2007-SJ-10-29-112.htm

No. 112

STATE OF MICHIGAN

Journal of the Senate

94th Legislature

REGULAR SESSION OF 2007

Senate Chamber, Lansing, Monday, October 29, 2007.

10:00a.m.

The Senate was called to order by the President pro tempore, Senator Randy Richardville.

The roll was called by the Secretary of the Senate, who announced that a quorum was present.

Allen--present Garcia--present Pappageorge--present

Anderson--present George--present Patterson--present

Barcia--present Gilbert--present Prusi--present

Basham--present Gleason--present Richardville--present

Birkholz--present Hardiman--present Sanborn--present

Bishop--present Hunter--present Schauer--present

Brater--present Jacobs--present Scott--present

Brown--present Jansen--present Stamas--present

Cassis--present Jelinek--present Switalski--present

Cherry--present Kahn--present Thomas--present

Clark-Coleman--present Kuipers--present Van Woerkom--present

Clarke--present McManus--present Whitmer--present

Cropsey--present Olshove--present

Reverend Dr.William M. Beachy of Trinity United Methodist Church of Delta Township offered the following invocation:

Almighty God, Maker of heaven and earth, Creator of the universe, author of life, we invite Your presence here today in this place. You know that there is a legislative session about to begin. There are motions to be made, statements provided that will be of opposing viewpoints, and comments presented in support. There will be differences of opinion, perspectives that are resisted, votes that are taken, and legislation enacted--all of which in some fashion impacts the people who live in the state of Michigan.

God, these civil servants carry a great weight of responsibility. They represent thousands, even hundreds of thousands of constituents, and collectively, millions of people. Help them to be considerate of one another, to defend those persons who are defenseless, to help those individuals who are helpless, and to make decisions, difficult as they may be, with a collective wisdom that puts others before self.

In these brief moments, for all of us, would You create a clean heart and a right spirit so that good may be brought for all people in our state as well as our nation. May there be harmony, unity, and a certain selflessness that comes only from Your grace.

In the name of Christ. Amen.

The President pro tempore, Senator Richardville, led the members of the Senate in recital of the Pledge of Allegiance.

Motions and Communications

Senator Garcia entered the Senate Chamber.

Senator Cropsey moved that rule 2.106 be suspended to allow conference committees to meet during Senate session.

The motion prevailed, a majority of the members serving voting therefor.

Recess

Senator Cropsey moved that the Senate recess until 11:10a.m.

The motion prevailed, the time being 10:04a.m.

The Senate reconvened at the expiration of the recess and was called to order by the President pro tempore, SenatorRichardville.

During the recess, Senators Stamas, Hunter, Brater, Patterson, Gilbert, Sanborn, Thomas and Kahn entered the Senate Chamber.

The Secretary announced that the following House bill was received in the Senate and filed on Thursday, October 25:

House Bill No. 5102

The Secretary announced the enrollment printing and presentation to the Governor on Thursday, October 25, for her approval the following bills:

Enrolled Senate Bill No.16 at 11:23a.m.

Enrolled Senate Bill No.348 at 11:25a.m.

Enrolled Senate Bill No.350 at 11:27a.m.

Enrolled Senate Bill No.347 at 11:29a.m.

The Secretary announced that the following official bills were printed on Thursday, October 25, and are available at the legislative website:

Senate Bill Nos. 842 843 844 845

House Bill Nos. 5342 5343 5344 5345 5346 5347 5348 5349 5350 5351 5352 5353 5354 5355

5356 5357 5358 5359 5360 5361 5362

The Secretary announced that the following official bills and joint resolution were printed on Friday, October 26, and are available at the legislative website:

Senate Bill Nos. 846 847 848 849 850 851 852 853 854 855 856

Senate Joint Resolution J

House Bill Nos. 5363 5364 5365 5366 5367 5368 5369 5370 5371 5372 5373 5374

Messages from the Governor

Senator Cropsey moved that consideration of the following bill be postponed for today:

Senate Bill No.436

The motion prevailed.

The following messages from the Governor were received and read:

October 26, 2007

I respectfully submit to the Senate, pursuant to Section 6 of Article 5 of the Michigan Constitution of 1963, the following appointment to state office under Section 3 of the Firefighters Training Council Act, 1966 PA 291, MCL 29.363:

Fire Fighters Training Council

Mr.Michael R. Cousins of 1362 South Miller Road, Saginaw, Michigan 48609, county of Saginaw, succeeding William D. Anderson, whose term has expired, representing the Michigan Fire Service Instructors Association, for a term commencing October 26, 2007 and expiring December 31, 2010.

October 26, 2007

I respectfully submit to the Senate, pursuant to Section 6 of Article 5 of the Michigan Constitution of 1963, the following appointment and reappointment to state office under Section 78102 of the Natural Resources and Environmental Protection Act, 1994 PA 451, MCL 324.78102:

Michigan State Waterways Commission

Mr.Michael J. Bryanton of 523 Bainbridge Drive, #42, East Lansing, Michigan 48823, county of Ingham, succeeding Todd A. Wyett, whose term has expired, representing the general public, for a term commencing October 26, 2007 and expiring September 18, 2010.

Mr.Glen Dennis Bailey of 30024 East Maxton, Drummond Island, Michigan 49726, county of Chippewa, reappointed to represent persons residing north of townline 16 in the Upper Peninsula and individuals who own or operate a harbor or marina, for a term expiring September 18, 2010.

Sincerely,

Jennifer M. Granholm

Governor

The appointments were referred to the Committee on Government Operations and Reform.

Messages from the House

Senator Cropsey moved that consideration of the following bills be postponed for today:

Senate Bill No.53

House Bill No.4120

Senate Bill No.79

The motion prevailed.

Senate Bill No.403, entitled

A bill to amend 1976 PA 451, entitled "The revised school code," by amending section 1278b (MCL 380.1278b), as amended by 2006 PA 623.

The House of Representatives has passed the bill, ordered that it be given immediate effect and pursuant to Joint Rule 20, inserted the full title.

The question being on concurring in the committee recommendation to give the bill immediate effect,

The recommendation was concurred in, 2/3 of the members serving voting therefor.

The Senate agreed to the full title.

The bill was referred to the Secretary for enrollment printing and presentation to the Governor.

Senate Bill No.571, entitled

A bill to amend 1976 PA 451, entitled "The revised school code," by amending sections 1311 and 1311a (MCL 380.1311 and 380.1311a), section 1311 as amended by 1999 PA 23 and section 1311a as amended by 2000 PA 230.

The House of Representatives has passed the bill, ordered that it be given immediate effect and pursuant to Joint Rule 20, inserted the full title.

The question being on concurring in the committee recommendation to give the bill immediate effect,

The recommendation was concurred in, 2/3 of the members serving voting therefor.

The Senate agreed to the full title.

The bill was referred to the Secretary for enrollment printing and presentation to the Governor.

By unanimous consent the Senate proceeded to the order of

General Orders

Senator Cropsey moved that the Senate resolve itself into the Committee of the Whole for consideration of the General Orders calendar.

The motion prevailed, and the President pro tempore, Senator Richardville, designated Senator Allen as Chairperson.

After some time spent therein, the Committee arose; and, the President pro tempore, Senator Richardville, having resumed the Chair, the Committee reported back to the Senate, favorably and without amendment, the following bills:

Senate Bill No.630, entitled

A bill to amend 2001 PA 142, entitled "Michigan memorial highway act," (MCL 250.1001 to 250.2080) by adding section 93.

Senate Bill No.679, entitled

A bill to amend 1986 PA 32, entitled "Emergency telephone service enabling act," by amending section 717 (MCL 484.1717), as amended by 2006 PA 249; and to repeal acts and parts of acts.

Senate Bill No.815, entitled

A bill to amend 1986 PA 32, entitled "Emergency telephone service enabling act," by amending section 401 (MCL 484.1401), as amended by 2006 PA 249.

The bills were placed on the order of Third Reading of Bills.

Resolutions

Senator Cropsey moved that consideration of the following resolutions be postponed for today:

Senate Resolution No.101

Senate Concurrent Resolution No.20

Senate Resolution No.119

The motion prevailed.

Senate Resolution No.113.

A resolution to urge the Federal Emergency Management Agency to reject proposed revisions to existing flood insurance rate maps in the state of Michigan.

The question being on the adoption of the resolution,

The resolution was adopted.

Senators Kahn, Kuipers, Jacobs, Jansen, Thomas, Anderson, Barcia, Olshove, Brown, Sanborn, Gilbert, Gleason, Pappageorge, Jelinek, Clarke, Van Woerkom and Brater offered the following resolution:

Senate Resolution No.122.

A resolution to urge state departments, universities, community colleges, and local units of government not to invest or deposit any funds in any business, legal, or governmental entity or institution that is engaged in business with known state sponsors of terror or has facilities in these countries.

Whereas, In recent years, there have been numerous terrorist attacks in locations such as New York, Washington, D.C., Madrid, London, and Yemen, as well as in Iraq and Afghanistan. The United States Secretary of State has determined that certain countries have repeatedly provided support for acts of international terrorism, and such a country is known as a state sponsor of terror. State and local funds should not be invested in companies that do business or have facilities in countries that have been identified by the United States Secretary of State as state sponsors of terror; and

Whereas, A number of states have taken steps to urge or to prohibit investment or deposit of funds in companies that do business or have facilities in countries that have been identified as state sponsors of terror. It is important that states place pressure on such countries to stop supporting terrorism. Support of terrorism represents a grave threat to the security of the United States and to the residents of the state of Michigan. In the same manner, state and local agencies should not invest or deposit funds in countries which have been identified as state sponsors of terror. Twenty-eight states are considering legislation and six states have passed disinvestment legislation; now, therefore, be it

Resolved by the Senate, That we urge state departments, universities, community colleges, and local units of governmentnot to invest or deposit any funds in any business, legal, or governmental entity or institution that is engaged in business with known state sponsors of terror or has facilities in these countries; and be it further

Resolved, That copies of this resolution be transmitted to state departments, universities, community colleges, and local government associations.

Pending the order that, under rule 3.204, the resolution be referred to the Committee on Government Operations and Reform,

Senator Cropsey moved that the rule be suspended.

The motion prevailed, a majority of the members serving voting therefor.

The question being on the adoption of the resolution,

Senator Cropsey moved that the resolution be referred to the Committee on Homeland Security and Emerging Technologies.

The motion prevailed.

Senators Birkholz, Cassis, Hunter, Richardville, Schauer and Switalski were named co-sponsors of the resolution.

Senators Kahn, Kuipers, Jacobs, Jansen, Thomas, Anderson, Barcia, Olshove, Brown, Sanborn, Gilbert, Gleason, Pappageorge, Jelinek, Clarke, Van Woerkom and Brater offered the following concurrent resolution:

Senate Concurrent Resolution No.21.

A concurrent resolution to urge state departments, universities, community colleges, and local units of government not to invest or deposit any funds in any business, legal, or governmental entity or institution that is engaged in business with known state sponsors of terror or has facilities in these countries.

Resolved by the Senate (the House of Representatives concurring), That we urge state departments, universities, community colleges, and local units of government not to invest or deposit any funds in any business, legal, or governmental entity or institution that is engaged in business with known state sponsors of terror or has facilities in these countries; and be it further

Resolved, That copies of this resolution be transmitted to state departments, universities, community colleges, and local government associations.

Pending the order that, under rule 3.204, the concurrent resolution be referred to the Committee on Government Operations and Reform,

Senator Cropsey moved that the rule be suspended.

The motion prevailed, a majority of the members serving voting therefor.

The question being on the adoption of the concurrent resolution,

Senator Cropsey moved that the concurrent resolution be referred to the Committee on Homeland Security and Emerging Technologies.

The motion prevailed.

Senators Birkholz, Cassis, Hunter, Richardville, Schauer and Switalski were named co-sponsors of the concurrent resolution.

Introduction and Referral of Bills

Senator Allen introduced

Senate Bill No.857, entitled

A bill to amend 1937 PA 94, entitled "Use tax act," by amending section 3d (MCL 205.93d), as added by 2007 PA 93.

The bill was read a first and second time by title and referred to the Committee on Finance.

Senators Van Woerkom, Birkholz, Patterson, Sanborn, Richardville, Jansen, George, Pappageorge, Allen, Kahn, Cropsey, Hardiman, Garcia, Jelinek, Gilbert and Bishop introduced

Senate Bill No.858, entitled

A bill to amend 1976 PA 399, entitled "Safe drinking water act," by amending section 4 (MCL 325.1004), as amended by 2006 PA 601.

The bill was read a first and second time by title and referred to the Committee on Natural Resources and Environmental Affairs.

Senators Patterson, Birkholz, Van Woerkom, Sanborn, Richardville, George, Pappageorge, Jansen, Allen, Kahn, Cropsey, Hardiman, Garcia, Jelinek, Gilbert and Bishop introduced

Senate Bill No.859, entitled

A bill to amend 1994 PA 451, entitled "Natural resources and environmental protection act," by amending section 32713 (MCL 324.32713), as amended by 2006 PA 33.

The bill was read a first and second time by title and referred to the Committee on Natural Resources and Environmental Affairs.

Senators Birkholz, Van Woerkom, Patterson, Sanborn, Richardville, Jansen, George, Pappageorge, Allen, Kahn, Cropsey, Hardiman, Garcia, Jelinek, Gilbert and Bishop introduced

Senate Bill No.860, entitled

A bill to amend 1994 PA 451, entitled "Natural resources and environmental protection act," by amending sections32701, 32705, 32706, 32707, 32709, 32710, 32721, 32722, 32724, and 32725 (MCL 324.32701, 324.32705, 324.32706, 324.32707, 324.32709, 324.32710, 324.32721, 324.32722, 324.32724, and 324.32725), sections 32701 and 32707 as amended and sections 32721, 32722, and 32724 as added by 2006 PA 33, section 32705 as amended by 2006 PA 35, section 32706 as amended by 1996 PA 434, sections 32709 and 32710 as added by 1995 PA 59, and section32725 as added by 2006 PA 36, and by adding sections 32706a, 32706b, and 32706c.

The bill was read a first and second time by title and referred to the Committee on Natural Resources and Environmental Affairs.

Senators Van Woerkom, Jelinek, Richardville, Birkholz, Whitmer, Gleason, Cherry, Thomas and Barcia introduced

Senate Bill No.861, entitled

A bill to authorize the creation of promise zones and implementation of promise zone development plans; to provide for the creation of promise zone authorities; to prescribe the powers and duties of promise zone authorities; to provide for the capture and disbursement of certain tax revenue; and to prescribe powers and duties of certain state and local officials.

The bill was read a first and second time by title and referred to the Committee on Education.

House Bill No.5102, entitled

A bill to amend 1972 PA 239, entitled "McCauley-Traxler-Law-Bowman-McNeely lottery act," by amending section 23 (MCL 432.23), as amended by 2004 PA 272.

The House of Representatives has passed the bill and ordered that it be given immediate effect.

The bill was read a first and second time by title and referred to the Committee on Economic Development and Regulatory Reform.

Statements

Senator Scott asked and was granted unanimous consent to make a statement and moved that the statement be printed in the Journal.

The motion prevailed.

Senator Scott's statement is as follows:

I'm going to read to you a statement that I gave to you a few days ago because I think if you had really heard me, you would have started taking up this bill, but maybe after the budget, you will. I begin my statements as I often do with a quote: "Outrageously unaffordable auto insurance is chasing people out of Detroit and other Michigan cities and practically forcing thousands of drivers to commit fraud to secure coverage at more reasonable rates or go without it." No, this is not the reflection of an activist or an author or a civil rights leader. This is a quote from an October 14, 2007, Detroit Free Press editorial which was prominently printed on the front page of Sunday's Opinion section.

I've read you dozens of e-mails from frustrated and angry drivers. I've lead thousands of folks to the Capitol to share their frustration. Now one of Detroit's major daily newspapers is telling you--with well over half-a-million readers statewide--in a 72-point headline to fix car insurance rates.

You have the tools to solve this problem before you. The question is: Are you listening? Are you listening?

Recess

Senator Cropsey moved that the Senate recess until 1:00p.m.

The motion prevailed, the time being 11:34a.m.

The Senate reconvened at the expiration of the recess and was called to order by the Associate President pro tempore, Senator Barcia.

Recess

Senator Cropsey moved that the Senate recess subject to the call of the Chair.

The motion prevailed, the time being 1:01p.m.

1:16p.m.

The Senate was called to order by the President pro tempore, Senator Richardville.

By unanimous consent the Senate returned to the order of

Third Reading of Bills

Senator Cropsey moved that the following bills be placed at the head of the Third Reading of Bills calendar:

House Bill No.4234

House Bill No.4725

The motion prevailed.

The following bill was read a third time:

House Bill No.4234, entitled

A bill to amend 1982 PA 325, entitled "An act to authorize county sheriffs to declare a county jail overcrowding state of emergency; to prescribe the powers and duties of certain judges, county sheriffs, and other county officials; and to provide remedies for a county jail overcrowding state of emergency," (MCL 801.51 to 801.64) by adding sections 9a and 9b.

The question being on the passage of the bill,

The bill was passed, a majority of the members serving voting therefor, as follows:

Roll Call No.435 Yeas--37

Allen Clark-Coleman Jacobs Prusi

Anderson Clarke Jansen Richardville

Barcia Cropsey Jelinek Sanborn

Basham Garcia Kahn Schauer

Birkholz George Kuipers Stamas

Bishop Gilbert McManus Switalski

Brater Gleason Olshove Thomas

Brown Hardiman Pappageorge Van Woerkom

Cassis Hunter Patterson Whitmer

Cherry

Nays--0

Excused--0

Not Voting--1

Scott

In The Chair: Richardville

The question being on concurring in the committee recommendation to give the bill immediate effect,

The recommendation was concurred in, 2/3 of the members serving voting therefor.

The Senate agreed to the title of the bill.

The following bill was read a third time:

House Bill No.4725, entitled

A bill to amend 1982 PA 325, entitled "An act to authorize county sheriffs to declare a county jail overcrowding state of emergency; to prescribe the powers and duties of certain judges, county sheriffs, and other county officials; and to provide remedies for a county jail overcrowding state of emergency," by amending sections 1, 2, 3, 4, 5, 8, 9, and 10 (MCL 801.51, 801.52, 801.53, 801.54, 801.55, 801.58, 801.59, and 801.60), sections 8 and 9 as amended by 1988 PA 399, and by adding section 1a.

The question being on the passage of the bill,

Senators Switalski and Sanborn offered the following amendments:

1. Amend page 3, line 2, after "COUNTY" by striking out the balance of the line through "9A" on line 4 and inserting "DESCRIBED IN SUBSECTION (4)".

2. Amend page 4, following line 15, by inserting:

"(4) SUBSECTIONS (1) TO (3) DO NOT APPLY TO EITHER OF THE FOLLOWING:

(A) A COUNTY FOR WHICH A COUNTY JAIL MANAGEMENT PLAN HAS BEEN APPROVED UNDER SECTION 9A.

(B) A COUNTY HAVING A POPULATION GREATER THAN 650,000 AS OF THE MOST RECENT FEDERAL DECENNIAL CENSUS THAT, ON THE EFFECTIVE DATE OF THIS SECTION, HAS IMPLEMENTED A WRITTEN JAIL MANAGEMENT PLAN IN WHICH THE BASIS OF THE PLAN IS JAIL BED ALLOCATION. THE EXCEPTION PROVIDED BY THIS SUBSECTION APPLIES ONLY AS LONG AS THAT PLAN REMAINS IN EFFECT.".

The amendments were adopted, a majority of the members serving voting therefor.

The question being on the passage of the bill,

The bill was passed, a majority of the members serving voting therefor, as follows:

Roll Call No.436 Yeas--38

Allen Clark-Coleman Jansen Richardville

Anderson Clarke Jelinek Sanborn

Barcia Cropsey Kahn Schauer

Basham Garcia Kuipers Scott

Birkholz George McManus Stamas

Bishop Gilbert Olshove Switalski

Brater Gleason Pappageorge Thomas

Brown Hardiman Patterson Van Woerkom

Cassis Hunter Prusi Whitmer

Cherry Jacobs

Nays--0

Excused--0

Not Voting--0

In The Chair: Richardville

The question being on concurring in the committee recommendation to give the bill immediate effect,

The recommendation was concurred in, 2/3 of the members serving voting therefor.

