2007-SJ-10-30-113.htm

No. 113

STATE OF MICHIGAN

Journal of the Senate

94th Legislature

REGULAR SESSION OF 2007

Senate Chamber, Lansing, Tuesday, October 30, 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

Father Gerry Bechard of Saints Simon and Jude Parish of Westland offered the following invocation:

Blessed are You, God of heaven and earth. Through Your gifts, You invite us to share in Your work of creation. The gift of sight allows us to glory in the wonder of our beautiful state. Help us to see that what we do here is not so much practical or political, but truly a sacred duty.

Our sense of touch lets us feel a breeze off a Michigan lake and to know the feel of the sand between our toes or the crunch of leaves and pine needles beneath our feet. Help us also to feel for those who are ill-equipped to bear a Michigan winter.

Our ears let us hear the birds in the sky and the winds moving through the forests and the water gurgling over the rocks in the cool clear streams. Let us also hear the pleas of those who wish a better life for their families.

Our sense of taste lets us savor the delicacies unique to our home state and which we proudly share with those who visit and vacation here. May we also eagerly share with those who do not always have enough to eat.

Our sense of smell lets us enjoy the foods, the flowers, and the forests of our beloved home. Help us to appreciate that these are treasures meant to grace all our citizens.

May there always be room in our hearts for people of every race, creed, and gender. Keep us mindful that Your love extends to the rich, the poor, the weak, the strong, the meek, the powerful, and the Upper and the Lower Peninsula.

Fill our minds with intelligence so we may arrive at the solutions intended to benefit all those we have been called to serve. Fill us with Your wisdom to know Your will. May we prove worthy of the sacred task entrusted to us.

We turn to You with confidence in Your bountiful love, generosity, and wisdom. We ask these things in all Your blessed names. Amen.

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

Motions and Communications

Senator Cropsey moved that Senators Brown, Garcia, McManus and Sanborn be temporarily excused from today's session.

The motion prevailed.

Senator Thomas moved that Senator Hunter be temporarily excused from today's session.

The motion prevailed.

The following communication was received:

Department of State

Administrative Rules

Notice of Filing

October 26, 2007

In accordance with the provisions of Section 46(1) of Act 306, Public Acts of 1969, as amended, and Executive Order 1995-6, this is to advise you that the Michigan Department of Labor & Economic Growth, State Office of Administrative Hearings and Rules filed at 4:35p.m. this date, administrative rule (07-10-07) for the Department of Labor and Economic Growth, Public Service Commission, entitled "Consumer Standards and Billing Practices for Electric and Gas Residential Services." These rules become effective immediately upon filing with the Secretary of State unless adopted under sections 33, 44, or 45a(6) of 1969 PA 306. Rules adopted under these sections become effective 7 days after filing with the Secretary of State.

Sincerely,

Terri Lynn Land

Secretary of State

Robin Houston, Office Supervisor

Office of the Great Seal

The communication was referred to the Secretary for record.

The Secretary announced that the following official bills were printed on Monday, October 29, and are available at the legislative website:

House Bill Nos. 5376 5377

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.

Senators McManus, Garcia, Sanborn and Brown entered the Senate Chamber.

By unanimous consent the Senate proceeded to the order of

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.

The House of Representatives requested the return of

Senate Bill No.79, entitled

A bill to amend 1949 PA 300, entitled "Michigan vehicle code," by amending section 223 (MCL 257.223).

Senator Cropsey moved that the request of the House of Representatives be granted.

The motion prevailed.

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; and to prescribe powers and duties of certain state departments and certain state and local agencies and officers.

(For Conference Report, see Senate Journal No.112, p. 1744.)

The House of Representatives has adopted the report of the Committee of Conference.

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

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.

(For Conference Report, see Senate Journal No.112, p. 1752.)

The House of Representatives has adopted the report of the Committee of Conference.

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

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.

(For Conference Report, see Senate Journal No.112, p. 1769.)

The House of Representatives has adopted the report of the Committee of Conference.

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

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.

(For Conference Report, see Senate Journal No.112, p. 1778.)

The House of Representatives has adopted the report of the Committee of Conference.

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

Third Reading of Bills

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

Senate Bill No.368

Senate Bill No.658

Senate Bill No.678

Senate Bill No.606

Senate Bill No.630

The motion prevailed.

The following bill was read a third time:

Senate Bill No.368, entitled

A bill to amend 1846 RS 14, entitled "Of county officers," (MCL 48.35 to 48.48) by adding section 40a.

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.441 Yeas--37

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 Jacobs Prusi Whitmer

Cherry

Nays--0

Excused--1

Hunter

Not Voting--0

In The Chair: Richardville

The Senate agreed to the title of the bill.

The following bill was read a third time:

Senate Bill No.658, entitled

A bill to amend 1943 PA 20, entitled "An act relative to the investment of funds of public corporations of the state; and to validate certain investments," (MCL 129.91 to 129.96) by adding section 7.

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.442 Yeas--37

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 Jacobs Prusi Whitmer

Cherry

Nays--0

Excused--1

Hunter

Not Voting--0

In The Chair: Richardville

The Senate agreed to the title of the bill.

The following bill was read a third time:

Senate Bill No.678, entitled

A bill to amend 1943 PA 20, entitled "An act relative to the investment of funds of public corporations of the state; and to validate certain investments," by amending section 6 (MCL 129.96), as added by 1997 PA 196.

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.443 Yeas--37

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 Jacobs Prusi Whitmer

Cherry

Nays--0

Excused--1

Hunter

Not Voting--0

In The Chair: Richardville

The Senate agreed to the title of the bill.

The following bill was read a third time:

Senate Bill No.606, entitled

A bill to amend 1980 PA 299, entitled "Occupational code," by amending section 411 (MCL 339.411), as amended by 2004 PA 373.

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.444 Yeas--37

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 Jacobs Prusi Whitmer

Cherry

Nays--0

Excused--1

Hunter

Not Voting--0

In The Chair: Richardville

The Senate agreed to the title of the bill.

The following bill was read a third time:

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.

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.445 Yeas--37

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 Jacobs Prusi Whitmer

Cherry

Nays--0

Excused--1

Hunter

Not Voting--0

In The Chair: Richardville

The Senate agreed to the title of the bill.

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.222

Senate Bill No.233

House Bill No.4348

House Bill No.4350

House Bill No.4354

House Bill No.4358

House Bill No.4360

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

Senator Brown submitted the following:

FIRST CONFERENCE REPORT

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

Senate Bill No. 222, entitled

A bill to make appropriations for the department of agriculture for the fiscal year ending September 30, 2008; to provide for the expenditure of the appropriations; to create funds; to provide for the imposition of fees; to require reports, audits, and plans; to authorize certain transfers by certain state agencies; and to provide for the disposition of fees and other income received by certain state agencies.

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 agriculture 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 AGRICULTURE

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 686.5

GROSS APPROPRIATION $ 109,399,300

Interdepartmental grant revenues:

IDG from MDCH, local public health operations 8,878,700

IDG from MDEQ, aquifer protection and dispute resolution 50,000

IDG from MDEQ, biosolids 92,900

IDG from MDEQ, MAEAP 159,700

IDG from MDEQ, type II well survey 17,200

IDG from DHS, food bank 150,000

IDG from MDLEG (LCC), liquor quality testing fees 191,900

IDG from MDNR, cervid fees 75,000

IDG from MDNR, district forestry and wildlife program 1,000,000

Total interdepartmental grants and intradepartmental transfers 10,615,400

ADJUSTED GROSS APPROPRIATION $ 98,783,900

Federal revenues:

DAG, multiple grants 17,152,100

EPA, multiple grants 2,356,200

HHS-FDA 1,079,100

United States department of labor 400,000

Corporation for national and community services 253,200

Total federal revenues 21,240,600

Special revenue funds:

Total local revenues 0

Private - commodity group 115,800

Private - slow-the-spread foundation 147,700

Total private revenues 263,500

Agricultural preservation fund 900,000

Agriculture equine industry development fund 12,552,000

Agriculture pollution prevention fund 100

Civil penalties 273,000

Commodity inspection fees 1,081,700

Gasoline inspection and testing fund 2,617,400

Freshwater protection fund 5,161,400

Horticulture fund 79,500

Industry support funds 695,900

Licensing and inspection fees 6,522,700

Migratory labor housing 25,000

Nonretail liquor fees 678,400

Refined petroleum fund 3,520,400

State services fee fund 9,264,800

Testing fees 434,500

Upper Peninsula state fair revenue 1,380,600

Consumer and industry food safety education fund $ 260,300

Weights and measures regulation fees 674,000

Total other state restricted revenues 46,121,700

State general fund/general purpose $ 31,158,100

Sec. 102. EXECUTIVE

Full-time equated unclassified positions 6.0

Full-time equated classified positions 46.0

Commission and boards $ 17,800

Unclassified positions 354,000

Executive direction--10.0 FTE positions 1,157,900

Management services--31.5 FTE positions 2,430,800

Agricultural statistics--2.0 FTE positions 137,600

Emergency management--2.5 FTE positions 242,300

Human resources optimization user charges 41,200

GROSS APPROPRIATION $ 4,381,600

Appropriated from:

Private funds:

Private - commodity group 75,000

Special revenue funds:

Gasoline inspection and testing fund 59,700

Industry support funds 33,500

Nonretail liquor fees 8,800

Refined petroleum fund 239,800

State services fee fund 593,800

Upper Peninsula state fair revenue 9,000

State general fund/general purpose $ 3,362,000

Sec. 103. DEPARTMENTWIDE

Rent and building occupancy charges $ 1,570,100

GROSS APPROPRIATION $ 1,570,100

Appropriated from:

Federal revenues:

DAG, multiple grants 113,600

EPA, multiple grants 69,300

HHS-FDA 14,900

Special revenue funds:

Agricultural preservation fund 23,900

Freshwater protection fund 10,800

Licensing and inspection fees 67,500

Nonretail liquor fees 9,000

Refined petroleum fund 114,000

State services fee fund 335,800

State general fund/general purpose $ 811,300

Sec. 104. FOOD AND DAIRY

Full-time equated classified positions 107.0

Food safety and quality assurance--107.0 FTE positions $ 12,627,600

Local public health operations 8,878,700

GROSS APPROPRIATION $ 21,506,300

Appropriated from:

Interdepartmental grant revenues:

IDG from MDCH, local public health operations 8,878,700

Federal revenues:

DAG, multiple grants 27,000

HHS-FDA 380,300

Special revenue funds:

Civil penalties 273,000

Consumer and industry food safety education fund 260,300

Licensing and inspection fees $ 2,479,900

State general fund/general purpose $ 9,207,100

Sec. 105. ANIMAL INDUSTRY

Full-time equated classified positions 58.0

Animal health and welfare--21.5 FTE positions $ 2,407,400

Bovine tuberculosis program--36.5 FTE positions 7,092,200

GROSS APPROPRIATION $ 9,499,600

Appropriated from:

Interdepartmental grant revenues:

IDG from DNR, cervid fees 75,000

Federal revenues:

DAG, multiple grants 1,127,300

HHS-FDA 72,800

Special revenue funds:

Agriculture equine industry development fund 2,183,600

Licensing and inspection fees 107,900

State general fund/general purpose $ 5,933,000

Sec. 106. PESTICIDE AND PLANT PEST MANAGEMENT

Full-time equated classified positions 228.8

Pesticide and plant pest management--116.8 FTE positions $ 13,573,200

Emerald ash borer control program--112.0 FTE positions 10,176,300

GROSS APPROPRIATION $ 23,749,500

Appropriated from:

Federal revenues:

DAG, multiple grants 12,460,900

EPA, multiple grants 1,489,500

HHS-FDA 68,100

Special revenue funds:

Private - slow-the-spread foundation 147,700

Commodity inspection fees 1,081,700

Horticulture fund 79,500

Industry support funds 340,300

Licensing and inspection fees 3,660,500

State general fund/general purpose $ 4,421,300

Sec. 107. ENVIRONMENTAL STEWARDSHIP

Full-time equated classified positions 44.5

Environmental stewardship--30.2 FTE positions $ 2,857,300

Groundwater and freshwater protection program--8.3 FTE positions 5,461,700

Farmland and open space preservation--6.0 FTE positions 981,600

Technical assistance match 300,000

Cooperative resources management initiative program 1,000,000

Agriculture pollution prevention program 1,000,100

Local conservation districts 916,800

Migrant labor housing 425,100

Aquifer protection program 50,000

GROSS APPROPRIATION $ 12,992,600

Appropriated from:

Interdepartmental grant revenues:

IDG from MDEQ, aquifer protection and dispute resolution 50,000

IDG from MDEQ, biosolids 92,900

IDG from MDEQ, MAEAP 159,700

IDG from MDEQ, type II well survey 17,200

IDG from MDNR, district forestry and wildlife program 1,000,000

Federal revenues:

DAG, multiple grants 1,000,000

EPA, multiple grants 446,200

Corporation for national and community services $ 253,200

United States department of labor 400,000

Special revenue funds:

Agricultural preservation fund 875,900

Agriculture pollution prevention fund 100

Freshwater protection fund 5,150,500

Migratory labor housing 25,000

State general fund/general purpose $ 3,521,900

Sec. 108. LABORATORY PROGRAM

Full-time equated classified positions 146.0

Laboratory services--60.5 FTE positions $ 6,336,400

USDA monitoring program--18.0 FTE positions 2,126,900

Consumer protection program--67.5 FTE positions 5,128,700

GROSS APPROPRIATION $ 13,592,000

Appropriated from:

Interdepartmental grant revenues:

IDG from MDLEG (LCC), liquor quality testing fees 189,100

Federal revenues:

DAG, multiple grants 2,148,900

EPA, multiple grants 351,200

HHS-FDA 543,000

Special revenue funds:

Gasoline inspection and testing fund 2,530,700

Licensing and inspection fees 75,000

Refined petroleum fund 3,166,600

State services fee fund 519,700

Testing fees 434,500

Weights and measures regulation fees 674,000

State general fund/general purpose $ 2,959,300

Sec. 109. AGRICULTURE DEVELOPMENT

Full-time equated classified positions 8.0

Agriculture development--5.0 FTE positions $ 1,100,200

Grape and wine program--3.0 FTE positions 716,200

Export market development program 50,000

Michigan agricultural surplus system 630,500

GROSS APPROPRIATION $ 2,496,900

Appropriated from:

Interdepartmental grant revenues:

IDG from DHS, food bank 150,000

Federal revenues:

DAG, multiple grants 274,400

Special revenue funds:

Private - commodity group 40,800

Industry support funds 311,100

Nonretail liquor fees 660,100

State services fee fund 350,700

State general fund/general purpose $ 709,800

Sec. 110. FAIRS AND EXPOSITIONS

Full-time equated classified positions 16.5

Upper Peninsula state fair--7.0 FTE positions $ 1,370,700

Fairs, racing and producer security--9.5 FTE positions 1,148,500

Premiums - county and state fairs 1,614,000

Purses and supplements - fairs/licensed tracks 2,370,000

Licensed tracks - light horse racing 132,000

Standardbred breeders' awards 969,000

Standardbred purses and supplements - licensed tracks 1,789,300

Standardbred sire stakes $ 810,000

Thoroughbred sire stakes 830,000

Standardbred training and stabling 36,000

Thoroughbred program 2,400,000

Thoroughbred owners' awards 124,000

Distribution of outstanding winning tickets 700,000

GROSS APPROPRIATION $ 14,293,500

Appropriated from:

Special revenue funds:

Agriculture equine industry development fund 10,160,300

Industry support funds 11,000

Licensing and inspection fees 131,900

State services fee fund 2,619,600

Upper Peninsula state fair revenue 1,370,700

State general fund/general purpose $ 0

Sec. 111. OFFICE OF RACING COMMISSIONER

Full-time equated classified positions 31.7

Office of racing commissioner--31.7 FTE positions $ 3,785,700

GROSS APPROPRIATION $ 3,785,700

Appropriated from:

Special revenue funds:

State services fee fund 3,785,700

State general fund/general purpose $ 0

Sec. 112. INFORMATION TECHNOLOGY

Information technology services and projects $ 1,531,500

GROSS APPROPRIATION $ 1,531,500

Appropriated from:

Interdepartmental grant revenues:

IDG from MDLEG (LCC), liquor quality testing fees 2,800

Special revenue funds:

Agricultural preservation fund 200

Agriculture equine industry development fund 208,100

Gasoline inspection and testing fund 27,000

Freshwater protection fund 100

Nonretail liquor fees 500

State services fee fund 1,059,500

Upper Peninsula state fair revenue 900

State general fund/general purpose $ 232,400

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 $77,279,800.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $2,616,800.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF AGRICULTURE

Groundwater and freshwater protection program $ 1,700,000

Local conservation districts 916,800

TOTAL $ 2,616,800

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) "Department" means the department of agriculture.

(d) "EPA" means the United States environmental protection agency.

(e) "FFA" means future farmers of America.

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

(g) "HHS-FDA" means the United States department of health and human services - food and drug administration.

(h) "IDG" means interdepartmental grant.

(i) "MAEAP" means the Michigan agriculture environmental assurance program.

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

(k) "MDEQ" means the Michigan department of environmental quality.

(l) "MDLEG (LCC)" means the Michigan department of labor and economic growth - liquor control commission.

(m) "MDNR" means the Michigan department of natural resources.

(n) "USDA" means the United States department of agriculture.

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.

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

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. 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. 212. (1) Of the funds appropriated in part 1, the department may provide for indemnity as provided for pursuant to the animal industry act, 1988 PA 466, MCL 287.701 to 287.745, not to exceed $100,000.00 per order from any line item for the fiscal year ending September 30, 2008. Before the department provides for an indemnification under this section, the department shall report the reason for the indemnification, the amount of the indemnification, and to whom the indemnification is to be paid. The report shall be given to each member of the house and senate appropriations subcommittees on agriculture and to the senate and house fiscal agencies and the state budget director.

(2) The department of agriculture shall make an indemnification payment for the fair market value of livestock killed by a wolf, coyote, or cougar, if the kill is verified by the department of natural resources. The fair market value of the livestock shall be determined pursuant to the indemnification procedures prescribed in the animal industry act, 1988 PA 466, MCL 287.701 to 287.745. In addition to the funds appropriated in part 1, the department of agriculture is authorized to expend the funds received from the department of natural resources to reimburse the department of agriculture for all indemnification payments made pursuant to this subsection.

Sec. 214. Of the funds appropriated in part 1 that are other than line-item grants, the department shall not provide grants to local government agencies, institutions of higher education, or nonprofit organizations unless the department provides notice of the grant to the house and senate appropriations subcommittees on agriculture at least 10 days before the grant is issued. The grants shall be used to support research or other related activities for the purpose of enhancing the agricultural industries in this state.

