*FY 2004-05

Year-to-Date

Executive

House

Senate

Conference

Difference:

Conference  from YTD

IDG/IDT

Federal

Local

Private

Restricted

18,282,200

GF/GP

280,827,400

281,327,400

281,327,400

260,490,400

281,327,400

500,000

0.2

Gross

$280,827,400

$281,327,400

$281,327,400

$278,772,600

$281,327,400

$500,000

0.2

FTEs

1.      Operations Funding

Exec Rec/House: No changes from year-to-date (post-EO 2005-7).  Senate: Across-the-board reductions of 0.9% from post-EO 2005-7 levels; offsets $18.3 million GF/GP with School Aid Fund revenue.  Conference: Concurs with Exec Rec/House.

Gross

GF/GP

$275,104,700

$275,104,700

$0

$0

2.      Renaissance Zone Tax Reimbursement

Exec Rec/House/Senate/Conference: Increases funding by 20.8% for statutorily-required reimbursement to colleges with renaissance zones in their districts to reflect expected increases in taxable value in those zones.

Gross

GF/GP

$2,400,000

$2,400,000

$500,000

$500,000

Sec. 207.  Tuition Restraint – DELETED

Sets conditions for receipt of funds appropriated to colleges contingent on tuition restraint in FY 2004-05.  Exec Rec/House/ Senate/Conference delete.

Sec. 208.  Entrepreneurship Curriculum – REVISED

Requires Department of Labor and Economic Growth to work with colleges to develop an entrepreneurship curriculum.  House/Senate/Conference add annual reporting requirement.

Sec. 210.  Deprived and Depressed Communities – RETAINED

Encourages colleges to ensure that businesses in deprived and depressed communities compete for and perform contracts.  Exec Rec/Senate retain.  House deletes. Conference retains.

Sec. 211.  Payment Schedule– RETAINED

Sets payment schedule for funds appropriated. Exec Rec eliminates provision requiring full payment of At-Risk Student Success Program funds by November 1.  House/Senate/Conference retain requirement.

Sec. 216(3).  Reports to MPSERS– DELETED

Limits number of reports colleges can be required to submit to Michigan Public School Employees Retirement System (MPSERS).  Exec Rec/House/Senate/Conference delete.

Sec. 220.  ITEM Funding– RETAINED

States intent to restore funding for infrastructure, technology, equipment, and maintenance (ITEM) provided in previous years.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 224.  Collaboration with Four-Year Universities– RETAINED

Encourages colleges to increase collaboration with four-year universities. Exec Rec deletes. House/Senate/Conference retain.

Sec. 230.  Abortion Services– RETAINED

Prohibits expenditure of funds appropriated to provide health care coverage for abortion services, with certain exclusions.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 231.  Benefits for Unmarried Partners– RETAINED

States legislative intent that funding under act not be used to extend benefits to unmarried partners of college employees.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 235.  State University Admission Policies– REVISED

States legislative intent for workgroup to evaluate state university admission and enrollment policies.  Exec Rec deletes.  House/Senate/Conference retain and add reporting requirement.

Sec. 236. Tuition Reciprocity Agreements– RETAINED

States intent regarding frequency of review of tuition reciprocity agreements and tuition rate paid by out-of-state students attending Michigan colleges.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 237.  Payments in Lieu of Taxes– REVISED

States intent for workgroup to evaluate the possibility of making payments in lieu of taxes to community colleges whose districts contain state-owned land.  Exec Rec deletes.  House/Senate/Conference retain and expand scope to include all nontaxable land and add reporting requirement.

Sec. 238.  Optional Retirement Plan– REVISED

States intent for workgroup to evaluate impact of expanding eligibility for Optional Retirement Plan to include part-time faculty.  Exec Rec deletes.  House/Senate/Conference retain and add reporting requirement.

Sec. 239. Subsequent Appropriations Increases– RETAINED

States intent that any subsequent action to increase appropriations to state universities be accompanied by similar action for community colleges.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 240.  Economic Development Job Training Grants– RETAINED

States legislative intent that 70 percent of Economic Development Job Training Grants be awarded to community colleges.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 241.  Nursing Education Programs– NEW

States intent that colleges expand their nursing education programs.  Senate adds new section.   Conference includes section.

Sec. 242.  Performance Indicator Task Force– NEW

Establishes 13-member task force to review, evaluate, discuss, and make recommendations regarding performance indicators to be utilized in future budget years to guide decisions regarding state funding to community colleges.  Task force is composed of four legislators, two department directors, four community college representatives, and three members of the public.  Specifies minimum list of possible indicators to be considered.  Requires report on findings and recommendations by February 1, 2006.  States legislative intent that community college funding will be based partially or wholly on performance indicators in future years.  House adds new section.  Senate does not include section.  Conference includes section, but provides for 8-member task force: four legislators and four community college representatives.

Sec. 243.  Future Appropriations Increase– NEW

States intent for review of possible $3.2 million increase for community college operations if GF/GP revenue estimate increases at January 2006 revenue conference.  Conference adds new section.

Sec. 304.  Gast-Mathieu Formula– RETAINED

States legislative intent to fully fund Gast-Mathieu Formula. Exec Rec deletes.  House/Senate/Conference retain.

Sec. 305.  FY 2004-05 Book Closing Funds– NEW

States that funds appropriated in FY 2005-06 bill for college operations are in addition to funds anticipated for payment at FY 2004-05 book closing, which the colleges will recognize as FY 2005-06 revenue.  Conference adds new section.

Sec. 401.  At-Risk Student Success Program – RETAINED

Provides for distribution and expenditure of At-Risk Student Success Program funds.  Exec Rec restricts use of funds to addressing special needs of at-risk students at community colleges.  House/Senate/Conference retain current language, which allows funds to also be used for acquisition or upgrade of technology-related equipment and software.

Sec. 502.  ACS Data Audits– RETAINED

Requires auditor general to audit Activities Classification Structure (ACS) data submitted by seven randomly-selected community colleges.  House allows for auditing of three additional colleges above minimum of seven.  Senate/Conference retain current provisions.

Sec. 511.  On-Site Visits– RETAINED

States intent that the frequency of on-site visits to monitor the performance of community colleges be limited.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 513.  Tax Revenue Losses– RETAINED

Requires Department of Treasury to collect data on tax revenue losses to colleges resulting from tax increment financing authorities and tax abatements.  Exec Rec deletes.  House/Senate/Conference retain.

FY 2005-06 DEPARTMENT OF COMMUNITY HEALTH BUDGET

PROPOSED PART 1 GF/GP CHANGES

Department of Community Health

GF/GP

House Recommendation

2,842,599,600

Final Target

2,951,899,400

Target increase over House Recommendation

109,299,800

Proposed Conference Committee Adjustments to House Version

 1.

Fund consensus Medicaid caseload increase

48,746,200

 2.

Medicaid Benefits Trust Fund adjustment

7,400,000

 3.

Contract and Group Insurance Savings

(8,840,100)

 4.

Restore all but $3.0 million of Healthy Michigan Fund savings

10,626,800

 5.

Restore employee economics

6,263,400

 6.

Increase nursing home QAAP savings

(18,000,000)

 7.

Restore Director and Unclassified funding

25,000

 8.

Restore funding to Consumer Involvement Program

189,100

 9.

Restore $100,000 Office of Recipients Rights reduction

100,000

10.

Restore Multicultural Services to FY 2004-05 level

1,400,000

11.

Restore $20.0 million CMH reduction

20,000,000

12.

Restore Community Substance Abuse and SDA substance abuse services

750,000

13.

Increase Rural Health Services funding

126,000

14.

Reject Michigan Essential Health Provider fund source changes

545,400

15.

Restore Surgeon General, Chief Nurse Executive, and ODCP Director funding

268,500

16.