The Senate agreed to the title of the bill.

Recess

Senator Cropsey moved that the Senate recess subject to the call of the Chair.

The motion prevailed, the time being 1:24p.m.

2:22p.m.

The Senate was called to order by the President pro tempore, Senator Richardville.

By unanimous consent the Senate returned to the order of

Conference Reports

Senator Cropsey moved that joint rule 9 be suspended to permit immediate consideration of the conference reports relative to the following bills:

Senate Bill No.231

Senate Bill No.234

Senate Bill No.235

Senate Bill No.238

The motion prevailed, a majority of the members serving voting therefor.

Senator George submitted the following:

FIRST CONFERENCE REPORT

The Committee of Conference on the matters of difference between the two Houses concerning

Senate Bill No. 231, entitled

A bill to make appropriations for the department of history, arts, and libraries for the fiscal year ending September 30, 2008; to provide for the expenditure of those appropriations; to provide for the disposition of fees and other income received by the state agencies; to create funds; to provide for the disbursement of certain grants; to provide for reports; to prescribe powers and duties of certain state departments and certain state and local agencies and officers; and to repeal acts and parts of acts.

Recommends:

First: That the House recede from the Substitute of the House as passed by the House.

Second: That the Senate and House agree to the Substitute of the Senate as passed by the Senate, amended to read as follows:

A bill to make appropriations for the department of history, arts, and libraries for the fiscal year ending September 30, 2008; to provide for the expenditure of those appropriations; to provide for the disposition of fees and other income received by the state agencies; to create funds; to provide for the disbursement of certain grants; to provide for reports; 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:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. Subject to the conditions set forth in this act, the amounts listed in this part are appropriated for the department of history, arts, and libraries for the fiscal year ending September 30, 2008, from the funds indicated in this part. The following is a summary of the appropriations in this part:

DEPARTMENT OF HISTORY, ARTS, AND LIBRARIES

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 230.0

GROSS APPROPRIATION $ 49,502,900

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 139,200

ADJUSTED GROSS APPROPRIATION $ 49,363,700

Federal revenues:

Total federal revenues 7,307,400

Special revenue funds:

Total private revenues 112,400

Total other state restricted revenues 2,645,600

State general fund/general purpose $ 39,298,300

Sec. 102. DEPARTMENT OPERATIONS

Full-time equated unclassified positions 6.0

Full-time equated classified positions 32.0

Unclassified salaries $ 228,600

Management services--31.0 FTE positions 2,786,400

Building occupancy charges and rent 3,277,800

Worker's compensation 9,000

Film office--1.0 FTE position 180,300

Human resources optimization user charges 16,500

GROSS APPROPRIATION $ 6,498,600

Appropriated from:

State general fund/general purpose $ 6,498,600

Sec. 103. INFORMATION TECHNOLOGY

Information technology services and projects $ 1,099,200

GROSS APPROPRIATION $ 1,099,200

Appropriated from:

Mackinac Island state park fund 47,000

State general fund/general purpose $ 1,052,200

Sec. 104. COUNCIL FOR ARTS AND CULTURAL AFFAIRS

Full-time equated classified positions 5.0

Administration--5.0 FTE positions $ 434,400

Arts and cultural grants 7,754,000

GROSS APPROPRIATION $ 8,188,400

Appropriated from:

NFAH-NEA, promotion of the arts, partnership agreements 700,000

State general fund/general purpose $ 7,488,400

Sec. 105. MACKINAC ISLAND STATE PARK COMMISSION

Full-time equated classified positions 39.0

Mackinac Island park operation--24.3 FTE positions $ 1,544,100

Historical facilities system--14.7 FTE positions 1,948,500

GROSS APPROPRIATION $ 3,492,600

Appropriated from:

Federal funds 200,000

Mackinac Island state park operation fund 160,200

Mackinac Island state park fund 1,566,000

State general fund/general purpose $ 1,566,400

Sec. 106. MICHIGAN HISTORICAL PROGRAM

Full-time equated classified positions 83.0

Historical administration and services--71.0 FTE positions $ 5,812,800

Federal programs--12.0 FTE positions 850,000

Heritage publications 700,000

Private grants and gifts 112,400

Thunder Bay national marine sanctuary and underwater preserve 202,000

Michigan history day 25,000

GROSS APPROPRIATION $ 7,702,200

Appropriated from:

Interdepartmental grant revenues:

IDG-MDOT, comprehensive transportation fund 3,800

IDG-MDOT, state aeronautics fund 2,300

IDG-MDOT, state trunkline fund 133,100

Federal revenues:

DOI-NPS, historic preservation grants-in-aid 850,000

Special revenue funds:

Private - grants and gifts 10,000

Private - Mann house trust fund 102,400

Game and fish protection fund 3,700

Heritage publication fund 700,000

Marine safety fund 400

Special revenue, internal service and pension trust 49,200

State lottery fund 19,100

State services fee fund 12,300

Waterways fund 800

State general fund/general purpose $ 5,815,100

Sec. 107. LIBRARY OF MICHIGAN

Full-time equated classified positions 71.0

Book distribution centers $ 350,000

Collected gifts and fees 86,900

Library of Michigan operations--71.0 FTE positions 6,022,600

Library services and technology act 5,557,400

State aid to libraries 10,000,000

Subregional state aid 505,000

GROSS APPROPRIATION $ 22,521,900

Appropriated from:

Library services and technology act 5,557,400

User fees 86,900

State general fund/general purpose $ 16,877,600

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

GENERAL SECTIONS

Sec. 201. Pursuant to section 30 of article IX of the state constitution of 1963, total state spending from state resources under part 1 for fiscal year 2007-2008 is $41,943,900.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $11,536,300.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF HISTORY, ARTS, AND LIBRARIES

Arts and cultural grants $ 1,031,300

State aid to libraries 10,000,000

Subregional state aid 505,000

Total department of history, arts, and libraries $ 11,536,300

Sec. 202. The appropriations authorized under this act are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. As used in this appropriation act:

(a) "Department" means the department of history, arts, and libraries.

(b) "Director" means the director of the department of history, arts, and libraries.

(d) "Fiscal agencies" means the house fiscal agency and the senate fiscal agency.

(e) "FTE" means full-time equated.

(f) "IDG" means interdepartmental grant.

(g) "MCACA" means the Michigan council for arts and cultural affairs.

(h) "MDOT" means the Michigan department of transportation.

(i) "NEA" means the national endowment for the arts.

(j) "NFAH" means the national foundation of the arts and the humanities.

(k) "Subcommittees" means all members of the appropriate subcommittees of the senate and house of representatives appropriations committees.

Sec. 204. The department of civil service shall bill the departments and agencies at the end of the first fiscal quarter for the 1% charge authorized by section 5 of article XI of the state constitution of 1963. Payments shall be made for the total amount of the billing by the end of the second fiscal quarter.

Sec. 205. (1) A hiring freeze is imposed on the state classified civil service. State departments and agencies are prohibited from hiring any new full-time state classified civil service employees and prohibited from filling any vacant state classified civil service positions. This hiring freeze does not apply to internal transfers of classified employees from 1 position to another within a department.

(2) The state budget director may grant exceptions to this hiring freeze when the state budget director believes that the hiring freeze will result in rendering a state department or agency unable to deliver basic services, cause a loss of revenue to the state, result in the inability of the state to receive federal funds, or would necessitate additional expenditures that exceed any savings from maintaining a vacancy. The state budget director shall report quarterly to the chairpersons of the senate and house of representatives standing committees on appropriations the number of exceptions to the hiring freeze approved during the previous quarter and the reasons to justify the exception.

Sec. 207. At least 60 days before beginning any effort to privatize, the department shall submit a complete project plan to the subcommittees and the fiscal agencies. The plan shall include the criteria under which the privatization initiative will be evaluated. The evaluation shall be completed and submitted to the fiscal agencies and to the subcommittees within 30 months.

Sec. 208. Unless otherwise specified, the department shall use the Internet to fulfill the reporting requirements of this act. This requirement may include transmission of reports via electronic mail to the recipients identified for each reporting requirement, or it may include placement of reports on an Internet or Intranet site.

Sec. 209. Funds appropriated in part 1 shall not be used for the purchase of foreign goods or services, or both, if competitively priced and of comparable quality American goods or services, or both, are available. Preference should be given to goods or services, or both, manufactured or provided by Michigan businesses, if they are competitively priced and of comparable quality. In addition, preference should be given to goods or services, or both, that are manufactured or provided by Michigan businesses owned and operated by veterans, if they are competitively priced and of comparable quality.

Sec. 210. (1) The department shall report to the senate and house appropriation subcommittees on the budget for the department, the joint committee on administrative rules, and the senate and house fiscal agencies no later than April 1, 2008 on each specific policy change made to implement a public act affecting the department that took effect during the prior calendar year.

(2) Funds appropriated in part 1 shall not be used by the department to adopt a rule that will apply to a small business and that will have a disproportionate economic impact on small businesses because of the size of those businesses if the department fails to reduce the disproportionate economic impact of the rule on small businesses as provided under section 40 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.240.

(3) As used in this section:

(a) "Rule" means that term as defined under section 7 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207.

(b) "Small business" means that term as defined under section 7a of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207a.

Sec. 211. The department shall establish and maintain affirmative action programs based on guidelines developed by the state equal opportunity workforce planning council which was created by Executive Order No. 1996-13 in order to receive general fund/general purpose dollars in compliance with section 26 of article I of the state constitution of 1963.

Sec. 213. From the funds appropriated in part 1 for information technology, the department shall pay user fees to the department of information technology for technology-related services and projects. The user fees shall be subject to provisions of an interagency agreement between the department and the department of information technology.

Sec. 214. Amounts appropriated in part 1 for information technology may be designated as work projects and carried forward to support technology projects under the direction of the department of information technology. Funds designated in this manner are not available for expenditure until approved as work projects under section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a.

Sec. 215. (1) The department may provide and enter into agreements to provide general services, training, meetings, information, special equipment, software, and facility use, and technical consulting services to other principal executive departments, state agencies, local units of government, the judicial branch of government, other organizations, and patrons of department facilities. Fees for services shall be reasonably related to the cost of providing the services and shall be used to offset the costs of the services. The department may receive and expend funds in addition to those authorized in part 1 for the following:

(a) Supplying census-related information and technical services, publications, statistical studies, population projections and estimates, and other demographic products.

(b) Microfilming and other document and data imaging services, media, storage, and copies.

(d) Conferences, training classes, exhibits, programs, and workshops conducted as part of the department's mission.

(e) Use of specialized equipment, facilities, and software that permit distance learning and meetings, and group decision making.

(f) Special services including the rental of department exhibits and collections.

(g) Application fees.

(h) Grants, gifts, and bequests, including those for capital projects.

(2) The funds received under this section shall be deposited in and expended from the history, arts, and libraries fund established in section 216 of this act.

Sec. 216. (1) A fund known as the history, arts, and libraries fund is created in the department. The fund shall be used to receive and expend funds in addition to those authorized in part 1. All funds are allocated for expenditure upon receipt. The fund balance may be carried forward for expenditure in subsequent fiscal years.

(2) The department shall provide a report to the senate and house of representatives appropriations subcommittees on history, arts, and libraries of all revenues to and expenditures from the history, arts, and libraries fund. The report shall include an estimated fund balance for the fiscal year ending September 30, 2008. The report is due November 1, 2008.

Sec. 217. (1) Due to the current budgetary problems in this state, out-of-state travel shall be limited to situations in which 1 or more of the following conditions apply:

(a) The travel is required by legal mandate or court order or for law enforcement purposes.

(b) The travel is necessary to protect the health or safety of Michigan citizens or visitors or to assist other states in similar circumstances.

(c) The travel is necessary to produce budgetary savings or to increase state revenues, including protecting existing federal funds or securing additional federal funds.

(d) The travel is necessary to comply with federal requirements.

(e) The travel is necessary to secure specialized training for staff that is not available within this state.

(f) The travel is financed entirely by federal or nonstate funds.

(2) If out-of-state travel is necessary but does not meet 1 or more of the conditions in subsection (1), the state budget director may grant an exception to allow the travel. Any exceptions granted by the state budget director shall be reported on a monthly basis to the senate and house of representatives appropriations committees.

(3) Not later than January 1 of each year, each department shall prepare a travel report listing all travel by classified and unclassified employees outside this state in the immediately preceding fiscal year that was funded in whole or in part with funds appropriated in the department's budget. The report shall be submitted to the chairs and members of the senate and house of representatives appropriations committees, the fiscal agencies, and the state budget director. The report shall include the following information:

(a) The name of each person receiving reimbursement for travel outside this state or whose travel costs were paid by this state.

(b) The destination of each travel occurrence.

(d) A brief statement of the reason for each travel occurrence.

(e) The transportation and related costs of each travel occurrence, including the proportion funded with state general fund/general purpose revenues, the proportion funded with state restricted revenues, the proportion funded with federal revenues, and the proportion funded with other revenues.

(f) A total of all out-of-state travel funded for the immediately preceding fiscal year.

Sec. 218. It is the intent of the legislature to explore supplemental fund sourcing options for the department of history, arts, and libraries.

Sec. 219. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 220. The department shall publish the proposed minutes of the Michigan film advisory commission on the Internet within 8 business days after the meeting to which the minutes refer. Approved minutes of the Michigan film advisory commission shall be posted on the Internet within 8 business days after their approval.

Sec. 222. The director shall take all reasonable steps to ensure businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. The director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 223. Funds appropriated in part 1 shall not be used by a principal executive department, state agency, or authority to hire a person to provide legal services that are the responsibility of the attorney general. This prohibition does not apply to legal services for bonding activities or for those activities that the attorney general authorizes.

Sec. 224. (1) The department of history, arts, and libraries shall collaborate with the state board of education, the department of human services, the department of community health, and the department of labor and economic growth to extend the duration of the Michigan after-school partnership, and oversee its efforts to implement the policy recommendations and strategic next steps identified in the Michigan after-school initiative's report of December 15, 2003.

(2) From the funds appropriated in part 1, $25,000.00 may be used to support the Michigan after-school partnership. Funds shall be used to leverage other private and public funding to engage the public and private sectors in building and sustaining high-quality out-of-school-time programs and resources. The co-chairs, representing the department, the state board of education, the department of human services, the department of labor and economic growth, and the department of community health shall name a fiduciary agent and may authorize the fiduciary to expend funds and hire people to accomplish the work of the Michigan after-school partnership.

(3) Participation in the Michigan after-school partnership shall be expanded beyond the membership of the initial Michigan after-school initiative to increase the representation of parents, youth, foundations, employers, and others with experience in education, child care, after-school and youth development services, and crime and violence prevention, and to include representation from the Michigan department of history, arts, and libraries. Each year, on or before December 31, the Michigan after-school partnership shall report its progress in reaching the recommendations set forth in the Michigan after-school initiative's report to the legislature and governor.

Sec. 226. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $2,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $1,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(3) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $100,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(4) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $750,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 227. From the funds appropriated in part 1, the department shall implement continuous improvement efficiency mechanisms in the programs administered by the department. The continuous improvement efficiency mechanisms shall identify changes made in programs to increase efficiency and reduce expenditures in the programs. On March 31, 2008 and September 30, 2008, the department shall submit a report to the state budget director, the senate and house appropriation subcommittees, and the senate and house fiscal agencies on the progress made toward increased efficiencies in department programs. At a minimum, each report shall include information on the program review process, the type of improvement mechanisms implemented, and actual and projected expenditure savings as a result of the increased program efficiencies.

MICHIGAN COUNCIL FOR ARTS AND CULTURAL AFFAIRS

Sec. 401. (1) The MCACA in the department shall administer the arts and cultural grants appropriated in part 1.

(2) The MCACA shall render fair and independent decisions concerning arts and cultural grant requests and shall do all of the following:

(a) Use published criteria to evaluate program quality, including all of the following:

(i) The department's intended goals and outcomes for each program.

(ii) The department's quantifiable measures of success in meeting the intended goals and outcomes.

(b) Seek to award grants on an equitable geographic basis to the extent possible given the quality of grant applications received.

(c) Give priority to projects that serve multiple counties, leverage significant additional public and private investment, or demonstrate a significant potential to increase tourism or attract or retain businesses or residents.

(3) No payment shall be made under part 1 except upon application submitted in accordance with MCACA published regulations and procedures, which shall ensure both of the following:

(a) Artistic excellence and artistic merit are the criteria by which applications will be judged, taking into consideration general standards of decency and respect for the diverse beliefs and values of the people of this state.

(b) Criteria clearly indicate that obscenity is without artistic merit, is not protected speech, and will not be funded by a grant from appropriations under part 1.

(4) The MCACA shall provide for fair, equitable, and efficient distribution of funds granted through the regional regranting program. The MCACA shall provide for an annual assessment of grant management and distribution of mini-grant awards by designated regional regranting agencies and review the methodology employed.

(5) The MCACA shall continue and expand its efforts to encourage and support nonprofit arts and cultural organizations to transition from solely volunteer-based organizations to professionally directed operations. Criteria for support include the requirement of collaboration between these organizations and other community organizations.

(6) The department shall withhold undistributed grant payments from a grant recipient who violates the requirements for funding in subsection (3) and may disqualify the grant recipient from award of future grants for a period of not more than 3 years.

Sec. 402. The MCACA may award grants to counties, cities, villages, townships, community foundations and organizations in the following categories:

(a) Anchor organization program for organizations that serve regional and statewide audiences. Anchor organizations shall demonstrate a commitment to education, to mentoring smaller organizations, and to reaching underserved audiences.

(b) Arts projects program.

(d) Artists in residence for education program.

(e) Arts organization development program.

(f) Capital improvement program.

(g) Local arts agencies services program.

(h) Regional regranting program.

(i) Partnership program.

(j) Rural arts and cultural program.

(k) Cultural projects program.

(l) Historical society projects program.

(m) Discretionary grants program.

(n) Cultural and ethnic heritage centers and museums.

Sec. 403. (1) From the state funds appropriated in part 1 for arts and cultural grants, no 1 organization may receive more than 15% of this funding.

(2) The MCACA shall make every effort to provide total grant awards in the anchor organization program at a level not to exceed 70% of the total amount appropriated for arts and cultural grants.

(3) As documented in the audit report that is submitted as part of the grant application process, the total of all grants awarded to any organization receiving grants within the anchor organization program may not exceed 15% of their "total unrestricted revenues, gains, and other support", as defined by the financial accounting standards board in the accounting standards for not-for-profit organizations or equivalent accounting standards for other types of eligible organizations.

(4) Before any amount appropriated for arts and cultural grants in part 1 may be expended for a grant to an eligible recipient, the department shall execute a grant agreement with the recipient. The grant agreement shall identify the projects funded, specify the category in section 402 under which the grant is awarded, and include the prohibitions and sanctions identified in section 401(3) and (6).

Sec. 404. Grant applicants must meet and adhere to the following requirements:

(a) Each applicant shall pay a nonrefundable application fee of $300.00 or 3% of the desired grant amount, whichever is less. Application fees shall be deposited in the history, arts, and libraries fund established in section 216. The department may use the application fee to offset its direct and indirect costs.

(b) An applicant for a grant under the anchor organization program shall submit with the application the applicant's most recent annual audit report which states their "total unrestricted revenues, gains, and other support", as defined by the financial accounting standards board in the accounting standards for not-for-profit organizations or equivalent accounting standards for other types of eligible organizations. The audit report must cover an audit period that ends within 18 months of the date of the application.

(c) Each applicant shall identify proposed matching funds from local and/or private sources on a minimum of a dollar-for-dollar basis. The match may include the reasonable value of services, materials, and equipment as allowed under the federal internal revenue code for charitable contributions.

Sec. 405. Each grant recipient shall provide the MCACA with the following:

(a) Proof of the entire amount of the matching funds, services, materials, or equipment by the end of the award period.

(b) Within 30 days following the end of the grant period, a final report that includes the following:

(i) Project revenues and expenditures including grant matching fund amounts.

(ii) Number of patrons attracted or benefiting during the grant period.

(iii) A narrative summary of each project and its outcome.

(c) By April 7 of the grant year, each recipient of a grant greater than $100,000.00 shall submit an interim report that includes the items identified in subdivision (b).

