March 2, 2004, Introduced by Senator PRUSI and referred to the Committee on Appropriations.
EXECUTIVE BUDGET BILL
A bill to make appropriations for the department of labor and
economic growth and certain other state purposes for the fiscal year
ending September 30, 2005; to provide for the expenditure of those
appropriations; to provide for the imposition of certain fees; to
provide for the disposition of fees and other income received by the
state agencies; to provide for reports to certain persons; and to
prescribe powers and duties of certain state departments and certain
state and local agencies and officers.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 PART 1
1 LINE-ITEM APPROPRIATIONS
2 Sec. 101. The amounts listed in this part are appropriated for
3 the department of labor and economic growth, subject to the conditions
4 set forth in this bill, for the fiscal year ending September 30, 2005,
5 from the funds identified in this part. The following is a summary of
6 the appropriations in this part:
7 DEPARTMENT OF LABOR AND ECONOMIC GROWTH
8 APPROPRIATIONS SUMMARY:
9 Full-time equated unclassified positions 63.5
10 Full-time equated classified positions 4,238.5
11 GROSS APPROPRIATION $ 1,219,276,600
12 Interdepartmental grant revenues:
13 Total interdepartmental grants and intradepartmental
14 transfers 515,200
15 ADJUSTED GROSS APPROPRIATION $ 1,218,761,400
16 Federal revenues:
17 Total federal revenues 792,629,400
18 Special revenue funds:
19 Total local revenues 15,320,900
20 Total private revenues 4,140,100
21 Total other state restricted revenues 297,760,900
22 State general fund/general purpose $ 108,910,100
23 Sec. 102. EXECUTIVE DIRECTION
24 Full-time equated unclassified positions 63.5
25 Full-time equated classified positions 256.0
26 Unclassified positions--63.5 FTE positions $ 5,349,400
27 Executive director programs--27.0 FTE positions 2,964,300
1 Policy development--25.0 FTE positions 2,607,100
2 Utility consumer representation 550,000
3 Regulatory efficiency improvements/backlog reduction
4 initiative 665,600
5 MES board of review program--18.0 FTE positions 1,930,600
6 Bureau of hearings--68.0 FTE positions 8,196,300
7 Energy office--9.0 FTE positions 4,213,500
8 Commission on disability concerns--7.0 FTE positions 969,100
9 Commission for the blind--94.0 FTE positions 17,697,400
10 Youth low-vision program 241,800
11 Right-of-way oversight authority--5.0 FTE positions 500,000
12 Land bank fast track authority--3.0 FTE positions 650,000
13 GROSS APPROPRIATION $ 46,535,100
14 Appropriated from:
15 Federal revenues:
16 DOE-OEERE, multiple grants 3,679,100
17 DOL-ETA, unemployment insurance 9,317,600
18 DOL-ETA, workforce investment act 103,700
19 DOL, federal funds 282,200
20 DOL, multiple grants for safety and health 170,200
21 HHS, temporary assistance for needy families 24,100
22 Federal revenues 13,866,300
23 Special revenue funds:
24 Local revenues 75,000
25 Private - oil overcharge 30,000
26 Private revenues 120,700
27 Insurance regulatory fees 561,200
1 State restricted revenues 13,245,300
2 State general fund/general purpose $ 5,059,700
3 Sec. 103. MANAGEMENT SERVICES
4 Full-time equated classified positions 161.0
5 Administrative services--161.0 FTE positions $ 15,087,100
6 Rent 17,338,600
7 Building occupancy charges - property development
8 services 9,282,400
9 Worker's compensation 1,947,700
10 Special project advances 940,000
11 Human resources optimization user charges 147,600
12 GROSS APPROPRIATION $ 44,743,400
13 Appropriated from:
14 Interdepartmental grant revenues:
15 IDG from department of community health 300,000
16 Federal revenues:
17 Federal revenues 23,839,200
18 Special revenue funds:
19 Local revenue 135,500
20 Private - special project advances 940,000
21 Insurance regulatory fees 553,600
22 State restricted revenues 18,019,600
23 State general fund/general purpose $ 955,500
24 Sec. 104. OFFICE OF FINANCIAL AND INSURANCE SERVICES
25 Full-time equated classified positions 266.0
26 Administration--8.0 FTE positions $ 2,632,400
27 Policy conduct and consumer assistance--113.0 FTE
1 positions 12,865,700
2 Financial evaluation--145.0 FTE positions 19,543,000
3 GROSS APPROPRIATION $ 35,041,100
4 Appropriated from:
5 Federal revenues:
6 Federal funds 50,400
7 Special revenue funds:
8 Bank fees 7,078,600
9 Consumer finance fees 3,275,100
10 Credit union fees 4,484,200
11 Insurance continuing education fees 741,400
12 Insurance licensing and regulation fees 4,291,500
13 Insurance regulatory fees 13,288,100
14 Multiple employer welfare arrangement 65,700
15 Securities fees 1,766,100
16 State general fund/general purpose $ 0
17 Sec. 105. PUBLIC SERVICE COMMISSION
18 Full-time equated classified positions 146.0
19 Administration, planning and regulation--146.0 FTE
20 positions $ 18,734,700
21 Low-income/energy efficiency assistance 45,000,000
22 GROSS APPROPRIATION $ 63,734,700
23 Appropriated from:
24 Federal revenues:
25 DOE-OEERE, multiple grants 149,000
26 DOT-RSPA, gas pipeline safety 940,700
27 Special revenue funds:
1 Motor carrier fees 1,958,500
2 Public utility assessments 15,686,500
3 Low-income and energy efficiency fund 45,000,000
4 State general fund/general purpose $ 0
5 Sec. 106. LIQUOR CONTROL COMMISSION
6 Full-time equated classified positions 152.0
7 Management support services--28.0 FTE positions $ 2,901,800
8 Liquor licensing and enforcement--124.0 FTE
9 positions 11,587,700
10 Liquor law enforcement grants 6,000,000
11 Grant to department of agriculture, wine industry
12 council 457,200
13 GROSS APPROPRIATION $ 20,946,700
14 Appropriated from:
15 Special revenue funds:
16 Liquor license revenue 11,411,500
17 Liquor purchase revolving fund 9,078,000
18 Nonretail liquor license revenue 457,200
19 State general fund/general purpose $ 0
20 Sec. 107. MICHIGAN STATE HOUSING DEVELOPMENT AUTHORITY
21 Full-time equated classified positions 232.0
22 Payments on behalf of tenants $ 120,000,000
23 Housing and rental assistance program--232.0 FTE
24 positions 31,624,300
25 GROSS APPROPRIATION $ 151,624,300
26 Appropriated from:
27 Federal revenues:
1 HUD, lower income housing assistance program 136,971,200
2 Special revenue funds:
3 Michigan state housing development authority fees
4 and charges 14,653,100
5 State general fund/general purpose $ 0
6 Sec. 108. TAX TRIBUNAL
7 Full-time equated classified positions 12.0
8 Operations--12.0 FTE positions $ 1,371,300
9 GROSS APPROPRIATION $ 1,371,300
10 Appropriated from:
11 Special revenue funds:
12 Tax tribunal fees 688,300
13 Securities fees 376,100
14 State general fund/general purpose $ 306,900
15 Sec. 109. FIRE PROTECTION GRANTS
16 Fire protection grants $ 15,921,000
17 GROSS APPROPRIATION $ 15,921,000
18 Appropriated from:
19 Special revenue funds:
20 Liquor purchase revolving fund 7,421,000
21 Fire protection fund 8,500,000
22 State general fund/general purpose $ 0
23 Sec. 110. OCCUPATIONAL REGULATION
24 Full-time equated classified positions 409.0
25 Code enforcement and fire safety--177.0 FTE positions $ 16,519,900
26 Boiler inspection program--23.0 FTE positions 2,305,200
27 Elevator inspection program--27.0 FTE positions 2,374,700
1 Commercial services--149.0 FTE positions 14,735,700
2 Local manufactured housing communities inspections 201,700
3 Manufactured housing and land resources program--22.0
4 FTE positions 2,797,600
5 Property development group--11.0 FTE positions 1,408,300
6 Remonumentation grants 10,000,000
7 GROSS APPROPRIATION $ 50,343,100
8 Appropriated from:
9 Interdepartmental grant revenues:
10 IDG from department of community health, inspection
11 contract 111,100
12 Federal revenues:
13 Federal funds 872,300
14 FEMA 150,000
15 DOT 85,000
16 Special revenue funds:
17 Boiler fee revenue 2,460,000
18 Construction code fund 15,567,100
19 Corporation fees 5,118,500
20 Elevator fees 2,500,700
21 Homeowner construction lien recovery fund 1,532,800
22 Licensing and regulation fees 8,307,100
23 Limited liability partnership revenue 10,000
24 Manufactured housing commission fees 2,364,300
25 Property development fees 253,200
26 Remonumentation fees 10,635,300
27 Real estate appraiser continuing education fund 45,000
1 Real estate education fund 217,500