Sec. 219. 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. 220. 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. 223. (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 house and senate 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 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.

(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. 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. In recognition of the important role it can play in attracting large-scale agricultural events, it is the intent of the legislature that the department of agriculture, in conjunction with interested parties, explore opportunities to expand the facilities and size of the Michigan State University pavilion for agriculture and livestock education.

Sec. 227. On or before April 1, 2008, the department shall provide to the senate and house appropriations subcommittees on agriculture and the senate and house fiscal agencies a summary report on the real and potential return on investment for each of the department's programs.

Sec. 228. (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 $6,000,000.00 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 $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.

Sec. 229. (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.

(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. 230. 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. 231. From the funds appropriated in part 1 for salaries and benefits, the department shall provide funding in the pesticide and plant pest management, food and dairy, animal industry, environmental stewardship and laboratory divisions for not less than 315 employees who provide direct service to the public or substantially support the work of those who provide direct service. Expenditures shall be made so that these divisions continue to provide service to protect the public health, safety, and welfare and environment.

Sec. 232. From the funds appropriated in part 1, the director 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 director 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 departmental 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.

EXECUTIVE

Sec. 301. Per diem rates for commodity committees established in the agriculture commodities marketing act, 1965 PA 232, MCL 290.651 to 290.674, 1970 PA 29, MCL 290.421 to 290.430, 1965 PA 114, MCL 290.551 to 290.568, and the beef industry commission act, 1972 PA 291, MCL 287.601 to 287.610, will be set based upon levels established in section 301 of 2002 PA 516.

Sec. 302. (1) The department may receive and expend revenue and use that revenue to cover necessary expenses related to publications, audit and licensing functions, livestock sales, certification of nursery stock, bean inspection services, and laboratory analyses as specified in the following:

(a) Management services publications.

(b) Management services audit and licensing functions.

(d) Pesticide and plant pest management bean inspection and grading services.

(e) Laboratory support testing for testing horses in draft horse pulling contests at county fairs when local jurisdictions request state assistance.

(f) Laboratory support analyses to determine foreign substances in horses engaged in racing or pulling contests at tracks.

(g) Laboratory support analyses of food, livestock, and agricultural products for disease, foreign products for disease, toxic materials, foreign substances, and quality standards.

(h) Laboratory support test samples for other agencies and organizations.

(i) Fruit and vegetable inspection at shipping and termination points and processing plants.

(2) The department shall notify the senate and house of representatives appropriations subcommittees on agriculture and the senate and house fiscal agencies 30 days prior to proposing changes in fees authorized under this section or under section 5 of the market conditions act, 1915 PA 91, MCL 285.35.

(3) Annually, before February 1, the department shall provide a report to the senate and house of representatives appropriations subcommittees on agriculture and the senate and house fiscal agencies detailing all the fees charged by the department under the authorization provided in this section, including, but not limited to, rates, number of individuals paying each fee, and the revenue generated by each fee in the previous fiscal year.

Sec. 304. (1) To ensure motor fuel quality and quantity, the department shall maintain the motor fuel quality program and shall not reduce program level of effort below that of the 2006-2007 fiscal year. Notwithstanding the provisions of section 205, the department shall maintain field and laboratory staff for the motor fuel quality program.

(2) On or before January 1, 2007 and every 6 months thereafter, the department shall report to the senate and house appropriations subcommittees on agriculture and the senate and house fiscal agencies the results of both complaint-based and random-based inspections, including the number of inspections performed, samples collected, and compliance rates.

Sec. 306. From the funds appropriated in section 102, private funds for agricultural statistics shall be used to match state funds at not less than 50% of study costs.

FOOD AND DAIRY

Sec. 401. (1) The department shall monitor restaurant inspection and licensing functions carried out by local health departments to ensure uniform application and enforcement of minimum program requirements. On or before April 1, 2008, the department shall report to the senate and house appropriations subcommittees on agriculture, the senate and house fiscal agencies, and the state budget director on local health department conformance with minimum program requirements.

(2) If a local unit of government incurs additional costs resulting from its efforts to control a significant food-borne outbreak, the director shall seek additional resources to reimburse the local unit of government for these additional costs. The director shall involve the local health officer of the jurisdiction affected in all aspects of the control of any food-borne outbreak.

Sec. 402. Not later than April 1, 2008, the department shall provide a report to the house and senate appropriations subcommittees on agriculture and the house and senate fiscal agencies describing significant food-borne outbreaks and emergencies including any enforcement actions taken related to food safety during the 2006-2007 fiscal year.

Sec. 403. The department, in conjunction with the department of community health, shall assure that a process is in place that requires a local unit of government to obtain prior approval from the department before any reallocation or redistribution of program funds appropriated in section 104.

Sec. 404. From the funds appropriated in section 104 for food safety and quality assurance, not less than $150,000.00 from the consumer and industry food safety education fund shall be expended for purposes required under the food act, 2000 PA 92, MCL 289.4117, including the statewide training and education to consumers on food safety and the training and education on food safety to food service establishment employees and department employees and agents who enforce section 4117 of the food act, 2000 PA 92, MCL 289.4117.

Sec. 406. Notwithstanding the provisions of section 205, the department is authorized to fill open positions in the food and dairy inspection program.

Sec. 407. Funds appropriated in article 1 of 2006 PA 345 for food and dairy, food safety and quality assurance, shall not lapse but shall continue to be available for completion of the e-inspector program in accordance with the provisions under section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a.

ANIMAL INDUSTRY

Sec. 450. From the funds appropriated in section 105 for the bovine tuberculosis program, the department shall reimburse the department of natural resources for those costs associated with monitoring and testing wildlife for bovine tuberculosis that are necessary to support the department goals and are jointly agreed to by the department and the department of natural resources to be in excess of efforts necessary to effectively plan and execute the eradication of bovine tuberculosis from Michigan's wild free-ranging deer herd.

Sec. 451. From the funds appropriated in section 105 for bovine tuberculosis, the department shall pay for all whole herd testing costs and individual animal testing costs in the modified accredited zone to maintain split-state status requirements. These costs include indemnity and compensation for injury causing death or downer to animals.

Sec. 452. The department shall apply for all federal and private funds for which it is eligible that can be used to support the bovine tuberculosis program.

Sec. 454. The department shall use its resources to collaborate with the United States department of agriculture to obtain TB-free status for the area of the Lower Peninsula that is zoned as modified accredited advanced. The department shall also aggressively work toward eradicating bovine TB in the modified accredited zone.

Sec. 455. The department shall prepare a plan to provide for cattle without official identification that may arrive at a saleyard. If an animal arrives untagged at a saleyard without official identification, the saleyard may charge a fee for the tag and for application. The tag may be purchased by and identified to the saleyard. The saleyard shall maintain records for all animals tagged on its premises. The department plan shall be in compliance with the "Michigan Bovine TB Eradication Program - Application for TB Free/Modified Accredited Status", April 2007.

Sec. 456. Of the funds appropriated in part 1, no funds shall be used to enforce the mandatory electronic animal identification program for any domestic animals other than cattle until specific procedures and guidelines for electronic animal identification are outlined in statute.

Sec. 457. On or before October 15, 2007, and on a monthly basis thereafter, the department shall report to the senate and house agriculture committees, the senate and house appropriations subcommittees on agriculture, and the senate and house fiscal agencies on the department's progress toward meeting the USDA requirements as outlined in the March 2007 bovine TB program review. The report shall include, but is not limited to, information and data on: wildlife risk mitigation plan implementation in the modified accredited zone; implementation of a movement certificate process; progress toward annual surveillance test requirements set out in the June 2007 MOU; compliance efforts and rates for animals crossing the Mackinac Bridge; efforts to work with slaughter facilities in Michigan, as well as those that slaughter a significant number of animals from Michigan; educational programs and information for Michigan's livestock community; any other item the legislature should be aware of that will promote or hinder efforts to achieve bovine TB-free status for Michigan.

Sec. 458. From the funds appropriated in section 105 for animal industry, the department shall provide inspection and testing of aquaculture facilities and aquaculture researchers as provided under the Michigan aquaculture development act, 1996 PA 199, MCL 286.877. It is the intent of the legislature that the department shall work with aquaculture facilities and aquaculture researchers to identify, contain, and eradicate viral hemorrhagic septicemia in this state.

Sec. 459. Notwithstanding the provisions of section 205, the department is authorized to fill open positions in the bovine tuberculosis program.

LABORATORY SERVICES

Sec. 501. From the appropriation in part 1 for laboratory services, a sufficient amount is appropriated from licensing and inspection fee revenue to maintain the department's animal feed testing programs.

PESTICIDE AND PLANT PEST MANAGEMENT

Sec. 502. It is the intent of the legislature that reductions in the general fund appropriation in part 1 for pesticide and plant pest management may be partially or completely offset by increases in the commodity inspection fees.

ENVIRONMENTAL STEWARDSHIP

Sec. 603. The department shall apply for all federal funds for which it is eligible that can be used to support the migrant labor housing program.

Sec. 604. The appropriation in section 107 for local conservation districts shall be allocated in the following manner:

(a) Of the total appropriation, each local conservation district meeting the minimum grant requirements shall receive a grant of $11,605.00 to support basic operations, unless the district resides in a county consisting of multiple districts, in which case a $11,605.00 grant shall be divided equally among the districts in that county. The amount of money allocated under this subdivision shall not be used by local conservation districts to replace any money received from local sources.