Sec. 406. (1) The department shall make the following reports:

(a) A report identifying the website location that contains a list of all grant recipients, sorted by county. This report shall be provided to each legislator within 1 business day of the announcement of annual awards by the MCACA.

(b) A report to the senate and house of representatives appropriations subcommittees, the state budget office, and the fiscal agencies, within 30 days after the MCACA announces the annual grant awards, that includes all of the following:

(i) A listing of each applicant.

(ii) The county of residence of the applicant.

(iii) The amount requested.

(iv) The amount awarded.

(v) The grant category under which an applicant applied.

(vi) A summary of projects funded for each recipient.

(vii) The expected number of patrons for an applicant during the grant period.

(viii) The amount of matching funds proposed by each applicant.

(ix) A listing containing the applicant, county of residence of the applicant, and amount awarded for any regranted funds in the preceding fiscal year.

(c) An annual report to the appropriations subcommittees, the state budget office, and the fiscal agencies is due when materials are first distributed by the MCACA seeking grant applications for the subsequent fiscal year. The report shall contain the following:

(i) The MCACA guidelines for awarding grants.

(ii) A summary of any changes in the program guidelines from the previous fiscal year.

(2) The council shall report to the chairpersons of the senate and house of representatives appropriations subcommittees on history, arts, and libraries by August 1 all unexpended or unencumbered discretionary grant funding that is available. The council shall not redistribute any unexpended or unencumbered grant funds during the fiscal year without a 10-day notice to the chairpersons of the senate and house of representatives appropriations subcommittees on history, arts, and libraries.

MICHIGAN HISTORICAL PROGRAM

Sec. 501. The federal funds appropriated in part 1 for the historic site preservation grants are for work projects and shall not lapse at the end of the fiscal year but shall continue to be available for expenditure until the projects for which the funds were reserved have been completed or are terminated. The purpose of these work projects is the identification, designation, and preservation of historic resources. The method used will be to solicit applications, score applications based upon established criteria, and award subgrants. The department shall execute a grant agreement with each recipient. The total cost is $85,000.00, and the tentative completion date is September 30, 2008.

Sec. 502. Funds collected by the department under sections 6, 7, and 7a of 1913 PA 271, MCL 399.6, 399.7, and 399.7a, are appropriated to the department for the purposes for which they were received, are allocated for expenditure upon receipt and may be carried forward for expenditure in subsequent fiscal years.

Sec. 503. For the purposes of administering the museum store as provided in section 7a of 1913 PA 271, MCL 399.7a, the department is exempt from section 261 of the management and budget act, 1984 PA 431, MCL 18.1261.

Sec. 505. From the funds appropriated in part 1 for historical administration and services, $25,000.00 shall be allocated to support the operations of the Michigan freedom trail commission as specified in section 4 of the Michigan freedom trail commission act, 1998 PA 409, MCL 399.84. These funds shall be used to reimburse commission members, to pay for necessary contractual services of the commission, and to hire not more than 1.0 FTE position in the department's Michigan historical center to support commission operations.

Sec. 506. Proceeds in excess of costs incurred in the conduct of auctions, sales, or transfers of artifacts no longer considered suitable for the collections of the state historical museum are appropriated to the department and may be expended upon receipt for additional material for the collection. The department shall notify the chairpersons, vice chairpersons, and minority vice chairpersons of the senate and house of representatives appropriations subcommittees on history, arts, and libraries 1 week prior to any auctions or sales.

Sec. 507. Unless prohibited by law, the department shall make available to the historical society of Michigan the use of the Michigan history magazine subscriber list, or a portion of the Michigan history magazine subscriber list, at a cost not to exceed the actual expense incurred for providing a single mailing.

LIBRARY OF MICHIGAN

Sec. 601. In order to receive subregional state aid as appropriated in part 1 to the library of Michigan, a subregional library's fiscal agency must agree to maintain local funding support at the same level in the current fiscal year as in the fiscal agency's preceding fiscal year. If a reduction in expenditures equally affects all agencies in a local unit of government that is the subregional library's fiscal agency, that reduction shall not be interpreted as a reduction in local support and shall not disqualify a subregional library from receiving state aid under part 1. If a reduction in income affects a library cooperative or district library that is a subregional library's fiscal agency or a reduction in expenditures for the subregional library's fiscal agency, a reduction in expenditures for the subregional library shall not be interpreted as a reduction in local support and shall not disqualify a subregional library from receiving state aid under part 1.

Sec. 602. The funds appropriated in part 1 for a subregional library shall not be released until a budget for that subregional library has been approved by the department for expenditures for library services directly serving the blind and persons with disabilities.

Sec. 607. The funds appropriated in part 1 for book distribution centers shall be distributed equally to the public enrichment foundation and the Michigan friends of education.

MACKINAC ISLAND STATE PARK COMMISSION

Sec. 701. There is appropriated $200,000.00 from the Mackinac Island State Park operations fees fund to the Mackinac Island state park commission, historic projects division, revenue bond fund for infrastructure improvements.

Third: That the Senate and House agree to the title of the bill to read as follows:

A bill to make appropriations for the department of history, arts, and libraries for the fiscal year ending September 30, 2008; to provide for the expenditure of those appropriations; to provide for the disposition of fees and other income received by the state agencies; to create funds; to provide for the disbursement of certain grants; to provide for reports; and to prescribe powers and duties of certain state departments and certain state and local agencies and officers.

Thomas M. George

Michelle McManus

Irma Clark-Coleman

Conferees for the Senate

Aldo Vagnozzi

Fran Amos

Conferees for the House

The question being on the adoption of the conference report,

The first conference report was adopted, a majority of the members serving voting therefor, as follows:

Roll Call No.437 Yeas--36

Allen Cherry Jacobs Prusi

Anderson Clark-Coleman Jansen Richardville

Barcia Clarke Jelinek Schauer

Basham Cropsey Kahn Scott

Birkholz Garcia Kuipers Stamas

Bishop George McManus Switalski

Brater Gleason Olshove Thomas

Brown Hardiman Pappageorge Van Woerkom

Cassis Hunter Patterson Whitmer

Nays--2

Gilbert Sanborn

Excused--0

Not Voting--0

In The Chair: Richardville

The question being on concurring in the committee recommendation to give the bill immediate effect,

The recommendation was concurred in, 2/3 of the members serving voting therefor.

Senator Jansen submitted the following:

FIRST CONFERENCE REPORT

The Committee of Conference on the matters of difference between the two Houses concerning

Senate Bill No. 234, entitled

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, 2008; 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.

Recommends:

First: That the House recede from the Substitute of the House as passed by the House.

Second: That the Senate and House agree to the Substitute of the Senate as passed by the Senate, amended to read as follows:

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. The amounts listed in this part are appropriated for the department of labor and economic growth, subject to the conditions set forth in this act, for the fiscal year ending September 30, 2008, from the funds identified in this part. The following is a summary of the appropriations in this part:

DEPARTMENT OF LABOR AND ECONOMIC GROWTH

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 58.5

Full-time equated classified positions 4,282.5

GROSS APPROPRIATION $ 1,301,230,700

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 34,472,800

ADJUSTED GROSS APPROPRIATION $ 1,266,757,900

Federal revenues:

Total federal revenues 820,712,500

Special revenue funds:

Total local revenues 15,884,700

Total private revenues 5,314,300

Total other state restricted revenues 378,843,700

State general fund/general purpose $ 46,002,700

Sec. 102. DEPARTMENTAL ADMINISTRATION

Full-time equated unclassified positions 58.5

Full-time equated classified positions 179.0

Unclassified salaries $ 5,349,400

Executive director programs--53.0 FTE positions 6,622,100

Regulatory efficiency improvements/backlog reduction initiative $ 475,600

Property management 10,519,200

Rent 17,015,600

Worker's compensation 1,381,000

Special project advances 940,000

HR optimization charges 259,700

Administrative services--126.0 FTE positions 13,059,500

GROSS APPROPRIATION $ 55,622,100

Appropriated from:

Interdepartmental grant revenues:

IDG from department of community health 300,000

Federal revenues:

DOE-OEERE, multiple grants 9,300

DED-OSERS, rehabilitation services, vocational rehabilitation of state grants 4,902,300

DOL-ETA, unemployment insurance 13,570,600

DOL-ETA, workforce investment act 882,100

DOL, federal funds 2,334,500

DOL, multiple grants for safety and health 776,900

Federal revenues 578,000

HHS, temporary assistance for needy families 347,000

HHS, titles XVIII and XIX 34,100

Special revenue funds:

Private - special project advances 940,000

Local revenues 131,300

Bank fees 540,800

Boiler fees 254,000

Construction code fund 1,071,700

Consumer finance fees 177,600

Contingent fund, penalty and interest account 861,400

Contingent fund, regular penalty and interest 4,100

Corporation fees 5,132,100

Credit union fees 350,800

Elevator fees 268,600

Fees and collections/asbestos 76,200

Fire service fees 792,500

Insurance licensing and regulation fees 1,910,800

Insurance regulatory fees 1,098,400

Land sales fees 15,000

Licensing and regulation fees 822,600

Liquor license revenue 100,000

Liquor purchase revolving fund 5,536,700

Manufactured housing commission fees 263,600

Michigan state housing development authority fees and charges 4,021,500

Motor carrier fees 185,200

Public utility assessments 2,171,300

Private occupational school license fees 14,000

Rehabilitation services fees 90,300

Safety education and training fund 572,100

Second injury fund 257,000

Securities fees 2,409,700

Self-insurers security fund 87,300

Silicosis and dust disease fund 111,300

Tax tribunal fees 189,300

State general fund/general purpose $ 1,430,100

Sec. 103. OFFICE OF FINANCIAL AND INSURANCE SERVICES

Full-time equated classified positions 288.0

Administration--21.0 FTE positions $ 4,162,400

Policy conduct and consumer assistance--86.0 FTE positions $ 14,177,900

Financial evaluation--181.0 FTE positions 27,073,000

GROSS APPROPRIATION $ 45,413,300

Appropriated from:

Federal revenues:

Federal regulatory project revenue 50,400

Special revenue funds:

Bank fees 7,469,200

Consumer finance fees 4,891,500

Credit union fees 5,404,000

Deferred presentment service transaction fees 1,307,400

Insurance continuing education fees 903,400

Insurance licensing and regulation fees 3,912,600

Insurance regulatory fees 19,231,000

Multiple employer welfare arrangement 72,300

Securities fees 2,171,500

State general fund/general purpose $ 0

Sec. 104. PUBLIC SERVICE COMMISSION

Full-time equated classified positions 170.0

Administration, planning and regulation--159.0 FTE positions $ 21,797,600

Energy office--9.0 FTE positions 5,342,100

Children's protection registry administration--2.0 FTE positions 271,200

GROSS APPROPRIATION $ 27,410,900

Appropriated from:

Federal revenues:

DOE-OEERE, multiple grants 4,828,100

DOT-RSPA, gas pipeline safety 984,900

Special revenue funds:

Private - oil overcharge 30,000

Children's protection registry fund 271,200

Motor carrier fees 2,220,100

Public utility assessments 18,076,600

Video franchise assessments 1,000,000

State general fund/general purpose $ 0

Sec. 105. LIQUOR CONTROL COMMISSION

Full-time equated classified positions 152.0

Management support services--28.0 FTE positions $ 3,403,100

Liquor licensing and enforcement--124.0 FTE positions 12,175,000

GROSS APPROPRIATION $ 15,578,100

Appropriated from:

Special revenue funds:

Liquor license revenue 6,362,200

Liquor purchase revolving fund 9,215,900

State general fund/general purpose $ 0

Sec. 106. MICHIGAN STATE HOUSING DEVELOPMENT AUTHORITY

Full-time equated classified positions 266.0

Payments on behalf of tenants $ 140,000,000

Housing and rental assistance program--266.0 FTE positions 37,256,600

GROSS APPROPRIATION $ 177,256,600

Appropriated from:

Federal revenues:

HUD, lower income housing assistance program 140,000,000

Special revenue funds:

Michigan state housing development authority fees and charges 37,256,600

State general fund/general purpose $ 0

Sec. 107. OCCUPATIONAL REGULATION

Full-time equated classified positions 421.0

Boiler inspection program--25.0 FTE positions $ 2,764,400

Fire marshal program--5.0 FTE positions 448,200

Fire fighters training council--8.0 FTE positions 1,743,400

Fire safety program funding--44.0 FTE positions 4,333,300

Code enforcement--120.0 FTE positions 13,036,700

Commercial services--156.0 FTE positions 17,651,200

Elevator inspection program--30.0 FTE positions 2,938,800

Local manufactured housing communities inspections 250,000

Manufactured housing and land resources program--22.0 FTE positions 3,191,800

Property development group--11.0 FTE positions 1,569,400

GROSS APPROPRIATION $ 47,927,200

Appropriated from:

IDG from department of community health, inspection contract 68,500

IDG from department of state police, homeland security 754,300

FEMA 28,000

DOT 47,000

HHS, titles XVIII and XIX 700,000

Accountancy enforcement fund 103,600

Boiler fee revenue 3,166,300

Construction code fund 12,930,600

Corporation fees 5,857,900

Elevator fees 3,313,000

Fire alarm fees 99,000

Fire service fees 1,706,600

Homeowner construction lien recovery fund 1,537,900

Licensing and regulation fees 10,050,100

Mobile home code fund 2,771,800

Michigan boxing fund 45,000

Property development fees 282,900

Real estate appraiser continuing education fund 47,000

Real estate education fund 272,100

Remonumentation fees 709,500

Security business fund 314,600

State general fund/general purpose $ 3,121,500

Sec. 108. MICHIGAN OCCUPATIONAL SAFETY AND HEALTH

ADMINISTRATION

Full-time equated classified positions 229.0

Occupational safety and health--229.0 FTE positions $ 26,198,200

GROSS APPROPRIATION $ 26,198,200

Appropriated from:

Federal revenues:

DOL, multiple grants for safety and health 12,197,000

Special revenue funds:

Corporation fees 2,279,600

Fees and collections/asbestos 863,300

Licensing and regulation fees 1,174,800

Safety education and training fund 7,848,700

Securities fees 1,834,800

State general fund/general purpose $ 0

Sec. 109. BUREAU OF WORKER'S AND UNEMPLOYMENT COMPENSATION

Full-time equated classified positions 1,251.0

Administration--96.6 FTE positions $ 9,896,800

Board of magistrates and appellate commission--19.4 FTE positions 3,270,900

Wage and hour division--35.0 FTE positions 3,090,100

Insurance funds administration--28.0 FTE positions $ 4,590,200

Supplemental benefit fund 820,000

Unemployment programs--1,002.7 FTE positions 94,340,500

Advocacy assistance program 1,500,000

Special audit and collections program--34.0 FTE positions 2,879,700

Training program for agency staff--2.1 FTE positions 1,807,300

Expanded fraud control program--33.2 FTE positions 3,184,900

GROSS APPROPRIATION $ 125,380,400

Appropriated from:

Federal revenues:

DOL-ETA, employment and training administration 677,400

DOL-ETA, unemployment insurance 93,347,500

Federal Reed act funds 4,487,500

Special revenue funds:

Corporation fees 2,346,200

Contingent fund, regular penalty and interest account 14,459,400

Licensing and regulation fees 789,700

Second injury fund 2,471,200

Securities fees 2,346,900

Self-insurers security fund 1,168,300

Silicosis and dust disease fund 950,700

Worker's compensation administrative revolving fund 2,335,600

State general fund/general purpose $ 0

Sec. 110. STATE OFFICE OF ADMINISTRATIVE HEARINGS AND RULES

Full-time equated classified positions 163.0

Administrative hearings and rules--163.0 FTE positions $ 21,788,000

GROSS APPROPRIATION $ 21,788,000

Appropriated from:

Interdepartmental grant revenues:

IDG from department of community health 1,704,200

IDG from department of corrections 3,801,800

IDG from department of education 1,064,200

IDG from department of environmental quality 522,000

IDG from department of human services 3,338,000

IDG from department of management and budget 42,000

Federal revenues:

DOL-ETA, unemployment insurance 6,336,700

DOL, multiple grants for safety and health 202,700

Special revenue funds:

Construction code fund 292,900

Corporation fees 365,700

Insurance regulatory fees 347,000

Licensing and regulation fees 1,074,000

Liquor purchase revolving fund 119,800

Manufactured housing commission fees 143,300

Public utility assessments 1,272,800

Safety education and training fund 195,600

Securities fees 888,600

Tax tribunal fees 76,700

State general fund/general purpose $ 0

Sec. 111. INFORMATION TECHNOLOGY

Information technology services and projects $ 42,799,100

GROSS APPROPRIATION $ 42,799,100

Appropriated from:

Federal revenues:

DOL-ETA, unemployment insurance 21,091,700

DOL, multiple grants for safety and health $ 273,700

Federal revenues 5,877,400

HHS, temporary assistance for needy families 176,300

Special revenue funds:

Bank fees 487,100

Boiler fee revenue 327,200

Construction code fund 944,600

Consumer finance fees 198,700

Corporation fees 1,797,300

Credit union fees 274,600

Elevator fees 259,700

Fees and collections/asbestos 11,000

Fire service fees 520,700

Insurance regulatory fees 711,500

Land bank fast track fund 204,500

Licensing and regulation fees 1,168,000

Liquor purchase revolving fund 3,212,000

Manufactured housing commission fees 74,200

Michigan state housing development authority fees and charges 2,038,000

Motor carrier fees 118,600

Public utility assessments 890,900

Safety education and training fund 352,700

Second injury fund 149,200

Securities fees 1,509,200

Self-insurers security fund 70,100

Silicosis and dust disease fund 60,200

State general fund/general purpose $ 0

Sec. 112. WORKFORCE DEVELOPMENT

Full-time equated classified positions 965.5

Employment services--246.0 FTE positions $ 48,523,600

Jobs education training pilot--31.0 FTE positions 9,401,100

Jobs education training statewide expansion--62.0 FTE positions 13,476,700

Labor market information--52.0 FTE positions 6,340,200

Michigan rehabilitation services--513.5 FTE positions 70,737,800

Workforce programs administration--61.0 FTE positions 12,749,400

GROSS APPROPRIATION $ 161,228,800

Appropriated from:

Interdepartmental grant revenues:

IDG from department of human services 22,877,800

Federal revenues:

DAG, employment and training 178,700

DED-OPSE, multiple grants 1,222,900

DED-OSERS, centers for independent living 58,200

DED-OSERS, rehabilitation long-term training 316,900

DED-OSERS, rehabilitation services, vocational rehabilitation of state grants 53,247,500

DED-OSERS, state grants for technical related assistance 56,000

DOL-ETA, workforce investment act 7,539,200

DOL, federal funds 48,273,400

DOL, ODEP 225,000

HHS-SSA, supplemental security income 3,763,300

HHS, temporary assistance for needy families 3,320,200

Special revenue funds:

Private - gifts, bequests, and donations 816,000

Local revenue 4,269,600

Local vocational rehabilitation match 3,054,000

Contingent fund, penalty and interest account 1,809,900

Rehabilitation services fees $ 1,347,000

Second injury fund 51,500

Student fees 308,000

Training materials fees 256,400

State general fund/general purpose $ 8,237,300

Sec. 113. CAREER EDUCATION PROGRAMS

Full-time equated classified positions 30.0

Postsecondary education--14.0 FTE positions $ 2,691,200

Adult education--16.0 FTE positions 2,494,300

GROSS APPROPRIATION $ 5,185,500

Appropriated from:

Federal revenues:

Federal revenues 3,789,900

Special revenue funds:

Private occupational school license fees 432,800

Defaulted loan collection fees 100,000

State general fund/general purpose $ 862,800

Sec. 114. DEPARTMENT GRANTS

Adult basic education $ 20,000,000

Carl D. Perkins grants 19,000,000

Focus: HOPE 5,860,200

Gear-up program grants 3,000,000

Workforce training programs subgrantees 184,587,800

Personal assistance services 459,500

Vocational rehabilitation client services/facilities 55,549,500

Vocational rehabilitation independent living 3,079,700

Welfare-to-work programs 107,938,600

Fire protection grants 10,910,500

Low-income energy efficiency assistance 80,000,000

Liquor law enforcement grants 6,100,000

Remonumentation grants 14,000,000

Michigan nursing corps 1,500,000

Michigan housing and community development fund 2,163,400

Private grant funded projects 3,000,000

GROSS APPROPRIATION $ 517,149,200

Appropriated from:

Federal revenues:

DAG, employment and training 7,000,000

DED-OESE, gear-up 3,000,000

DED-OSERS, centers for independent living 450,200

DED-OSERS, rehabilitation services, vocational rehabilitation of state grants 35,797,900

DED-OSERS, rehabilitation services facilities 2,272,500

DED-OSERS, supported employment 1,541,300

DED-OSERS, state grants for technical related assistance 2,240,800

DED-OVAE, adult education 20,000,000

DED-OVAE, basic grants to states 19,000,000

DOL-ETA, workforce investment act 181,602,700

DOL, federal funds 17,985,100

HHS, temporary assistance for needy families 72,299,000

HHS-SSA, supplemental security income 3,480,600

Special revenue funds:

Private - gifts, bequests, and donations 400,000

Private revenues 3,000,000

Local vocational rehabilitation match 6,630,500

Local vocational rehabilitation facilities match 1,278,300

Contingent fund, penalty and interest account 1,000,000

Low-income energy efficiency fund $ 80,000,000

Fire protection fund 8,500,000

Liquor purchase revolving fund 2,410,500

Liquor license revenue 6,100,000

Remonumentation fees 14,000,000

State general fund/general purpose $ 27,159,800

Sec. 115. BOARDS, AUTHORITIES AND COMMISSIONS

Full-time equated classified positions 168.0

MES board of review program--18.0 FTE positions $ 2,307,500

Rights-of-way oversight authority--5.0 FTE positions 560,500

Land bank fast track authority--6.0 FTE positions 1,831,300

Commission on Spanish-speaking affairs--2.0 FTE positions 251,700

Commission on disability concerns--7.0 FTE positions 1,068,900

Commission for the blind--94.0 FTE positions 19,830,900

Utility consumer representation 950,000

Youth low vision program 241,800

Tax tribunal--15.0 FTE positions 2,006,900

Employment relations--21.0 FTE positions 3,243,800

GROSS APPROPRIATION $ 32,293,300

Appropriated from:

Federal revenues:

Federal revenues 14,992,600

DOL-ETA, unemployment insurance 2,307,500

EEOC, federal funds 10,000

Special revenue funds:

Private revenues 128,300

Local revenues 521,000

Corporation fees 220,500

Land bank fast track funds 1,831,300

METRO authority fund 560,500

Securities fees 3,533,200

State restricted revenues 560,200

Tax tribunal fees 1,487,000

Utility consumer representation fund 950,000

State general fund/general purpose $ 5,191,200

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

GENERAL SECTIONS

Sec. 201. Pursuant to section 30 of article IX of the state constitution of 1963, total state spending from state resources under part 1 for fiscal year 2007-2008 is $424,846,400.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $51,470,500.00. The itemized statement below identifies appropriations from which spending to units of local government will occur:

DEPARTMENT OF LABOR AND ECONOMIC GROWTH

Fire protection grants $ 10,910,500

Liquor law enforcement 6,100,000

Local manufactured housing inspections 250,000

Remonumentation grants 14,000,000

Fire fighters training council 1,710,400

Welfare to work 18,499,600

Total department of labor and economic growth $ 51,470,500

Sec. 202. The appropriations authorized under this act are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. As used in this act:

(a) "DAG" means the United States department of agriculture.

(b) "DED" means the United States department of education.

(d) "DED-OPSE" means the DED office of postsecondary education.

(e) "DED-OSERS" means the DED office of special education rehabilitation services.

(f) "DED-OVAE" means the DED office of vocational and adult education.

(g) "Department" means the department of labor and economic growth.

(h) "Director" means the director of the department of labor and economic growth.

(i) "DOE" means the United States department of energy.

(j) "DOE-OEERE" means the DOE office of energy efficiency and renewable energy.

(k) "DOL" means the United States department of labor.

(l) "DOL-ETA" means the DOL employment and training administration.

(m) "DOL-ODEP" means the DOL office of disability employment policy.

(n) "DOT" means the United States department of transportation.

(o) "DOT-RSPA" means the DOT research and special programs administration.

(p) "EEOC" means equal employment opportunity commission.

(q) "FEMA" means federal emergency management agency.

(r) "Fiscal agencies" means Michigan house fiscal agency and Michigan senate fiscal agency.

(s) "FTE" means full-time equated.

(t) "HHS" means the United States department of health and human services.

(u) "HHS-SSA" means HHS social security administration.

(v) "HR" means human resources.

(w) "HUD" means the United States department of housing and urban development.

(x) "IDG" means interdepartmental grant.

(y) "MES" means Michigan employment security.

(z) "METRO" means metropolitan extension telecommunications rights-of-way oversight.

(aa) "MIOSHA" means Michigan occupational safety and health administration.

(bb) "SOAHR" means the state office of administrative hearings and rules.

(cc) "Subcommittees" means all members of the subcommittees of the house and senate appropriations committees with jurisdiction over the budget for the department.

Sec. 204. The department of civil service shall bill departments and agencies at the end of the first fiscal quarter for the 1% charge authorized by section 5 of article XI of the state constitution of 1963. Payments shall be made for the total amount of the billing by the end of the second fiscal quarter.

(2) The state budget director may grant exceptions to this hiring freeze when the state budget director believes that the hiring freeze will result in rendering a state department or agency unable to deliver basic services, causes loss of revenue to the state, would result in the inability of the state to receive federal funds, or would necessitate additional expenditures that exceed any savings from maintaining a vacancy. The state budget director shall report quarterly to the chairpersons of the senate and house of representatives standing committees on appropriations the number of exceptions to the hiring freeze approved during the previous quarter and the reasons to justify the exception.

Sec. 208. The department shall use the Internet to fulfill the reporting requirements of this act. This requirement may include transmission of reports via electronic mail to the recipients identified for each reporting requirement or it may include placement of reports on the Internet or Intranet site.

Sec. 210. The director shall take all reasonable steps to ensure that Michigan businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. The director shall strongly encourage firms with which the department contracts to subcontract with certified Michigan businesses in depressed and deprived communities for services, supplies, or both.

Sec. 211. The department shall establish and maintain affirmative action programs based on the guidelines developed by the state equal opportunity workforce planning council which was created by Executive Order No. 1996-13 in order to receive general fund/general purpose dollars in compliance with section 26 of article I of the state constitution of 1963.

Sec. 213. From the funds appropriated in part 1 for information technology, the department shall pay user fees to the department of information technology for technology-related services and projects. Such user fees shall be subject to provisions of an interagency agreement between the department and the department of information technology.

Sec. 215. (1) The department shall report no later than April 1, 2008 on each specific policy change made to implement a public act affecting the department that took effect during the prior calendar year to the subcommittees, the joint committee on administrative rules, and the fiscal agencies.

(3) As used in this section:

(a) "Rule" means that term as defined under section 7 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207.

(b) "Small business" means that term as defined under section 7a of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207a.

Sec. 216. It is the intent of the legislature that all revenue sources for funds appropriated in part 1 shall not be aggregated into general categories and shall be specifically identified and detailed as much as possible.

Sec. 217. (1) Due to the current budgetary problems in this state, out-of-state travel shall be limited to situations in which 1 or more of the following conditions apply:

(a) The travel is required by legal mandate or court order or for law enforcement purposes.

(b) The travel is necessary to protect the health or safety of Michigan citizens or visitors or to assist other states in similar circumstances.

(c) The travel is necessary to produce budgetary savings or to increase state revenues, including protecting existing federal funds or securing additional federal funds.

(d) The travel is necessary to comply with federal requirements.

(e) The travel is necessary to secure specialized training for staff that is not available within this state.

(f) The travel is financed entirely by federal or nonstate funds.

(3) Not later than January 1 of each year, each department shall prepare a travel report listing all travel by classified and unclassified employees outside this state in the immediately preceding fiscal year that was funded in whole or in part with funds appropriated in the department's budget. The report shall be submitted to the chairs and members of the house and senate appropriations committees, the fiscal agencies, and the state budget director. The report shall include the following information:

(a) The name of each person receiving reimbursement for travel outside this state or whose travel costs were paid by this state.

(b) The destination of each travel occurrence.

(d) A brief statement of the reason for each travel occurrence.

(f) A total of all out-of-state travel funded for the immediately preceding fiscal year.

Sec. 219. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 220. The department may carry into the succeeding fiscal year unexpended federal pass-through funds to local institutions and governments that do not require additional state matching funds. Federal pass-through funds to local institutions and governments that are received in amounts in addition to those included in part 1 and that do not require additional state matching funds are appropriated for the purposes intended.

Sec. 221. Funds appropriated in part 1 shall not be used by a principal executive department, state agency, or authority to hire a person to provide legal services that are the responsibility of the attorney general. This prohibition does not apply to legal services for bonding activities and for those activities that the attorney general authorizes.

Sec. 222. From the funds appropriated in part 1, the department shall implement continuous improvement efficiency mechanisms in the programs administered by the department. The continuous improvement efficiency mechanisms shall identify changes made in programs to increase efficiency and reduce expenditures in the programs. On March 31, 2008 and September 30, 2008, the department shall submit a report to the state budget director, the subcommittees, and the fiscal agencies on the progress made toward increased efficiencies in department programs. At a minimum, each report shall include information on the program review process, the type of improvement mechanisms implemented and actual and projected expenditure savings as a result of the increased program efficiencies.

Sec. 223. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $30,500,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $13,200,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(3) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $8,180,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(4) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $550,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

REGULATORY

Sec. 301. The appropriation in part 1 for fire protection grants from the liquor purchase revolving fund and the fire protection fund shall be appropriated to cities, villages, and townships with state-owned facilities for fire services, instead of taxes, in accordance with 1977 PA 289, MCL 141.951 to 141.956.

Sec. 302. The funds collected by the office of financial and insurance services in connection with a conservatorship pursuant to section 32 of the mortgage brokers, lenders, and servicers licensing act, 1987 PA 173, MCL 445.1682, shall be appropriated for all expenses necessary to provide for the required services. Funds are available for expenditure when they are received by the department of treasury and shall not lapse to the general fund at the end of the fiscal year.

Sec. 303. The funds collected by the department from corporations being liquidated pursuant to the insurance code of 1956, 1956 PA 218, MCL 500.100 to 500.8302, shall be appropriated for all expenses necessary to provide for the required services. Funds are available for expenditure when they are received by the department of treasury and shall not lapse to the general fund at the end of the fiscal year.

Sec. 304. The department may make available to interested entities otherwise unavailable customized listings of nonconfidential information in its possession, such as names and addresses of licensees, and charge for this information as follows: base fee for 1 to 1,000 records at the cost to the department; 1,001 to 10,000 records at 2.5 cents per record; and 10,001 or more records at .5 cents per record. The revenue received from this service may be used to offset expenses of programs as appropriated in part 1. The balance of this revenue collected and unexpended at the end of the fiscal year shall revert to the appropriate restricted revenue account or fund or, in absence of such an account or fund, to the general fund. The department shall submit an annual report on or before December 1 of each year to the state budget office and the subcommittees that states the amount of revenue received from the sale of information.

Sec. 306. The Michigan state housing development authority shall annually present a report to the state budget office and the subcommittees on the status of the authority's housing production goals under all financing programs established or administered by the authority. The report shall give special attention to efforts to raise affordable multifamily housing production goals.

Sec. 308. The funds collected by the department for licenses, permits, and other elevator regulation fees set forth in the Michigan administrative code and as determined under section 8 of 1976 PA 333, MCL 338.2158, and section 16 of 1967 PA 227, MCL 408.816, that are unexpended at the end of the fiscal year shall carry forward to the subsequent fiscal year. The department shall submit a report on an annual basis to the state budget office and the subcommittees on the amount of funds available under this section.

Sec. 310. Money appropriated under this act for the bureau of fire services shall not be expended unless, in accordance with section 2c of the fire prevention code, 1941 PA 207, MCL 29.2c, inspection and plan review fees will be charged according to the following schedule:

Operation and maintenance inspection fee

Facility typeFacility sizeFee

Hospitals Any $8.00 per bed

Plan review and construction inspection fees for hospitals and schools

Project cost rangeFee

$101,000.00 or less minimum fee of $155.00.

$101,001.00 to $1,500,000.00 $1.60 per $1,000.00.

$1,500,001.00 to $10,000,000.00 $1.30 per $1,000.00.

$10,000,001.00 or more $1.10 per $1,000.00.

or a maximum fee of $60,000.00.

Sec. 313. If the revenue collected by the department from licensing and regulation fees collected by the office of commercial services exceeds the amount appropriated in part 1, the revenue may be carried forward into the subsequent fiscal year. The revenue carried forward under this section shall be used as the first source of funds in the subsequent fiscal year.

Sec. 314. Funds earned or authorized by the United States department of labor in excess of the gross appropriation in part 1 for the unemployment insurance agency and the employment service agency from the United States departmentof labor are appropriated and may be expended for staffing and related expenses incurred in the operation of its programs. These funds may be spent after the department notifies the state budget office and the subcommittees of the purpose and amount of each grant award.

Sec. 315. The department shall sell documents at a price not to exceed the cost of production and distribution. Money received from the sale of these documents shall revert to the department. The funds are available for expenditure when they are received by the department of treasury and may only be used for costs directly related to the continued updating and distribution of the documents pursuant to this section. This section applies only for the following documents:

(a) Corporation and securities division documents, reports, and papers required or permitted by law pursuant to section 1060(5) of the business corporation act, 1972 PA 284, MCL 450.2060.

(b) The subdivision control manual, the state boundary commission operations manual, and other local government assistance manuals.

(d) The mobile home commission act, 1987 PA 96, MCL 125.2301 to 125.2349; the business corporation act, 1972 PA 284, MCL 450.1101 to 450.2098; the nonprofit corporation act, 1982 PA 162, MCL 450.2101 to 450.3192; and the uniform securities act, 1964 PA 265, MCL 451.501 to 451.818.

(e) Labor law books.

(f) Worker's compensation health care services rules.

(g) Construction code manuals.

(h) Copies of transcripts from administrative law hearings.

Sec. 317. The department, MIOSHA, shall provide an annual report by February 1 of each year to the state budget office, the fiscal agencies, and the subcommittees on the number of individuals killed and the number of individuals injured on the job within industries regulated by the bureau during the most recent year for which data are available.

Sec. 335. The public service commission shall report by June 1 of each year to the subcommittees, the state budget office, and the fiscal agencies on the distribution of funds appropriated in part 1 for the low-income/energy efficiency assistance program.

Sec. 336. The department shall provide the subcommittees, fiscal agencies, and state budget director with a report on or before December 1 outlining actual expenditures for the last completed fiscal year for each division within the office of financial and insurance services.

Sec. 337. The department shall not expend funds from the appropriations in part 1 for the office of financial and insurance services for the purpose of implementing prohibitions on the use of credit scoring in establishing insurance premiums by insurance companies until the legislature has, by statute, authorized such a prohibition.

Sec. 340. The office of financial and insurance services shall provide copies of the quarterly and annual financial filings of health maintenance organizations to the fiscal agencies on a timely basis. Reports can be transmitted electronically if available in that format.

Sec. 350. (1) The department shall allocate funds to promote awareness of the right of a policyholder, subscriber, member, enrollee, or other individual participating in a health benefit plan, after the covered person has exhausted the health carrier's internal grievance process provided for by law, to request an external review for an adverse determination.

(2) As used in this section, "covered person" means that term as defined in section 3 of the patient's right to independent review act, 2000 PA 251, MCL 550.1903.

Sec. 352. From the funds appropriated in part 1 for unclassified salaries, the department shall provide funding for 5worker's compensation appellate commissioners and 26 worker's compensation board of magistrates. Expenditures shall be made so that the 2 bodies shall decide worker's compensation cases in a timely manner.

Sec. 355. (1) Of the funds appropriated in part 1, no funds shall be used to support the development of, staffing of, or activities promoting the development of guidelines, rules, standards, protocols, or other similar mandates that are more stringent than federal voluntary ergonomics guidelines. This section does not prohibit any person from adopting, or working with the state to develop, voluntary ergonomics standards.

(2) On March 1, 2008 and September 1, 2008, the department shall provide a report to the fiscal agencies and appropriations subcommittees of any staffing time or activities regarding the development of a voluntary or mandatory, or both, ergonomic standard, whether contained in rules, guidelines, policy directives, or bulletins.

Sec. 356. The Michigan commission for the blind shall work collaboratively with service organizations to identify qualified match dollars to maximize use of available federal funds.

Sec. 357. From the funds appropriated in part 1 for commercial services, the department may allocate not more than $50,000.00 for the resumption of printing the real estate law and rules book (red book). The red book shall include, but is not limited to, real estate laws and regulations and related statutes. The red book will be provided at no charge to actively licensed real estate brokers, associate brokers, and salespersons. Any other party seeking a copy of the red book may purchase the book from the bureau of commercial services at the bureau's cost to produce the book or may print the bureau's Internet version of the red book at no cost.

Sec. 358. The real estate education fund created in section 37 of the state license fee act, 1979 PA 152, MCL 338.2237, and administered by the department shall allow prelicensure and postlicensure education to be delivered through on-line courses by a community college, university, or private school, after licensure and approval by the department. Expenditures from this fund may also be made to support department grants for educational providers to establish on-line courses that would be made available to students throughout the year.

Sec. 361. In addition to the amounts appropriated in part 1 for the administration of the land bank fast track authority, the authority may expend revenues received under the land bank fast track act, 2003 PA 258, MCL 124.751 to 124.774, for the purposes authorized by the act including, but not limited to, the acquisition, lease, management, demolition, maintenance, or rehabilitation of real or personal property, payment of debt service for notes or bonds issued by the authority, and other expenses to clear or quiet title property held by the authority.

Sec. 362. Of the funds appropriated in part 1 for the department, $200,000.00 may be used for administration and enforcement of boxing regulation in Michigan.

Sec. 364. The department and MSHDA shall report to the subcommittees and the fiscal agencies by January 1 on the status of the loans entered into by the Michigan broadband development authority.

Sec. 365. From the funds appropriated in part 1 for Michigan occupational safety and health consultation education and training (CET) grants, not less than $40,000.00 shall be allocated to nonprofit organizations representing the aggregate industry in Michigan.

Sec. 368. Funds collected by the department under sections 55, 57, 58, and 59 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.255, 24.257, 24.258, and 24.259, and section 203 of the legislative council act, 1986 PA268, MCL 4.1203, are appropriated for all expenses necessary to provide for the cost of publication and distribution. The funds appropriated under this section are allotted for expenditure when they are received by the department of treasury and shall not lapse to the general fund at the end of the fiscal year.

Sec. 369. The video franchise assessment fund is created and shall exist in the state treasury and shall receive revenue as provided in the uniform video services local franchise act, 2006 PA 480, MCL 484.3301 to 484.3314. All interest and earnings of the fund may be retained by the fund per the direction of the state treasurer. Money in the fund at the close of the fiscal year may carry forward to the new fiscal year and be used as the first source of funds in the subsequent fiscal year.

Sec. 370. (1) MSHDA shall provide a report to the appropriations subcommittees by June 1 on the cities of promise blight elimination program. The report shall include:

(a) Those cities designated as cities of promise.

(b) The amount awarded to each designated city.

(d) The amount of private or local funds that were used as match for these projects.

(2) It is the intent of the legislature that MSHDA allocate at least $750,000.00 from the cities of promise blight elimination program for each of the cities of Saginaw and Flint for building demolition.

Sec. 375. The public service commission shall implement a process for the low-income energy efficiency fund grants that shall require an application deadline of May 1 and the award announcements on October 1 of each year.

Sec. 376. By January 15, 2008, the liquor control commission, in conjunction with the authorized distribution agents shall submit a report to the subcommittees with an estimate on how much state revenue is lost due to spirits being purchased from other states and brought into Michigan for individual consumption or illegal resale. The report shall include the estimated cost of increasing the number of law enforcement officers needed, or other technological methods to be used, to reduce the amount of out-of-state spirits being transported and sold in Michigan illegally.

Sec. 377. (1) In addition to the funds appropriated in part 1, any unencumbered and unrestricted federal workforce investment act funds available from prior fiscal years are appropriated for the purposes originally intended.

(2) The department shall report by January 15 to the subcommittees, the fiscal agencies, and the state budget office on the amount by fiscal year of federal workforce investment act funds appropriated under this section.