2 State general fund/general purpose $ 113,200
3 Sec. 111. EMPLOYMENT RELATIONS
4 Full-time equated classified positions 25.0
5 Employment and labor relations--25.0 FTE positions $ 3,306,400
6 GROSS APPROPRIATION $ 3,306,400
7 Appropriated from:
8 Federal revenues:
9 EEOC, federal funds 10,000
10 Special revenue funds:
11 Securities fees 3,238,400
12 State general fund/general purpose $ 58,000
13 Sec. 112. SAFETY AND REGULATION
14 Full-time equated classified positions 229.0
15 Occupational safety and health--229.0 FTE positions $ 23,829,900
16 GROSS APPROPRIATION $ 23,829,900
17 Appropriated from:
18 Federal revenues:
19 DOL, multiple grants for safety and health 11,400,100
20 Special revenue funds:
21 Corporate fees 1,966,500
22 Fees and collections/asbestos 748,200
23 Licensing and regulation fees 1,062,200
24 Safety education and training fund 7,036,600
25 Securities fees 1,616,300
26 State general fund/general purpose $ 0
27 Sec. 113. BUREAU OF WORKER'S AND UNEMPLOYMENT COMPENSATION
1 Full-time equated classified positions 1,216.0
2 Administration--96.6 FTE positions $ 8,721,700
3 Board of magistrates and appellate commission--19.4 FTE
4 positions 2,591,700
5 Wage and hour division--31.0 FTE positions 2,381,200
6 Insurance funds administration--28.0 FTE positions 4,199,200
7 Supplemental benefit fund 1,300,000
8 Unemployment programs--963.7 FTE positions 76,928,100
9 Advocacy assistance program--8.0 FTE positions 1,415,000
10 Special audit and collections program--34.0 FTE
11 positions 2,552,500
12 Training program for agency staff--2.1 FTE positions 1,775,100
13 Expanded fraud control program--33.2 FTE positions 2,789,200
14 GROSS APPROPRIATION $ 104,653,700
15 Appropriated from:
16 Federal revenues:
17 DOL-ETA, employment and training administration 576,600
18 DOL-ETA, unemployment insurance 79,221,000
19 Federal section 903(d),SSA funds 4,233,500
20 Special revenue funds:
21 Corporation fees 3,512,000
22 Contingent fund, penalty and interest account 6,588,400
23 Licensing and regulation fees 703,500
24 Second injury fund 2,256,400
25 Securities fees 3,509,900
26 Self-insurers security fund 1,068,300
27 Silicosis and dust disease fund 868,700
1 Worker's compensation administrative revolving fund 2,115,400
2 State general fund/general purpose $ 0
3 Sec. 114. INFORMATION TECHNOLOGY
4 Information technology services and projects $ 42,309,100
5 GROSS APPROPRIATION $ 42,309,100
6 Appropriated from:
7 Federal revenues:
8 Federal revenues 27,416,400
9 Special revenue funds:
10 Insurance regulatory fees 483,600
11 State restricted funds 14,259,400
12 State general fund/general purpose $ 149,700
13 Sec. 115. WORKFORCE DEVELOPMENT
14 Full-time equated classified positions 878.5
15 Employment training services--503.0 FTE positions $ 83,346,000
16 Michigan career and technical institute--77.5 FTE
17 positions 11,528,400
18 Employment services--246.0 FTE positions 44,927,200
19 Labor market information--52.0 FTE positions 5,721,800
20 GROSS APPROPRIATION $ 145,523,400
21 Appropriated from:
22 Federal revenues:
23 CNS 1,585,900
24 DAG, employment and training 172,400
25 DED-OPSE, multiple grants 1,115,500
26 DED-OSERS, centers for independent living 58,200
27 DED-OSERS, rehabilitation long-term training 566,900
1 DED-OSERS, rehabilitation services, vocational
2 rehabilitation of state grants 46,650,800
3 DED-OSERS, state grants for technical related
4 assistance 56,000
5 DOL-ETA, workforce investment act 4,077,500
6 DOL-ODEP 225,000
7 DOL, federal funds 62,429,800
8 DED, Perkins act 174,900
9 HHS, temporary assistance for needy families 3,207,100
10 HHS-SSA, supplemental security income 4,394,800
11 Special revenue funds:
12 Local revenue 4,147,600
13 Local vocational rehabilitation match 3,054,000
14 Private - gifts, bequests, and donations 1,396,300
15 Contingent fund, penalty and interest account 1,710,600
16 Rehabilitation services fees 1,199,900
17 Second injury fund 101,500
18 Student fees 308,000
19 Training material fees 256,400
20 State general fund/general purpose $ 8,634,300
21 Sec. 116. CAREER EDUCATION PROGRAMS
22 Full-time equated classified positions 57.0
23 Career and technical education--25.0 FTE positions $ 3,266,100
24 Postsecondary education--14.0 FTE positions 2,455,000
25 Adult education--16.0 FTE positions 2,304,400
26 Commission on Spanish-speaking affairs--2.0 FTE
27 positions 221,000
1 GROSS APPROPRIATION $ 8,246,500
2 Appropriated from:
3 Federal revenues:
4 Federal revenues 6,116,700
5 Special revenue funds:
6 Private occupational school license fees 388,600
7 Defaulted loan collection fees 100,000
8 State general fund/general purpose $ 1,641,200
9 Sec. 117. DEPARTMENT GRANTS
10 Adult basic education $ 17,000,000
11 Focus: HOPE 5,860,200
12 Gear-up program grants 3,000,000
13 Job training programs subgrantees 104,612,700
14 Michigan community service commission subgrantees 6,180,100
15 Michigan virtual university 1,000,000
16 Personal assistance services 459,500
17 Precollege programs in engineering and the sciences 500,000
18 Carl D. Perkins grants 47,500,000
19 Vocational rehabilitation client services/facilities 54,989,500
20 Vocational rehabilitation independent living 3,079,700
21 Welfare-to-work programs 113,798,600
22 GROSS APPROPRIATION $ 357,980,300
23 Appropriated from:
24 Federal revenues:
25 CNS 5,500,000
26 DAG, employment and training 13,000,000
27 DED-OESE, gear-up 3,000,000
1 DED-OSERS, centers for independent living 450,200
2 DED-OSERS, client assistance for individuals with
3 disabilities 440,000
4 DED-OSERS, rehabilitation services, vocational
5 rehabilitation of state grants 35,797,900
6 DED-OSERS, rehabilitation services facilities 2,272,500
7 DED-OSERS, supported employment 1,541,300
8 DED-OSERS, state grants for technical related
9 assistance 2,240,800
10 DED-OVAE, adult education 17,000,000
11 DED-OVAE, basic grants to states 47,500,000
12 DOL-ETA, workforce investment act 104,602,700
13 HHS, temporary assistance for needy families 38,299,000
14 HHS-SSA, supplemental security income 2,480,600
15 Federal section 903(d), SSA funds 21,300,000
16 Special revenue funds:
17 Local vocational rehabilitation match 6,630,500
18 Local vocational rehabilitation facilities match 1,278,300
19 Private - gifts, bequests, and donations 800,000
20 Contingent fund, penalty and interest account 1,000,000
21 State general fund/general purpose $ 52,846,500
22 Sec. 118. MICHIGAN STRATEGIC FUND
23 Full-time equated classified positions 199.0
24 Administration--39.0 FTE positions $ 2,632,400
25 Job creation services--160.0 FTE positions 19,739,200
26 Michigan promotion program 5,717,500
27 Economic development job training grants 10,048,000
1 Community development block grants 50,000,000
2 Technology tri-corridor initiative 15,000,000
3 Human resources optimization user charges 29,500
4 GROSS APPROPRIATION $ 103,166,600
5 Appropriated from:
6 Interdepartmental grant revenues:
7 IDG-MDEQ, air quality fees 104,100
8 Federal revenues:
9 DOL-ETA, employment service 813,600
10 HUD-CPD, community development block grant 52,200,700
11 Special revenue funds:
12 Private - special project advances 853,100
13 Industry support fees 50,000
14 Tobacco settlement trust fund...................... 10,000,000
15 State general fund/general purpose.................. $ 39,145,100
16 PART 2
17 PROVISIONS CONCERNING APPROPRIATIONS
18 GENERAL SECTIONS
19 Sec. 201. Pursuant to section 30 of article IX of the state
20 constitution of 1963, total state spending from state resources under
21 part 1 for fiscal year 2004-2005 is $406,671,000.00 and state spending
22 from state resources to be paid to local units of government for fiscal
23 year 2004-2005 is $33,822,700.00. The itemized statement below
24 identifies appropriations from which spending to units of local
25 government will occur:
26 DEPARTMENT OF LABOR AND ECONOMIC GROWTH
27 Fire protection grants $ 15,921,000
1 Liquor law enforcement 6,000,000
2 Local manufactured housing inspections 201,700
3 Remonumentation grants 10,000,000
4 Fire fighters training council 1,700,000
5 Total department of labor and economic growth $ 33,822,700
6 Sec. 202. The appropriations authorized under this bill are subject
7 to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.