(b) Any amount remaining from the appropriation after distributions under subdivision (a) shall be allocated for local conservation district training.

Sec. 605. From the appropriation in part 1 for technical assistance match, not less than $300,000.00 shall be used to fund local conservation district technical assistance for individuals with contracts under the 2002 farm bill administered by USDA's natural resources conservation service. Increasing the level of technical assistance will ensure producers can access the federal money available under their individual contracts and quickly put that money to work in Michigan.

Sec. 606. The department shall actively search for all possible funding sources to be used to match federal funds in the USDA environmental quality incentives program.

Sec. 607. It is the intent of the legislature that the department continue its activities in support of intercounty drainage districts as provided in chapter 5 of the drain code of 1956, 1956 PA 40, MCL 280.101 to 280.106.

AGRICULTURE DEVELOPMENT

Sec. 702. In any given year when insufficient amounts of Michigan surplus products are offered to the food bank council and accepted for distribution, unused funds may be applied by the food bank council for the direct purchase of foods from Michigan growers, manufacturers, or wholesalers.

Sec. 703. From the appropriation in part 1 for agriculture development, a grant shall be provided to the northwest Michigan horticultural research station which is limited to an amount equal to resources provided by the organization not to exceed $30,000.00. The grant shall not be used by the administering agency to supplant existing resources dedicated to the northwest Michigan horticultural research station.

Sec. 705. The appropriation in section 109 for the export market development program shall be used to coordinate state participation in the federal market access program and to leverage federal and private funds for the purpose of developing new and enhancing existing export markets for Michigan agricultural products.

Sec. 706. Not later than April 1, 2008, the department shall provide a report to the house and senate appropriations subcommittees on agriculture and the house and senate fiscal agencies describing the department's agriculture development and export market development activities. The report shall identify grants awarded during the prior fiscal year, including a description of federal or private funds made available as a result of department activities.

Sec. 707. In awarding grants from the agricultural development fund created under the Julian-Stille value-added act, 2000 PA 322, MCL 285.301 to 285.304, the department shall give due consideration to the diversity of Michigan agriculture and its economic importance.

Sec. 708. The department is authorized to receive and expend funds appropriated from the agricultural development fund created in section 2 of the Julian-Stille value-added act, 2000 PA 322, MCL 285.302.

Sec. 709. (1) Not later than April 1, 2008, the department shall provide a report to the house and senate appropriations subcommittees on agriculture and the house and senate fiscal agencies describing the activities of the grape and wine industry council established under section 303 of the Michigan liquor control act of 1998, 1998 PA 58, MCL 436.1303.

(2) The report shall include all of the following:

(a) Council activities and accomplishments for the previous fiscal year.

(b) Council expenditures for the previous fiscal year by category of administration, industry support, research and education grants, and promotion and consumer education.

(c) Grants awarded during the prior fiscal year and the results of research grant projects completed during the prior fiscal year.

Sec. 710. The department may match external funding for domestic and international marketing programs for the purpose of developing new and enhancing existing export markets for Michigan agricultural products.

Sec. 712. In making applications for grants under the United States department of agriculture specialty crop block grant program, the department shall seek to obtain 20% of federal funds received through the specialty crop block grant program for the support of specialty crop sales at farm markets and for agricultural tourism activities.

FAIRS AND EXPOSITIONS

Sec. 801. The department shall submit a report each month to the state budget director, the senate and house appropriations subcommittees on agriculture, and the senate and house fiscal agencies that states the simulcasting revenues generated in the preceding month by each licensed track and the amount received from license fees.

Sec. 802. From the amount appropriated in section 110 for purses and supplements - fairs/licensed tracks, $220,000.00 is to be used for state purse supplements at state licensed pari-mutuel tracks for races comprised only of Michigan-bred horses segregated into a 4-year-old colt trot division, a 4-year-old filly trot division, a 4-year-old colt pace division, and a 4-year-old filly pace division.

Sec. 803. Included in the appropriation made in section 110 for the thoroughbred program is $23,500.00 for the Michigan united thoroughbred breeders and owners association to conduct a thoroughbred yearling show. The Michigan united thoroughbred breeders and owners association shall submit to the department an itemized list of expenses showing that the expenses of the yearling show were paid.

Sec. 804. From the funds appropriated in section 110 for thoroughbred owners' awards, awards shall be distributed pursuant to section 20 of the horse racing law of 1995, 1995 PA 279, MCL 431.320.

Sec. 805. The department shall notify the senate and house appropriations subcommittees and the fiscal agencies of any planned reductions in appropriations, allocations, or expenditures from the agriculture equine industry development fund no less than 10 days before such reductions are implemented.

Sec. 806. A county fair, district fair, 4-H fair, or state fair receiving funds in section 110 to be used for prizes or awards, in whole or in part, as a condition precedent to the receiving of the funds for those purposes, shall publish the rules relative to the prizes, awards, and deadlines for entries eligible for the funds in their official premium books or lists relative to the prizes or awards. An aggrieved exhibitor may make a written complaint to the fair within 10 days after the fair ends. If the fair has not satisfactorily settled the grievance within 45 days after it is submitted to the fair, the aggrieved person may file the complaint with the department and the department shall investigate the complaint and make a finding of fact regarding the complaint and take appropriate action regarding the complaint.

Sec. 807. Of the amount appropriated in section 110 for purses and supplements - fairs/licensed tracks, a sufficient amount is appropriated to provide for overnight purse supplements pursuant to the horse racing law of 1995, 1995 PA 279, MCL 431.301 to 431.336.

Sec. 808. Of the amount appropriated in section 110 for premiums - county and state fairs, $91,400.00 shall be expended to reimburse up to 75% premiums paid to large livestock and equine exhibitors in shows or exhibitions held by statewide associations as defined by the department. Livestock expositions shall be limited to participation in this program and prohibited from participation in any state-funded premium programs. The Michigan horse show association fall youth show shall be included.

Sec. 809. From the appropriations for premiums - county and state fairs in section 110, $40,000.00 shall be awarded through a competitive grant program to local, regional, or state fairs or youth education programs to promote youth involvement and adult exhibitions in the animal agriculture industry.

Sec. 811. The funds appropriated in section 110 for distribution of outstanding winning tickets are not available for expenditure until they are deposited in the Michigan agriculture equine industry development fund pursuant to section 2 of 1951 PA 90, MCL 431.252. These funds shall be expended in accordance with section 2 of 1951 PA 90, MCL 431.252. The department shall provide notice to the house and senate appropriations subcommittees on agriculture at least 10 days before the funds are expended. This notice shall include the amount that each program receives from the outstanding winning ticket revenue deposited in the Michigan agriculture equine industry development fund.

Sec. 813. It is the intent of the legislature that the appropriation line item, building and track improvement, county and state fairs, which had been authorized at $963,200.00 in the 2006-2007 fiscal year agriculture budget, article 1 of 2006 PA 345, be restored to the $963,200.00 level in the fiscal year beginning October 1, 2008.

OFFICE OF RACING COMMISSIONER

Sec. 901. The racing commissioner may pay rewards of not more than $5,800.00 to a person who provides information that results in the arrest and conviction on a felony or misdemeanor charge for a crime that involves the horse racing industry. A reward paid pursuant to this section shall be paid out of the office of racing commissioner line item.

Sec. 902. In the event there is no live thoroughbred race meet in 2008, all purse money and program money appropriated for the thoroughbred industry in fiscal year 2007-08 shall be held in escrow for a period not to exceed 18 months, or until a thoroughbred race meet license is applied for and granted by the office of racing commissioner. In the event there is no thoroughbred meet in 2008, the purse pool distribution order to be issued by the office of racing commissioner in 2009 that delineates distribution between the thoroughbred meet that has been held at Great Lakes Downs and the joint thoroughbred/quarterhorse meet held in Mt. Pleasant shall be the same distribution formula as issued in 2008, with the thoroughbred portion being held in escrow.

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

Cameron Brown

Ron Jelinek

Martha G. Scott

Conferees for the Senate

John Espinoza

Gary McDowell

Goeff Hansen

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.446 Yeas--36

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

Cherry Jacobs Prusi Whitmer

Nays--1

Cassis

Excused--1

Hunter

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 Hunter entered the Senate Chamber.

Senator Cropsey submitted the following:

FIRST CONFERENCE REPORT

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

Senate Bill No. 233, entitled

A bill to make appropriations for the judicial branch for the fiscal year ending September 30, 2008; to provide for the expenditure of these appropriations; to place certain restrictions on the expenditure of these appropriations; to prescribe the powers and duties of certain officials and employees; to require certain reports; and to provide for the disposition of fees and other income received by the judicial branch.