Partially restore Hearing and Vision Screening services

2,575,000

17.

Restore Early Childhood Collaborative Secondary Prevention Program

524,000

18.

Restore Office of Services to the Aging reductions

263,500

19.

Eliminate Medicaid Hospital DRG base rate reduction

2,195,200

20.

Restore Medicaid Adult Dental services

4,800,000

21.

Restore Medicaid coverage for 19 and 20 year olds

4,794,300

22.

Restore optional Medicaid coverage for parents/caretaker relatives

42,541,800

23.

Assume savings from hospital case rate payment for parents/caretaker relatives

(12,500,000)

24.

Fund Adult Benefits Waiver program at Executive Recommendation

5,786,700

25.

Reject Medicaid premium savings and revise copayments

5,700,000

26.

Restore MIChoice HCBS funds, reduce admin. rate $2/day, and increase slots

3,255,800

27.

Increase Medicaid Mental Health QAAP savings

(4,500,000)

28.

Restore 1% of 4% provider reduction, but exclude HMOs

9,511,100

29.

Recognize additional HMO QAAP revenue

(5,432,600)

30.

Improve fraud recoveries from pharmaceutical manufacturers

(4,300,000)

31.

Reduce provider mispayments with assistance from consulting firm

(2,200,000)

32.

Recognize nursing home savings from HCBS increased slots

(1,300,000)

33.

Settle nursing home lawsuit and recoup escrow balance

(3,000,000)

34.

Nursing home capital refinancing savings

(2,000,000)

35.

Establish an asset test for determining eligibility of  parents and caretaker relatives

36.

Retain current MIChild enrollment policies

2,000,000

37.

Maintain current MIChild premiums @ $5 per month

395,100

38.

Medicaid psychotropic drug utilization savings

(4,000,000)

39.

Recognize savings from implementation of a Medicaid hospital observation rate

(2,050,400)

40.

Increase funding for Free Clinics to $250,000

40,000

Subtotal of Proposed Adjustments

109,299,800

Proposed Conference Funding Recommendation

2,951,899,400

Final Target

2,951,899,400

Amount Over (Under) Final Target

0

Major Boilerplate Changes

Sec. 261.  Medicaid Management Information System Upgrade

Provides that the Part 1 appropriated funds for the Medicaid management information system upgrade are contingent upon approval of an advanced planning document from the Centers for Medicare and Medicaid Services.  Also permits the appropriation to be designated as a work project and carried forward to support completion of the project.

Sec. 267. Disciplinary Action Against State Employee

Prohibits the Department from taking disciplinary action against an employee for communicating with a member of the Legislature or his/her staff.

Sec. 425.  Report on Prisoners Receiving Mental Health and Substance Abuse Services

Modifies language that requires a report on the number of prisoners receiving substance abuse and mental health services.  The Department, in conjunction with the Department of Corrections, would be required to report on the number of prisoners with a primary diagnosis of mental illness and receiving substance abuse services including inpatient, residential and outpatient care.

Sec. 450. Audit and Reporting Requirements for CMHSPs

Modifies language that continues a Work Group on recommending strategies to streamline audit and reporting requirements for CMHSPs or specialty prepaid health plans.  The charge to this Work Group would be to develop standards and criteria to be used by any contractor performing an audit for a prepaid inpatient health plan or CMHSP.

Sec. 456.  Consumer Choices for Mental Health Services

Requires prepaid inpatient health plans when providing Medicaid mental health services to honor a consumer choice for skill building assistance and work preparatory services provided in accredited community based rehabilitation organizations as well as supported and integrated employment services.

Sec. 457. Quality Assurance Assessment Program for CMH Inpatient Health Plans

Requires the Department to assure that implementation of the Quality Assurance Assessment Program for CMH health plans does not result in any net reduction in revenue for CMH services.  If the quality assurance assessment program is not implemented, or implemented and does not generate the anticipated revenue, or reduced or eliminated at a later date, the Department must submit a plan to the House of Representatives and Senate Appropriations Subcommittees on Community Health on how the projected GF/GP savings will be achieved.

Sec. 458.  Report on Recommendations of Michigan Mental Health Commission and Cost-Benefit Analysis for Residential Facilities and Specialized Mental Health Court Program

Requires the Department to report by April 15, 2006 on the following: an updated plan for implementing recommendations of Michigan Mental Health Commission report on October 15, 2004; cost-benefit analysis of establishing secure residential facilities of fewer than 17 beds for adults with serious mental illness; and cost-benefit analysis of establishing specialized mental health court program that diverts adults with serious mental illness alleged to have committed an offense deemed nonserious into treatment prior to the filing of any charges.

Sec. 460. Uniform Standards for Reporting of Administrative Costs by CMHSPs

Requires the Department to establish uniform definitions, standards, and instructions for the classification, allocation, assignment, calculation, recording, and reporting of administrative costs by prepaid inpatient health plans, CMHSPs, and contracted organized provider systems. By April 15, 2006, the Department is required to provide a written draft of the proposed definitions, standards, and instructions to the House of Representatives and Senate Appropriations Subcommittees on Community Health, the House and Senate Fiscal Agencies, and the State Budget Director.

Sec. 462.  Funding Equity Plan for CMH Non-Medicaid Services

Requires the Department to establish a Work Group to develop a plan to achieve funding equity for all CMHSPs that receive funds appropriated under CMH Non-Medicaid Services.  The funding equity plan, at a minimum, shall establish a payment or scale to ensure that each CMHSP is paid and/or reimbursed equally based on the recipient's diagnosis or individual plan of service.

Sec. 463. Program Evaluation Measures for Substance Abuse Services

Directs the Department to establish standard program evaluation measures to assess the effectiveness of programs provided through coordinating agencies and service providers in reducing and preventing the incidence of substance abuse.

Sec. 464.  Liquor License Fees

Expresses the Legislature's intent that revenue received by the Department from liquor license fees are to be expended only to fund programs for the prevention, rehabilitation, care, and treatment of alcoholics pursuant to provisions within the Liquor Control Code.

Sec. 465.  Respite Services

Specifies that funds appropriated in Part 1 for respite services shall be used for direct respite care services for children with serious emotional disturbances and their families.  No more than 1% of the funds allocated for this line item can be expended by CMHSPs for administration and administrative purposes.

Sec. 651.  Activities of the Surgeon General

Requires the department to report on activities and efforts of the surgeon general to improve the health status of the citizens of the state pursuant to the goals and objectives stated in the Healthy Michigan 2010 report, and to indicate measurable progress made.

Sec. 1006. (2)  Quit Kit Allocation for Smoking Prevention

Establishes allocation of $900,000 of smoking prevention funds for the Quit Kit program that includes the nicotine patch or nicotine gum, for purposes of complying with Public Act 164 of 2004.

Sec. 1637.  Personal Health Responsibility Agreement

Requires that all Medicaid recipients be offered the opportunity to sign a Medicaid personal responsibility agreement which contains various provisions regarding healthy behaviors.

Sec. 1666.  System Changes Providing Immediate Inclusion of Newborns in Medicaid Eligibility File

Requires the Department to implement system changes that assures that newborns of health plan covered Medicaid mothers are within 30 days of birth included in the Medicaid eligibility file.

Sec. 1684.  Home and Community-Based Services Administrative Expenses

Requires that the payment rate allocated for administrative expenses for the HCBS waiver program be reduced by $2.00 per person per day, and that the savings realized by this action will be reallocated to increase enrollment in the waiver program to provide direct services to eligible participants.  A report will be prepared by the Department on the number of nursing home patients discharged who are subsequently enrolled in the HCBS waiver program, and the associated cost savings.

Sec. 1686.  Long Term Care Single Point of Entry Pilot Project Report

Requires the Department to report by April 30, 2006, on the progress of three Medicaid long-term care single point of entry services pilot projects.