8 Sec. 203. As used in this appropriation bill:
9 (a) "CEO" means chief executive officer of the Michigan economic
10 development corporation.
11 (b) "CNS" means the corporation for national services.
12 (c) "DAG" means the United States department of agriculture.
13 (d) "DED" means the United States department of education.
14 (e) "DED-OESE" means the DED office of elementary and secondary
15 education.
16 (f) "DED-OPSE" means the DED office of postsecondary education.
17 (g) "DED-OSERS" means the DED office of special education
18 rehabilitation services.
19 (h) "DED-OVAE" means the DED office of vocational and adult
20 education.
21 (i) "Department" means the department of labor and economic
22 growth.
23 (j) "Director" means the director of the department of labor and
24 economic growth.
25 (k) "DOE" means the United States department of energy.
26 (l) "DOE-OEERE" means the DOE office of energy efficiency and
27 renewable energy.
1 (m) "DOL" means the United States department of labor.
2 (n) "DOL-ETA" means the DOL employment and training
3 administration.
4 (o) "DOL-ODEP" means the DOL office of disability employment
5 policy.
6 (p) "DOT" means the United States department of transportation.
7 (q) "DOT-RSPA" means the DOT research and special programs
8 administration.
9 (r) "EEOC" means equal employment opportunity commission.
10 (s) "Fiscal agencies" means Michigan house fiscal agency and
11 Michigan senate fiscal agency.
12 (t) "FTE" means full-time equated.
13 (u) "Fund" means the Michigan strategic fund.
14 (v) "GED" means general education degree.
15 (w) "HHS" means the United States department of health and human
16 services.
17 (x) "HHS-SSA" means HHS social security administration.
18 (y) "HUD" means the United States department of housing and
19 urban development.
20 (z) "HUD-CPD" means HUD community planning and development.
21 (aa) "IDG" means interdepartmental grant.
22 (bb) "MDEQ" means the Michigan department of environmental
23 quality.
24 (cc) "MEDC" means the Michigan economic development corporation,
25 which is the public body corporate created under section 28 of article
26 VII of the state constitution of 1963 and the urban cooperation act of
27 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to 124.512, by contractual
1 interlocal agreement effective April 5, 1999, between local
2 participating economic development corporations formed under the
3 economic development corporations act, 1974 PA 338, MCL 125.1601 to
4 125.1636, and the Michigan strategic fund.
5 (dd) "MES" means Michigan employment security.
6 (ee) "Subcommittees" means all members of the subcommittees of
7 the house and senate appropriations committees with jurisdiction over
8 the budget for the department.
9 Sec. 204. The department of civil service shall bill the department
10 at the end of the first fiscal quarter for the 1% charge authorized by
11 section 5 of article XI of the state constitution of 1963. Payments
12 shall be made for the total amount of the billing by the end of the
13 second fiscal quarter.
14 Sec. 208. Unless otherwise specified, the department shall use the
15 Internet to fulfill the reporting requirements of this bill. This
16 requirement may include transmission of reports via electronic mail to
17 the recipients identified for each reporting requirement, or it may
18 include placement of reports on the Internet or Intranet site.
19 Sec. 213. From the funds appropriated in part 1 for information
20 technology, the department shall pay user fees to the department of
21 information technology for technology-related services and projects.
22 Such user fees shall be subject to provisions of an interagency
23 agreement between the department and the department of information
24 technology.
25 Sec. 214. Amounts appropriated in part 1 for information technology
26 may be designated as work projects and carried forward to support
27 technology projects under the direction of the department of
1 information technology. Funds designated in this manner are not
2 available for expenditure until approved as work projects under section
3 451a of the management and budget act, 1984 PA 431, MCL 18.1451a.
4 Sec. 215. (1) In addition to the funds appropriated in part 1, there
5 is appropriated an amount not to exceed $71,500,000.00 for federal
6 contingency funds. These funds are not available for expenditure until
7 they have been transferred to another line item in this bill under
8 section 393(2) of the management and budget act, 1984 PA 431, MCL
9 18.1393.
10 (2) In addition to the funds appropriated in part 1, there is
11 appropriated an amount not to exceed $15,200,000.00 for state
12 restricted contingency funds. These funds are not available for
13 expenditure until they have been transferred to another line item in
14 this bill under section 393(2) of the management and budget act, 1984
15 PA 431, MCL 18.1393.
16 (3) In addition to the funds appropriated in part 1, there is
17 appropriated an amount not to exceed $8,180,000.00 for local
18 contingency funds. These funds are not available for expenditure until
19 they have been transferred to another line item in this bill under
20 section 393(2) of the management and budget act, 1984 PA 431, MCL
21 18.1393.
22 (4) In addition to the funds appropriated in part 1, there is
23 appropriated an amount not to exceed $1,550,000.00 for private
24 contingency funds. These funds are not available for expenditure until
25 they have been transferred to another line item in this bill under
26 section 393(2) of the management and budget act, 1984 PA 431, MCL
27 18.1393.
1 Sec. 216. Funds appropriated in part 1 shall not be used for the
2 purchase of foreign goods or services, or both, if competitively priced
3 and comparable quality American goods or services, or both, are
4 available. Preference should be given to goods and services or both,
5 manufactured or provided by Michigan businesses if they are
6 competitively priced and of comparable value.
7 DEPARTMENT OF LABOR AND ECONOMIC GROWTH
8 Sec. 301. The appropriation in part 1 for fire protection grants
9 from the liquor purchase revolving fund and the fire protection fund
10 shall be appropriated to cities, villages, and townships with state-
11 owned facilities for fire services, instead of taxes, in accordance
12 with 1977 PA 289, MCL 141.951 to 141.956.
13 Sec. 302. The funds collected by the office of financial and
14 insurance services in connection with a conservatorship pursuant to
15 section 32 of the mortgage brokers, lenders, and servicers licensing
16 act, 1987 PA 173, MCL 445.1682, shall be appropriated for all expenses
17 necessary to provide for the required services. Funds are available
18 for expenditure when they are received by the department of treasury
19 and shall not lapse to the general fund at the end of the fiscal year.
