5 million to cover costs associated with the state taking over schools in the bottom 5 percent on student performance, including the hiring of CEOs to handle academics over the objections of Democrats.
Michigan's next state budget will help reimburse schools across the state for the cost of testing for lead in the wake of Flint's water crisis.
House Republicans had moved to strip the money after being angered by the Democratic-led board's proposed guidance to schools on supporting lesbian, gay, bisexual and transgender students — including letting them use the bathroom in accordance with their gender identity.
The money is included in a $174 million spending plan for the state Department of Military and Veterans Affairs for the fiscal year that will start in October.