Sec. 1700.  Actuarially Sound Capitation Rates

Requires the Department to consult with the Michigan Association of Health Plans and develop a plan to assure that the Medicaid payment rates to HMOs in FY 2005-06 meet the federal requirements for actuarially sound rates.  The plan shall be submitted by May 30, 2006.

Sec. 1729.  Bi-Partisan Joint Committee Identifying Medicaid Cost Reductions

Establishment of a bi-partisan joint subcommittee that shall attempt to identify at least $40.0 million through cost reduction measures, with potential savings to go to the state Medicaid program.

Sec. 1732.  Nursing Home QAAP Modification Assurance

Assurance that the Department will not reduce nursing home reimbursements to achieve certain general fund/general purpose savings if proposed modifications to the quality assurance assessment program for nursing homes are not implemented.

FY 2004-05 YTD

(as of 2/10/05)

Executive

(Rev. 6/2/05)

House

(6/9/05)

Senate

(6/15/05)

Conference

CR-1 Change

from FY 2004-05 YTD

Amount

%

IDG/IDT

$3,364,200

$1,043,800

$1,043,800

$1,043,800

$1,043,800

($2,320,400)

(69.0)

Federal

8,188,100

10,316,800

10,316,800

10,316,800

11,410,200

3,222,100

39.4

Local

393,600

411,700

411,700

411,700

411,700

18,100

4.6

Private

0

0

0

0

0

0

0.0

Restricted

66,075,600

66,590,000

66,442,400

66,442,400

66,590,000

514,400

0.8

GF/GP

1,708,161,100

1,805,280,300

1,748,507,700

1,776,144,200

1,798,991,400

90,830,300

5.3

Gross

$1,786,182,600

$1,883,642,600

$1,826,722,400

$1,854,358,900

$1,878,447,100

$92,264,500

5.2

FTEs

17,769.8

17,517.2

17,201.8

17,524.2

17,521.8

(248.6)

(1.4)

Avg. Pop.

51,503

50,949

50,285

51,425

50,945

(558)

(1.1)

PRISON AND CAMP CAPACITY CHANGES

1.      Youth Correctional Facility

Funds the privately-owned and –operated Michigan Youth Correctional Facility in Baldwin, and incorporates assumptions of at least $1.0 million in annual savings through renegotiation of management and lease contracts.

Beds

FTEs

Gross

GF/GP

480

1.0

$18,840,700

$18,840,700

0

0.0

($1,000,000)

 ($1,000,000)

2.      Add Beds in Six-bunk Open Bays

Funds additional 976 Level I (minimum security) beds through addition of one bunk to six-bunk open bays in eight lower-peninsula facilities.  

Beds

FTEs

Gross

GF/GP

n/a

n/a

n/a

n/a

976

102.6

$10,321,300

$10,321,300

3.      Add Beds at Kinross and Ojibway

 Funds additional 376 beds at Kinross Correctional Facility (in Kincheloe) and Ojibway Correctional Facility (in Marenisco).  Increases at Kinross of 296 Level II beds and 22.6 FTEs.  Increases at Ojibway of 80 Level I beds and 10.8 FTEs.

Beds

FTEs

Gross

GF/GP

n/a

n/a

n/a

n/a

376

35.4

$4,127,000

$4,127,000

4.      Jackson Complex A and B Units

Virtually eliminates partial-year funding included in FY 2004-05 for Egeler's A and B units; beds were constructed as Level V, but funded and used briefly in FY 2004-05 as minimum-to-medium security beds accommodating prisoners processed at the Egeler reception center and awaiting transfer to other facilities.  Health care funding retained to support new beds being added elsewhere in the system.

Beds

FTEs

Gross

GF/GP

480

58.2

$5,060,100

$5,060,100

(480)

(58.2)

($3,517,900)

($3,517,900)

5.      Full-year Costs of Beds Added in FY 2004-05

Provides full-year funding for beds opened and receiving partial-year funding in FY 2004-05.  Adds $1.3 million for 200 beds added at Camp Lehman, $2.1 million and 31.1 FTEs for 316 beds added through conversion of Oaks Correctional Facility from Level V to Level IV, and $506,800 for 96 beds added through conversion of Oaks segregation unit to general population.

Beds

FTEs

Gross

GF/GP

612

23.7

$3,398,000

$3,398,000

0

31.1

$3,877,800

$3,877,800

6.      Close Mangum Farm and Camps Tuscola and Sauble

Includes reductions totaling 475 beds, 108.8 FTEs, $3.4 million Gross, and $3.1 million GF/GP through closure Camps Tuscola and Sauble and the barracks at Marquette's Mangum farm.

Beds

FTEs

Gross

Restricted

GF/GP

n/a

n/a

n/a

n/a

n/a

(475)

(108.8)

($3,370,700)

(228,900)

($3,141,800)

PRISON AND CAMP OPERATIONS

7.      Reduce Security Levels at Five Facilities

Reflects reductions in staffing needs due to changes in security levels that occurred at five facilities during the first half of FY 2004-05.  At Bellamy Creek, two units (240 beds) changed from Level III to Level II, and three units (480 beds) changed from Level IV to Level II.  At Boyer Road, the entire 960-bed facility changed from Level II to Level I.  At Ojibway, three units (360 beds) changed from Level II to Level I.  At Mound and Ryan, both facilities changed from multilevel facilities to Level II facilities, with a total of 574 beds affected.

Beds

FTEs

Gross

GF/GP

n/a

n/a

n/a

n/a

0

(95.3)

($2,871,900)

($2,871,900)

8.      Seniority Step Increases at Correctional Facilities

Increases appropriations at all the correctional facilities to meet needs for additional funding due to increasing seniority of staff.

FTEs

Gross

GF/GP

n/a

n/a

n/a

0.0

$8,085,200

$8,085,200

9.      Consolidate Administrative Functions at Eight Facilities

Includes savings generated by consolidating business offices and other administrative functions at: Mound and Ryan, Kinross and Chippewa, Brooks and Muskegon, and Pine River and St. Louis.

FTEs

Gross

GF/GP

n/a

n/a

n/a

 (10.0)

($445,600)

($445,600)

10.    Food Service

Includes various adjustments pertaining to food service.  Savings of $1.0 million through changing from whole to skim milk and eliminating coffee from prisoner food service.  Closure of Jackson complex production kitchen to save $3.5 million, $2.7 million of which is funded by user fees (intradepartmental transfers from the various facilities).    Increase of $520,000 to provide food to the Department of Community Health's (MDCH) new forensic center; fully funded by interdepartmental grant from MDCH.

FTEs

Gross

IDG/IDT

GF/GP

n/a

n/a

n/a

n/a

(8.4)

($3,940,300)

(2,219,400)

($1,720,900)

OFFENDER HEALTH CARE AND TREATMENT

11.    Substance Abuse Testing and Treatment

Uses newly-awarded federal grant for residential substance abuse treatment of state prisoners (RSAT) to offset.

Gross

Federal

GF/GP

$17,646,000

729,400

$16,916,600

$574,900

1,093,400

($530,300)

12.    Managed Care Contract Savings

Incorporates unspecified efficiencies in prisoner health care provided under a managed care contract for hospital and specialty care.

Gross

GF/GP

$59,875,200

$59,875,200

($1,698,200)

($1,698,200)

13.    Hepatitis C Testing and Treatment

Eliminates separate line item that was added in the current fiscal year for hepatitis C testing and treatment.  Funding reduced by $1.0 million and the remaining $150,000 added to prison health clinic line items.