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 judicial branch 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:

JUDICIARY

APPROPRIATION SUMMARY:

Full-time equated exempted positions 519.0

GROSS APPROPRIATION $ 259,291,500

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 2,523,500

ADJUSTED GROSS APPROPRIATION $ 256,768,000

Federal revenues:

Total federal revenues 4,626,400

Special revenue funds:

Total local revenues 5,409,700

Total private revenues 842,500

Total other state restricted revenues 87,892,700

State general fund/general purpose $ 157,996,700

Sec. 102. SUPREME COURT

Full-time equated exempted positions 245.0

Supreme court administration--97.0 FTE positions $ 10,941,500

Judicial institute--16.0 FTE positions 2,667,600

State court administrative office--62.0 FTE positions 10,285,600

Judicial information systems--18.0 FTE positions 3,179,200

Direct trial court automation support--36.0 FTE positions 5,409,700

Foster care review board--12.0 FTE positions 1,268,100

Community dispute resolution--4.0 FTE positions 2,291,600

Other federal grants 275,000

Drug treatment courts 4,678,800

GROSS APPROPRIATION $ 40,997,100

Appropriated from:

Interdepartmental grant revenues:

IDG from department of community health 1,800,000

IDG from state police - Michigan justice training fund 300,000

Federal revenues:

DOJ, victims assistance programs 50,000

DOJ, drug court training and evaluation 300,000

DOT, national highway traffic safety administration 800,000

HHS, access and visitation grant 387,000

HHS, children's justice grant 206,300

HHS, court improvement project 1,160,000

HHS, title IV-D child support program 907,700

HHS, title IV-E foster care program 540,400

Other federal grant revenues 275,000

Special revenue funds:

Local - user fees 5,409,700

Private 169,000

Private - interest on lawyers trust accounts $ 232,700

Private - state justice institute 370,800

Community dispute resolution fund 2,291,600

Law exam fees 482,100

Drug court fund 1,920,500

Miscellaneous revenue 227,900

Justice system fund 700,000

State court fund 339,000

State general fund/general purpose $ 22,127,400

Sec. 103. COURT OF APPEALS

Full-time equated exempted positions 212.0

Court of appeals operations--212.0 FTE positions $ 19,183,300

GROSS APPROPRIATION $ 19,183,300

Appropriated from:

Special revenue funds:

Court filing/motion fees 1,958,500

Miscellaneous revenue 77,800

State general fund/general purpose $ 17,147,000

Sec. 104. BRANCHWIDE APPROPRIATIONS

Full-time equated exempted positions 4.0

Branchwide appropriations--4.0 FTE positions $ 7,767,300

GROSS APPROPRIATION $ 7,767,300

Appropriated from:

State general fund/general purpose $ 7,767,300

Sec. 105. JUSTICES' AND JUDGES' COMPENSATION

Full-time judges positions 621.0

Supreme court justices' salaries--7.0 justices $ 1,152,300

Court of appeals judges' salaries--28.0 judges 4,240,300

District court judges' state base salaries--258.0 judges 23,877,200

District court judicial salary standardization 11,796,800

Probate court judges' state base salaries--103.0 judges 9,627,900

Probate court judicial salary standardization 4,669,700

Circuit court judges' state base salaries--225.0 judges 20,817,200

Circuit court judicial salary standardization 10,105,000

Judges' retirement system defined contributions 3,359,300

OASI, social security 5,105,600

GROSS APPROPRIATION $ 94,751,300

Appropriated from:

Special revenue funds:

Court fee fund 7,090,200

State general fund/general purpose $ 87,661,100

Sec. 106. JUDICIAL AGENCIES

Full-time equated exempted positions 8.0

Judicial tenure commission--8.0 FTE positions $ 989,300

GROSS APPROPRIATION $ 989,300

Appropriated from:

State general fund/general purpose $ 989,300

Sec. 107. INDIGENT DEFENSE - CRIMINAL

Full-time equated exempted positions 50.0

Appellate public defender program--42.0 FTE positions $ 5,042,700

Appellate assigned counsel administration--8.0 FTE positions 878,100

GROSS APPROPRIATION $ 5,920,800

Appropriated from:

Interdepartmental grant revenues:

IDG from state police - Michigan justice training fund 423,500

Special revenue funds:

Private - interest on lawyers trust accounts $ 70,000

Miscellaneous revenue 113,100

State general fund/general purpose $ 5,314,200

Sec. 108. INDIGENT CIVIL LEGAL ASSISTANCE

Indigent civil legal assistance $ 7,937,000

GROSS APPROPRIATION $ 7,937,000

Appropriated from:

Special revenue funds:

State court fund 7,937,000

State general fund/general purpose $ 0

Sec. 109. TRIAL COURT OPERATIONS

Court equity fund reimbursements $ 67,430,400

Judicial technology improvement fund 4,465,000

GROSS APPROPRIATION $ 71,895,400

Appropriated from:

Special revenue funds:

Court equity fund 50,440,000

Judicial technology improvement fund 4,465,000

State general fund/general purpose $ 16,990,400

Sec. 110. GRANTS AND REIMBURSEMENTS TO LOCAL GOVERNMENT

Drug case-flow program $ 250,000

Drunk driving case-flow program 3,000,000

Juror compensation reimbursement 6,600,000

GROSS APPROPRIATION $ 9,850,000

Appropriated from:

Special revenue funds:

Drug fund 250,000

Drunk driving fund 3,000,000

Juror compensation fund 6,600,000

State general fund/general purpose $ 0

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 $245,889,400.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is estimated at $123,725,200.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

JUDICIARY

SUPREME COURT

State court administrative office $ 511,900

Drug treatment courts 4,419,100

TRIAL COURT OPERATIONS

Court equity fund reimbursements $ 67,430,400

Judicial technology improvement fund 4,465,000

JUSTICES' AND JUDGES' COMPENSATION

District court judicial salary standardization $ 11,796,800

Probate court judges' state base salaries 9,627,900

Probate court judicial salary standardization 4,669,700

Circuit court judicial salary standardization 10,105,000

Grant to OASI contribution fund, employers share, social security 849,400

GRANTS AND REIMBURSEMENTS TO LOCAL GOVERNMENT

Drunk driving case-flow program $ 3,000,000

Drug case-flow program 250,000

Juror compensation reimbursement 6,600,000

TOTAL $ 123,725,200

Sec. 202. (1) The appropriations authorized under this act are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

(2) Funds appropriated in part 1 to an entity within the judicial branch shall not be expended or transferred to another account without written approval of the authorized agent of the judicial entity. If the authorized agent of the judicial entity notifies the state budget director of its approval of an expenditure or transfer, the state budget director shall immediately make the expenditure or transfer. The authorized judicial entity agent shall be designated by the chief justice of the supreme court.

Sec. 203. As used in this act:

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

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

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

(e) "IDG" means interdepartmental grant.

(f) "OASI" means old age survivor's insurance.

Sec. 204. The judicial branch shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 208. The reporting requirements of this act shall be completed with the approval of, and at the direction of, the supreme court. Unless otherwise specified, the judicial branch shall use the Internet to fulfill the reporting requirements of this act. This 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. 212. As a condition of expending appropriations made under part 1, the judicial branch shall receive and retain copies of all reports funded from appropriations in part 1 and shall follow federal and state guidelines for short-term and long-term retention of such reports and records.

Sec. 214. 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. 215. (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.

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

(3) Not later than January 1 of each year, the state court administrative office shall prepare a travel report listing all travel by judicial branch employees outside this state in the immediately preceding fiscal year that was funded in whole or in part with funds appropriated in the budget for the judicial branch. 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. 216. (1) The judicial branch shall report no later than April 1, 2008 on each specific policy change made to implement a public act affecting the judicial branch that took effect during the prior calendar year to the house and senate appropriations subcommittees on the judicial branch budget, the joint committee on administrative rules, and the senate and house fiscal agencies.

(2) Funds appropriated in part 1 shall not be used by the judicial branch 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 judicial branch 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. 217. From the funds appropriated in part 1, the chief justice shall implement continuous improvement efficiency mechanisms in the programs administered by the judicial branch. 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 chief justice shall submit a report to the state budget director, the senate and house appropriations subcommittees and the senate and house fiscal agencies on the progress made toward increased efficiencies in judicial branch 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.

JUDICIAL BRANCH

Sec. 301. (1) The direct trial court automation support program of the state court administrative office shall recover direct and overhead costs from trial courts by charging for services rendered. The fee shall cover the actual costs incurred to the direct trial court automation support program in providing the service, including development of future versions of case management systems. A report of amounts collected in excess of funds identified as user service charges in part 1 shall be submitted to the state budget director and to the house and senate appropriations subcommittees on judiciary 30 days before expenditure by the direct trial court automation support program.

(2) From funds appropriated in part 1, the direct trial court automation support program of the state court administrative office shall provide to the state budget director, the senate and house appropriations committees, and the senate and house fiscal agencies before January 1 of each year, a detailed list of user service charges collected during the immediately preceding state fiscal year.

Sec. 302. Funds appropriated within the judicial branch shall not be expended by any component within the judicial branch without the approval of the supreme court.

Sec. 303. Of the amount appropriated in part 1 for the judicial branch, $325,000.00 is allocated for circuit court reimbursement under section 3 of 1978 PA 16, MCL 800.453, and $186,900.00 is allocated for court of claims reimbursement under section 6413 of the revised judicature act of 1961, 1961 PA 236, MCL 600.6413.

Sec. 304. As a condition of expending appropriations made under part 1, the judicial branch shall cooperate with the auditor general regarding audits of the judicial branch conducted under section 53 of article IV of the state constitution of 1963.

Sec. 305. As a condition of expending appropriations made under part 1, and to avoid the overexpenditure of funds appropriated under this act, the supreme court shall report quarterly to members of the senate and house appropriations subcommittees on the judiciary, the senate and house fiscal agencies, and the state budget director on the status of accounts set forth in part 1. The report required by this section shall include quarterly, year-to-date, and projected expenditures by funding source for each line item, and beginning balances and quarterly, year-to-date, and projected revenues for each source of revenue other than general fund/general purpose revenues.

Sec. 306. The supreme court and the state court administrative office shall continue to maintain, as a priority, the assisting of local trial courts in improving the collection of judgments.