20 Sec. 303. The funds collected by the department from corporations
21 being liquidated pursuant to the insurance code of 1956, 1956 PA 218,
22 MCL 500.100 to 500.8302, shall be appropriated for all expenses
23 necessary to provide for the required services. Funds are available
24 for expenditure when they are received by the department of treasury
25 and shall not lapse to the general fund at the end of the fiscal year.
26 Sec. 304. The department may make available to interested entities
27 otherwise unavailable customized listings of nonconfidential
1 information in its possession, such as names and addresses of
2 licensees, and charge for this information as follows: base fee for 1
3 to 1,000 records at the cost to the department; 1,001 to 10,000 records
4 at 2.5 cents per record; and 10,001 or more records at .5 cents per
5 record. The revenue received from this service may be used to offset
6 expenses of programs as appropriated in part 1. The balance of this
7 revenue collected and unexpended at the end of the fiscal year shall
8 revert to the appropriate restricted revenue account or fund or, in
9 absence of such an account or fund, to the general fund. The
10 department shall submit an annual report on or before December 1 of
11 each year to the state budget office and the subcommittees that states
12 the amount of revenue received from the sale of information.
13 Sec. 305. The funds collected by the department for licenses,
14 permits, and other elevator regulation fees set forth in R 408.8151 of
15 the Michigan administrative code and as determined under section 8 of
16 1976 PA 333, MCL 338.2158, and section 16 of 1967 PA 227, MCL 408.816,
17 that are unexpended at the end of the fiscal year shall carry forward
18 to the subsequent fiscal year.
19 Sec. 306. If the revenue collected by the department for
20 occupational safety and health from fees and collections exceeds the
21 amount appropriated in part 1, the revenue may be carried forward into
22 the subsequent fiscal year. The revenue carried forward under this
23 section shall be used as the first source of funds in the subsequent
24 fiscal year.
25 Sec. 307. Money appropriated under this bill for fire safety
26 programs shall not be expended unless, in accordance with section 2c of
27 the fire prevention code, 1941 PA 207, MCL 29.2c, inspection and plan
1 review fees will be charged according to the following schedule:
2 Operation and maintenance inspection fee
3 Facility type Facility size Fee
4 Hospitals Any $8.00 per bed
5 Plan review and construction inspection fees for hospitals and schools
6 Project cost range Fee
7 $101,000.00 or less minimum fee of $155.00
8 $101,001.00 to $1,500,000.00 $1.60 per $1,000.00
9 $1,500,001.00 to $10,000,000.00 $1.30 per $1,000.00
10 $10,000,001.00 or more $1.10 per $1,000.00
11 or a maximum fee of $60,000.00.
12 Sec. 308. If the revenue collected by the department from licensing
13 and regulation fees exceeds the amount appropriated in part 1, the
14 revenue may be carried forward into the subsequent fiscal year. The
15 revenue carried forward under this section shall be used as the first
16 source of funds in the subsequent fiscal year.
17 Sec. 309. Funds earned or authorized by the United States
18 department of labor in excess of the gross appropriation in part 1 for
19 the unemployment insurance agency and the employment service agency
20 from the United States department of labor are appropriated and may be
21 expended for staffing and related expenses incurred in the operation of
22 its programs. These funds may be spent after the department notifies
1 the state budget office and the subcommittees of the purpose and amount
2 of each grant award.
3 Sec. 310. The department shall sell documents at a price not to
4 exceed the cost of production and distribution. Money received from
5 the sale of these documents shall revert to the department. The funds
6 are available for expenditure when they are received by the department
7 of treasury and may only be used for costs directly related to the
8 continued updating and distribution of the documents pursuant to this
9 section. This section applies only for the following documents:
10 (a) Corporation and securities division documents, reports, and
11 papers required or permitted by law pursuant to section 1060(5) of the
12 business corporation act, 1972 PA 284, MCL 450.2060.
13 (b) The subdivision control manual, the state boundary commission
14 operations manual, and other local government assistance manuals.
15 (c) The Michigan liquor control code of 1998, 1998 PA 58, MCL
16 436.1101 to 436.2303.
17 (d) The mobile home commission act, 1987 PA 96, MCL 125.2301 to
18 125.2349; the business corporation act, 1972 PA 284, MCL 450.1101 to
19 450.2098; the nonprofit corporation act, 1982 PA 162, MCL 450.2101 to
20 450.3192; and the uniform securities act, 1964 PA 265, MCL 451.501 to
21 451.818.
22 (e) Labor law books.
23 (f) Worker's compensation health care services rules.
24 (g) Construction code manuals.
25 (h) Copies of transcripts from administrative law hearings.
26 Sec. 311. The department, bureau of safety and regulation, shall
27 provide an annual report by February 1 of each year to the state budget
1 office, the fiscal agencies, and the subcommittees on the number of
2 individuals killed and the number of individuals injured on the job
3 within industries regulated by the bureau during the most recent year
4 for which data are available.
5 Sec. 312. The appropriation in part 1 for the Michigan commission
6 for the blind includes funds for case services. These funds may be
7 used for tuition payments for blind clients for the school year
8 beginning September 2004.
9 Sec. 313. Of the funds appropriated in part 1 for fire protection
10 grants, $3,710,500.00 of this funding is contingent upon the passage of
11 statutory changes by September 30, 2004 that increase the fiscal year
12 2004-2005 deposit into the liquor purchase revolving fund by a minimum
13 of $30,000,000.00.
14 Sec. 314. The department and the Michigan state housing development
15 authority shall work collaboratively with other state departments and
16 agencies to maximize the use of available Michigan state housing
17 development authority fund equity to provide senior assisted living
18 that offers a continuum of care from independent apartments to assisted
19 living to nursing care and Alzheimer programs.
20 Sec. 315. The department may expend revenues received under the
21 Michigan broadband development authority act, 2002 PA 49, MCL 484.3201
22 to 484.3225, for necessary salaries, wages, supplies, contractual
23 services, equipment, worker’s compensation insurance premiums, and
24 grants to the civil service commission and state employees’ retirement
25 fund.
26 Sec. 316. The Michigan career and technical institute may receive
27 equipment and in-kind contributions for the direct support of staff
1 services through the Pine Lake fund, the Delton-Kellogg school district
2 or other local or intermediate school district, or any combination of
3 local or intermediate school districts in addition to those authorized
4 in part 1.
5 Sec. 317. The Michigan rehabilitation service shall make every
6 effort to ensure that all sources of matching funds in this state are
7 used to obtain federal vocational rehabilitation funds. All sources
8 include, but are not limited to, privately raised funds to support
9 public nonprofit rehabilitation centers as permitted by the
10 rehabilitation act of 1973, Public Law 93-112, 29 U.S.C. 701 to 718,
11 720 to 751, 760 to 765, 771 to 776, 780 to 785, 791 to 794e, 795 to
12 795n, and 796 to 796l.
13 Sec. 318. The local match requirements for vocational
14 rehabilitation facilities establishment grants shall not exceed 21.3%
15 for the fiscal year ending September 30.
16 Sec. 319. (1) Of the funds appropriated in part 1 for vocational
17 rehabilitation independent living, all general fund/general purpose
18 revenue not used to match federal funds shall be used for the support
19 of centers for independent living which are in compliance with federal
20 standards for such centers, for the development of new centers in areas
21 presently unserved or underserved, for technical assistance to centers,
22 and for projects to build capacity of centers to deliver independent
23 living services. Applications for such funds shall be reviewed in
24 accordance with criteria and procedures established by the statewide
25 independent living council, the Michigan rehabilitation services unit
26 within the department, and the Michigan commission for the blind.
27 Funds must be used in a manner consistent with the priorities
1 established in the state plan for independent living. The department
2 is directed to work with the Michigan association of centers for
3 independent living and the local workforce development boards to
4 identify other competitive sources of funding.
5 (2) The statewide independent living council and the Michigan
6 association of centers for independent living shall jointly produce a
7 report providing the following information:
8 (a) Results in terms of enhanced statewide access to independent
9 living services to individuals who do not have access to such services
10 through other existing public agencies, including measures by which
11 these results can be monitored over time. These measures shall
12 include:
13 (i) Total number of persons assisted by the centers and a
14 comparison to the number assisted in the previous year.