Gross

GF/GP

$1,150,000

$1,150,000

($1,000,000)

($1,000,000)

PRISONER REINTEGRATION AND ALTERNATIVES TO PRISON INCARCERATION

14.    Prisoner Reintegration Programs

Creates new line item to consolidate various programs aimed at improving success on parole and reducing need for additional prison beds.  Includes current-year funding for female programs, plus funding from new federal grant,  $3.0 million for reintegration programs for mentally ill offenders, and $5.0 million for various re-entry pilot programs at sites across the state.

FTEs

Gross

Federal

GF/GP

4.0

$3,843,700

0

$3,843,700

0.0

$9,035,000

1,035,000

$8,000,000

15.    Community Corrections Probation Residential Centers

Reduces the base by $500,000 in response historical spending, adds $1.6 million for increase in per diem payments (from $43 to $47.50) to service providers, and renames the line item to "Residential Services" to reflect expanded purpose.

Gross

Restricted

GF/GP

$15,828,400

2,323,500

$13,504,900

$1,097,000

0

$1,097,000

16.    Community Corrections Comprehensive Plans and Services

Reduces the base by $500,000 in response to historical spending.

Gross

GF/GP

$13,033,300

$13,033,300

($500,000)

($500,000)

17.    Parole and Probation Supervision

Offsets $1.0 million in GF/GP funding with increased collections of parole and probation oversight fees, assumes savings of $239,500 and 3.0 FTEs through consolidation of field offices, and provides $454,900 for increased costs of field office rent.

FTEs

Gross

Restricted

GF/GP

n/a

n/a

n/a

n/a

(3.0)

($188,100)

1,000,000

($1,188,100)

18.    Parole and Probation Special Operations

Provides funding for law enforcement escorts for parole and probation agents making after-hours checks of supervised offenders in Detroit.

Gross

GF/GP

$0

$0

$500,000

$500,000

19.    Close Two Corrections Centers

Reflects closure of two corrections centers formerly leased in Benton Harbor and Saginaw.  Corrections centers historically housed low-level offenders placed in the community prior to parole.  Population eligible for community placement is declining due to impact of truth-in-sentencing, which requires offenders to serve their minimum sentences in secure confinement.

Beds

FTEs

Gross

Restricted

GF/GP

481

70.0

$9,283,000

1,486,300

$7,796,700

(271)

(22.0)

($3,532,200)

(1,176,100)

($2,356,100)

20.    Eliminate Funding for CRP II

Eliminates remainder of funding for Conditional Reintegration Program (called CRP II to distinguish it from an earlier proposal), first funded in FY 2003-04.  Under CRP II, offenders past their earliest release date were to be selected and moved to tether.  Difficulties in identifying a sufficient number of offenders suitable for tether led to a reduction under enacted budget for FY 2004-05, with elimination of the remainder now proposed.

FTEs

Gross

Restricted

GF/GP

68.5

$5,514,800

1,859,100

$3,655,700

(68.5)

($5,514,800)

(1,859,100)

($3,655,700)

MISCELLANEOUS ADJUSTMENTS

21.    Supplementary Operational Expenditures

Aggregates various costs into a single line item.  Funding to be used for wage and salary increases, contractual obligations to pay dry cleaning allowances, and jail capacity grants.  Change from current year reflects $4.0 million recommended by the Executive for various grant programs to ease jail crowding problems.

Gross

GF/GP

n/a

n/a

$4,000,000

$4,000,000

22.    Vaccination Program

Reduces funding for vaccination program, which largely funds hepatitis-B vaccinations for new corrections officers.

Gross

GF/GP

$991,200

$991,200

($300,000)

($300,000)

23.    Close DeMarse Academy

Closes DeMarse training academy, located on grounds of former Michigan School for the Blind in Lansing.  New classes of corrections officers to utilize state police training facility.  Savings of $1.0 million offset by increased food costs of $303,800.

Gross

GF/GP

n/a

n/a

($696,800)

($696,800)

24.    Reduce Central Office Staffing

Eliminates 14.5 FTEs from central office staff in Lansing, with attendant savings of $1.1 million.

FTEs

Gross

GF/GP

n/a

n/a

n/a

(14.5)

($1,118,700)

($1,118,700)

25.    Eliminate Jail Services Unit

Eliminates jail services unit, which reviews jail plans and inspects jails for compliance with statutory and promulgated jail standards. Under proposed statutory changes, these responsibilities would be shifted to Department of Labor and Economic Growth (DLEG). An associated position that administers the county jail reimburse-ment program would be transferred to Office of Community Corrections.

FTEs

Gross

IDG/IDT

GF/GP

5.0

$654,500

165,000

$489,500

(4.0)

($581,200)

(165,000)

($416,200)

26.    Statewide Consolidation of Human Resources

Assumes additional savings through human resources optimization project, initiated in FY 2004-05.

FTEs

Gross

GF/GP

n/a

n/a

n/a

(7.0)

($558,200)

($558,200)

27.    Department of Information Technology (DIT)

Adds $644,400 for computer costs associated with human resources optimization project, includes $400,000 reduction to recognize that computers used for prisoner education are not supported by DIT, and incorporates $612,300 reduction in connection with statewide DIT reductions.  These figures do not reflect about $1.7 million in newly-identified contractual savings (see below).

Gross

Restricted

GF/GP

$14,789,900

509,500

$14,280,400

($367,900)

0

($367,900)

28.    Restoration of FY 2004-05 Concessions

Funds restoration of FY 2004-05 wage and salary concessions.

Gross

IDG/IDT

Federal

Local

Restricted

GF/GP

n/a

n/a

n/a

n/a

n/a

n/a

$46,342,500

56,200

42,300

7,400

1,180,600

$45,056,000

29.    Newly-identified Insurances, Retirement, and Contract Savings

Reflects $19.1 million in newly-identified savings to be achieved in employee health care and retirement benefits and under various contracts.  Savings of $1.3 million in insurances, $12.1 million in retirement costs, and $5.7 million in contractual costs.

Gross

GF/GP

n/a

n/a

($19,129,600)

($19,129,600)

30.    Economic Adjustments

Includes economic increases for:

▪ Insurances ($24.2 million Gross, $23.5 million GF/GP)

▪ Retirement ($30.5 million Gross, $29.6 million GF/GP)

▪ Building occupancy ($152,700 Gross and GF/GP)

Includes economic decrease of $1.4 million (Gross and GF/GP) for worker's compensation.

Does not provide additional revenues to fund 1.5% wage and salary increase occurring in FY 2005-06, which for MDOC employees would total an estimated $13.8 million.  Does not provide funding for economic increases in food or fuel and utilities,  nor for increased costs under new guards' contract that increased the dry cleaning allowance paid to corrections officers.

Economic adjustment figures do not reflect newly-identified savings in costs of employee benefits and retirement, described above.

Gross

IDG/IDT

Federal

Local

Restricted

GF/GP

n/a

n/a

n/a

n/a

n/a

n/a

$53,414,200

5,900

51,400

10,700

1,499,800

$51,846,400

Sec. 401.  Prison Population Projections – REVISED

Requires that the report on the prison population projections include explanations of the methodology and assumptions used in developing the projection updates.

Sec. 403.  County Jail Services Staff – DELETED

Eliminates mandate to continue to maintain county jail services staff.

Sec. 407.  Prisoner Reintegration Programs – NEW

Requires reports on implementation and results of prisoner reintegration programs, and maintenance of programs based at Cooper Street Correctional Facility, Macomb Correctional Facility, and the Huron Valley complex.

Sec. 411.  Recidivism Report – NEW

Conditions certain expenditures on provision of a report detailing a departmental plan to reduce recidivism rates among prisoners released from correctional facilities.  Report to include information on how the success of the plan will be measured, along with detailed information on historical recidivism rates, and comparisons to other states.

 Sec. 503.  Substance Abuse Testing and Treatment – NEW

Requires report on substance abuse testing and treatment program objectives, outcome measures, and results.

