HB-4979, As Passed House, July 19, 2007

SUBSTITUTE FOR

HOUSE BILL NO. 4979

A bill to amend 1951 PA 51, entitled

"An act to provide for the classification of all public roads,

streets, and highways in this state, and for the revision of that

classification and for additions to and deletions from each

classification; to set up and establish the Michigan transportation

fund; to provide for the deposits in the Michigan transportation

fund of specific taxes on motor vehicles and motor vehicle fuels;

to provide for the allocation of funds from the Michigan

transportation fund and the use and administration of the fund for

transportation purposes; to set up and establish the truck safety

fund; to provide for the allocation of funds from the truck safety

fund and administration of the fund for truck safety purposes; to

set up and establish the Michigan truck safety commission; to

establish certain standards for road contracts for certain

businesses; to provide for the continuing review of transportation

needs within the state; to authorize the state transportation

commission, counties, cities, and villages to borrow money, issue

bonds, and make pledges of funds for transportation purposes; to

authorize counties to advance funds for the payment of deficiencies

necessary for the payment of bonds issued under this act; to

provide for the limitations, payment, retirement, and security of

the bonds and pledges; to provide for appropriations and tax levies

by counties and townships for county roads; to authorize

contributions by townships for county roads; to provide for the

establishment and administration of the state trunk line fund,

local bridge fund, comprehensive transportation fund, and certain

other funds; to provide for the deposits in the state trunk line

fund, critical bridge fund, comprehensive transportation fund, and

certain other funds of money raised by specific taxes and fees; to

provide for definitions of public transportation functions and

criteria; to define the purposes for which Michigan transportation

funds may be allocated; to provide for Michigan transportation fund

grants; to provide for review and approval of transportation

programs; to provide for submission of annual legislative requests

and reports; to provide for the establishment and functions of

certain advisory entities; to provide for conditions for grants; to

provide for the issuance of bonds and notes for transportation

purposes; to provide for the powers and duties of certain state and

local agencies and officials; to provide for the making of loans

for transportation purposes by the state transportation department

and for the receipt and repayment by local units and agencies of

those loans from certain specified sources; and to repeal acts and

parts of acts,"

by amending sections 1g and 9a (MCL 247.651g and 247.659a), section

1g as added by 1997 PA 79 and section 9a as amended by 2002 PA 499.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

Sec. 1g. The ~~department~~ transportation asset management

council, in conjunction with the department, counties, and

municipalities, shall develop and implement a pavement management

system for each mile of roadway on the ~~national~~ federal-aid

eligible highway system in Michigan. This pavement management

system shall attempt to ensure that a disproportionate share of

pavement shall not become due for replacement or major repair at

the same time. The transportation asset management council shall

provide local road agencies with the training needed to utilize the

pavement management system in accordance with this section.

Sec. 9a. (1) As used in this section:

(a) "Asset management" means an ongoing process of

maintaining, upgrading, and operating physical assets cost-

effectively, based on a continuous physical inventory and condition

assessment.

(b) "Bridge" means a structure including supports erected over

a depression or an obstruction, such as water, a highway, or a

railway, for the purposes of carrying traffic or other moving

loads, and having an opening measuring along the center of the

roadway of more than 20 feet between undercopings of abutments or

spring lines of arches, or extreme ends of openings for multiple

boxes where the clear distance between openings is less than 1/2 of

the smaller contiguous opening.

chosen by the council where the data collected is stored and

maintained.

(d) "Council" means the transportation asset management

council created by this section.

(e) "County road commission" means the board of county road

commissioners elected or appointed pursuant to section 6 of chapter

IV of 1909 PA 283, MCL 224.6, or, in the case of a charter county

with a population of 2,000,000 or more with an elected county

executive that does not have a board of county road commissioners,

the county executive for ministerial functions and the county

commission provided for in section 14(1)(d) of 1966 PA 293, MCL

45.514, for legislative functions.

(f) "Department" means the state transportation department.

(g) "Federal-aid eligible" means any public road or bridge

that is eligible for federal aid to be spent for the construction,

repair, or maintenance of that road or bridge.

(h) "Local road agency" means a county road commission or

designated county road agency or city or village that is

responsible for the construction or maintenance of public roads

within the state under this act.

(i) "Multiyear program" means a compilation of road and bridge

projects anticipated to be contracted for by the department or a

local road agency during a 3-year period. The multiyear program

shall include a listing of each project to be funded in whole or in

part with state or federal funds.

(j) "State planning and development regions" means those

agencies required by section 134(b) of title 23 of the United

States Code, 23 ~~U.S.C.~~ USC 134, and those agencies established by

Executive Directive 1968-1.