WORKFORCE AND CAREER DEVELOPMENT

Sec. 401. The Michigan career and technical institute may receive equipment and in-kind contributions for the direct support of staff services through the Pine Lake fund, the Delton-Kellogg school district or other local or intermediate school district, or any combination of local or intermediate school districts in addition to those authorized in part 1.

Sec. 402. The Michigan rehabilitation service shall make every effort to ensure that all sources of matching funds in thisstate are used to obtain federal vocational rehabilitation funds. All sources include, but are not limited to, privately raisedfunds to support public nonprofit rehabilitation centers as permitted by the rehabilitation act of 1973, Public Law 93-112.

Sec. 403. The local match requirements for vocational rehabilitation facilities establishment grants shall not exceed 21.3% for the fiscal year ending September 30.

Sec. 404. (1) Of the funds appropriated in part 1 for vocational rehabilitation independent living, all general fund/ general purpose revenue not used to match federal funds shall be used for the support of centers for independent living that are in compliance with federal standards for such centers, for technical assistance to centers, and for projects to build capacity of centers to deliver independent living services. Applications for such funds shall be reviewed in accordance with criteria and procedures established by the statewide independent living council, the Michigan rehabilitation servicesunit within the department, and the Michigan commission for the blind. Funds must be used in a manner consistent with the priorities established in the state plan for independent living. The department is directed to work with the Michigan association of centers for independent living and the local workforce development boards to identify other competitive sources of funding.

(2) As a condition of receipt of funds appropriated in part 1, the statewide independent living council and the Michiganassociation of centers for independent living shall jointly produce a biennial report providing the following information:

(a) Results in terms of enhanced statewide access to independent living services to individuals who do not have access to such services through other existing public agencies, including measures by which these results can be monitored over time. These measures shall include:

(i) Total number of persons assisted by the centers and a comparison to the number assisted in the previous year.

(ii) Number of persons moved out of nursing homes into independent living situations and a comparison to the number assisted in the previous year.

(iii) Number of persons for whom accommodations were provided to enable independent living or access to employment and a comparison to the number assisted in the previous year.

(iv) The total number of disabled individuals served by personal care attendants and the number of personal care attendants provided through the use of any funds appropriated in part 1 administered by a center for independent living and a comparison to the number served in the previous year.

(b) Information from each center for independent living receiving funding through appropriations in part 1 detailing their total budget for their most recently completed fiscal year as well as the amount within that budget funded through the vocational rehabilitation independent living grant program referenced in part 1, the total amount funded through other state agencies, the amount funded through federal sources, and the amount funded through local and private sources.

(c) Savings to state taxpayers in other specific areas that can be shown to be the direct result of activities funded from the vocational rehabilitation independent living grant program during the most recently completed state fiscal year.

(3) The report required in subsection (2) shall be submitted to the subcommittees, the fiscal agencies, and the state budget director on or before January 30.

Sec. 405. The department shall administer the work first program in accordance with the requirements of the social security act, title IV, section 407(d), the state social welfare act, 1939 PA 280, MCL 400.1 to 400.119b, and all other applicable laws and regulations.

Sec. 406. (1) Using all relevant state data sources, the department shall conduct a 3-year longitudinal study of all former work first participants, whose department of human services program cases closed due to earnings during fiscal year 1999 and in succeeding fiscal years. The data will include the following:

(a) The number and percentage employed.

(b) The average hourly wage of those employed.

(d) The range of wages earned by those employed.

(e) The number of individuals that earned each wage amount.

(f) The number and percentage receiving health care benefits from their employer.

(g) The number and percentage receiving tuition reimbursement from their employer.

(h) The number and percentage receiving training benefits from their employer.

(i) The type of jobs obtained by former participants in general categories.

(j) The length of time former participants have retained their jobs, or if participants have had more than 1 job, the length of time employed at each job.

(k) The number and percentage continuing to receive any type of public assistance.

(l) If the former recipient has children, whether the children are enrolled in and attending school.

(m) The extent to which the former participant feels that they and their family are better off now than when they were on cash assistance with regard to household income, housing, food and nutritional needs, child health care, and access to health insurance coverage.

(2) The department shall notify the subcommittees, fiscal agencies, and state budget director electronically by March 15 of the location of the Internet site where the report containing the identified data is located.

(3) The department shall cooperate with the department of human services in formulating and acquiring the identified data.

(4) The department may retain a third party to conduct the studies to obtain the data identified under this section.

Sec. 407. State and federal funds allocated to local workforce development boards for disbursement shall not be expended unless the local workforce development boards maintain a partnership with governmental agencies, public school districts, and public colleges located within the local service delivery area. Each board shall appoint an education advisory group made up of high-level administrators within local educational institutions, workforce development board members, other employers, labor, academic educators, and parents of public school pupils.

Sec. 408. (1) From the funds appropriated in part 1, it is the intent of the legislature that the department identify ways to enhance local access to baccalaureate degree opportunities in applied sciences and applied technologies through better utilizing the existing capacity of community colleges. Funds in part 1 may be used by the department to commission an independent study to determine where in Michigan these programs would be most beneficial in meeting current and projected economic and workforce development needs, and where community college capacity exists to develop baccalaureate level programs quickly. The study should consider criteria such as the following:

(a) Regions that have historically been dependent on manufacturing and automotive related industries where workers have been displaced or are in transition.

(b) Communities that are significantly below the state average of working age adults with 4-year degrees.

(c) Locations served by community colleges that have a strong track record for advanced technical training, workforce development programs, and employer partnerships.

(d) Communities that do not contain a public university already offering similar degree opportunities.

(e) Locations where the community college has both faculty and facilities already in place that are capable of supporting baccalaureate level programs in applied technical fields.

(f) Evidence of employer support and future employment opportunities for graduates of the programs.

(2) The department may commission and receive the study and present a report, not later than April 1, 2008, analyzing the study to the appropriations committees of the house and senate, the state budget office, and the fiscal agencies.

Sec. 409. Within 10 days after the receipt of a grant appropriated in the private grant funded projects line item in part 1, the department shall notify the house and senate chairpersons of the subcommittees, the fiscal agencies, and the state budget director of the receipt of the grant, including the funding source, purpose, and amount of the grant.

Sec. 410. (1) The department shall make available, in person or by telephone, 1 disabled veterans outreach program specialist or local veterans employment representative to Michigan works! service centers, as resources permit, during hours of operation.

(2) The department shall ensure that each Michigan works! service center shall have the necessary equipment to allow the disabled veterans outreach specialist or local veterans employment representative to perform his or her duties.

(3) The department shall require each Michigan works! service center to have an employee available to ask each individual who requires intensive services beyond core services, as defined by section 134 of the workforce investment act of 1998, 29 USC 2864, whether that individual is a veteran. That employee shall refer each veteran to the disabled veterans outreach program specialist or local veterans employment representative on duty at the time.

(4) The department shall require that each Michigan works! service center shall have posted in a conspicuous place within the office a notice advising veterans that a disabled veterans outreach program specialist or a local veterans employment representative is available to assist him or her.

(5) The department shall require each Michigan works! service center to provide free mediated services to employers wishing to hire a veteran.

(6) The department shall continue to make the appropriate placement of veterans and disabled veterans a priority.

Sec. 415. Of the amounts appropriated in part 1 for postsecondary education, private occupational school license fees shall fund related administrative costs of the proprietary schools oversight unit within the department.

Sec. 417. The department is appropriated an amount not to exceed $100,000.00 from collection of defaulted loans under the future faculty program in the Martin Luther King, Jr. - Cesar Chavez - Rosa Parks programs to offset costs of administering the loan collections.

Sec. 418. From the funds appropriated in part 1 for postsecondary education, the department shall compile data from each university that receives funding for the future faculty program within the King-Chavez-Parks initiative on employment outcomes for program participants. The report shall be distributed to the house and senate appropriations committees, the fiscal agencies, and the state budget office by February 1 of each year. The report shall include data from each participating university covering the most recently completed fiscal year. The data shall include all of the following:

(a) The number of participants receiving support under the program.

(b) The number of participants obtaining full-time employment.

(d) The number of participants obtaining full-time employment in college faculty positions within the university through which they received future faculty program support for graduate studies.

Sec. 421. The King-Chavez-Parks initiative shall be marketed by the department to Michigan parents and high school and college students, to promote the benefits and the availability of the college day, select student support services, college/university partnership, visiting professors, Morris Hood, Jr. educator development, and future faculty programs. The department shall provide electronic notification of the location of the report on the Internet to the subcommittees by December 30 of each year, identifying all efforts taken to market these programs, including, but not limited to, the amount of funding allocated for this purpose, the fund source, and any expenditures or encumbrances relating to this marketing effort.

Sec. 427. The youth low-vision program is considered the payer of last resort. Other available public or private insurance coverage, including Medicaid or MIChild, and special education funds, shall be exhausted prior to using any funds appropriated in part 1 to purchase low-vision devices or equipment for an individual.

Sec. 429. (1) As a condition for receipt of the funds appropriated in part 1, Focus: HOPE shall submit a report on the use of the grant's funds appropriated in part 1 to the chairs of the subcommittees, the fiscal agencies, and the state budget office that includes, but is not limited to, the following:

(a) Detailed expenditures for administration including salaries and wages of employees.

(b) Amount allocated for education and training programs including number of students served by each program.

(c) Amount allocated for job search assistance and career planning including the number of students served by each program.

(d) Detailed expenditures for any contracts entered into with the use of these funds.

(e) Detailed expenditures for any program enhancements including number of new hires and capital expenditures.

(2) The report shall be submitted on or before January 31.

Sec. 430. Funding in part 1 for the jobs, education and training (JET) statewide expansion in fiscal year 2008 shall notbe allocated and released by the state budget director until savings are achieved and documented from the fiscal year 2007 JET program implementation in 50% of the state. The method for documenting JET savings for fiscal year 2007 shall be proposed by the department of human services and approved by the state budget director.

Sec. 431. (1) From the appropriation in part 1 for the Michigan nursing corps, grants shall be awarded to Michigan institutions of higher education consisting of public 4-year institutions, public 2-year institutions, independent colleges and universities, and tribally controlled community colleges with existing, accredited nursing baccalaureate or postgraduate education programs. The purpose of the grants is to prepare registered nurses and increase the number of nursing faculty. The department may also award grants on a matching basis to licensed hospitals that agree to provide nurse educators and related clinical training to additional student nurses in partnership with institutions of higher education described in this subsection. Awards shall be made in a manner and form as determined by the department, in collaboration with the department of community health.

(2) One or more grants may be awarded to educational institutions for preparation of additional nurse faculty in programs that meet 1 or more of the following:

(a) Preparation of master's-degreed nursing faculty in a nationally accredited, accelerated program. Grants for this program may include program tuition, a stipend for student living expenses, and other education-related costs.

(b) Preparation of doctoral-degreed nursing faculty in an accelerated program within an existing, accredited doctor of philosophy in nursing program. Participants must be currently enrolled doctoral students who will be able to complete their doctoral degree program within 2 years. Grants for this program may include program tuition, a stipend for student living expenses, and other education-related costs.

(c) Preparation of clinical instructors for nursing education programs. A common statewide curriculum will be developed by a consortium of the grantee institutions. The program shall include classroom instruction plus a practicum with students and patients. This program shall require collaborative agreements between nursing education programs and hospitals. It is expected that each graduate will provide clinical instruction for at least 1 cohort of nursing students per year.

(3) A program receiving a grant under subsection (2) shall provide that eligible participating students under subsection (2) are registered nurses willing to participate full-time in accredited programs and become employed in Michigan as nursing faculty or clinical instructors for a minimum number of years, as determined by the department of community health, upon completion of the program. The department of community health shall establish procedures for recovery of funds from students who do not remain employed in Michigan for the prescribed time period.

(4) One or more grants may be awarded for preparation of registered nurses in accredited, accelerated bachelor's in nursing programs. These programs shall be targeted toward Michigan workers who have been displaced from employment and who possess a bachelor's degree in a science-related area. Grants for this program may include program tuition, a stipend for student living expenses, and other education-related costs.

(5) Program management, data management, and evaluation for these projects shall be the responsibility of the department of community health, in collaboration with the department.

(6) The funds appropriated in part 1 for the Michigan nursing corps are designated as work project appropriations and shall not lapse at the end of the fiscal year. Any unencumbered and unexpended funds shall continue to be available for the expenditure of grants until the project has been completed. The total cost of the work project is estimated at $1,500,000.00 and the tentative completion date is September 30, 2009.

Sec. 432. (1) Of the funds appropriated in part 1 for the workforce training programs subgrantees, the department shall provide a report by July 1, 2008 to the house and senate chairs of the subcommittees and the fiscal agencies on the status of the no worker left behind program. The report shall include the following:

(a) The amount of funding allocated to each Michigan works! agency.

(b) The number of participants enrolled in the program by each Michigan works! agency.

(d) The number of participants enrolled in remedial education programs and the number of participants enrolled in literacy programs.

(e) The number of participants enrolled in programs at 2-year institutions.

(f) The number of participants enrolled in 4-year institutions.

(g) The number of participants enrolled in proprietary schools or other technical training programs.

(h) The number of participants that have completed education or training programs.

(2) Data collection for the report shall be for the period August 1, 2007 through May 30, 2008.

Sec. 433. (1) The department shall use all relevant data sources available to compile data on participants in the JET pilot program and the 50% expansion of that program that was implemented January 1, 2007. The report shall include the following:

(a) How many participants were enrolled in training.

(b) How many participants completed training.

(d) How many cases were closed.

(e) How many cases were referred to Michigan rehabilitation services.

(2) Data collection for the report shall be for the period January 15, 2007 through December 30, 2007.

(3) The report shall be submitted by March 1 to the subcommittees and the fiscal agencies.

(4) The department shall cooperate with the department of human services in formulating and acquiring the identified data.

(5) The department may retain a third party to conduct the studies to obtain data identified under this section.

Sec. 434. (1) The department shall collaborate with the state board of education, the department of human services, the department of community health, and the department of history, arts, and libraries to extend the duration of the Michigan after-school partnership, and oversee its efforts to implement the policy recommendations and strategic next steps identified in the Michigan after-school initiative's report of December 15, 2003.

(2) From the funds appropriated in part 1, $25,000.00 may be used to support the Michigan after-school partnership. Funds shall be used to leverage other private and public funding to engage the public and private sectors in building and sustaining high-quality out-of-school-time programs and resources. The co-chairs, representing the department, the state board of education, the department of human services, the department of history, arts, and libraries and the department of community health shall name a fiduciary agent and may authorize the fiduciary to expend funds and hire people to accomplish the work of the Michigan after-school partnership.

(3) Participation in the Michigan after-school partnership shall be expanded beyond the membership of the initial Michigan after-school initiative to increase the representation of parents, youth, foundations, employers, and others with experience in education, child care, after-school and youth development services, and crime and violence prevention, and to include representation from the department. Each year, on or before December 31, the Michigan after-school partnership shall report its progress in reaching the recommendations set forth in the Michigan after-school initiative's report to the legislature and governor.

Sec. 435. The department shall ensure that school districts and career preparation programs operated by school districtsare eligible education providers under the no worker left behind program and programs funded by the federal workforce investment act.

Sec. 437. From the funds appropriated in part 1 for welfare-to-work programs, $140,000.00 shall be allocated to Focus: HOPE to design a pilot program which will improve the job placement and retention of welfare recipients. The pilot shall address barriers to employment identified by the department of human services jobs, education and training program. In developing this program, Focus: HOPE shall work collaboratively with the department of human services, community colleges, and universities.

Sec. 438. (1) From the funds appropriated in part 1 for the Michigan housing and community development fund, $2,163,400.00 shall be allocated to the Michigan state housing development authority (MSHDA) for projects as described in sections 58c and 58d of the state housing development authority fund act of 1966, 1966 PA 346, MCL 125.1458c and 125.1458d.

(2) MSHDA shall report by May 1 to the subcommittees, fiscal agencies, and the state budget office on the status of the projects described in subsection (1), including the statewide allocation plan, number of applicants, amounts requested, description of projects, amounts awarded, number of housing units that have been or are projected to be created, and income levels of the households that have been or are projected to be served.

Sec. 439. From the funds appropriated in part 1 for land bank fast track authority, $400,000.00 shall be used for additional maintenance or demolition of all tax reverted properties.

Third: That the Senate and House agree to the title of the bill to read as follows:

Mark C. Jansen

Thomas M. George

Martha G. Scott

Conferees for the Senate

Richard Hammel

Joan Bauer

Jack Brandenburg

Conferees for the House

The question being on the adoption of the conference report,

The first conference report was adopted, a majority of the members serving voting therefor, as follows:

Roll Call No.438 Yeas--37

Allen Clark-Coleman Jacobs Prusi

Anderson Clarke Jansen Richardville

Barcia Cropsey Jelinek Schauer

Basham Garcia Kahn Scott

Birkholz George Kuipers Stamas

Bishop Gilbert McManus Switalski

Brater Gleason Olshove Thomas

Brown Hardiman Pappageorge Van Woerkom

Cassis Hunter Patterson Whitmer

Cherry

Nays--1

Sanborn

Excused--0

Not Voting--0

In The Chair: Richardville

The question being on concurring in the committee recommendation to give the bill immediate effect,

The recommendation was concurred in, 2/3 of the members serving voting therefor.

Senator Garcia submitted the following:

FIRST CONFERENCE REPORT

The Committee of Conference on the matters of difference between the two Houses concerning

Senate Bill No. 235, entitled

A bill to make appropriations for the department of military and veterans affairs for the fiscal year ending September 30, 2008; to provide for the expenditure of the appropriations; to provide for certain powers and duties of the department of military and veterans affairs, other state agencies, and local units of government related to the appropriations; and to provide for the preparation of certain reports related to the appropriations.

Recommends:

First: That the House recede from the Substitute of the House as passed by the House.