Sec. 504.  Mental Health and Substance Abuse Services – NEW

Requires department to cooperate with Department of Community Health in providing information and developing a report on prisoners receiving substance abuse and mental health services.

Sec. 608.  Parole and Probation Special Operations – NEW

Specifies that funds appropriated for parole and probation special operations are to be used to fund law enforcement officer escorts for parole and probation agents making unscheduled after-hours checks to verify offenders' whereabouts and activities in selected precincts of Detroit.  Expresses a legislative intent that the department cooperate with the attorney general and local law enforcement agencies in assigning field agents for parole and probation special operations.

Sec. 709.  Community Corrections Program Reports – NEW

Requires reports on the county jail reimbursement program, the felony drunk driver jail reduction and community treatment program, the alternatives to prison jail and treatment programs, the jail capacity expansion program, and new initiatives to control prison population growth funded under the residential services and comprehensive plans and services line items.  Reports are to include information on program objectives and outcome measures, expenditures by location, the impact on jail utilization, the impact on prison admissions, and other information relevant to evaluation of the program.

Sec. 904.  Privatization of Pharmaceutical Services – DELETED

Eliminates requirement that a one-year cost-benefit analysis of privatizing pharmacy services be conducted prior to any effort to privatize pharmacy services.

Sec. 1010.  GED and Recidivism Report – REVISED

Includes new requirements for reporting on prisoner educational backgrounds, prison education programs, and program impact.

Sec. 1011.  GED Certification Report  – NEW

Conditions academic/vocational program expenditures on the provision of a departmental plan to increase certification rates among prisoners enrolled in general educational development (GED) programs at correctional facilities.   Report to include details on how the department plans to improve certification rates, along with information on recent certification rates and comparisons to other states.

Sec. 1014.  Women's Facilities, Sexual Harassment, and State Police Investigations  – NEW

Requires implementation of a plan to remove male corrections staff from the housing units in female prisons, mandates that a single staffer at each facility be designated to assist prisoners in filing sexual harassment claims, and requires the department to refer all complaints of criminal conduct to the state police.

Sec. 1015.  Supplementary Operational Expenses  – NEW

Expresses legislative intent for appropriation for supplemental operational expenses to be used to offset costs of employee wage and salary increases, contractual obligations to pay dry cleaning allowances, and jail capacity grants.

1.      School Readiness Program – Competitive Grants

The Conference report transfers the school readiness program and corresponding boilerplate to the school aid act.

Gross

GF/GP

$12,250,000

12,250,000

($12,250,000)

(12,250,000)

2.      MEAP Enhancement Costs

The Conference report adds $2.6 million in Merit Award Trust Funds for contractual services to revise the High School Michigan Education Assessment Program (MEAP) test to also be a college entrance exam, as required in PA 596 of 2004 and adds $3.0 million for an anticipated Federal grant for a longitudinal data tracking system.

Gross

Federal

Restricted

$25,130,000

11,445,400

13,685,200

$2,600,000

3,000,000

2,600,000

3.      School Breakfast Program

The Conference report adds $1.6 million in General Funds to reflect an anticipated increase in meal costs and in the number of breakfasts served.

Gross

GF/GP

$8,025,000

8,025,000

$1,600,000

1,600,000

4.      School Improvement Contract

The Conference report adds $350,000 in General Funds to contract with a third party to provide additional benchmarking training services and district-level written reports.

Gross

GF/GP

$0

0

$350,000

350,000

5.      Best Practice Study

The Conference report adds $350,000 in General Funds to the State Board to advise the Legislature and Governor on best practices in education.

Gross

GF/GP

$0

0

$350,000

350,000

6.      Special Education Assessment

The Conference report adds $3.4 million from the Federal Individuals with Disabilities in Education Act (IDEA) funding to support alternative assessments for students with disabilities.

Gross

Federal

$0

0

$3,380,000

3,380,000

7.      Limited License/Alternative Route to Certification Programs

The Conference report maintains $75,000 in funding for the Alternative Route to Certification Program, which helps teachers in rural areas to become certified in math and science.

Gross

Restricted

$150,000

150,000

($75,000)

(75,000)

8.      National Board Certification Grants

The Conference report eliminates funding for a grant which pays for 50% of the fee to become certified by the National Board for Professional Teaching Standards.

Gross

Restricted

$100,000

100,000

($100,000)

(100,000)

9.      Middle School Math Project

The Conference report adds $100,000 in Certification Fees to provide two grants of $50,000 each for Wayne State University and Michigan Virtual High School for the provision of professional development or enhanced curricula in middle school mathematics.

Gross

GF/GP

$0

0

$100,000

100,000

Major Boilerplate Changes from FY 2004-05:

Sec. 214.  Personal Services Contracts

The Conference report recommends elimination of the section.

Sec. 215.  Departmental Employee Contact with Legislature

The Conference report adds a section prohibiting the Department from taking disciplinary action against any employee for communicating with a Legislator or his or her staff.

Sec. 301.  State Board Travel

The Conference report allows out-of-state travel for members of the Board of Education if the travel is directly related to Board duties.

Sec. 303.  Best Practices Study

The Conference report earmarks $350,000 to the State Board of Education to study and advise the Legislature and Governor on local, state, and national education best practices.

Sec. 503.  Teacher Preparation Programs

The Conference Report retains $75,000 in funding for Central Michigan University's Alternative Route to Certification program and eliminates the $75,000 for Wayne State University's Limited License to Instruct Program.

Sec. 703.  Michigan School Readiness Program

The Conference report recommends eliminating language providing for the competitive grant portion of the MSRP and to transfer the program and the funding into the K-12 budget.

Sec. 703.  Middle School Math Project

The Conference report includes a new funding of two grants of $50,000 each for Wayne State University and Michigan Virtual High School for the provision of professional development or enhanced curricula in middle school mathematics.

Sec. 1001.  School Improvement Contract

The Conference report earmarks $350,000 to the department to contract with Standard & Poor's for benchmarking training services and district-level written reports.

FY 2004-05 YTD

FY 2005-06 Executive

House

Senate

Conference

IDG/IDT

$14,947,000

$18,058,300

$17,096,900

18,031,100

18,031,100

Federal

135,021,300

143,969,700

143,088,700

144,062,700

144,062,700

Local

Private

445,900

450,000

450,000

450,000

450,000

Restricted

214,170,300

182,528,000

183,551,300

180,578,600

260,913,600

GF/GP

26,131,900

30,510,300

29,442,400

30,841,400

31,809,600

Gross

$390,716,400

$375,516,300

$373,629,300

$373,963,800

$455,267,000

FTEs

1,570.2

1,575.2

1,500.7

1,573.2

1,573.2

1.      Underground Storage Tank Cleanup

Adds restricted funds for storage tank site cleanup; revenue from Refined Petroleum Fund.

Gross

Restricted

N/A

N/A

$22,000,000

22,000,000

$22,000,000

22,000,000

$102,000,000

102,000,000

2.      Air Emission Fee Increase

Includes funding shift in Air Quality Program, replacing GF/GP Support.

Gross

Federal

Restricted

GF/GP

$22,360,000

5,009,800

13,787,400

$3,562,300

$0

0

2,768,100

($2,768,100)

$0

0

0

$0

$0

0

0

$0

3.      Office of Special Environmental Projects Eliminated

Eliminates program office.

FTEs

Gross

Restricted

GF/GP

3.0

$441,400

441,400

$0

(3.0)

($441,400)

(0)

($441,400)

0.0

$0

0

$0

0.0

$0

0

$0

4.      Water Pollution Control and Drinking Water Revolving Fund Matching Funds

Restores GF/GP match for federal grant ($4.9 million reduced in FY 2004-05); support increased by $900,000 to earn federal grant.