(2) In order to provide a coordinated, unified effort by the

various roadway agencies within the state, the transportation asset

management council is hereby created within the state

transportation commission and is charged with advising the

commission on a statewide asset management strategy and the

processes and necessary tools needed to implement such a strategy

beginning with the federal-aid eligible highway system, and once

completed, continuing on with the county road and municipal

systems, in a cost-effective, efficient manner. Nothing in this

section shall prohibit a local road agency from using an asset

management process on its non-federal-aid eligible system. The

council shall consist of 10 voting members appointed by the state

transportation commission. The council shall include 2 members from

the county road association of Michigan, 2 members from the

Michigan municipal league, 2 members from the state planning and

development regions, 1 member from the Michigan townships

association, 1 member from the Michigan association of counties,

and 2 members from the department. Nonvoting members shall include

1 person from the agency or office selected as the location for

central data storage. Each agency with voting rights shall submit a

list of 2 nominees to the state transportation commission from

which the appointments shall be made. The Michigan townships

association shall submit 1 name, and the Michigan association of

counties shall submit 1 name. Names shall be submitted within 30

days after the effective date of the 2002 amendatory act that

amended this section. The state transportation commission shall

make the appointments within 30 days after receipt of the lists.

(3) The positions for the department shall be permanent. The

position of the central data storage agency shall be nonvoting and

shall be for as long as the agency continues to serve as the data

storage repository. The member from the Michigan association of

counties shall be initially appointed for 2 years. The member from

the Michigan townships association shall be initially appointed for

3 years. Of the members first appointed from the county road

association of Michigan, the Michigan municipal league, and the

state planning and development regions, 1 member of each group

shall be appointed for 2 years and 1 member of each group shall be

appointed for 3 years. At the end of the initial appointment, all

terms shall be for 3 years. The chairperson shall be selected from

among the voting members of the council.

(4) The department shall provide qualified administrative

staff and the state planning and development regions shall provide

qualified technical assistance to the council.

(5) The council shall develop and present to the state

transportation commission for approval within 90 days after the

date of the first meeting such procedures and requirements as are

necessary for the administration of the asset management process.

This shall, at a minimum, include the areas of training, data

storage and collection, reporting, development of a multiyear

program, budgeting and funding, and other issues related to asset

management that may arise from time to time. All quality control

standards and protocols shall, at a minimum, be consistent with any

existing federal requirements and regulations and existing

government accounting standards.

(6) The council may appoint a technical advisory panel whose

members shall be representatives from the transportation

construction associations and related transportation road

interests. The asset management council shall select members to the

technical advisory panel from names submitted by the transportation

construction associations and related transportation road

interests. The technical advisory panel members shall be appointed

for 3 years. The asset management council shall determine the

research issues and assign projects to the technical advisory panel

to assist in the development of statewide policies. The technical

advisory panel's recommendations shall be advisory only and not

binding on the asset management council.

(7) ~~Beginning October 1, 2003, the~~ The department, each county

road commission, and each city and village of this state shall

annually ~~prepare and publish~~ submit a report to the transportation

asset management council. This report shall include a multiyear

program ~~, based on long-range plans, and~~ developed through ~~the use~~

of the asset management process described in this section. Projects

contained in ~~each local road agency's annual multiyear program~~

~~shall be consistent with the goals and objectives of the local road~~

~~agency's long-range plan. A project, funded in whole or part, with~~

~~state or federal funds, shall be included in any local road~~

~~agency's multiyear plan~~ the department's annual multiyear program

shall be consistent with the department's asset management process

and shall be reported consistent with categories established by the

transportation asset management council. Projects contained in the

annual multiyear program of each local road agency shall be

consistent with the asset management process of each local road

agency and shall be reported consistent with categories established

by the transportation asset management council.

(8) Funding necessary to support the activities described in

this section shall be provided by an annual appropriation from the

Michigan transportation fund to the state transportation

commission.

(9) The department and each local road agency shall keep

accurate and uniform records on all road and bridge work performed

and funds expended for the purposes of this section, according to

the procedures developed by the council. Each local road agency and

the department shall annually report to the council the mileage and

condition of the road and bridge system under their jurisdiction

and the receipts and disbursements of road and street funds in the

manner prescribed by the council, which shall be consistent with

any current accounting procedures. An annual report shall be

prepared by the staff assigned to the council regarding the results

of activities conducted during the preceding year and the

expenditure of funds related to the processes and activities

identified by the council. The report shall also include an

overview of the activities identified for the succeeding year. The

council shall submit this report to the state transportation

commission, the legislature, and the transportation committees of

the house and senate by May 2 of each year.