Sec. 306a. By April 1, the state court administrative office shall submit a report regarding the feasibility of a pilot project for third-party collection of court-ordered fines, fees, and costs, including collection of victim restitution. The report shall be submitted to the senate and house appropriations subcommittees on judiciary, the senate and house fiscal agencies, and the state budget director.

Sec. 307. It is the intent of the legislature that from the funds appropriated in part 1 for court of appeals operations, the judiciary shall use the following revenue amounts for the purpose of delay reduction:

(a) $225,000.00 of additional filing fee revenue raised from the increase from $250.00 to $375.00 in court of appeals filing fees under section 321(1)(a) of the revised judicature act of 1961, 1961 PA 236, MCL 600.321.

(b) $87,500.00 of additional fee revenue raised from the increase in court of appeals motion fees from $75.00 to $100.00 and from the increase from $150.00 to $200.00 in fees for motions for immediate consideration or expedited appeal under section 321(1)(b) and (c) of the revised judicature act of 1961, 1961 PA 236, MCL 600.321.

Sec. 308. If sufficient funds are not available from the court fee fund to pay judges' compensation, the difference between the appropriated amount from that fund for judges' compensation and the actual amount available after the amount appropriated for trial court reimbursement is made shall be appropriated from the state general fund for judges' compensation.

Sec. 310. From the funds appropriated in part 1 for drug treatment court programs, with the approval of and at the discretion of the supreme court, the state court administrative office shall evaluate and collect data on the performance of drug treatment court programs. The state court administrative office shall provide an annual review of the performance of drug courts as prescribed in section 1078(6) of the revised judicature act of 1961, 1961 PA 236, MCL 600.1078. All of the following apply to that annual review:

(a) It shall include measures of the impact of drug court programs in changing offender criminal involvement (recidivism) and substance abuse and in reducing prison admissions.

(b) It shall be completed no later than April 1 of each year and shall also be provided to the senate and house appropriations subcommittees on the judiciary, the senate and house fiscal agencies, and the state budget director.

(c) The evaluation of a program funded with federal Byrne funds shall be consistent with the requirements contained in the federal Byrne grant for that program.

Sec. 311. (1) The funds appropriated in part 1 for drug treatment courts shall be administered by the state court administrative office to operate drug treatment court programs. A drug treatment court shall be responsible for handling cases involving substance abusing nonviolent offenders through comprehensive supervision, testing, treatment services, and immediate sanctions and incentives. A drug treatment court shall use all available county and state personnel involved in the disposition of cases including, but not limited to, parole and probation agents, prosecuting attorneys, defense attorneys, and community corrections providers. The funds may be used in connection with other federal, state, and local funding sources.

(2) Local units of government are encouraged to refer to federal drug treatment court guidelines to prepare proposals. However, federal agency approvals are not required for funding under this section.

(3) From the funds appropriated in part 1, the chief justice shall allocate sufficient funds for the judicial institute to provide in-state training for those identified in subsection (1), including training for new drug treatment court judges.

(4) For drug treatment court grants, consideration for priority may be given to those courts where higher instances of substance abuse cases are filed.

(5) The judiciary shall receive $1,800,000.00 in Byrne formula grant funding as an interdepartmental grant from the department of community health to be used for expansion of drug treatment courts, to assist in avoiding prison bed space growth for nonviolent offenders in collaboration with the department of corrections.

Sec. 312. From the funds appropriated in part 1, the state court administrator shall produce a statistical report regarding the implementation of the parental rights restoration act, 1990 PA 211, MCL 722.901 to 722.908, as it pertains to minors seeking a court-issued waiver of parental consent. The state court administrative office shall report the total number of petitions filed and the total number of petitions granted in accordance with section 208.

Sec. 314. By April 1, the state court administrative office shall submit a report regarding the impact of Halbert v Michigan, 125 S Ct 2582 (2005), and related cases on the court system to the senate and house appropriations subcommittees on judiciary, the senate and house fiscal agencies, and the state budget director.

Sec. 316. The state court administrative office shall evaluate various strategies for court systems to use to better respond to defendants with mental illnesses. Such strategies may include, but not be limited to, mental health treatment courts, dedicated probation caseloads for people with mental illnesses, specialized pretrial release programs, and court-based diversion programs. The evaluation should consider the full range of problems that occur when people with mental illnesses enter the criminal justice system and factors such as key stakeholders, eligibility criteria, case processing, treatment options, funding sources, and disposition of cases upon program completion.

Sec. 317. Funds appropriated in part 1 shall not be used for the permanent assignment of state-owned vehicles to justices or judges or any other judicial branch employee. This section does not preclude the use of state-owned motor pool vehicles for state business in accordance with approved guidelines.

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

Alan L. Cropsey

Roger Kahn

Liz Brater

Conferees for the Senate

Matt Gillard

Pam Byrnes

Chuck Moss

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.447 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.

Recess

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

The motion prevailed, the time being 10:31a.m.

11:24a.m.

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

House Bill No.4348, entitled

A bill to make appropriations for the department of corrections and certain state purposes related to corrections for the fiscal year ending September 30, 2008; to provide for the expenditure of the appropriations; to provide for reports; to provide for the creation of certain advisory committees and boards; to prescribe certain powers and duties of the department of corrections, certain other state officers and agencies, and certain advisory committees and boards; to provide for the collection of certain funds; and to provide for the disposition of fees and other income received by certain state agencies.

The House of Representatives has adopted the report of the Committee of Conference.

The Conference Report was read as follows:

FIRST CONFERENCE REPORT

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

House Bill No. 4348, entitled

Recommends:

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

Second: That the House and Senate agree to the Substitute of the House as passed by the House, 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 corrections 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 CORRECTIONS

APPROPRIATION SUMMARY:

Average population 51,841

Full-time equated unclassified positions 16.0

Full-time equated classified positions 17,637.4

GROSS APPROPRIATION $ 2,078,269,100

Appropriated from:

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 1,264,600

ADJUSTED GROSS APPROPRIATION $ 2,077,004,500

Federal revenues:

Total federal revenues 10,340,700

Special revenue funds:

Total local revenues 429,700

Total private revenues 0

Total other state restricted revenues 70,149,600

State general fund/general purpose $ 1,996,084,500

Sec. 102. EXECUTIVE

Full-time equated unclassified positions 16.0

Full-time equated classified positions 8.0

Unclassified positions--16.0 FTE positions $ 1,373,500

Executive direction--8.0 FTE positions 1,790,000

Mental health study 400,000

GROSS APPROPRIATION $ 3,563,500

Appropriated from:

State general fund/general purpose $ 3,563,500

Sec. 103. PLANNING AND COMMUNITY SUPPORT

Full-time equated classified positions 72.0

Planning, community development, and research--32.0 FTE positions $ 2,934,400

Mental health awareness training 100,000

Prisoner reintegration programs 33,173,700

Community corrections administration--17.0 FTE positions 1,891,300

Substance abuse testing and treatment services--23.0 FTE positions 20,042,800

Residential services 16,925,500

Community corrections comprehensive plans and services 12,533,000

Public education and training 50,000

Regional jail program 100

Felony drunk driver jail reduction and community treatment program 2,097,400

County jail reimbursement program 13,249,000

GROSS APPROPRIATION $ 102,997,200

Appropriated from:

Federal revenues:

DOJ, office of justice programs, Byrne grants $ 729,400

DOJ, office of justice programs, RSAT 142,800

DOJ, prisoner reintegration 1,035,000

Special revenue funds:

Telephone fees and commissions 8,555,500

Civil infraction fees 7,514,400

State general fund/general purpose $ 85,020,100

Sec. 104. OPERATIONS SUPPORT ADMINISTRATION

Full-time equated classified positions 259.1

Operations support administration--3.0 FTE positions $ 405,000

Bureau of human resources--159.2 FTE positions 15,881,900

Human resources optimization user charges 1,079,700

New custody staff training 11,533,000

Compensatory buyout and union leave bank 100

Worker's compensation 16,162,000

Bureau of fiscal management--60.9 FTE positions 5,287,900

Office of legal services--28.0 FTE positions 3,086,200

Internal affairs--8.0 FTE positions 814,100

Rent 2,095,200

Equipment and special maintenance 425,500

Administrative hearings officers 3,963,900

Sheriffs' coordinating and training office 500,000

Prosecutorial and detainer expenses 4,051,000

GROSS APPROPRIATION $ 65,285,500

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP, Michigan justice training fund 695,900

Special revenue funds:

Local corrections officer training fund 500,000

Correctional industries revolving fund 107,800

State general fund/general purpose $ 63,981,800

Sec. 105. FIELD OPERATIONS ADMINISTRATION

Full-time equated classified positions 1,924.9

Field operations--1,801.9 FTE positions $ 152,033,000

Parole board operations--33.0 FTE positions 2,883,200

Parole/probation services 2,867,300

Community re-entry centers--51.0 FTE positions 16,800,500

Electronic monitoring center--39.0 FTE positions 7,086,900

GROSS APPROPRIATION $ 181,670,900

Appropriated from:

Special revenue funds:

Local - community tether program reimbursement 429,700

Re-entry center offender reimbursements 133,900

Parole and probation oversight fees 10,753,900

Parole and probation oversight fees set-aside 3,267,300

Public works user fees 248,900

Tether program participant contributions 6,010,800

Telephone fees and commissions 2,522,200

State general fund/general purpose $ 158,304,200

Sec. 106. CORRECTIONAL FACILITIES-ADMINISTRATION

Average population 2,638

Full-time equated classified positions 1,857.0

Correctional facilities administration--39.0 FTE positions $ 6,898,000

Prison food service--487.0 FTE positions 84,025,000

Transportation--229.0 FTE positions $ 25,441,700

Facility maintenance and repurposing 120,000

Central records--63.0 FTE positions 5,295,800

Inmate legal services 314,900

Loans to parolees 179,400

Housing inmates in federal institutions 793,900

Prison industries operations--219.0 FTE positions 20,097,000

Education services and federal education grants--10.0 FTE positions 5,718,900

Federal school lunch program 712,800

Leased beds and alternatives to leased beds 100

Inmate housing fund--450.5 FTE positions 44,414,700

Average population 2,638

MPRI education program--359.5 FTE positions 37,860,400

GROSS APPROPRIATION $ 231,872,600

Appropriated from:

Interdepartmental grant revenues:

IDG-MDCH, forensic center food service 568,700

Federal revenues:

DAG-FNS, national school lunch 712,800

DED-OESE, title 1 521,800

DED-OVAE, adult education 1,892,500

DED, adult literacy grants 308,300

DED-OSERS 101,300

DED, vocational education equipment 277,300

DED, youthful offender/Specter grant 1,289,400

DOJ-BOP, federal prisoner reimbursement 211,000

DOJ-OJP, serious and violent offender reintegration initiative 1,010,000

DOJ, prison rape elimination act grant 1,000,000

SSA-SSI, incentive payment 123,600

Special revenue funds:

Correctional industries revolving fund 20,097,000

Public works user fees 174,000

Resident stores 231,400

State general fund/general purpose $ 203,353,500

Sec. 107. CONSENT DECREES

Full-time equated classified positions 470.3

Hadix consent decree--137.0 FTE positions $ 12,043,800

DOJ consent decree--106.8 FTE positions 10,031,300

DOJ psychiatric plan - MDCH mental health services 38,108,200

DOJ psychiatric plan - MDOC staff and services--226.5 FTE positions 17,986,500

GROSS APPROPRIATION $ 78,169,800

Appropriated from:

State general fund/general purpose $ 78,169,800

Sec. 108. HEALTH CARE

Full-time equated classified positions 1,041.1

Health care administration--14.0 FTE positions $ 2,164,900

Hospital and specialty care services 84,274,900

Vaccination program 691,200

Northern region clinical complexes--270.9 FTE positions 36,636,400

Southeastern region clinical complexes--453.4 FTE positions 68,847,300

Southwestern region clinical complexes--302.8 FTE positions 41,551,600

GROSS APPROPRIATION $ 234,166,300

Appropriated from:

Special revenue funds:

Prisoner health care copayments 331,400

State general fund/general purpose $ 233,834,900

Sec. 109. NORTHERN REGION CORRECTIONAL FACILITIES

Average population 15,855

Full-time equated classified positions 4,033.4

Alger maximum correctional facility - Munising--331.1 FTE positions $ 31,735,600

Average population 849

Baraga maximum correctional facility - Baraga--400.6 FTE positions 37,495,500

Average population 1,172

Chippewa correctional facility - Kincheloe--543.2 FTE positions 50,794,200

Average population 2,282

Kinross correctional facility - Kincheloe--562.5 FTE positions 55,757,000

Average population 2,999

Marquette branch prison - Marquette--367.7 FTE positions 37,539,700

Average population 1,201

Newberry correctional facility - Newberry--290.0 FTE positions 26,491,800

Average population 978

Oaks correctional facility - Eastlake--324.6 FTE positions 34,062,000

Average population 1,156

Ojibway correctional facility - Marenisco--271.3 FTE positions 24,640,000

Average population 1,378

Pugsley correctional facility - Kingsley--231.4 FTE positions 20,897,500

Average population 1,158

Saginaw correctional facility - Freeland--330.0 FTE positions 31,687,600

Average population 1,480

Standish maximum correctional facility - Standish--381.0 FTE positions 37,750,000

Average population 1,202

GROSS APPROPRIATION $ 388,850,900

Appropriated from:

Special revenue funds:

Public works user fees 1,916,500

Resident stores 1,348,500

State general fund/general purpose $ 385,585,900

Sec. 110. SOUTHEASTERN REGION CORRECTIONAL FACILITIES

Average population 16,537

Full-time equated classified positions 4,325.4

Cooper street correctional facility - Jackson--286.8 FTE positions $ 28,938,400

Average population 1,752

G. Robert Cotton correctional facility - Jackson--414.3 FTE positions 39,172,400

Average population 1,854

Charles E. Egeler correctional facility - Jackson--372.4 FTE positions 37,896,700

Average population 1,108

Gus Harrison correctional facility - Adrian--493.3 FTE positions 47,352,200

Average population 2,342

Huron Valley correctional complex - Ypsilanti--681.0 FTE positions 64,913,700

Average population 1,772

Macomb correctional facility - New Haven--307.5 FTE positions 27,945,500

Average population 1,228

Mound correctional facility - Detroit--295.6 FTE positions 26,677,200

Average population 1,051

Parnall correctional facility - Jackson--270.8 FTE positions 26,836,500

Average population 1,712

Ryan correctional facility - Detroit--323.6 FTE positions 29,227,400

Average population 1,059

Robert Scott correctional facility - Plymouth--360.5 FTE positions 33,182,700

Average population 1,040

Southern Michigan correctional facility - Jackson 3,597,500

Thumb correctional facility - Lapeer--309.6 FTE positions 29,860,800

Average population 1,219

Special alternative incarceration program (Camp Cassidy Lake)--120.0 FTE positions $ 10,956,400

Average population 400

Jackson area support and services--90.0 FTE positions 16,184,600

GROSS APPROPRIATION $ 422,742,000

Appropriated from:

Federal revenues:

DOJ, state criminal alien assistance program 985,500

Special revenue funds:

Public works user fees 1,913,300

Resident stores 1,439,300

State general fund/general purpose $ 418,403,900

Sec. 111. SOUTHWESTERN REGION CORRECTIONAL FACILITIES

Average population 16,811

Full-time equated classified positions 3,646.2

Bellamy Creek correctional facility - Ionia--405.5 FTE positions $ 41,780,400

Average population 1,850

Earnest C. Brooks correctional facility - Muskegon--486.5 FTE positions 47,018,400

Average population 2,440

Carson City correctional facility - Carson City--504.0 FTE positions 48,607,100

Average population 2,440

Richard A. Handlon correctional facility - Ionia--237.2 FTE positions 23,484,100

Average population 1,320

Ionia maximum correctional facility - Ionia--317.8 FTE positions 30,384,600

Average population 707

Lakeland correctional facility - Coldwater--615.7 FTE positions 59,250,600

Average population 3,102

Muskegon correctional facility - Muskegon--232.4 FTE positions 23,945,800

Average population 1,326

Pine River correctional facility - St. Louis--221.4 FTE positions 20,877,600

Average population 1,200

St. Louis correctional facility - St. Louis--566.7 FTE positions 52,628,800

Average population 2,426

Ionia area support and services--59.0 FTE positions 3,339,800

GROSS APPROPRIATION $ 351,317,200

Appropriated from:

Special revenue funds:

Public works user fees 750,100

Resident stores 1,635,400

State general fund/general purpose $ 348,931,700

Sec. 112. INFORMATION TECHNOLOGY

Information technology services and projects $ 17,633,200

GROSS APPROPRIATION $ 17,633,200

Appropriated from:

Special revenue funds:

Correctional industries revolving fund 141,600

Parole and probation oversight fees set-aside 556,400

State general fund/general purpose $ 16,935,200

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 $2,066,234,100.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $91,440,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF CORRECTIONS

Field operations - assumption of county probation staff $ 47,487,800

Public service work projects 10,326,600

Community corrections comprehensive plans and services 12,533,000

Community corrections residential services 16,925,500

Community corrections public education and training 50,000

Felony drunk driver jail reduction and community treatment program 2,097,400

Community reentry centers 2,019,600

Regional jail program 100

TOTAL $ 91,440,000

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

(b) "DAG-FNS" means the DAG food and nutrition service.

(d) "DED-OESE" means the DED office of elementary and secondary education.

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

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

(g) "Department" or "MDOC" means the Michigan department of corrections.

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

(i) "DOJ-BOP" means the DOJ bureau of prisons.

(j) "DOJ-OJP" means the DOJ office of justice programs.

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

(l) "GED" means general education diploma.

(m) "GPS" means global positioning system.

(n) "IDG" means interdepartmental grant.

(o) "IDT" means intradepartmental transfer.

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

(q) "MDSP" means the Michigan department of state police.

(r) "MPRI" means the Michigan prisoner reentry initiative.

(s) "OCC" means the office of community corrections.

(t) "RSAT" means residential substance abuse treatment.

(u) "SSA" means the United States social security administration.

(v) "SSA-SSI" means SSA supplemental security income.

(2) The state budget director may grant exceptions to the hiring freeze imposed under subsection (1) 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 loss of revenue to the state, result in the inability of the state to receive federal funds, or 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 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. 206. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 207. At least 120 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. 207a. (1) Before privatizing any services or activities currently provided by state employees in the department, the department shall submit to the senate and house appropriations committees a preprivatization cost-benefit analysis. This analysis shall utilize accurate, reliable, and objective data. Included in this analysis shall be a comparative estimate of the costs that will be incurred by the state over the life of the contract if either or both of the following occur:

(a) The service or activity continues to be provided by state employees.