15 (ii) Number of persons moved out of nursing homes into independent
16 living situations and a comparison to the number assisted in the
17 previous year.
18 (iii) Number of persons for whom accommodations were provided to
19 enable independent living or access to employment and a comparison to
20 the number assisted in the previous year.
21 (iv) The total number of disabled individuals served by personal
22 care attendants and the number of personal care attendants provided
23 through the use of any funds appropriated in part 1 administered by a
24 center for independent living and a comparison to the number served in
25 the previous year.
26 (b) Information from each center for independent living receiving
27 funding through appropriations in part 1 detailing their total budget
1 for their most recently completed fiscal year as well as the amount
2 within that budget funded through the vocational rehabilitation
3 independent living grant program referenced in part 1, the total amount
4 funded through other state agencies, the amount funded through federal
5 sources, and the amount funded through local and private sources.
6 (c) Savings to state taxpayers in other specific areas that can
7 be shown to be the direct result of activities funded from the
8 vocational rehabilitation independent living grant program during the
9 most recently completed state fiscal year.
10 (3) The report required in subsection (2) shall be submitted to
11 the appropriate appropriations subcommittees, the fiscal agencies, and
12 the state budget director on or before January 30.
13 Sec. 320. (1) The appropriation in part 1 to the department for the
14 work first program shall be expended for grants which provide
15 employment and training services to family independence program
16 applicants and recipients and may be expended for grants which provide
17 employment and training services to former family independence program
18 recipients, as well as to recipients of noncash public assistance,
19 specifically child day care, Medicaid, or food stamp benefits. The
20 work first program, however, shall not be construed to be an
21 entitlement to services.
22 (2) An applicant may be a school district, intermediate school
23 district, community college, public or private nonprofit college or
24 university, nonprofit organization that provides school-to-work
25 transition programs or that provides employment and training services
26 or vocational rehabilitation programs or state licensed accredited
27 vocational or technical education programs, proprietary school licensed
1 by the state board of education, local workforce development board, or
2 a consortium consisting of any combination of school districts,
3 intermediate school districts, community colleges, nonprofit
4 organizations described in this subsection, licensed proprietary
5 schools, or public or private nonprofit colleges or universities
6 described in this subsection.
7 (3) When the work first job search requirements have been
8 completed, if the participant has not found employment, the work first
9 site shall identify the barriers which may have prevented the
10 participant from obtaining employment and assist the client in removing
11 those barriers. The work first site shall also identify appropriate
12 education and job training programs which would be available to the
13 participant. The department shall encourage the Michigan works!
14 agencies to consider transportation challenges for work first
15 participants placed in employment. When an individual is re-referred
16 to work first because of an inability to retain employment, the
17 Michigan works! agencies shall confer with the Michigan rehabilitation
18 services, the family independence agency, or other professionals if
19 deemed appropriate to screen for and identify issues that are
20 preventing the participant from succeeding in the labor market. Each
21 Michigan works! agency shall determine locally the number of times an
22 individual may be re-referred back to the program before consulting
23 with other service agencies. If no prohibitive barriers to work are
24 found, the individual shall comply with the work first program, or be
25 subject to appropriate penalties.
26 (4) Work first program participants shall include applicants and
27 recipients of the family independence program established under section
1 57a of the social welfare act, 1939 PA 280, MCL 400.57a, and such
2 individuals referred to a job club program by a county family
3 independence agency board or a county friend of the court as long as
4 the participation in the job club is part of an application made under
5 this section.
6 (5) Participants in the work first program shall not be enrolled
7 and counted in membership in a school district or intermediate school
8 district.
9 (6) The department will work with the family independence agency
10 to coordinate support services to work first participants relating to
11 special/emergency needs.
12 (7) Work first program participants must receive or be provided
13 an explanation of the program including their benefits and
14 responsibilities before the job interview phase of the program. This
15 explanation shall include clear guidelines with regard to an
16 individual's eligibility for postemployment training support and for
17 applying hours in training toward work requirements.
18 (8) The department shall make every effort to place a minimum of
19 50% of clients who participate in the work first program in positions
20 that provide wages of $8.00 per hour or more.
21 (9) The department shall submit to the fiscal agencies and the
22 state budget director by March 15 a report on the work first program,
23 including the number of participants served under this section, the
24 number of persons who located employment through work first, the
25 average wage of participants who found employment, the number of
26 persons who retained jobs for 90 days, the number of participants
27 placed in employment training and education programs, the number of
1 clients referred to work first who failed to report, a compilation of
2 barriers to employment by incidence and type experienced by
3 participants, and the number of participants referred back to the
4 family independence agency.
5 (10) The department shall provide to the state budget director
6 and the fiscal agencies by May 15 and November 15 of each year a report
7 on the work first grants. The report due by May 15 shall provide the
8 information described in this subsection for each grant or contract
9 awarded during the preceding 2 quarters of the state fiscal year. The
10 report due by November 15 shall provide this information for each grant
11 or contract awarded during the preceding full fiscal year. The report
12 shall contain both of the following:
13 (a) The amount and recipient of each grant or contract.
14 (b) The number of participants in each service delivery area and
15 the number of clients placed in employment in each service delivery
16 area.
17 (11) The department shall make available to work first
18 participants guidelines on eligibility for postemployment training and
19 how training/education hours are applied toward work participation
20 requirements. These guidelines will be presented during joint
21 orientation conducted by the family independence agency and the
22 department contracted staff in accordance with department policy
23 issuances and family independence agency program bulletins. These
24 guidelines presented by the department and the family independence
25 agency shall balance the ability of participants to obtain training and
26 subsequent long-term high-wage employment with the need to connect
27 participants with the workplace. Any and all training/education, with
1 the exception of high school completion and GED preparation, must be
2 occupationally relevant and in demand in the labor market as determined
3 by the workforce development board. Participants must make
4 satisfactory progress to continue in a training/education component.
5 (12) The work participation requirement is up to 40 hours per
6 week. However, work first participants may meet the work participation
7 requirement by combining a minimum of 10 hours per week of work with
8 training/education. Training/education may last up to 12 months and
9 the calculated hours may include actual classroom seat time up to 10
10 hours per week plus up to 1 hour of study time for each hour of
11 classroom seat time. Work first participants may enroll in additional
12 hours of classroom seat time beyond 10 hours. However, these hours and
13 the related study time will not count toward the work participation
14 requirement. The training may be no longer than a 1-year program or
15 the final year of a 2- or 4-year undergraduate program designed to lead
16 to immediate labor force attachment.
17 (13) Work first participants may meet the work participation
18 requirement through enrollment in a short-term vocational program
19 requiring 30 hours of classroom seat time per week for a period not to
20 exceed 6 months, or by enrollment in full-time internships, practicums,
21 or clinicals required by an academic or training institution for
22 licensure, professional certification, or degree completion, without an
23 additional work requirement. In cases where a short-term vocational
24 program lasts less than 6 months, the participant shall be eligible to
25 enroll in 1 additional short-term vocational program for a combined
26 period not to exceed a total of 6 months.
27 (14) Work first participants who lack a high school diploma or
1 GED and who enroll in high school completion or classes to obtain a GED
2 may count up to 10 hours of classroom seat time, combined with a
3 minimum number of hours of work per week, to meet their work
4 participation requirement. There shall be no time limit on high school
5 completion. GED preparation shall be limited to 6 months.
6 Sec. 321. (1) Using all relevant state data sources, the department
7 shall conduct a 3-year longitudinal study of all former work first
8 participants, whose family independence program cases closed due to
9 earnings during fiscal year 1999 and in succeeding fiscal years. The
10 data will include the following:
11 (a) The number and percentage employed.
12 (b) The average hourly wage of those employed.
13 (c) The current hourly wage of those employed.
14 (d) The range of wages earned by those employed.
15 (e) The number of individuals that earned each wage amount.
16 (f) The number and percentage receiving health care benefits from
17 their employer.
18 (g) The number and percentage receiving tuition reimbursement
19 from their employer.
