STATE FAIRGROUNDS AUTHORITY

Senate Bill 1130 (Substitute H-4)

Sponsor:  Sen. Cameron S. Brown

Senate Committee: Agriculture, Forestry and Tourism

House Committee:  Agriculture and Resource Management

Complete to 12-8-04

A SUMMARY OF SENATE BILL 1130 (SUBSTITUTE H-4)

The bill would amend the Michigan Exposition and Fairgrounds Act to, among other things, create the State Exposition and Fairgrounds Authority within the Department of Management and Budget (DMB); transfer to the authority responsibilities of the Michigan Department of Agriculture related to the management of the State Exposition and Fairgrounds; establish an authority board, which would replace the State Exposition and Fairgrounds Council; and provide for a manager of the authority (rather than of the State Exposition and Fairgrounds).  The authority would be administered under the supervision of the DMB, but would exercise its authority - to manage the operations of the state fair and fairgrounds - independently of the DMB.

FISCAL IMPACT:

Section 15 of the H-4 substitute includes an appropriation for the fiscal year ending September 30, 2004 of $625,000 from the state exposition and fairgrounds fund "for Michigan state fair payment of premiums to exhibitors and for payments due to vendors and others regarding outstanding invoices for the annual state fair held in calendar year 2004."  The section also indicates that, "Payment for premiums to exhibitors shall be made before payment to vendors and others.

The state exposition and fairgrounds fund is a state restricted fund comprised primarily of revenue from state fair operations.  It is our understanding that there is sufficient revenue in the fund for the appropriation made in Section 15, and the appropriation has no impact of state general fund revenue.

                                                                                           Legislative Analyst:   Mark Wolf

                                                                                                  Fiscal Analyst:   William Hamilton

This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.