Second: That the Senate and House agree to the Substitute of the Senate as passed by the Senate, amended to read as follows:

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. Subject to the conditions set forth in this act, the amounts listed in this part are appropriated for the department of military and veterans affairs for the fiscal year ending September 30, 2008, from the funds indicated in this part. The following is a summary of the appropriations in this part:

DEPARTMENT OF MILITARY AND VETERANS AFFAIRS

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 7.0

Full-time equated classified positions 1,015.0

GROSS APPROPRIATION $ 129,430,700

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 1,680,900

ADJUSTED GROSS APPROPRIATION $ 127,749,800

Federal revenues:

Total federal revenues 56,187,500

Special revenue funds:

Total local revenues 1,283,900

Total private revenues 1,463,300

Total other state restricted revenues 28,428,600

State general fund/general purpose $ 40,386,500

Sec. 102. HEADQUARTERS AND ARMORIES

Full-time equated unclassified positions 7.0

Full-time equated classified positions 123.0

Headquarters and armories--82.5 FTE positions $ 10,742,500

Unclassified military personnel 665,000

Military appeals tribunal 900

Michigan emergency volunteers 5,000

State active duty 90,100

Challenge program--40.5 FTE positions 4,696,300

Homeland security 1,000,000

Human resources optimization user charge 62,600

Military family relief fund 600,000

GROSS APPROPRIATION $ 17,862,400

Appropriated from:

IDG, challenge grant 260,000

IDG, community health 100,000

IDG, state police 900,000

IDG, human services 420,900

Federal revenues:

DOD-DOA-NGB 5,226,900

Special revenue funds:

Local - school aid fund 1,283,900

Rental fees 350,000

Mackinac Bridge authority 60,000

Private donations 819,700

Military family relief fund 600,000

Private - parent pay revenue 103,600

State general fund/general purpose $ 7,737,400

Sec. 103. MILITARY TRAINING SITES AND SUPPORT FACILITIES

Full-time equated classified positions 200.0

Military training sites and support facilities--200.0 FTE positions $ 24,444,100

Military training sites and support facilities test projects $ 100,000

GROSS APPROPRIATION $ 24,544,100

Appropriated from:

Federal revenues:

DOD-DOA-NGB 20,746,600

Special revenue funds:

Regional training institute fund 1,500,000

Test project fees 100,000

State general fund/general purpose $ 2,197,500

Sec. 104. DEPARTMENTWIDE APPROPRIATIONS

Departmentwide accounts $ 1,660,100

Special maintenance - state 651,200

Special maintenance - federal 5,300,000

Military retirement 3,048,000

Counter narcotic operations 50,000

Starbase grant 957,000

GROSS APPROPRIATION $ 11,666,300

Appropriated from:

Federal revenues:

DOD-DOA-NGB 7,523,100

Federal counter narcotic revenues 50,000

State general fund/general purpose $ 4,093,200

Sec. 105. VETERANS SERVICE ORGANIZATIONS

American legion $ 886,000

Disabled American veterans 732,400

Marine corps league 336,300

American veterans of World War II and Korea 464,800

Veterans of foreign wars 886,000

Michigan paralyzed veterans of America 165,700

Purple heart 157,900

Veterans of World War I 100

Polish legion of American veterans 41,200

Jewish veterans of America 41,200

State of Michigan council - Vietnam veterans of America 159,500

Catholic war veterans 41,200

GROSS APPROPRIATION $ 3,912,300

Appropriated from:

State general fund/general purpose $ 3,912,300

Sec. 106. GRAND RAPIDS VETERANS' HOME

Full-time equated classified positions 517.0

Grand Rapids veterans' home--517.0 FTE positions $ 48,413,800

Board of managers 665,000

GROSS APPROPRIATION $ 49,078,800

Appropriated from:

Federal revenues:

DVA-VHA 15,504,500

HHS, Medicaid 153,500

HHS, Medicare 1,550,900

Special revenue funds:

Private - veterans' home post and posthumous funds 415,000

Income and assessments 14,806,400

Military family relief fund 250,000

Lease revenue 12,200

State general fund/general purpose $ 16,386,300

Sec. 107. D.J. JACOBETTI VETERANS' HOME

Full-time equated classified positions 159.0

D.J. Jacobetti veterans' home--159.0 FTE positions $ 15,599,000

Board of managers $ 275,000

GROSS APPROPRIATION $ 15,874,000

Appropriated from:

Federal revenues:

DVA-VHA 4,479,600

HHS, Medicare 497,600

HHS, Medicaid 10,300

Special revenue funds:

Private - veterans' home post and posthumous funds 125,000

Military family relief fund 150,000

Income and assessments 5,300,100

State general fund/general purpose $ 5,311,400

Sec. 108. VETERANS' AFFAIRS DIRECTORATE

Full-time equated classified positions 16.0

Veterans' affairs directorate administration--3.0 FTE positions $ 336,500

Veterans' trust fund administration--13.0 FTE positions 1,222,300

Veterans' trust fund grants 3,746,500

GROSS APPROPRIATION $ 5,305,300

Appropriated from:

Special revenue funds:

Michigan veterans' trust fund 4,968,800

State general fund/general purpose $ 336,500

Sec. 109. INFORMATION TECHNOLOGY

Information technology services and projects $ 1,187,500

GROSS APPROPRIATION $ 1,187,500

Appropriated from:

Federal revenues:

DOD-DOA-NGB 116,500

DVA-VHA 318,600

HHS, Medicare 9,400

Special revenue funds:

Income and assessments 331,100

State general fund/general purpose $ 411,900

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

GENERAL SECTIONS

Sec. 201. Pursuant to section 30 of article IX of the state constitution of 1963, total state spending from state resources under part 1 for fiscal year 2007-2008 is $68,815,100.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $120,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF MILITARY AND VETERANS AFFAIRS

MILITARY TRAINING SITES AND SUPPORT FACILITIES

Payments in lieu of taxes $ 70,000

MICHIGAN VETERANS' TRUST FUND

County counselor travel expenses $ 50,000

TOTAL $ 120,000

Sec. 202. The appropriations authorized under this act are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. As used in this act:

(a) "Department" means the department of military and veterans affairs.

(b) "Director" means the director of the department of military and veterans affairs.

(d) "DOD-DOA-NGB" means the DOD department of the army, national guard bureau.

(e) "DVA" means the United States department of veterans' affairs.

(f) "DVA-VHA" means the DVA veterans' health administration.

(g) "FTE" means full-time equated.

(h) "HHS" means the United States department of health and human services.

(i) "IDG" means interdepartmental grant.

(2) The state budget director may grant exceptions to this hiring freeze when the state budget director believes that the hiring freeze will result in rendering a state department or agency unable to deliver basic services, causes loss of revenue to the state, would result in the inability of the state to receive federal funds, or would necessitate additional expenditures that exceed any savings from maintaining a vacancy. The state budget director shall report quarterly to the chairpersons of the senate and house of representatives standing committees on appropriations the number of exceptions to the hiring freeze approved during the previous quarter and the reasons to justify the exception.

Sec. 207. Sixty days before beginning any effort to privatize, the department shall submit a complete project plan to the appropriate senate and house of representatives appropriations subcommittees and the senate and house fiscal agencies. The plan shall include the criteria under which the privatization initiative will be evaluated. The evaluation shall be completed and submitted to the appropriate senate and house of representatives appropriations subcommittees and the senate and house fiscal agencies within 30 months.

Sec. 208. Unless otherwise specified, the department shall use the Internet to fulfill the reporting requirements of this act. This requirement may include transmission of reports via electronic mail to the recipients identified for each reporting requirement or it may include placement of reports on an Internet or Intranet site.

Sec. 210. The director of each department receiving appropriations in part 1 shall take all reasonable steps to ensure businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. Each director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 211. The departments and agencies receiving appropriations in part 1 shall receive and retain copies of all reportsfunded from appropriations in part 1. The department shall follow all federal guidelines and state laws regarding short-term and long-term retention of records.

Sec. 212. (1) Of the funds appropriated in part 1 for military training sites and support facilities, there shall be established a Michigan national guard education assistance program. Disbursements to the educational assistance program shall not exceed $1,100,000.00 without legislative approval. Under the program, a member of the national guard who is in active service and who enrolls as a full- or part-time student at a public or private state college or university may be eligible to receive up to an equivalent of 50% of the total cost of tuition not to exceed $2,000.00, as education assistance, in any academic year.

(2) As used in this section, an eligible person means a member of the Michigan national guard who is in active service, as defined in section 105 of the Michigan military act, 1967 PA 150, MCL 32.505. An eligible person does not include a member of the Michigan national guard or air national guard who is absent without leave or who is under charges as described in the Michigan code of military justice of 1980, 1980 PA 523, MCL 32.1001 to 32.1148.

(3) The department of military and veterans affairs, office of the adjutant general shall administer the education assistance program and prescribe forms and procedures to effectively carry out the education assistance program.

(4) An eligible person shall apply to the department of military and veterans affairs, office of the adjutant general for education assistance and shall provide evidence of attendance and completion of the course of study with a grade of at least 2.0 on a 4.0 scale, or its equivalent. The adjutant general shall approve the application for reimbursement if the applicant meets the definition of an eligible person under subsection (2) and other criteria as established by the adjutant general.

(5) The education assistance program applies to any course of instruction that is included in an associate, undergraduate, or postgraduate degree program offered by a college or university of this state.

(6) The education assistance program applies to an eligible person notwithstanding any other educational incentive or benefit received by the eligible person under any other educational assistance program provided by any other state.

(7) An eligible person who successfully completes the course of study with a grade of at least 2.0 on a 4.0 scale, or its equivalent, shall be eligible for reimbursement.

(8) The department of military and veterans affairs may use funds from the appropriated funds to administer the education assistance program.

(9) Reimbursed members who do not complete their national guard obligation shall pay the state for money received from the state for tuition. Members who fail to repay the state within the time limits established by the adjutant general shall be indebted to the state. The department shall work in conjunction with the department of treasury for inclusion in the tax intercept program for amounts due the state.

(10) A portion of the funds for the Michigan national guard education assistance program may be used by the department for the purpose of promoting the program and for encouraging those persons the department wishes to have enlist or reenlist in the Michigan national guard.

Sec. 213. The department shall consult with the house and senate appropriations subcommittees on military and veterans affairs regarding the projected closing or consolidation of any national guard armories.

Sec. 214. It is the intent of the legislature that, should the necessary legislation be enacted and funding become available, funds be appropriated for state military cemeteries in Crawford and Dickinson counties.

Sec. 221. From the funds appropriated in part 1 for information technology, departments and agencies shall pay user fees to the department of information technology for technology-related services and projects. These user fees shall be subject to provisions of an interagency agreement between the departments and agencies and the department of information technology.

Sec. 223. Amounts appropriated in part 1 for information technology may be designated as work projects and carried forward to support technology projects under the direction of the department of information technology. Funds designated in this manner are not available for expenditure until approved as work projects under section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a.

Sec. 225. (1) Due to the current budgetary problems in this state, out-of-state travel for the fiscal year ending September 30, 2008 shall be limited to situations in which 1 or more of the following conditions apply:

(a) The travel is required by legal mandate or court order or for law enforcement purposes.

(b) The travel is necessary to protect the health or safety of Michigan citizens or visitors or to assist other states in similar circumstances.

(c) The travel is necessary to produce budgetary savings or to increase state revenues, including protecting existing federal funds or securing additional federal funds.

(d) The travel is necessary to comply with federal requirements.

(e) The travel is necessary to secure specialized training for staff that is not available within this state.

(f) The travel is financed entirely by federal or nonstate funds.

(3) Not later than January 1 of each year, each department shall prepare a travel report listing all travel by classified and unclassified employees outside this state in the immediately preceding fiscal year that was funded in whole or in part with funds appropriated in the department's budget. The report shall be submitted to the chairs and members of the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget director. The report shall include the following information:

(a) The name of each person receiving reimbursement for travel outside this state or whose travel costs were paid by this state.

(b) The destination of each travel occurrence.

(d) A brief statement of the reason for each travel occurrence.

(f) A total of all out-of-state travel funded for the immediately preceding fiscal year.

Sec. 226. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 227. Sixty days prior to the public announcement of the intention to sell any department property, the department shall submit notification of that intent to the appropriate senate and house appropriations subcommittees and the senate and house fiscal agencies.

Sec. 228. Funds appropriated in part 1 shall not be used by a principal executive department, state agency, or authority to hire a person to provide legal services that are the responsibility of the attorney general. This prohibition does not apply to legal services for bonding activities and for those activities that the attorney general authorizes.

Sec. 229. There is hereby created and established under the jurisdiction and control of the department a revolving account to be known as the regional training institute conference center account. All of the fees and other revenues generated from the operation of the regional training institute conference center shall be deposited in the regional training institute conference center account. Appropriations shall be made from the account for the support of program operations and the maintenance and operations of the regional training institute, the construction and maintenance of morale, welfare, and recreation facilities on Fort Custer or training areas within Michigan, and shall not exceed the estimated revenues for the fiscal year in which they are made, together with unexpended balances from prior years. The department shall submit an annual report of operations and expenditures regarding the regional training institute conference center account to the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget director at the end of the fiscal year.

Sec. 230. The regional training institute conference center shall be available but not limited to the following:

(a) Military personnel.

(b) Federal, state, and local government agencies.

(d) Nonprofit corporations or associations organized pursuant to the nonprofit corporation act, 1982 PA 162, MCL 450.2101 to 450.3192.

(e) Community service clubs.

(f) Groups of persons with disabilities.

(g) Members of the legislature for the purposes related to the business of the legislature.

(h) Entities and organizations that wish to use the conference center to host an event that has a military agenda.

Sec. 231. (1) The department shall report no later than April 1, 2008 on each specific policy change made to implement a public act affecting the department that took effect during the prior calendar year to the house and senate appropriations subcommittees on the budget for the department, the joint committee on administrative rules, and the senate and house fiscal agencies.

(3) As used in this section:

(a) "Rule" means that term as defined under section 7 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207.

(b) "Small business" means that term as defined under section 7a of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207a.

Sec. 232. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $5,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $2,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(4) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $100,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

HEADQUARTERS AND ARMORIES

Sec. 301. The department may charge reasonable rental and equipment usage fees for renting an armory or using the distance learning network. The fee shall include the cost of overtime compensation, insurance coverage, and any maintenance required.

Sec. 302. (1) The funds appropriated in this act for private donations to the challenge program shall be considered state restricted revenue, and unexpended funds remaining at the close of the fiscal year shall not lapse to the general fund but shall be carried forward to the subsequent fiscal year.

(2) The department may charge a parent or guardian of a participant in the challenge program a fee for participating in the program if the participant is a member of a family with an income that exceeds 200% of the federal poverty guidelines as published by the United States department of health and human services. The amount charged the parent or guardian shall not exceed the per-student state share cost of administering the program. The parent or guardian shall be notified of any charge to be assessed under this subsection prior to enrollment of the child in the program.

Sec. 304. The department will partner with the department of human services to identify youth who may be eligible for the challenge program from those youth served by department of human services programs. These eligible youth shall be given priority for enrollment in the program.

VETERANS SERVICE ORGANIZATIONS

Sec. 501. (1) Money appropriated in part 1 for grants to veterans service organizations shall be used only for salaries, wages, related personnel costs, training, and equipment for accredited veteran service advocacy officers and necessary support and managerial staff. Training shall be provided for service advocacy officers and shall be conducted by accredited advocacy officers.

(2) To receive a grant from the money appropriated in part 1, a veterans service organization shall meet the following eligibility requirements:

(a) Be congressionally chartered by the United States congress.

(b) Be an active participating member of the Michigan veterans organizations' rehabilitation and veterans service committee and abide by its rules, guidelines, and programs.

(d) Comply with the department's and the legislature's requirements of accounting audits, service work activity, accounting of recoveries, listing of volunteer hours, budget requests, and other requirements specified in subsection (3).

(e) For a veterans service organization founded after September 30, 1989, be in operation and providing service to Michigan veterans for not less than 2 years before receiving an initial state grant. During this 2-year period of time, the organization shall file a listing of service work activity and an accounting of recoveries with the department, the senate and house fiscal agencies, the senate and house of representatives appropriations subcommittees on military affairs, and the state budget office on forms as prescribed by the department.

(3) A veterans service organization receiving a grant from the money appropriated in part 1 shall file with the department an accounting of its expenditures, audited and certified by a certified public accountant, within 120 days after the organization's fiscal year end. Each organization shall provide a detailed budget request for the fiscal year ending September 30, 2009 to the department by November 15, 2007. Each veterans service organization shall provide 5 copies of a listing of all service activity, an accounting of recoveries, and a listing of volunteer hours for the fiscal year ending September 30, 2007 to the department by January 31, 2008. The listing of volunteer hours shall include the hours, services, and donations provided to residents of the Grand Rapids veterans' home and the D.J. Jacobetti veterans' home. Each veterans service organization shall provide a copy of the most recent and completed internal revenue service form 990 to the department at the end of the fiscal year ending September 30, 2007. A veterans service organization receiving a grant from the money appropriated in part 1 shall use the forms recommended by the Michigan veterans organizations rehabilitation and veterans service committee for filing reports required by this act. The department shall forward information required under this section to the senate and house fiscal agencies, the senate and house of representatives appropriations subcommittees on military affairs, and the state budget office.

(4) The veterans service directors committee and the department shall take steps to improve the coordination of veterans benefits counseling in the state to maximize the effective and efficient use of taxpayer dollars in this goal and to ensure that every veteran is served.

(5) To accomplish the goal of subsection (4), the veterans service directors committee and the department shall take steps to increase their responsibility in the administration, management, oversight, and outreach of the delivery of services to veterans. The veterans service directors committee and the department shall involve county veterans counselors and representatives from the Michigan veterans trust fund to work in concert to identify, implement, and evaluate steps to do all of the following:

(a) Increase the veterans service directors committee and the department's role in working directly with the United States department of veterans' affairs to enhance the delivery of services to Michigan veterans.

(b) Increase the number of initial claims filed with the United States department of veterans' affairs on behalf of veterans for service-connected disability or pension benefits. The veterans service directors committee and the department may work toward either an absolute increase of approved claims or an increase in the percentage of Michigan veterans with approved claims.

(c) Develop methods to increase rates of recovery paid by the United States department of veterans' affairs to Michigan veterans either by an increase in compensation paid per approved claim or increase in compensation paid on a per capita basis.

(d) Expand training opportunities for veterans service organization service officers.

(e) Increase either the number or percentage of Michigan veterans enrolled in the VA health care system.

(f) Publicize the availability, benefit, and value of burial in the Fort Custer and Great Lakes national cemeteries.

(g) Review each grant recipient's performance under the program and require that performance be a major consideration in the future funding of each grant recipient.

(h) Identify areas of redundancy which may exist among services provided by veterans service organizations grantees, Michigan veterans trust fund county committees, and county veterans counselors and provide a proposal on how any redundancies may be minimized and identify specific cost savings which could result.

(6) The veterans service directors committee and the department shall create a report of the efforts to complete the goals outlined in this section and shall provide suggestions on how a more effective and efficient veterans' benefits counseling program may best be designed for implementation for fiscal year 2008-2009. This report shall be delivered to the house and senate appropriations subcommittees no later than March 1, 2008.

VETERANS' HOMES

Sec. 601. Appropriations in this act for the Grand Rapids veterans' home and the D.J. Jacobetti veterans' home shall not be used for any purpose other than for veterans and veterans' families.

Sec. 602. The Grand Rapids veterans' home and the D.J. Jacobetti veterans' home, together with the department and the department of management and budget, shall produce and deliver to the senate and house of representatives appropriations subcommittees on state police and military affairs an annual written report. The report shall include an accounting of member populations and bed space available; a description and accounting of services and activities provided to members; financial information; current state nursing home licensure status; the steps required for Medicaid certification, including a listing of any personnel, equipment, supplies, or budgetary increases required; and whether or not steps are being taken toward Medicaid certification. The annual report shall be submitted to the senate and house of representatives appropriations subcommittees on military affairs no later than February 1, 2008.

Sec. 603. The money appropriated in this act for the boards of managers may be expended for facility improvements, the purchase and repair of equipment and furnishings, member services, and other purposes that benefit the Grand Rapids veterans' home and the D.J. Jacobetti veterans' home.

Sec. 604. The department shall, prior to altering the spending plan by the board of managers of post and posthumous funds, report to the appropriate senate and house appropriations subcommittees 30 days prior to that action and shall indicate the rationale for that decision.

VETERANS' TRUST FUND

Sec. 703. By April 1, 2008, the department shall submit to the senate and house of representatives appropriations subcommittees on military affairs and the state budget office a detailed annual report of the Michigan veterans' trust fund for fiscal year 2006-2007. The report shall include information on grants provided from the emergency grant program, including details concerning the methodology of allocations, the selection of emergency grant program authorized agents, and a detailed breakdown of trust fund expenditures for that year. The report shall also provide an update on the department's efforts to reduce program administrative costs and restore the Michigan veterans' trust fund corpus to its original amount of $50,000,000.00.

Sec. 704. The Michigan veterans affairs directorate administration and the Michigan veterans' trust fund administration shall take steps to assist the county veterans counselors of the state to obtain training necessary for the execution of their duties.

Third: That the Senate and House agree to the title of the bill to read as follows:

Valde Garcia

Tony Stamas

Jim Barcia

Conferees for the Senate

Richard LeBlanc

John Espinoza

Mike Nofs

Conferees for the House

The question being on the adoption of the conference report,

The first conference report was adopted, a majority of the members serving voting therefor, as follows:

Roll Call No.439 Yeas--35

Allen Clarke Jansen Sanborn

Anderson Cropsey Jelinek Schauer

Barcia Garcia Kahn Scott

Birkholz George Kuipers Stamas

Bishop Gilbert McManus Switalski

Brater Gleason Olshove Thomas

Brown Hardiman Pappageorge Van Woerkom

Cherry Hunter Patterson Whitmer

Clark-Coleman Jacobs Richardville

Nays--3

Basham Cassis Prusi

Excused--0

Not Voting--0

In The Chair: Richardville

The question being on concurring in the committee recommendation to give the bill immediate effect,

The recommendation was concurred in, 2/3 of the members serving voting therefor.

Senator Garcia submitted the following:

FIRST CONFERENCE REPORT

The Committee of Conference on the matters of difference between the two Houses concerning

Senate Bill No. 238, entitled

A bill to make appropriations for the department of state police and certain other state purposes for the fiscal year ending September 30, 2008; to provide for the expenditure of those appropriations; to provide for certain reports and the consideration of those reports; to provide for the disposition of other income received by the various state agencies; to provide for certain emergency powers; and to provide for the powers and duties of certain committees, certain state agencies, and certain employees.