20 (h) The number and percentage receiving training benefits from
21 their employer.
22 (i) The type of jobs obtained by former participants in general
23 categories.
24 (j) The length of time former participants have retained their
25 jobs, or if participants have had more than 1 job, the length of time
26 employed at each job.
27 (k) The number and percentage continuing to receive any type of
1 public assistance.
2 (l) If the former recipient has children, whether the children
3 are enrolled in and attending school.
4 (m) The extent to which the former participant feels that they
5 and their family are better off now than when they were on cash
6 assistance with regard to household income, housing, food and
7 nutritional needs, child health care, and access to health insurance
8 coverage.
9 (2) The department shall notify the subcommittees, fiscal
10 agencies, and state budget director electronically by March 15, 2005 of
11 the location of the Internet site where the report containing the
12 identified data is located.
13 (3) The department shall cooperate with the family independence
14 agency in formulating and acquiring the identified data.
15 (4) The department may retain a third party to conduct the
16 studies to obtain the data identified under this section.
17 Sec. 322. State and federal funds allocated to local workforce
18 development boards for disbursement shall not be expended unless the
19 local workforce development boards maintain a partnership with
20 governmental agencies, public school districts, and public colleges
21 located within the local service delivery area. Each board shall
22 appoint an education advisory group made up of high-level
23 administrators within local educational institutions, workforce
24 development board members, other employers, labor, academic educators,
25 and parents of public school pupils.
26 Sec. 323. (1) Of the funds appropriated in part 1 for precollege
27 programs in engineering and the sciences, $250,000.00 shall be provided
1 in the form of a grant to the Detroit precollege engineering program,
2 incorporated and $250,000.00 shall be provided in the form of a grant
3 to the Grand Rapids area precollege engineering program.
4 (2) The department shall submit a report to the subcommittees and
5 the fiscal agencies by February 1 regarding dropout rates, grade point
6 averages, enrollment in science, engineering, and math-based curricula,
7 and employment in science, engineering, and math-based fields for
8 students within the programs. The report shall continue to evaluate
9 the effectiveness of the precollege programs in engineering and
10 sciences funded through part 1 appropriations and shall make
11 recommendations on whether state support to expand such programs to
12 other areas of the state is warranted in future fiscal years.
13 Sec. 324. The department may carry into the succeeding fiscal year
14 unexpended federal pass-through funds to local institutions and
15 governments that do not require additional state matching funds.
16 Federal pass-through funds to local institutions and governments that
17 are received in amounts in addition to those included in part 1 and
18 that do not require additional state matching funds are appropriated
19 for the purposes intended.
20 Sec. 325. Of the amounts appropriated in part 1 for postsecondary
21 education, private occupational school license fees shall fund related
22 administrative costs of the proprietary schools oversight unit within
23 the department.
24 Sec. 326. The department is appropriated an amount not to exceed
25 $100,000.00 from collection of defaulted loans under the future faculty
26 program in the Martin Luther King, Jr. - Cesar Chavez - Rosa Parks
27 programs to offset costs of administering the loan collections.
1 Sec. 327. From the funds appropriated in part 1 for postsecondary
2 education, the department shall compile data from each university that
3 receives funding for the future faculty program within the King-Chavez-
4 Parks initiative on employment outcomes for program participants. The
5 report shall be distributed to the house and senate appropriations
6 committees, the fiscal agencies, and the state budget office by
7 February 1 of each year. The report shall include data from each
8 participating university covering the most recently completed fiscal
9 year. The data shall include all of the following:
10 (a) The number of participants receiving support under the
11 program.
12 (b) The number of participants obtaining full-time employment.
13 (c) The number of participants obtaining full-time employment in
14 college faculty positions.
15 (d) The number of participants obtaining full-time employment in
16 college faculty positions within the university through which they
17 received future faculty program support for graduate studies.
18 Sec. 328. The King-Chavez-Parks initiative shall be marketed by the
19 department to Michigan parents and high school and college students, to
20 promote the benefits and the availability of the college day, select
21 student support services, college/university partnership, visiting
22 professors, Morris Hood, Jr. educator development, and future faculty
23 programs. The department shall provide electronic notification of the
24 location of the report on the Internet to the subcommittees on December
25 30, 2004, identifying all efforts taken to market these programs,
26 including, but not limited to, the amount of funding allocated for this
27 purpose, the fund source and any expenditures or encumbrances relating
1 to this marketing effort.
2 Sec. 329. The department shall work cooperatively with the
3 department of civil service to identify state employees who will lose
4 their jobs as a result of an agency or program being reorganized,
5 modified, or eliminated and shall develop training programs and provide
6 training to these individuals that will provide them an opportunity and
7 skills necessary to secure new employment within state government or
8 the private sector. It shall be a priority of the department to
9 provide training and employment opportunities to these individuals
10 through their employment service locations.
11 Sec. 330. From the funds appropriated in part 1 to job training
12 programs subgrantees, the department shall allocate sufficient funds to
13 the Michigan works! service centers to allow these centers to remain
14 fully operational.
15 Sec. 331. From the funds appropriated in part 1 for the Michigan
16 virtual university, the department shall work with the Michigan virtual
17 university to do the following:
18 (a) Promote the use of education technology to accelerate career
19 and workforce development by improving the learning environment,
20 stimulating innovative teaching methods, and providing residents of
21 this state with greater technology-based career choices.
22 (b) Promote technology-based training to public and private
23 sector organizations that emphasize partnerships between public
24 education and the business sector.
25 (c) Support and encourage various collaborative efforts among
26 educational institutions and government agencies to meet the training
27 needs of the state's workforce.
1 Sec. 332. (1) Focus: HOPE shall submit a report on the use of the
2 grant's funds appropriated in part 1 to the chairs of the house and
3 senate subcommittees, the fiscal agencies, and the state budget office
4 that includes, but is not limited to, the following:
5 (a) Detailed expenditures for administration including salaries
6 and wages of employees.
7 (b) Amount allocated for education and training programs
8 including number of students served by each program.
9 (c) Amount allocated for job search assistance and career
10 planning including the number of students served by each program.
11 (d) Detailed expenditures for any contracts entered into with the
12 use of these funds.
13 (e) Detailed expenditures for any program enhancements including
14 number of new hires and capital expenditures.
15 (2) The report shall be submitted on or before January 31.
16 Sec. 333. (1) The following work project accounts estimated to
17 total $11,300,000.00 are hereby cancelled effective September 30, 2004:
18 (a) 08230 AY 2002 Welfare to work program $ 10,180,000.00
19 (b) 08203 AY 2002 Job training programs $ 620,000.00
20 (c) 04000 AY 2002 Employment services $ 500,000.00
21 (2) The following work project account is hereby reduced for the
22 fiscal year ending September 30, 2004:
23 02000 AY 2002 Unemployment programs $ 10,000,000.00
24 (3) Of the amount in subsection (1), $5,300,000.00 is
25 appropriated to welfare to work programs for the fiscal year ending
26 September 30, 2005. After that appropriation, $6,000,000.00 is
27 appropriated to job training programs subgrantees for the fiscal year
1 ending September 30, 2005. In the event that the work projects in
2 subsection (1) total more than $11,300,000.00, any funds over that
3 amount are appropriated to the welfare to work programs for the fiscal
4 year ending September 30, 2005.
5 (4) Of the amount in subsection (2), $10,000,000.00 is
6 appropriated to welfare to work programs for the fiscal year ending
7 September 30, 2005.
8 MICHIGAN STRATEGIC FUND
9 Sec. 401. (1) The appropriation in part 1 to the fund for economic
10 development job training shall be expended in 2 categories:
11 the business response program for employee training grants which
12 maintain or attract permanent jobs for Michigan residents and the
13 manufacturing competitiveness program for grants to fund collaborative
14 efforts which increase the competitiveness of multiple companies within
15 a grant. The business response program is allocated up to
16 $6,524,000.00, and the manufacturing competitiveness program is
17 allocated up to $3,524,000.00 not to exceed the part 1 appropriation
18 for this program in its entirety. The fund has the authority to
19 reallocate these amounts during the fiscal year dependent on business
20 demand and economic conditions.