Gross

Federal

Restricted

GF/GP

$112,153,500

85,000,000

26,100,000

$1,053,500

$900,000

0

(4,900,000)

$5,800,000

$900,000

0

(4,900,000)

$5,800,000

$900,000

0

(4,900,000)

$5,800,000

5.      Wetland and Inland Lakes and Streams Fees

The Executive Recommendation included two $1,000,000 fee increase proposals to replace reduced General Fund appropriations in the Water Management Division.  These fee increases were replaced by General Fund support in the Conference agreement.

Gross

IDG

Federal

Restricted

GF/GP

$21,960,500

907,900

3,123,300

12,187,400

$5,841,900

$0

0

0

0

$0

$0

0

0

0

$0

$0

0

0

0

$0

6.      Scrap Tire Grants

Increases restricted funds to clean up scrap tire piles created before 1991.

Gross

Restricted

$3,500,000

3,500,000

$1,000,000

1,000,000

$1,000,000

1,000,000

$1,000,000

1,000,000

7.      Aquifer Protection

Deletes GF/GP for groundwater conflict resolution program; retains $50,000 grant to Department of Agriculture.

Gross

Restricted

GF/GP

$650,000

450,000

$200,000

($250,000)

(0)

($250,000)

($250,000)

(0)

($250,000)

($250,000)

(0)

($250,000)

8.      Environmental Laboratory

Increases program support through intradepartmental charges, reflects anticipated workloads.

Gross

IDG

Federal

Restricted

GF/GP

$0

106,200

591,900

4,738,700

$684,000

$502,000

1,186,000

0

0

($684,000)

$502,000

1,186,000

0

0

($684,000)

$502,000

1,186,000

0

0

($684,000)

9.      Fish Contaminant Contracts

Would have eliminated contracts for laboratory studies of fish taken from Michigan lakes and streams.

Gross

GF/GP

$316,100

$316,100

($316,100)

($316,100)

$0

$0

$0

$0

10.    Executive Order 2005-3

Reflects GF/GP reductions in EO 2005-3, including $673,000 in administrative efficiencies for a number of administrative units, fund shifts to restricted fund sources of $938,600, and eliminating matching funds for radon grant program.

Gross

IDG

Federal

Private

Restricted

GF/GP

$340,599,300

14,263,000

133,766,800

445,900

163,451,800

$28,671,800

($509,900)

684,000

0

0

938,600

($2,132,500)

($509,900)

684,000

0

0

938,600

($2,132,500)

($509,900)

684,000

0

0

938,600

($2,132,500)

11.    Dam Safety Program

The Governor's Recommendation eliminated remaining funding (after the EO reduction) for the dam inspection program.   The Conference Committee provided full year funding for the program, while deleting funding for those owned by the DNR.

FTEs

Gross

IDG

Federal

Restricted

GF/GP

2.0

$275,400

1,200

93,000

14,600

$166,600

0.0

$0

0

0

0

$0

0.0

$180,900

0

0

0

$180,900

0.0

$40,900

0

0

0

$40,900

12.    Real Time Water Quality Monitoring

Includes funding for continuation of water quality monitoring program for Lake St. Clair and the St. Clair River.

Gross

Restricted

$0

0

$250,000

250,000

$0

0

$250,000

250,000

13.    Household Hazardous Waste Grants

Provides funding for local hazardous waste collection programs.

Gross

Restricted

$0

0

$100,000

100,000

$50,000

50,000

$100,000

100,000

14.    Economic Adjustments

Increases contribution rates for defined benefit and defined contribution retirement plans, and employer share of health insurance premiums ($4.3 million).  Reduced funds in FY 2004-05 as employee concessions were added back ($4.1 million).

Gross

IDG

Federal

Private

Restricted

GF/GP

N/A

N/A

$9,063,800

99,700

1,187,600

4,100

6,203,400

$1,569,000

$9,063,800

99,700

1,187,600

4,100

6,203,400

$1,569,000

$8,363,100

99,700

1,187,600

4,100

6,203,400

$868,300

Sec. 702.  Underground Storage Tank Cleanup Site List– NEW

Provides a list of cleanup sites, and prohibits Department from spending $42.0 million for cleanup efforts until the program is authorized in statute.

Sec. 703.  Underground Storage Tank: Initial Cleanup– NEW

States $45.0 million appropriation is to be used to support the Advisory Council recommendations for owner/operator reimbursements.

Sec. 704.  Human Exposure Risk Assessment– NEW

Requires adoption of area-wide risk assessment criteria, established through peer review studies of bioavailability and levels of human exposure.

Sec. 801.  Petroleum Related "Red Tag" Notices– NEW

Requires Department to notify Legislature 48 hours before suspending the sale of petroleum products, unless imminent public safety concerns exist.

Sec. 903.  Groundwater Use Rule Promulgation– NEW

Directs Department to not promulgate rules regarding groundwater use or withdrawal unless it implements provisions of 2003 Parts 148 and 177.

Sec. 1003.  Grant for Fish Weir in Romeoville, Illinois– DELETED

Provides $100,000 from Environmental Protection Fund for Michigan's share of construction costs of electrical dispersal barrier in the Chicago River.

*FY 2004-05

Year-to-Date

Executive

House

Senate

Conference

Difference:

Conference  from YTD

IDG/IDT

Federal

4,500,000

3,500,000

3,500,000

3,500,000

3,500,000

(1,000,000)

(22.2)

Local

Private

Restricted

85,150,000

146,500,000

166,500,000

146,500,000

153,500,000

68,350,000

80.3

GF/GP

1,565,267,200

1,492,834,100

1,545,388,900

1,556,938,100

1,576,943,900

11,676,700

0.7

Gross

$1,654,917,200

$1,642,834,100

$1,715,388,900

$1,706,938,100

$1,733,943,900

$79,026,700

4.8

FTEs

1.0

1.0

1.0

1.0

1.0

0.0

0.0

1.      University Operations

Exec Rec: No changes from year-to-date (post-EO 2005-7).

House: Adjusts state university operations appropriations based on funding model that includes enrollment-, degree-, and research-based components;  positive/negative differences between funding model amounts and amounts under Exec Rec limited to 5.0 percent; net funding increase of $11.9 million.

Senate: Includes series of incremental adjustments: (1) funding floor of $3,750/FYES, (2) funding increases based on research/degree/job placement data, and (3) reductions to Northern/Wayne's appropriations of 10.0%/5.0%; net funding increase of $14.4 million.

Conference: Includes three sets of positive adjustments:

1) Across-the-board increases for all 15 universities totaling $2,500,000.

2) Increases totaling $6,900,000 forGrandValley,Oakland, andSaginaw Valley to establish funding floor of $3,650 per fiscal year equated student (GrandValley amount capped at $3,108,500).

3) Increases totaling $6,951,700 for 13 universities to reflect use of funding model (with some revisions from House-passed version) to determine July and August monthly payment amounts.

Gross

Restricted

GF/GP

$1,403,480,200

9,500,000

$1,393,980,200

$16,351,700

0

$16,351,700

2.      King-Chavez-Parks Programs

Exec Rec: Consolidates funding for five of six programs into a single line item for competitive grants, with no net change in funding.

House: Eliminates all funding for programs.

Senate/Conference: Maintains current funding level and structure: funding for three programs is built into universities' operations line items; funding for three other programs is appropriated in separate line items.

Gross

GF/GP

$5,146,900

$5,146,900

$0

$0

3.      National Charter Schools Institute

Exec Rec/House: Removes funding for institute from Central's appropriation.

Senate/Conference: Restores funding for institute.

Gross

GF/GP

$500,000

$500,000

$0

$0

4.      Agriculture Experiment Station

Exec Rec: Reduces appropriation by 10.0 percent.

House/Senate/Conference: Restores funding to current-year level.