Recommends:

First: That the House recede from the Substitute of the House as passed by the House.

Second: That the Senate and House agree to the Substitute of the Senate as passed by the Senate, amended to read as follows:

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. Subject to the conditions set forth in this act, the amounts listed in this part are appropriated for the department of state police for the fiscal year ending September 30, 2008, from the funds indicated in this part. The following is a summary of the appropriations in this part:

DEPARTMENT OF STATE POLICE

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 3.0

Full-time equated classified positions 2,899.0

GROSS APPROPRIATION $ 566,533,600

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 26,143,700

ADJUSTED GROSS APPROPRIATION $ 540,389,900

Federal revenues:

Total federal revenues 146,240,200

Special revenue funds:

Total local revenues 8,739,100

Total private revenues 262,500

Total state restricted revenues 111,318,800

State general fund/general purpose $ 273,829,300

Sec. 102. EXECUTIVE DIRECTION

Full-time equated unclassified positions 3.0

Full-time equated classified positions 39.0

Unclassified positions $ 366,100

Law enforcement resource study 250,000

Executive direction--34.0 FTE positions $ 1,525,400

Special operations and events 2,500,000

Auto theft prevention program--5.0 FTE positions 10,752,200

GROSS APPROPRIATION $ 15,393,700

Appropriated from:

Special revenue funds:

Auto theft prevention fund 10,752,200

Motor carrier fees 450,000

State general fund/general purpose $ 4,191,500

Sec. 103. DEPARTMENTWIDE APPROPRIATIONS

Special maintenance and utilities $ 447,600

Rent and building occupancy charges 9,399,300

Worker's compensation 2,901,000

Fleet leasing 16,184,100

In-service training - law enforcement distribution 450,000

In-service training - competitive 600,000

Narcotics investigation funds 265,000

GROSS APPROPRIATION $ 30,247,000

Appropriated from:

Interdepartmental grant revenues:

IDG, training academy charges 265,400

IDT, Michigan justice training fund 1,050,000

Federal revenues:

Federal narcotics investigation revenues 95,000

DOT 23,600

DHS 163,100

Special revenue funds:

Forensic science reimbursement fee 94,200

Narcotics investigation revenues 170,000

State forensic laboratory fund 94,200

Criminal justice information center service fees 186,600

Secondary road patrol and training fund 6,600

Hazardous materials training center fees 98,400

Michigan justice training fund 13,600

Motor carrier fees 7,000

Highway safety fund 7,500

Traffic law enforcement and safety fund 14,800

State general fund/general purpose $ 27,957,000

Sec. 104. SUPPORT SERVICES

Full-time equated classified positions 213.0

Human resources--25.0 FTE positions $ 2,239,400

Human resources optimization user charges 178,300

Management services--114.0 FTE positions 12,404,900

Training administration--37.0 FTE positions 5,781,500

Communications--12.0 FTE positions 2,730,300

Budget and financial services--25.0 FTE positions 2,265,900

GROSS APPROPRIATION $ 25,600,300

Appropriated from:

Interdepartmental grant revenues:

IDT, auto theft funds 26,900

IDG, training academy charges 3,191,700

IDT, truck safety fund 5,000

IDG-MDOT, state trunkline fund 2,300

IDG-MDTR, casino gaming fees 42,100

IDG-MDTR, emergency telephone fund coordinator 419,900

IDG-MDTR, emergency telephone fund operations $ 476,800

IDG-MDOS 2,000

IDG-MDOC, contract 1,072,800

Federal revenues:

DOT 212,600

Special revenues funds:

Local - LEIN fees 255,500

Local - MPSCS subscriber fees 26,600

Local - school bus revenue 1,300

Highway safety fund 138,700

Auto theft prevention fund 6,700

Nuclear plant emergency planning reimbursement 5,600

Precision driving track fees 287,200

Criminal justice information center service fees 758,600

Traffic law enforcement and safety fund 239,700

Reimbursed services 1,374,500

Forensic science reimbursement fees 36,700

Drunk driving prevention and training fund 1,300

Hazardous materials training center fees 500

Michigan justice training fund 2,300

Narcotics investigation revenues 1,200

Secondary road patrol and training fund 1,700

Truck driver safety fund 1,100

Motor carrier fees 237,300

State general fund/general purpose $ 16,771,700

Sec. 105. HIGHWAY SAFETY PLANNING

Full-time equated classified positions 26.0

State program planning and administration--14.0 FTE positions $ 1,216,600

Secondary road patrol program--2.0 FTE positions 14,029,900

Truck safety program--2.0 FTE positions 3,000,300

Federal highway traffic safety coordination--8.0 FTE positions 10,593,000

GROSS APPROPRIATION $ 28,839,800

Appropriated from:

Federal revenues:

DOT 10,728,500

DOJ 575,600

Special revenue funds:

Truck driver safety fund 3,000,300

Secondary road patrol and training fund 14,029,900

State general fund/general purpose $ 505,500

Sec. 106. CRIMINAL JUSTICE INFORMATION CENTER

Full-time equated classified positions 90.0

Criminal justice information center division--73.0 FTE positions $ 9,200,100

Criminal records improvement--1.0 FTE position 2,240,500

Traffic safety--16.0 FTE positions 2,684,600

GROSS APPROPRIATION $ 14,125,200

Appropriated from:

Interdepartmental grant revenues:

IDG-MDOS 281,700

IDG-MDCH, crime victim's rights fund 475,800

IDG-MDOT, state trunkline fund 871,000

Federal revenues:

DOJ 2,240,500

DOT 1,454,700

Special revenue funds:

Traffic crash revenue 77,200

Sex offender registration fund $ 60,500

Criminal justice information center service fees 8,663,800

State general fund/general purpose $ 0

Sec. 107. FORENSIC SCIENCES

Full-time equated classified positions 220.0

Laboratory operations--180.0 FTE positions $ 18,934,400

DNA analysis program--40.0 FTE positions 7,079,100

GROSS APPROPRIATION $ 26,013,500

Appropriated from:

Interdepartmental grant revenues:

IDG-MDCH, crime victim's rights fund 430,000

Federal revenues:

DOJ 4,054,200

Special revenue funds:

Forensic science reimbursement fees 423,900

State forensic laboratory fund 1,497,000

State general fund/general purpose $ 19,608,400

Sec. 108. MICHIGAN COMMISSION ON LAW ENFORCEMENT STANDARDS

Full-time equated classified positions 28.0

Standards and training--22.0 FTE positions $ 2,204,300

Justice training grants--4.0 FTE positions 7,916,900

Concealed weapons enforcement training 140,000

Training only to local units--2.0 FTE positions 770,300

Mental health awareness training 100,000

Officer's survivor tuition program 48,500

Public safety officers benefit program 150,000

GROSS APPROPRIATION $ 11,330,000

Appropriated from:

Interdepartmental grant revenues:

IDG-MDOC 100,000

Federal revenues:

DOJ 182,600

Special revenue funds:

Secondary road patrol and training fund 770,300

Michigan justice training fund 8,042,700

Licensing fees 5,300

Concealed weapons enforcement fee 140,000

State general fund/general purpose $ 2,089,100

Sec. 109. EMERGENCY MANAGEMENT

Full-time equated classified positions 72.0

Emergency management planning and administration--55.0 FTE positions $ 4,804,500

Grants to local government 2,482,100

FEMA program assistance--3.0 FTE positions 1,027,400

Nuclear power plant emergency planning--6.0 FTE positions 1,513,600

Hazardous materials programs--8.0 FTE positions 102,239,200

GROSS APPROPRIATION $ 112,066,800

Appropriated from:

Federal revenues:

DOT 583,800

DHS 106,317,300

Special revenue funds:

Nuclear plant emergency planning reimbursement 1,513,600

Hazardous materials training center fees 1,503,300

State general fund/general purpose $ 2,148,800

Sec. 110. POST UNIFORM SERVICES

Full-time equated classified positions 1,578.0

Uniform services--422.0 FTE positions $ 46,931,200

Security guards--15.0 FTE positions $ 1,097,000

Reimbursed services 1,709,000

At-post troopers--1,141.0 FTE positions 138,355,100

Calumet post acquisition 450,000

GROSS APPROPRIATION $ 188,542,300

Appropriated from:

Interdepartmental grant revenues:

IDG-MDMB, building occupancy charges 648,400

Special revenue funds:

Highway safety fund 15,451,400

Traffic law enforcement and safety fund 29,303,000

State police service fees 1,709,000

State general fund/general purpose $ 141,430,500

Sec. 111. STATEWIDE FIELD OPERATIONS

Full-time equated classified positions 70.0

Operational support--53.0 FTE positions $ 5,927,600

Traffic services--10.0 FTE positions 3,861,000

Aviation program--7.0 FTE positions 1,453,200

GROSS APPROPRIATION $ 11,241,800

Appropriated from:

Interdepartmental grant revenues:

IDG-MDCH, crime victim's rights fund 121,500

IDG-MDOT, state trunkline fund 365,700

IDG-MDOC, contract 97,500

Federal revenues:

DOT 1,878,900

Special revenue funds:

Private donations 262,500

Rental of department aircraft 51,200

Drunk driving prevention and training fund 1,280,300

State general fund/general purpose $ 7,184,200

Sec. 112. SPECIAL INVESTIGATIONS

Full-time equated classified positions 349.0

Criminal investigations--233.0 FTE positions $ 31,492,700

Federal antidrug initiatives--62.0 FTE positions 9,949,200

Reimbursed services, materials, and equipment 2,641,000

Auto theft prevention--9.0 FTE positions 1,675,000

Casino gaming oversight--32.0 FTE positions 4,404,300

Fire investigation--13.0 FTE positions 1,542,300

Fire investigation training to locals 50,000

GROSS APPROPRIATION $ 51,754,500

Appropriated from:

Interdepartmental grant revenues:

IDT, auto theft funds 1,364,300

IDG-MDTR, casino gaming fees 4,404,300

IDG-MDCH, tobacco tax 610,000

Federal revenues:

Federal investigations - reimbursed services 750,500

DOJ 7,020,600

Federal narcotics investigation revenues 464,100

Special revenue funds:

Local - reimbursed services 1,890,500

Narcotics investigation revenues 668,200

Forfeiture funds 510,500

State general fund/general purpose $ 34,071,500

Sec. 113. MOTOR CARRIER ENFORCEMENT

Full-time equated classified positions 214.0

Motor carrier enforcement--106.0 FTE positions $ 10,449,300

Truck safety enforcement team operations--10.0 FTE positions 1,325,000

Safety inspections--64.0 FTE positions 8,156,200

School bus inspections--16.0 FTE positions 1,395,300

Safety projects--18.0 FTE positions 2,115,900

GROSS APPROPRIATION $ 23,441,700

Appropriated from:

Interdepartmental grant revenues:

IDT, truck safety fund 1,325,000

IDG-MDOT, state trunkline fund 8,235,300

Federal revenues:

DOT 8,640,900

Special revenue funds:

Local school bus revenue 1,395,300

Motor carrier fees 3,845,200

State general fund/general purpose $ 0

Sec. 114. INFORMATION TECHNOLOGY

Information technology services and projects $ 17,931,200

Michigan public safety communications system 10,005,800

GROSS APPROPRIATION $ 27,937,000

Appropriated from:

Interdepartmental grant revenues:

IDG-MDTR, casino gaming fees 85,700

IDG-MDOT, state trunkline fund 90,500

IDG, training academy charges 32,600

IDG-MDOS 47,700

IDG-MDTR, emergency telephone fund coordinator 1,800

Federal revenues:

DOJ 516,600

DHS 263,800

DOT 73,300

Special revenue funds:

Local - LEIN fees 3,582,900

Local - AFIS fees 38,800

Local - MPSCS subscriber fees 1,544,000

Local - school bus revenue 4,200

Auto theft prevention fund 3,800

Criminal justice information center service fees 1,129,300

Drunk driving prevention and training fund 2,900

Forensic science reimbursement fees 1,128,400

Hazardous materials center fees 1,100

Michigan justice training fund 221,200

Narcotics investigation revenue 2,700

Nuclear plant emergency planning reimbursement 4,900

Precision driving track fees 300

Secondary road patrol and training fund 86,800

Sex offender registration fund 208,500

State forensic laboratory fund 347,500

State police service fees 7,500

Truck driver safety fund 2,400

Reimbursed services 8,100

Motor carrier fees 628,600

State general fund/general purpose $ 17,871,100

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

GENERAL SECTIONS

Sec. 201. Pursuant to section 30 of article IX of the state constitution of 1963, total state spending from state resources under part 1 for fiscal year 2007-2008 is $385,148,100.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $20,594,700.00. The itemized statement below identifies appropriations from which spending to units of local government will occur:

DEPARTMENT OF STATE POLICE

OFFICE OF HIGHWAY SAFETY PLANNING

Secondary road patrol program $ 13,889,600

MICHIGAN COMMISSION ON LAW ENFORCEMENT STANDARDS

Training only to local units $ 650,200

Justice training grants 5,528,100

SPECIAL INVESTIGATIONS

Fire investigation training for locals 50,000

SUPPORT SERVICES

Communications $ 476,800

Total $ 20,594,700

Sec. 202. The appropriations authorized under this act are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. As used in this act:

(a) "AFIS" means the automated fingerprint identification system.

(b) "Department" means the department of state police.

(d) "DNA" means deoxyribonucleic acid.

(e) "DOJ" means the United States department of justice.

(f) "DOT" means the United States department of transportation.

(g) "FEMA" means the federal emergency management agency.

(h) "FTE" means full-time equated.

(i) "IDG" means interdepartmental grant.

(j) "IDT" means intradepartmental transfer.

(k) "LEIN" means law enforcement information network.

(l) "MCOLES" means the Michigan commission on law enforcement standards.

(m) "MDCH" means the Michigan department of community health.

(n) "MDMB" means the Michigan department of management and budget.

(o) "MDOC" means the Michigan department of corrections.

(p) "MDOS" means the Michigan department of state.

(q) "MDOT" means the Michigan department of transportation.

(r) "MDTR" means the Michigan department of treasury.

(s) "MPSCS" means the Michigan public safety communications system.

(2) The state budget director may grant exceptions to this hiring freeze when the state budget director believes that the hiring freeze will result in rendering a state department or agency unable to deliver basic services, causes loss of revenue to the state, would result in the inability of the state to receive federal funds, or would necessitate additional expenditures that exceed any savings from maintaining a vacancy. The state budget director shall report quarterly to the chairpersons of the senate and house of representatives standing committees on appropriations the number of exceptions to the hiring freeze approved during the previous quarter and the reasons to justify the exception.

Sec. 207. At least 60 days before beginning any effort to privatize, the department shall submit a complete project plan to the appropriate senate and house of representatives appropriations subcommittees and the senate and house fiscal agencies. The plan shall include the criteria under which the privatization initiative will be evaluated. The evaluation shall be completed and submitted to the appropriate senate and house of representatives appropriations subcommittees and the senate and house fiscal agencies within 30 months.

Sec. 208. Unless otherwise specified, the department shall use the Internet to fulfill the reporting requirements of this act. This requirement may include transmission of reports via electronic mail to the recipients identified for each reporting requirement or it may include placement of reports on an Internet or Intranet site.

Sec. 210. The director of each department receiving appropriations in part 1 shall take all reasonable steps to ensure businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both, for the department. The director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services or supplies, or both.

Sec. 211. It is the intent of the legislature that personnel of the department who request and are eligible for reimbursement of expenses related to the operation of the department be reimbursed from the appropriations provided in this act within 30 days after submitting a request, or the eligible personnel shall be paid an additional amount equal to 0.75% of the payment due. The department shall pay an additional amount equal to 0.75% of the payment due for the first month and each succeeding month or portion of a month the payment remains past due.

Sec. 213. (1) It is the intent of the legislature that the department shall not provide any subsidy for contractual services it provides.

(2) When the department provides contractual services to a local unit of government, the department shall be reimbursed for all costs incurred in providing the services, including, but not limited to, retirement and overtime costs.

(3) Contractual services provided to an entity other than a local unit of government may be provided by department personnel, but only on an overtime basis outside the normal work schedule of the personnel.

(4) This section does not apply to state agencies.

Sec. 214. The departments and agencies receiving appropriations in part 1 shall receive and retain copies of all reports funded from appropriations in part 1. The department shall follow all federal guidelines and state laws regarding short-term and long-term retention of records.

Sec. 215. Not later than January 1, 2008, the department shall report to the state police appropriations subcommittees of the house and senate and the house and senate fiscal agencies. The report shall contain the following information regarding the department's activities related to casino gaming oversight during fiscal year 2006-2007:

(a) The amount of money received and expended.

(b) The nature and structure of the casino gaming oversight unit.

(d) The number of full-time and part-time employees and the aggregate number of FTEs.

(e) The number of enlisted and civilian positions.

(f) The duties and responsibilities of the assigned employees.

(g) The immediate past position of the enlisted employees assigned.

Sec. 216. The department shall collect and computerize the vehicle identification number (VIN) of all vehicles that are entered into the state accident data collection system and make this and other vehicle information available to the public at cost. For bulk access to the accident records in which the VIN has been collected and computerized, the department shall make those records available to the public at cost, provided that the name and address have been excluded.

Sec. 217. From the funds appropriated in part 1, the department shall maintain a toll-free hotline in collaboration with the department of education. The toll-free hotline shall be operated 24 hours per day, 7 days per week, and shall provide students, school officials, and other individuals an opportunity to report specific threats of imminent school violence or other suspicious or criminal conduct by juveniles to the appropriate local law enforcement entities for investigation. The department may expend funds for the promotion of the hotline.

Sec. 218. (1) Funds appropriated in part 1 for at-post troopers shall only be expended for trooper salaries, wages, benefits, retirement, equipment, supplies, and other expenses directly related to state troopers assigned to general law enforcement duties at a department post, detachment, satellite office, or a resident trooper function.

(2) It is the intent of the legislature that every effort be made to identify funding sufficient to conduct a trooper school for the purpose of working toward the goal of establishing a minimum at-post trooper strength of 1,075 in this state.

(3) The department shall submit quarterly written reports to the senate and house appropriations subcommittees on state police and military and veterans affairs no later than December 1, 2007, March 1, 2008, June 1, 2008, and September1, 2008 which shall include a trooper strength report and the status of the department's plan for accomplishing the goal of subsection (2). If the department determines that insufficient appropriations exist under part 1 to accomplish the goal of subsection (2), the department shall submit a proposal outlining a plan to accomplish the goal, including an accountingof any additional funding necessary to that end.

Sec. 219. The department of state police shall notify the house and senate appropriations subcommittees on state police and military and veterans affairs and the house and senate fiscal agencies not less than 180 days before recommending to close or consolidate any state police posts. The notification shall include a local and state impact study of the proposed post closure or consolidation.

Sec. 220. (1) The department of state police, in keeping with its role as the general law enforcement agency of the state and as the law enforcement agency of last resort for communities that are either without local law enforcement resources or are seriously underserved by local law enforcement resources, shall provide general law enforcement assistance to those communities until adequate law enforcement services can be provided to those communities by other means.

(2) Not later than May 1, 2008, the department shall deliver to the house and senate appropriations subcommittees on state police and military and veterans affairs and the house and senate fiscal agencies a report on the additional costs incurred by the department in each locality for providing the services described in subsection (1) during the first 6months of the fiscal year 2007-2008.

Sec. 221. The department of state police may pursue entering into an agreement with Calhoun County to build a new facility in Marshall which would serve as a new state police post to replace the current state police post in Battle Creek.

Sec. 223. (1) Due to the current budgetary problems in this state, out-of-state travel for the fiscal year ending September 30, 2008 shall be limited to situations in which 1 or more of the following conditions apply:

(a) The travel is required by legal mandate or court order or for law enforcement purposes.

(b) The travel is necessary to protect the health or safety of Michigan citizens or visitors or to assist other states in similar circumstances.

(c) The travel is necessary to produce budgetary savings or to increase state revenues, including protecting existing federal funds or securing additional federal funds.

(d) The travel is necessary to comply with federal requirements.

(e) The travel is necessary to secure specialized training for staff that is not available within this state.

(f) The travel is financed entirely by federal or nonstate funds.