21 (2) Not more than $800,000.00 of the total grant may be expended
22 for administrative costs. Not more than 10% of the total grant award
23 may be expended by a recipient for administration costs.
24 (3) No funds appropriated in part 1 to the fund for economic
25 development job training grants may be expended for the training of
26 permanent striker replacement workers, unless a strike exceeds 3 years
27 and good faith negotiations are ongoing.
1 (4) Of the total funds appropriated in part 1 for economic
2 development job training grants, at least 70% of the funds shall be
3 awarded to community colleges or a consortium of community colleges and
4 other eligible applicants pursuant to subsection (5).
5 (5) An applicant may be a school district, intermediate school
6 district, community college, public or private nonprofit college or
7 university, nonprofit organization whose primary purpose is to provide
8 education programs or employment and training services or vocational
9 rehabilitation programs or school-to-work transition programs, local
10 workforce development board, the headquarters of a federal and state
11 sponsored manufacturing technology center, or a consortium consisting
12 of any combination of school districts, intermediate school districts,
13 community colleges, nonprofit organizations described in this
14 subsection, or public or private nonprofit colleges or universities
15 described in this subsection.
16 (6) On or before October 1, the fund shall publish proposed
17 application criteria, instructions, and forms for use by eligible
18 applicants. The fund shall provide at least a 2-week period for public
19 comment prior to finalization of the application criteria,
20 instructions, and forms.
21 (7) The award process will include a simple notice of intent to
22 be reviewed to see if the application merits further consideration. If
23 so, a full application may be submitted. Applications for all grants
24 shall be submitted to the fund, and each application shall contain at
25 least all of the following:
26 (a) The name, address, and total number of employees of each
27 business organization whose employees are receiving job training.
1 (b) A description of the specific job skills that will be taught.
2 (c) A clear statement of the project's scope of activities and
3 number of participants to be involved.
4 (d) A commitment to maintain participant records in a form and
5 manner required by the fund.
6 (e) A budget which relates to the proposed activities and various
7 program components.
8 (8) Priority in the fund's awarding of grants shall be based on
9 the following criteria:
10 (a) Demonstrated need for the type of training offered.
11 (b) Creation and/or retention of high wage and high skilled level
12 jobs.
13 (c) Other criteria determined by the fund to be important.
14 (d) In addition, for the manufacturing competitiveness program,
15 the following criteria will receive priority: strong level of
16 collaboration and cooperation and demonstration of new techniques,
17 systems, and processes of value to the affected companies.
18 (9) Participants in economic development job training programs
19 shall be 16 years or older and not enrolled and counted in membership
20 in a school district, intermediate school district, or community
21 college.
22 (10) A recipient of a grant under this section shall not charge
23 tuition or fees to participants in the program funded by the grant.
24 However, a nonprofit organization may charge tuition or fees if the
25 tuition plan or fees are recognized by the state and the nonprofit
26 organization receives additional funding from other governmental or
27 private funding sources for its programs.
1 (11) For training delivered to incumbent workers under the
2 business response program, the business receiving the benefit of the
3 training shall provide a minimum of 30% of the program costs in
4 matching funds as necessitated by the program. For training delivered
5 under the manufacturing competitiveness program, the business receiving
6 the benefit of the training shall provide a minimum of 30% of the
7 program costs in matching funds as necessitated by the program.
8 (12) Grant funds shall be expended on a cost reimbursement basis.
9 (13) A recipient of a grant under this section shall allow the
10 fund or the agency's designee to audit all records related to the grant
11 for all entities that receive money, either directly or indirectly
12 through a contract, from the grant funds. A grant recipient or
13 contractor shall reimburse the state for all disallowances found in the
14 audit.
15 (14) Of the funds appropriated in part 1 for economic development
16 job training grants, the fund shall not use these funds to finance the
17 startup or in any way subsidize any private distributor of liquor
18 products in Michigan.
19 (15) As a condition of receiving funds under part 1 of this bill,
20 the fund shall not expend any of the economic development job training
21 grant funds to train any employee who is an officer of a corporation in
22 a corporation employing more than 250 employees.
23 (16) The Michigan growth capital fund shall be used to develop
24 the technology business sector in Michigan. The fund will be used to
25 encourage private and public investment in the technology business
26 sector, and all of the following apply:
27 (a) An applicant must match state funds on a 1:1 basis.
1 (b) Eligible uses of the fund include investments in
2 organizations and programs that promote the development of new industry
3 sectors in Michigan; inducements to attract additional venture capital
4 funds to finance technology development; support organizations,
5 initiatives, or events that promote entrepreneurship; provide match for
6 university federal research grants; and support technology transfer and
7 commercialization programs with universities and the private sector.
8 (c) The Michigan economic development corporation shall
9 administer the Michigan growth capital fund.
10 (d) All funds received from repayment of loans, unused grants,
11 revenues received from sales or cash flow participation agreements,
12 guarantees, or any combination thereof or interest thereon, originally
13 distributed as part of the Michigan growth capital fund, shall be
14 received, held, and applied by the Michigan strategic fund for the
15 purposes described in this subsection.
16 (e) The Michigan economic development corporation shall provide
17 an annual report on the status of the Michigan growth capital fund to
18 the subcommittees, the fiscal agencies, and the state budget office by
19 January 31.
20 Sec. 402. Travel Michigan may establish and collect a fee to cover
21 the cost of materials and processing of photographic prints, slides,
22 videotapes, and travel product database information that are requested
23 by the media and other segments of the public and private sectors. The
24 fees collected shall be appropriated for all expenses necessary to
25 purchase and distribute these photographic prints, slides, videotapes,
26 and travel product database information. The funds are available for
27 expenditure when they are received by the department of treasury.
1 Sec. 404. Travel Michigan may receive and expend private revenue
2 related to the use of the "Michigan Great Lakes. Great Times."
3 copyrighted slogan and image. This revenue may come from the direct
4 licensing of the name and image or from the royalty payments from
5 various merchandise sales. Revenue collected is appropriated for the
6 marketing of the state as a travel destination. The funds are
7 available for expenditure when they are received by the department of
8 treasury.
9 Sec. 406. The fund shall submit on or before November 1 to the
10 subcommittees, state budget office, and the fiscal agencies a listing
11 of all grants which have been awarded by the fund or by the Michigan
12 economic development corporation from the funds appropriated in part 1.
13 The list shall include all of the following:
14 (a) The name of the recipient.
15 (b) The amount awarded to the recipient.
16 (c) The purpose of the grant.
17 Sec. 407. (1) The fund shall provide reports to the relevant
18 subcommittees, the state budget director, and the fiscal agencies
19 concerning the activities of the Michigan economic development
20 corporation grants and investment programs financed from the strategic
21 fund using investment or Indian gaming revenues. The report shall
22 provide a list of individual grants and loans made from the fund. The
23 report shall include, but not be limited to, the following programs
24 funded in part 1:
25 (a) Travel Michigan.
26 (b) Michigan business development.
27 (c) Global business development.
1 (d) Small, minority, and disabled business services.
2 (e) Community development block grants.
3 (f) Strategic fund administration.
4 (g) Renaissance zones.
5 (h) Emerging business sectors and roundtables.
6 (i) Business and clean air ombudsman.
7 (j) Economic development job training grants.
8 (k) Community assistance team.
9 (l) Technology tri-corridor.
10 (m) Any other programs of the fund.
11 (2) The reports in subsection (1) shall be submitted by January
12 1. The report for each program in subsection (1)(a) through (m) shall
13 include details on the actual spending and number of FTEs for that
14 program for the previous fiscal year.
15 Sec. 408. As a condition of receiving funds under part 1, any
16 interlocal agreement entered into by the fund shall include language
17 which states that if a local unit of government has a contract or
18 memorandum of understanding with a private economic development agency,
19 the Michigan economic development corporation will work cooperatively
20 with that private organization in that local area.
21 Sec. 409. (1) Of the funds appropriated to the fund or through
22 grants to the Michigan economic development corporation, no funds shall
23 be expended for the purchase of options on land or the purchase of land
24 unless at least 1 of the following conditions applies:
25 (a) The land is located in an economically distressed area.