Gross

GF/GP

$33,163,800

$33,163,800

$0

$0

5.      Cooperative Extension

Exec Rec: Reduces appropriation by 23.4 percent.

House/Senate/Conference: Restores funding to current-year level.

Gross

GF/GP

$28,604,300

$28,604,300

$0

$0

6.      Midwestern Higher Education Compact Dues

Exec Rec: Eliminates appropriation for dues.

House/Senate/Conference: Includes $90,000 for FY 2005-06 dues.

Gross

GF/GP

$165,000

$165,000

($75,000)

($75,000)

7.      College Employment Research Institute

Senate: Adds $100,000 for collection of job placement data from universities.

Conference: Funds not included.

Gross

GF/GP

$0

$0

$0

$0

8.      State Competitive Scholarships

Exec Rec: Removes federal funds no longer available for program.

House: Concurs with federal reduction; replaces $9.75 million GF/GP with funds from Michigan Higher Education Assistance Authority (MHEAA) Operating Fund.

Senate/Conference: Concurs with federal reduction; replaces $3.0 million GF/GP with MHEAA funds.

Gross

Federal

Restricted

GF/GP

$35,630,500

3,000,000

0

$32,630,500

($1,000,000)

(1,000,000)

3,000,000

($3,000,000)

9.      Tuition Grants

Exec Rec: Eliminates funding for program.

House: Reduces funding by 2.0%.

Senate: Reduces funding by 4.9%.

Conference: Reduces funding by 4.9%; offsets $4.0 million GF/GP with funds from carry-forward of unexpended funds from FY 2004-05 appropriation

Gross

Restricted

GF/GP

$61,768,100

0

$61,768,100

($3,000,000)

4,000,000

($7,000,000)

10.   Michigan Work Study

Exec Rec: No change.

House: Eliminates funding for program.

Senate/Conference: No change.

Gross

GF/GP

$7,326,300

$7,326,300

$0

$0

11.    Part-Time Independent Student Program

Exec Rec: No change.

House: Eliminates funding for program.

Senate/Conference: No change.

Gross

GF/GP

$2,653,300

$2,653,300

$0

$0

12.   Michigan Education Opportunity Grants

Exec Rec: No change.

House: Eliminates funding for program.

Senate/Conference: No change.

Gross

GF/GP

$2,084,200

$2,084,200

$0

$0

13.   Michigan Merit Award Program

Exec Rec: Increases total funding for program to 121.0 million; adjustment necessary due to statutory change in program's appropriation schedule that allowed for savings of roughly $60 million in both FY 2003-04 and FY 2004-05; does not include funds for middle school or out-of-state awards.

House: Adds $9.0 million above Exec Rec for middle school awards.

Senate: Includes total funding of $101.3 million based on assumed program change(s) to reduce award payments in FY 2005-06; savings of $19.7 million versus Exec Rec used to offset GF/GP funds for financial aid.

Conference: Includes total funding of $126.4 million for estimated costs of program; estimate includes funds for middle school awards but not for out-of-state awards.

Gross

Restricted

$61,400,000

61,400,000

$65,000,000

65,000,000

14.    Tuition Incentive Program (TIP)

Exec Rec: Increases appropriation to reflect projected increase in costs.

House: Does not fund projected increase; replaces $10.25 million in Merit Award Trust Fund funds with funds from MHEAA Operating Fund.

Senate: Concurs with Exec Rec.

Conference: Includes projected cost increase; offsets $5.4 million in Merit funds with GF/GP.

Gross

Restricted

GF/GP

$10,250,000

10,250,000

$0

$1,750,000

(3,650,000)

$5,400,000

Sec. 212(1).  Monthly Payment Schedule – REVISED

Provides for 11 monthly payments to state universities.  Conference revises to reflect July/August payments based on funding model (see section 418 below) and nine equal payments of remaining funds appropriated.

Sec. 212(3).  Fiscal Agency Report – RETAINED

Requires report from fiscal agencies on appropriations methodology.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 214.  Tuition Tax Credit– RETAINED

Requires notification to legislature regarding Tuition Tax Credit eligibility.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 301.  State Competitive Scholarship Program– REVISED

Provides for distribution of State Competitive Scholarship Program funds.  Conference adds language providing that Veterans Administration benefits not be considered in determining program eligibility.

Sec. 302.  Tuition Grant Program– REVISED

Provides for distribution of Tuition Grant Program funds.  Exec Rec deletes.  House retains and moves application deadline from July 15 to July 1; states legislative intent for June 15 deadline in 2006 and June 1 deadline in 2007.  Senate retains.  Conference sets deadlines atJuly 15, 2005;July 1, 2006; andJune 15, 2007 and adds language requiring level of at least $2,000 for maximum award amount, along with associated reporting language.

Sec. 303. Michigan Work Study– RETAINED

Provides for distribution of Michigan Work Study funds.  Exec Rec/Senate retain.  House deletes.  Conference retains.

Sec. 308.  Financial Aid Payment Schedule – RETAINED

Sets payment schedules for financial aid programs.  Exec Rec shifts quarterly schedules for most programs from 40%/40%/10%/10% to 25%/25%/25%/25%.  House/Senate/Conference retain current schedules.

Sec. 310(11).  Tuition Incentive Program Carry-Forward – DELETED

Requires carry-forward of unexpended funds for Tuition Incentive Program.  Exec Rec/Senate delete.  House retains.  Conference deletes.

Sec. 312.  Nursing Scholarship Program – REVISED

Provides for expenditure of Nursing Scholarship Program funds pursuant to statute.  Conference revises to allow for expenditure of funds for other grant purposes if statute is amended.

Sec. 313.  Nursing Education Programs– NOT INCLUDED

States intent that universities expand their nursing education programs.  Senate adds new section.  Conference does not include section.

Sec. 315.  Dental Clinics Grant– DELETED

Directs Dental Clinics Grant toUniversity ofDetroit Mercy to support dental clinic services to low-income residents in southeasternMichigan.  Exec Rec/House/Senate/Conference delete.  (Funding shifted to DCH budget via EO 2005-7.)

Sec. 401.  Joseph F. Young, Sr. Psychiatric Research and Training Program– DELETED

Earmarks $5.6 million from appropriation toWayneState for psychiatric research and training program at university.  Exec Rec/House/Senate/Conference delete.  (Funding shifted to DCH budget via EO 2005-7.)

Sec. 402. DouglasLake Biological Station – RETAINED

Recognizes University ofMichigan's Douglas Lake Biological Station as unique resource.  Exec Rec deletes.  House/Senate/ Conference retain.

Sec. 405.  HEIDI Advisory Committee – RETAINED

Creates Higher Education Institutional Data Inventory (HEIDI) Advisory Committee.  Exec Rec deletes.  House/Senate/ Conference retain.

Sec. 406.  College Employment Research Institute– NOT INCLUDED

Provides for College Employment Research Institute atMichiganState to collect various job placement data items from state universities.  Senate adds new section.  Conference does not include section.

Sec. 418. StateUniversity Funding Model– NEW

Describes funding model calculations used to determine state university operations appropriations amounts.  Model includes enrollment-, degree-, and research-based components.  House adds new section.  Conference includes revised version of language, specifying that model has been used to determine July and August 2006 monthly payment amounts.

Sec. 421.  National Charter Schools Institute– DELETED

Requires report fromCentralMichiganUniversity regarding Charter Schools Institute. Exec Rec/House/Senate/Conference delete.

Sec. 426.  Private Bookstores – RETAINED

States intent that private bookstores have access to required textbook lists.  Exec Rec deletes.  House/Senate/Conference retain.