(3) Not later than January 1 of each year, each department shall prepare a travel report listing all travel by classified and unclassified employees outside this state in the immediately preceding fiscal year that was funded in whole or in part with funds appropriated in the department's budget. The report shall be submitted to the chairs and members of the senate and house of representatives standing committees on appropriations, the fiscal agencies, and the state budget director. The report shall include the following information:

(a) The name of each person receiving reimbursement for travel outside this state or whose travel costs were paid by this state.

(b) The destination of each travel occurrence.

(d) A brief statement of the reason for each travel occurrence.

(f) A total of all out-of-state travel funded for the immediately preceding fiscal year.

Sec. 224. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 225. It is the intent of the legislature that the administration, working with the MCOLES, continue the long-held practice that all revenue made available to the department from the Michigan justice training fund be used solely for costs directly related to the delivery of Michigan justice training fund grants, so that in the future, eligible entities as provided under 1982 PA 302, MCL 18.421 to 18.429, will have a stable and accurate source of training funds.

Sec. 226. The department of state police, in cooperation with the department of information technology and others, shall take steps to encourage the development of state, local, and regional tactical interoperable communication plans withthe ultimate goal being to ensure that effective and efficient communication interoperability between radio communication systems of local, regional, state, and federal agencies is established in every area of the state. The department shall provide a written report to the senate and house appropriations subcommittees on state police and military and veterans affairs no later than April 1, 2008 on the current status of reaching this objective. The report shall include an accounting of exactly where within the state desired interoperability has been achieved and what cooperative measures and use of technology were used to achieve this interoperability, and which areas of the state have not yet achieved such status. The report shall also include a description of what strategies need to be employed to ensure that the remaining areas of the state, and the state as a whole, will have a communication system with efficient and effective interoperability, particularly on occasions when a multijurisdictional response to an emergency is warranted.

Sec. 227. (1) From the funds appropriated in part 1, the department of state police is prohibited from transporting employees of institutions of higher education on state-owned aircraft.

(2) From the funds appropriated in part 1, the department is prohibited from transporting legislators or legislative staff on state-owned aircraft without prior approval from the senate majority leader or the speaker of the house of representatives, or both.

(3) From the funds appropriated in part 1, the department is prohibited from transporting local government employees on state-owned aircraft.

(4) It is the intent of the legislature that state elected officials use commercial or other private air service, unless air travel on state-owned aircraft is part of official state business.

(5) This section shall not apply to transportation that is related to law enforcement or homeland security activities.

Sec. 230. The unexpended and unencumbered balance of the appropriation for the department contained in 2006 PA 345 shall be used toward the payment of $400,000.00 to the Michigan state police troopers association. The funds shall be available for appropriation in the fiscal year ending September 30, 2008.

Sec. 232. The department shall place emphasis on recruiting MCOLES certified police officers for the trooper recruit school. Emphasis shall be given in the hiring process to those officers who are on layoff and possess valid MCOLES certification. Any emphasis given in the recruiting and selection process shall be consistent with the department's hiring standards and in accordance with civil service rules. The department shall report to the chairpersons of the senate and house of representatives standing committees on appropriations the results of its recruitment and selection process, including the actual number of certified officers selected for any recruit school that is held by September 30, 2008.

Sec. 233. The appropriation in part 1 for a law enforcement resource study shall be used to contract with a nationally recognized law enforcement research entity to prepare a study that examines the law enforcement needs of each state police district of this state. The study shall provide information concerning the police patrol and response needs within each state police district of this state, baseline coverage recommendations, and information concerning what would be required in terms of personnel and resources to meet the recommendations. The study shall include an inventory of all levels of existing police resources for a given area and how those resources could most efficiently be allocated to achieve the recommendations, along with the amount of any additional resources that may be needed.

Sec. 234. Funds appropriated in part 1 shall not be used by a principal executive department, state agency, or authority to hire a person to provide legal services that are the responsibility of the attorney general. This prohibition does not apply to legal services for bonding activities and for those activities that the attorney general authorizes.

Sec. 235. (1) If a spending plan for the funds appropriated in part 1 for special operations and events, or sources of financing related to the spending plan, do not provide the level of program service provided for in the current fiscal year, the funds appropriated in part 1 for post uniform services or forensic sciences shall not be used to fund the shortfall.

(2) If a spending plan for the funds appropriated in part 1 for special operations and events, or sources of financing related to the spending plan, are in excess of that necessary to provide the level of program service provided for in the current fiscal year, the department shall take steps to transfer whatever excess funding may exist to the funds appropriated in part 1 for post uniform services and forensic sciences.

Sec. 236. (1) The department shall report no later than April 1, 2008 on each specific policy change made to implement a public act affecting the department that took effect during the prior calendar year to the house and senate appropriations subcommittees on the budget for the department, the joint committee on administrative rules, and the senate and house fiscal agencies.

(3) As used in this section:

(a) "Rule" means that term as defined under section 7 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207.

(b) "Small business" means that term as defined under section 7a of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207a.

Sec. 237. From the funds appropriated in part 1, the department shall maintain, for the full 2007-08 fiscal year, either the operation of each Michigan state police post which was in operation as of April 2, 2007, or an alternative work station in the vicinity of a current Michigan state police post.

Sec. 238. The department of management and budget shall work with the department of state police to reduce building operations and leasing costs for all Michigan state police facilities and to identify efficiencies and savings.

Sec. 239. It is the intent of the legislature that, should funding become available, funds may be appropriated to the department for traffic control purposes at the Michigan international speedway.

Sec. 240. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $5,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

INFORMATION TECHNOLOGY

Sec. 301. The money appropriated in part 1 for computer services shall be funded by LEIN user fees sufficient to pay 1/3 of the service and contract maintenance costs of the LEIN system.

Sec. 302. From the funds appropriated in part 1 for information technology, departments and agencies shall pay user fees to the department of information technology for technology-related services and projects. These user fees shall be subject to provisions of an interagency agreement between the department and the department of information technology.

Sec. 303. Amounts appropriated in part 1 for information technology may be designated as work projects and carried forward to support technology projects under the direction of the department of information technology. Funds designated in this manner are not available for expenditure until approved as work projects under section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a.

Sec. 304. A portion of the funds appropriated in part 1 shall be used by the department to produce a written report detailing departmental policies regarding access to and use of information from the LEIN system. The report shall include a description of departmental measures to protect the security of information in the LEIN system including safeguards that would prevent unauthorized persons from obtaining information from the LEIN system. The department shall submit a copy of this report to the senate and house appropriations committees not later than April 1, 2008.

Sec. 305. The criminal justice information systems policy council shall encourage members of the law enforcement agencies in the state to be sensitive to, and note when necessary, activities or circumstances that may suggest the unauthorized access or misuse of information from the LEIN system. The criminal justice information systems policy council shall advise LEIN auditors, as a part of their audit of law enforcement agencies, to investigate in depth all suspected incidents of improper access or improper use of information from the LEIN system and determine whether or not those incidents were illegal. In those incidents that may be determined to be illegal, the executive secretary for the council shall determine whether those incidents were of a negligent or criminal nature. If an incident is determined to be an illegal act, the council shall inform the chairs of both the senate and house appropriations committees.

Sec. 306. (1) The department of state police, working with the criminal justice information systems policy council, shall implement procedures by which all probation information is placed on the LEIN system. The LEIN system shall include information on each probationer, including any probation conditions placed on a probationer and the name of the probation officer assigned to a probationer. The LEIN system shall also include any nonstandard probation terms.

(2) If the department determines that amendments to the code of criminal procedure, 1927 PA 175, MCL 760.1 to 777.69, are required to include all probation information on the LEIN system, the department shall deliver to members of the senate and house appropriations subcommittees on state police and military affairs amendments to the code of criminal procedure, 1927 PA 175, MCL 760.1 to 777.69, that, in the department's view, are necessary to accomplish this goal. These proposed amendments shall be delivered to subcommittee members not later than December 1, 2007.

Sec. 307. The department of state police shall serve as an active liaison between the department of information technology and local public safety agencies to facilitate the use of the Michigan public safety communications system towers by those local public safety agencies that have an interest in using the towers as a part of their own communications system. The department of state police shall deliver a written report to the senate and house appropriations subcommittees on state police and military and veterans affairs by April 1, 2008, which shall include an assessment of the progress toward establishing local public safety agency use of the Michigan public safety communications system towers, an accounting of problems that may be preventing local use of the towers, and any recommendations the department has that may foster this utilization.

Sec. 308. The department of state police shall report any LEIN fee increase to the senate and house appropriations subcommittees on state police and military and veterans affairs 60 days prior to the effective date of that increase. The report shall contain the following information: the current fee structure and the total revenue earned each year; the new fee structure and the total revenue it is expected to earn annually; the total annual cost of the LEIN system; and the total amount of LEIN fees paid by the department under both the old and the new structure.

Sec. 309. From the funds appropriated in part 1 for information technology, the department may develop and issue a request for proposal for the development, implementation, and maintenance of an electronic system, authorized by the national law enforcement telecommunications system, for real-time enforcement of section 3101 of the insurance code of 1956, 1956 PA 218, MCL 500.3101.

Sec. 310. The appropriation in part 1 for information technology includes efficiencies taken totaling a minimum of $609,000 in general funds from the governor's original fiscal year 2007-2008 executive recommendation without resulting in a reduction in the quality or amount of information technology applications performed for the department of state police. It is the intent of the legislature that the department of information technology continue to work toward finding ways to reduce costs and identify additional efficiencies for the department while still providing the department with the level of information technology services it needs.

HIGHWAY SAFETY PLANNING

Sec. 401. On a quarterly basis, the department shall report to the senate and house appropriations subcommittees on state police and military affairs on the status of assessments collected and authorized under section 629e of the Michigan vehicle code, 1949 PA 300, MCL 257.629e, for the purposes of supporting the secondary road patrol grant program. Each quarterly report shall contain updated information on collection levels, revised projected grant allotments to counties for the year, a comparison of projected collections and grant distribution levels with the funds appropriated in part 1 for the secondary road patrol program, and the extent collection levels have exceeded or failed to meet appropriated levels for the current fiscal year or expenditure levels from the previous fiscal year.

FORENSIC SCIENCES

Sec. 501. (1) The department shall distribute a copy of the department's protocol for retaining and purging DNA analysis samples and records to each police agency in this state.

(2) The department shall report to the house and senate appropriations subcommittees on state police and military and veterans affairs and the house and senate fiscal agencies when any changes to the department's DNA protocol are made.

Sec. 502. The department shall work with the department of community health, the Michigan health and hospital association, the Michigan state medical society, and the Michigan nurses association to ensure that the recommendations included in the "Standard Recommended Procedures for the Emergency Treatment of Sexual Assault Victims" are followed in the collection of evidence.

MICHIGAN COMMISSION ON LAW ENFORCEMENT STANDARDS

Sec. 601. The money appropriated to the MCOLES for maintenance and delivery of training to locals is provided in accordance with a state reimbursement policy in which 100% of the determined state reimbursement rate shall be distributed upon certification by the MCOLES.

Sec. 602. From the appropriations in part 1 for the training of new state troopers and other new police officers in the state and for the continuing education of all law enforcement officers in the state, sufficient funds shall be used to include curricula on the content and application of federal firearms laws, including the procedures necessary for law enforcement to turn appropriate cases over to the federal bureau of alcohol, tobacco, and firearms or any other applicable federal criminal justice agency.

Sec. 603. The appropriation in part 1 for mental health awareness training shall be made available as grants to local law enforcement agencies for training law enforcement officers in effective and safe ways of assisting people with mental illness and directing people with mental illness to treatment programs.

Sec. 604. From the funds appropriated in part 1 to the Michigan commission on law enforcement standards funds may be used to provide training for motor carrier officers and capitol security officers for the purpose of qualifying them for MCOLES certification.

EMERGENCY MANAGEMENT

Sec. 801. (1) The state director of emergency management may expend money appropriated under this act to call upon any agency or department of the state or any resource of the state to protect life or property or to provide for the health or safety of the population in any area of the state in which the governor proclaims a state of emergency or state of disaster under 1945 PA 302, MCL 10.31 to 10.33, or under the emergency management act, 1976 PA 390, MCL 30.401 to 30.421. The state director of emergency management may expend the amounts the director considers necessary to accomplish these purposes. The director shall submit to the state budget director as soon as possible a complete report of all actions taken under the authority of this section. The report shall contain, as a separate item, a statement of all money expended that is not reimbursable from federal money. The state budget director shall review the expenditures and submit recommendations to the legislature in regard to any possible need for a supplemental appropriation.

(2) In addition to the money appropriated in this act, the department may receive and expend money from local, private, federal, or state sources for the purpose of providing emergency management training to local or private interests and for the purpose of supporting emergency preparedness, response, recovery, and mitigation activity. If additional expenditure authorization in the Michigan administrative information network is approved by the state budget office under this section, the department and the state budget office shall notify the house and senate appropriations subcommittees on state police and military and veterans affairs and the house and senate fiscal agencies within 10 days after the approval. The notification shall include the amount and source of the additional authorization, the date of its approval, and the projected use of funds to be expended under the authorization.

Sec. 803. The department's emergency management division shall make every effort to ensure both of the following:

(a) That homeland security grants offered by the federal government and channeled through the department are allocated to first responder entities in the highest percentage possible.

(b) That homeland security grants awarded to the city of Detroit shall not be used to supplant city general funds designated to support first responder operations.

POST UNIFORM SERVICES

Sec. 901. State police enlisted personnel who are employed to enforce traffic laws as provided in section 629e of the Michigan vehicle code, 1949 PA 300, MCL 257.629e, shall not be prohibited from responding to crimes in progress or other emergency situations, and are responsible for protecting every citizen of this state from harm.

STATEWIDE FIELD OPERATIONS

Sec. 1002. Money privately donated to the department is appropriated under part 1 to be used for the purposes designated by the donor of the money. Money privately donated to the department's canine unit shall be used to purchase equipment and other items to enhance the operation of the canine unit. It is the intent of the legislature that money from private donations not supplant general fund appropriations.

SPECIAL INVESTIGATIONS

Sec. 1101. (1) There is sufficient money appropriated in part 1 to special investigations to ensure that the citizens in a service area of any state police post in the vicinity of a state prison do not experience a downgrading of state police services in their area. Special investigations shall be available by temporary or permanent assignment of a detective when either a temporary or permanent prison facility is opened.

(2) If the department is unable to comply with subsection (1) and there is a prison scheduled to open, the department shall provide troopers to serve as investigators on an interim basis.

Sec. 1102. From the funds appropriated in part 1 for special investigations, the department shall provide a report to the chairpersons of the senate and house of representatives standing committees on appropriations no later than April 1, 2008 concerning methamphetamine-related criminal activities.

MOTOR CARRIER ENFORCEMENT

Sec. 1201. (1) The department shall report to the house and senate appropriations subcommittees on state police and the house and senate fiscal agencies by March 1, 2008 regarding the inspection of school buses and other motor vehicles under section 715a of the Michigan vehicle code, 1949 PA 300, MCL 257.715a, and section 39 of the pupil transportation act, 1990 PA 187, MCL 257.1839. The report shall include the following information regarding inspections conducted in calendar year 2007:

(a) The number of buses and vehicles inspected by the department.

(b) The number of buses and vehicles passing and failing inspection.

(2) If each school bus within a school system receives a 100% successful state inspection on its first inspection in a given year, the department shall award a certificate to that school system.

Third: That the Senate and House agree to the title of the bill to read as follows:

Valde Garcia

Tony Stamas

Jim Barcia

Conferees for the Senate

Richard LeBlanc

John Espinoza

Mike Nofs

Conferees for the House

The question being on the adoption of the conference report,

The first conference report was adopted, a majority of the members serving voting therefor, as follows:

Roll Call No.440 Yeas--36

Allen Clark-Coleman Jacobs Richardville

Anderson Clarke Jansen Sanborn

Barcia Cropsey Jelinek Schauer

Basham Garcia Kahn Scott

Birkholz George Kuipers Stamas

Bishop Gilbert McManus Switalski

Brater Gleason Olshove Thomas

Brown Hardiman Pappageorge Van Woerkom

Cherry Hunter Patterson Whitmer

Nays--2

Cassis Prusi

Excused--0

Not Voting--0

In The Chair: Richardville

The question being on concurring in the committee recommendation to give the bill immediate effect,

The recommendation was concurred in, 2/3 of the members serving voting therefor.

Committee Reports

The Committee on Agriculture reported

Senate Bill No.682, entitled

A bill to amend 1994 PA 451, entitled "Natural resources and environmental protection act," by amending sections1301, 8302, 8303, 8310, 8317, 8325, and 8715 (MCL 324.1301, 324.8302, 324.8303, 324.8310, 324.8317, 324.8325, and 324.8715), section 1301 as amended by 2004 PA 381, section 8302 as amended by 2002 PA 418, section 8303 as amended by 2004 PA 24, section 8310 as amended by 2004 PA 325, section 8317 as amended by 2003 PA 82, and section8715 as amended by 2000 PA 100, and by adding section 8310a.

With the recommendation that the substitute (S-1) be adopted and that the bill then pass.

The committee further recommends that the bill be given immediate effect.

Gerald Van Woerkom

Chairperson

To Report Out:

Yeas: Senators Van Woerkom, Gilbert, Birkholz, Gleason and Whitmer

Nays: None

The bill and the substitute recommended by the committee were referred to the Committee of the Whole.

COMMITTEE ATTENDANCE REPORT

The Committee on Agriculture submitted the following:

Meeting held on Thursday, October 25, 2007, at 9:00a.m., Room 110, Farnum Building

Present: Senators Van Woerkom (C), Gilbert, Birkholz, Gleason and Whitmer

COMMITTEE ATTENDANCE REPORT

The Senate Fiscal Agency Board of Governors submitted the following:

Meeting held on Wednesday, October 24, 2007, at 9:15a.m., Room S-101, Capitol Building

Present: Senators Bishop (C), Jelinek, Pappageorge and Switalski

Excused: Senator Schauer

COMMITTEE ATTENDANCE REPORT

The Conference Committee on History, Arts, and Libraries (SB 231) submitted the following:

Meeting held on Thursday, October 25, 2007, at 9:30a.m., Room 405, Capitol Building

Present: Senators George (C) and Clark-Coleman

Excused: Senator McManus

COMMITTEE ATTENDANCE REPORT

The Conference Committee on Corrections (HB 4348) submitted the following:

Meeting held on Thursday, October 25, 2007, at 11:30a.m., Room 426, Capitol Building

Present: Senators Kahn and Brater

Excused: Senator Cropsey

COMMITTEE ATTENDANCE REPORT

The Conference Committee on Agriculture (SB 222) submitted the following:

Meeting held on Monday, October 29, 2007, at 11:30a.m., Room 110, Farnum Building

Present: Senators Brown (C), Jelinek and Scott

COMMITTEE ATTENDANCE REPORT

The Conference Committee on Corrections (HB 4348) submitted the following:

Meeting held on Monday, October 29, 2007, at 12:30p.m., Room 426, Capitol Building

Present: Senators Cropsey, Kahn and Brater

Scheduled Meetings

Banking and Financial Institutions - Wednesday, October 31, 9:00a.m., Room 210, Farnum Building (373-3543)

Conference Committees -

Education (HB 4346) - Monday, October 29, 8:00p.m., Room 426, Capitol Building (373-8080)

General Government (SB 229) - Tuesday, October 30, 9:30a.m., Senate Appropriations Room, 3rd Floor, CapitolBuilding (373-2768)

Human Services (SB 232) - Tuesday, October 30, 9:00a.m., Room 405, Capitol Building (373-2768)

School Aid (K12) (HB 4359) - Monday, October 29, 8:30p.m., Room 426, Capitol Building (373-8080)

Transportation (SB 240) - Tuesday, October 30, 9:30a.m., Room 405, Capitol Building (373-2768)

Economic Development and Regulatory Reform - Wednesday, October 31, 1:00p.m., Rooms 402 and 403, CapitolBuilding (373-7670)

Natural Resources and Environmental Affairs - Wednesday, October 31, 1:00p.m., Room 110, Farnum Building (373-3447)

Senator Cropsey moved that the Senate adjourn.

The motion prevailed, the time being 2:48p.m.

The President pro tempore, Senator Richardville, declared the Senate adjourned until Tuesday, October 30, 2007, at 10:00a.m.

CAROL MOREY VIVENTI

Secretary of the Senate