26 (b) The land is obtained through a purchase or exercise of an
27 option at the invitation of the local unit of government and local
1 economic development agency.
2 (2) Consideration may be given to purchases where the proposed
3 use of the land is consistent with a regional land use plan, will
4 result in the redevelopment of an economically distressed area, can be
5 supported by existing infrastructure, and will not cause shifts in
6 population away from the area's population centers.
7 (3) As used in this section, "economically distressed area" means
8 an area in a city, village, or township that has been designated as
9 blighted; a city, village, or township that shows negative population
10 change from 1970 and a poverty rate and unemployment rate greater than
11 the statewide average; or an area certified as a neighborhood
12 enterprise zone.
13 Sec. 410. (1) From the funds appropriated in part 1 for the
14 technology tri-corridor, $15,000,000.00 is appropriated for the
15 initiative. These funds are appropriated to support research and
16 commercialization opportunities. The program shall be administered by
17 the Michigan economic development corporation.
18 (2) A technology tri-corridor steering committee, appointed by
19 the governor, shall consist of 19 members including the CEO of the
20 Michigan economic development corporation, the director of the
21 department of labor and economic growth, the state treasurer, a member
22 from Michigan State University, the University of Michigan, Wayne State
23 University, Western Michigan University, the Van Andel Institute, 2
24 members representing the legislature, 1 of which is chosen by the
25 speaker of the house of representatives and 1 of which is chosen by the
26 majority leader of the senate, and 2 members actively engaged in each
27 of the 3 targeted business sectors. The remaining members shall be
1 appointed at large and may include members from the private sector,
2 public sector, or other Michigan universities. Committee members are
3 authorized to designate alternate members. The purpose of the steering
4 committee is to provide advice and oversight of the initiative,
5 including the development of criteria for awards to qualifying
6 universities, institutions, companies, or individuals. The steering
7 committee will make decisions regarding distribution of these funds.
8 (3) Of the funds appropriated, up to $2,500,000.00 may be used
9 for administering the initiative including the monitoring of previous
10 years' awards. A competitive business commercial development fund to
11 support business commercialization research opportunities in Michigan
12 is the primary focus of the initiative. At least $5,000,000.00 shall
13 be allocated to the business commercial development fund, and the
14 technology tri-corridor steering committee shall give maximum priority
15 to supporting all potential commercialization opportunities that appear
16 to have merit.
17 (4) Repayment of any funds received as a result of awards made
18 under 1999 PA 120, 2000 PA 292, 2001 PA 80, 2002 PA 517, or this bill
19 including, but not limited to, funds received as interest or return on
20 investment shall be deposited in the business commercial development
21 fund. These funds are authorized for expenditure upon receipt and
22 shall not lapse to the general fund.
23 (5) The records of the technology tri-corridor steering committee
24 involving a fiscal year 2005 proposal or life science or technology
25 tri-corridor proposals from prior fiscal years submitted by an eligible
26 entity that are of a scientific, technical, or proprietary nature, the
27 release of which could cause competitive harm to the eligible entity as
1 determined by the technology tri-corridor steering committee, are
2 exempt from disclosure under the freedom of information act, 1976 PA
3 442, MCL 15.231 to 15.246.
4 Sec. 411. The money appropriated in part 1 to the fund is subject
5 to the condition that none is spent for premiums or advertising
6 material involving personal effects or apparel including, but not
7 limited to, t-shirts, hats, coffee mugs, or other promotional items,
8 except travel Michigan.
9 Sec. 412. (1) From the general fund/general purpose appropriations
10 in part 1 to the fund and granted or transferred to the Michigan
11 economic development corporation, any unexpended or unencumbered
12 balance shall be disposed of in accordance with the requirements in the
13 management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594, unless
14 carryforward authorization has been otherwise provided for.
15 (2) Any encumbered funds shall be used for the same purposes for
16 which funding was originally appropriated in this bill.
17 Sec. 413. As a condition of receiving funds under part 1, the fund
18 shall ensure that the MEDC and the Michigan strategic fund comply with
19 all of the following:
20 (a) The freedom of information act, 1976 PA 442, MCL 15.231 to
21 15.246.
22 (b) The open meetings act, 1976 PA 267, MCL 15.261 to 15.275.
23 (c) Annual audits of all financial records by the auditor general
24 or his or her designee.
25 (d) All reports required by law to be submitted to the
26 legislature.
27 (e) If the MEDC is unable for any reason to perform duties under
1 this bill, the Michigan strategic fund may exercise those duties.
2 Sec. 414. As a condition for receiving the appropriations in part
3 1, any staff of the Michigan economic development corporation involved
4 in private fund-raising activities shall not be party to any decisions
5 regarding the awarding of grants or tax abatements from the Michigan
6 strategic fund, Michigan economic development corporation, or the
7 Michigan economic growth authority.
8 Sec. 415. (1) All funds received from repayment of loans, unused
9 grants, revenues received from sales or cash flow participation
10 agreements, guarantees, or any combination thereof or interest thereon,
11 originally distributed as part of the core communities fund, shall be
12 received, held, and applied by the Michigan strategic fund for the
13 purposes described in this bill.
14 (2) The fund shall provide an annual report on the status of this
15 fund. The report shall be provided to the subcommittees, the fiscal
16 agencies, and the state budget office by January 31.
17 Sec. 418. (1) The funding appropriated in part 1 of 2000 PA 291 for
18 the Michigan core communities fund may be used to create an urban
19 revitalization infrastructure program in the Michigan strategic fund
20 for economic development awards to create new jobs or contribute to
21 redevelopment and encourage private investment in core communities.
22 (2) Awards may be provided to qualified local governmental units
23 as defined in the obsolete property rehabilitation act, 2000 PA 146, or
24 certified technology parks, as defined in the local development
25 financing act, 1986 PA 281, MCL 125.2151 to 125.2174.
26 (3) Awards can be used for land and property acquisition and
27 assembly, demolition, site development, utility modifications and
1 improvements, street and road improvements, telecommunication
2 infrastructure, site location and relocation, infrastructure
3 improvements, and any other costs related to the successful development
4 and implementation of core community or certified technology park
5 projects, at the discretion of the Michigan economic development
6 corporation.
7 (4) Funding may be provided in the form of loans, grants, sales
8 or cash flow participation agreements, guarantees, or any combination
9 of these. A cash match of at least 10%, or local repayment guarantee
10 with a dedicated funding source, is required. Priority shall be given
11 to projects which are integrated with existing economic development
12 programs, and to projects in proportion to the amount that local
13 matching rates exceed 10%.
14 (5) The Michigan economic development corporation shall have all
15 administrative responsibility for the Michigan core communities fund
16 and shall establish application and application scoring criteria and
17 approve awards. The Michigan economic development corporation may
18 utilize up to 1/2 of 1% of the fund for administrative purposes.
19 (6) Funds will be awarded through an open competitive process
20 based on criteria including the following: project impact, project
21 marketability, lack of adequate infrastructure or land assembly
22 financing sources, local administrative capacity, and the level of
23 local matching funds. Awardees shall agree to expedite the local
24 development process, such as fast-track permitting procedures,
25 streamlined regulatory requirements, standardized construction and
26 building codes, and the use of competitive construction permitting
27 fees.
1 (7) No single applicant shall be awarded more than $10,000,000.00
2 per project.
3 (8) Fifteen days prior to the award of the funds, notification
4 shall be provided to the speaker of the house of representatives, the
5 senate majority leader, the members of the house and senate
6 appropriations committees, the house and senate fiscal agencies, and
7 the state budget director.
8 (9) Funds shall not be awarded for any of the following purposes:
9 (a) Land sited for use as, or support for, a gaming facility.
10 (b) Land or other facilities owned or operated by a gaming
11 facility.
12 (c) Publicly owned land or facilities which may directly or
13 indirectly support a gaming facility.
14 Sec. 419. Up to $100,000.00 from available resources shall be spent
15 to create and administer a state clearinghouse on entrepreneurship
16 available to the public through the Internet.