Sec. 436.  Tuition Restraint– REVISED

Sets conditions for receipt of funds tied to tuition restraint in FY 2004-05.  Exec Rec revises existing tuition restraint language to require that universities restrain increases in resident undergraduate tuition and fee rates to 5.0% or $307, whichever is greater.  House/Senate/Conference replace section with language stating intent that universities increase institutional financial aid expenditures by at least the same percentage as resident undergraduate tuition and fees are increased and requiring universities to report on the amounts of those increases.

Sec. 437.  Retirement System Stabilization Subaccount – RETAINED

States legislative intent for subsidy from Public School Employee Retirement System stabilization subaccount to reduce university contribution rates.  Exec Rec deletes.  House/Senate/Conference retain and adjust subsidy amount.

Sec. 450.  Per-Student Funding Floor– REVISED

States legislative intent for funding floor of $4,000 per fiscal year-equated student (FYES).  Exec Rec/House delete.  Senate retains and revises language to indicate that $3,750-per-FYES floor is reflected in line item appropriations.  Conference revises Senate version of language to reflect $3,650-per-FYES floor for all universities, exceptGrandValley due to limited state resources.

Sec. 460.  Student and Presidential Housing– DELETED

Requires report from each university regarding student and presidential housing facilities. Exec Rec/House/Senate/ Conference delete.

Sec. 462.  FY 2004-05 Book Closing Funds– NEW

States that funds appropriated in FY 2005-06 bill for state university operations are in addition to funds anticipated for payment at FY 2004-05 book closing, which the universities will recognize as FY 2005-06 revenue.  Conference adds new section.

Secs. 501 to 507.  King-Chavez-Parks Programs– RETAINED

Provides for expenditure of funds under six King-Chavez-Parks programs.  Exec Rec consolidates language into single section providing for competitive grants.  House deletes all language.  Senate/Conference retain current-year language.

FY 2004-05 YTD

Executive

House

Senate

Conference

IDG/IDT

$3,528,700

$3,691,200

$3,691,200

$3,691,200

$3,691,200

Federal

40,009,200

38,990,200

38,990,200

38,990,200

38,990,200

Local

Private

2,024,300

2,090,100

2,090,100

2,090,100

2,090,100

Restricted

193,482,200

201,194,300

205,023,000

201,828,400

202,578,400

GF/GP

28,501,700

26,533,300

25,604,600

25,940,900

25,593,200

Gross

$267,546,100

$272,499,100

$275,399,100

$272,540,800

$272,943,100

FTEs

2,076.5

2,084.2

2,080.2

2,075.5

2,079.5

1.      Conservation Law Enforcement

Reduces GF/GP for general law enforcement activity by $1.0 million; support for snowmobile and off-road vehicle enforcement to be funded by restricted funds.  Off-road vehicle funding authorization requires a statutory change.

Gross

Federal

Restricted

GF/GP

$28,160,500

3,676,200

20,817,100

$3,667,200

($1,000,000)

0

600,000

($1,600,000)

($1,300,000)

0

300,000

($1,600,000)

($1,000,000)

0

600,000

($1,600,000)

2.      Payments In Lieu of Taxes

Implements change made by 2004 PA 513 transferring payments for State Education Taxes to School Aid; included in School Aid appropriation act.  Payment levels are reduced 4.5 %.  This shortage is to be made up in future appropriations for Purchased Lands PILT.

Gross

Restricted

GF/GP

$7,800,000

3,900,000

$3,900,000

($2,400,000)

0

($2,400,000)

($3,099,400)

0

($3,099,400)

($2,750,000)

0

($2,750,000)

3.      ORV Grant Funding

Increased appropriation for trail improvement grants.

Gross

Restricted

$1,374,500

1,374,500

$0

0

$982,900

982,900

$982,900

982,900

4.      Timber Marking

Increased funding for timber marking and support of contractors clearing inaccessible roads, dealing with wetlands, and old growth area issues impairing timber harvesting.

FTEs

Gross

Federal

Private

Restricted

117.0

$13,993,900

835,800

837,200

12,320,900

4.0

$350,000

0

0

350,000

0.0

$0

0

0

0

4.0

$350,000

0

0

350,000

5.      State Game Area Maintenance

Transfers federal Department of Interior funds from Capital Outlay to State Game and Wildlife Area Maintenance program.

Gross

Federal

$200,000

200,000

$300,000

300,000

$300,000

300,000

$300,000

300,000

6.      Snowmobile Law Enforcement Grants

Shifts snowmobile enforcement grant funding for county sheriffs to DNR law enforcement.

Gross

Restricted

$1,142,000

1,142,000

($300,000)

(300,000)

$0

0

$0

0

7.      Captive Cervidae Game Farm Inspections

Provides GF/GP support for the program expansion recommended by the Governor.  The fee increase is not included.

Gross

Restricted

GF/GP

$93,500

93,500

$0

$251,000

(93,500)

$344,500

$0

0

$0

$115,800

0

$115,800

8.     Forest Development Fund Deduct Adjustments

Provides increases to level of support provided from Forest Development Fund revenue for Forest Fire Protection.

Gross

Restricted

GF/GP

N/A

$0

1,073,200

($1,073,200)

$0

0

$0

$0

350,000

($350,000)

9.     Forest Fire Outreach and Assistance

Reduces fire loss program; eliminates outreach and public assistance programs.

Gross

Federal

Restricted

GF/GP

$9,491,300

760,300

4,003,100

$4,727,900

($102,300)

0

0

($102,300)

($102,300)

0

0

($102,300)

($102,300)

0

0

($102,300)

10.    Nongame Wildlife Specialty Plate Revenue

Would have increased license plate revenue to offset required GF/GP savings.

Gross

Federal

Restricted

GF/GP

$1,187,000

438,000

635,600

$113,400

$0

0

100,000

($100,000)

$0

0

0

$0

$0

0

0

$0

11.    Education and Outreach Programs

Decreases G/F/GP support

Gross

IDG

Restricted

GF/GP

$3,402,300

5,700

3,187,200

$209,400

($100,000)

0

0

($100,000)

$0

0

0

$0

$0

0

0

$0

12.    Economic Adjustments

Increases contribution rates for defined benefit and defined contribution retirement plans and employer share of health insurance premiums ($5.1 million).  Reduced funds in FY 2004-05, as employee concessions, were added back:  $5.0 million.

Gross

IDG

Federal

Private

Restricted

GF/GP

N/A

N/A

$10,477,600

129,300

1,182,100

65,800

8,146,200

$954,200

$10,477,600

129,300

1,182,100

65,800

8,146,200

$954,200

$10,130,500

129,300

1,182,100

65,800

8,146,200

$607,100

Sec. 407. Turkey License Sales– NEW

Provides for sale of turkey licenses not allotted before the beginning of the season.

Sec. 502.  Bobcat Population Report– NEW

Requires an estimate of Bobcat population in the Lower Peninsula and urges a suspension of trapping until the report is submitted.

Sec. 503.  Cormorant Control Study– NEW

Requires action plan to reduce cormorant population impacts onMichigan fisheries.

Sec. 705.  State Park Sponsorhip– NEW

Requires recommendations for corporate sponsorships in selected areas of State Parks.

Sec. 804  Timber Marking– REVISED

Directs Department to mark and prepare for harvest, 63,000 acres at an average rate of 12.5 to 13.0 cords per acre; consideration to be given to impact of timber harvesting on wildlife habitat and recreation uses; requires quarterly report.

Sec. 806.  Gaylord-Cheboygan Snowmobile Trail– NEW

Requires designation of a snowmobile trail connecting these two municipalities.

Sec. 807.  ORV Trail Development

Requires a plan to increase the number of ORV trail miles by 25% over 4 years.

Sec. 210.  Report Retention  – REMOVED

Sec. 301.   Habitat Report– REMOVED

Sec.  801.  Forest Certification– REMOVED

Sec.  1101.  Rural Fire Protection Grants (Federal)– REMOVED