(b) The service or activity is privatized. The costs of privatizing these services shall include the costs of all necessary monitoring and oversight of the private entity by the state. These private entities must be adequately bonded, so as not to expose the state to any potential future liability or legal causes of action.

(2) The department shall not commence any efforts to privatize the services or activities currently provided by state employees under appropriations made by this act until the cost-benefit analysis prescribed by subsection (1) has been sent to both the senate and house appropriations committees 14 days prior to the efforts to privatize and proves a cost savings of at least 5% of the costs of continuing to use state employees in providing the services or activities.

(3) A private contractor with a contract with this state that expends state or federal tax dollars shall have all records pertinent to state contracts, including all records detailing compliance with section 209 of this act, be subject to disclosure to the department or the department of management and budget.

(4) State employees shall be given the opportunity to bid on contracts that privatize services that are or were provided by state employees. Should the contract be awarded to any state employee, he or she would cease being an employee of the state.

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. There shall be at least 1separate and distinct electronic file for each section that includes a reporting requirement.

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 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) Pursuant to the provisions of civil service rules and regulations and applicable collective bargaining agreements, individuals seeking employment with the department shall submit to a controlled substance test. The test shall be administered by the department.

(2) Individuals seeking employment with the department who refuse to take a controlled substance test or who test positive for the illicit use of a controlled substance on such a test shall be denied employment.

Sec. 211. The department may charge fees and collect revenues in excess of appropriations in part 1 not to exceed the cost of offender services and programming, employee meals, parolee loans, academic/vocational services, custody escorts, compassionate visits, union steward activities, public work programs, and services provided to units of government. The revenues and fees collected are appropriated for all expenses associated with these services and activities.

Sec. 212. Preference should be given to purchasing produce from Michigan growers and processors when their produce is competitively priced and of comparable quality.

Sec. 213. By February 15, 2008, the department shall provide the members of the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director with a report detailing nongeneral fund/general purpose sources of revenue, including, but not limited to, federal revenues, state restricted revenues, local and private revenues, offender reimbursements and other payments, revolving funds, and 1-time sources of revenue, whether or not such revenues were appropriated. The report shall include statements detailing for each account the total amount of revenue received during fiscal year 2006-2007, the amount by which the revenue exceeded any applicable appropriated fund source, the amount spent during fiscal year 2006-2007, the account balance at the close of fiscal year 2006-2007, and the projected revenues and expenditures for fiscal year 2007-2008.

Sec. 214. 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. These user fees are subject to provisions of an interagency agreement between the departments and agencies and the department of information technology.

Sec. 215. Amounts appropriated in part 1 for information technology may be designated as work projects and carried forward to support department of corrections 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. 216. (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, safety, or health and 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, or both, 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 listed 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 standing committees on appropriations.

(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 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. 217. 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 deprived and depressed communities for services, supplies, or both.

Sec. 218. It is the intent of the legislature that no expenditures for employee dry cleaning allowances be made or obligations to pay employee dry cleaning allowances be incurred for dry cleaning allowances in excess of the amounts authorized under collective bargaining contracts in effect from January 1, 2002 to December 31, 2004.

Sec. 219. It is the intent of the legislature that any contract for prisoner telephone services entered into after the effective date of this act include a condition that fee schedules for prisoner telephone calls, including rates and any surcharges other than those necessary to meet special equipment costs, be the same as fee schedules for calls placed from outside of correctional facilities.

Sec. 221. (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 previous calendar year to the senate and house appropriations subcommittees on corrections, the joint committee on administrative rules, and the senate and house fiscal agencies.

(2) Funds appropriated in part 1 shall not be used 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. 222. 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. 223. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $10,000,000.00 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 $5,000,000.00 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 $2,000,000.00 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 $2,000,000.00 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.

EXECUTIVE

Sec. 301. For 3 years after a felony offender is released from the department's jurisdiction, the department shall maintain the offender's file on the offender tracking information system and make it publicly accessible in the same manner as the file of the current offender. However, the department shall immediately remove the offender's file from the offender tracking information system upon determination that the offender was wrongfully convicted and the offender's file is not otherwise required to be maintained on the offender tracking information system.

Sec. 302. (1) From the funds appropriated in part 1 for the mental health study, the department shall allocate not more than $400,000.00 for the purpose of contracting for an independent study prescribed under this section.

(2) In consultation with the MDCH, the department shall contract for an independent study on the prevalence of prisoners in need of mental health treatment, substance abuse services, or both, and on the provision of services to prisoners in need of mental health treatment, substance abuse services, or both. The study must be completed or supervisedby a psychiatrist as defined in section 100c of the mental health code, 1974 PA 258, MCL 330.1100c. The lead psychiatrist shall not be a current or former employee or contractual agent of the department or the department of community health. At a minimum, the study shall collect and evaluate data on all of the following, to the extent possible under the health insurance portability and accountability act (HIPAA), 42 USC 1320d-6 and 45 CFR parts 160 and 164:

(a) The number of prisoners receiving substance abuse services, including a description and breakdown of the type of substance abuse services provided to prisoners, by major offense type.

(b) The number of prisoners with a primary diagnosis of mental illness, the number of prisoners considered to currently require mental health services, and the number of prisoners receiving mental health services, including a description and breakdown, encompassing, at a minimum, the categories of inpatient, residential, and outpatient care, and the type of mental health services provided to those prisoners, by major offense type.

(c) The number of prisoners with a primary diagnosis of mental illness and receiving substance abuse services, including a description and breakdown, encompassing, at a minimum, the categories of inpatient, residential, and outpatient care, of the type of treatment provided to those prisoners, by major offense type.

(d) Data indicating whether prisoners receiving mental health services for a primary diagnosis of mental illness were previously hospitalized in a state psychiatric hospital for persons with mental illness, by major offense type.

(e) Data indicating whether prisoners with a primary diagnosis of mental illness and receiving substance abuse services were previously hospitalized in a state psychiatric hospital for persons with mental illness.

(f) The cost of psychotropic pharmaceuticals for prisoners with a primary diagnosis of mental illness itemized by type, specific diagnosis, identification as a brand name or a generically equivalent pharmaceutical, and the name of the manufacturer or distributor.

(g) Quarterly and fiscal year-to-date expenditures itemized by vendor, status of payments from contractors to vendors, and projected year-end expenditures from accounts for substance abuse treatment and mental health care.

(h) The number of prisoners that have had their primary diagnosis of mental illness changed while in prison by a mental health clinician from an earlier diagnosis received in prison or while hospitalized in a state psychiatric hospital for persons with mental illness, itemized by current and previous diagnosis.

(i) The number of prisoners with a primary diagnosis of mental illness that previously had received substance abuse services, including a description and breakdown, encompassing, at a minimum, the categories of inpatient, residential, and outpatient care, of the type of treatment provided to those prisoners.

(j) All department policies and procedures relating to prisoners and parolees with mental illness, substance abuse disorders, or both, including, but not limited to, those related to prisoners with discharge status.

(3) A report on the study, together with any recommendations contained in the study and response from the department, shall be provided to the members of the senate and house appropriations subcommittees on corrections and community health, the senate and house fiscal agencies, MDCH, and the state budget director no later than 30 days following the receipt of the completed study. The report shall include all of the information required under subsection (2) and any recommendations. The report also shall include a plan by the department to implement those recommendations with which it agrees and an explanation of any disagreements with recommendations.

Sec. 303. It is the intent of the legislature that the quantity of database systems in use by the department be optimal for efficient data usage and communications. By January 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on a plan to implement secure, encrypted, Internet-based database systems that can electronically communicate with each other and with other law-enforcement-related databases by September 30, 2008.

PLANNING AND COMMUNITY SUPPORT

Sec. 401. The department shall submit 3-year and 5-year prison population projection updates by February 1, 2008 to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director. The report shall include explanations of the methodology and assumptions used in developing the projection updates.

Sec. 402. It is the intent of the legislature that the funds appropriated in part 1 for prisoner reintegration programs be expended for the purpose of reducing victimization by reducing offender recidivism through the following prisoner reintegration programming:

(a) The provision of employment and job training.

(b) The provision of assistance in acquiring the documents necessary to obtain a state identification card or operator's license.

(d) Referral to mental health services.

(e) Referral to substance abuse services.

(f) Referral to public health services.

(g) Referral to education.

(h) Referral to any other services necessary for successful reintegration.

Sec. 403. (1) By April 1, 2008, the department shall provide a report on prisoner reintegration programs to the members of the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director. At a minimum, the report shall include all of the following information:

(a) Allocations and projected expenditures for each project funded and for each project to be funded, itemized by service to be provided and service provider.

(b) An explanation of the objectives and results measures for each program.

(d) A discussion of the evidence and research upon which each program is based.

(e) A discussion and estimate of the impact of prisoner reintegration programs on reoffending and returns to prison.

(f) A progress report on applicable results of each program, including, but not limited to, the estimated bed space impact of prisoner reintegration programs.

(2) The department shall provide quarterly reports on January 1, 2008, April 1, 2008, July 1, 2008, and September 30, 2008 to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on the status and recidivism levels of offenders who participated in the MPRI and have been released. The data should be broken out by the following 4 offender types: drug, nonassaultive, assaultive, and sex.

(3) By September 30, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director a comparison of the overall recidivism rates and length of time prior to prison return of offenders who participated in the MPRI with those of offenders who did not. The report should disaggregate the information by each site in order to compare the practices and success rates of each site.

(4) The department shall include prisoners nearing their maximum sentence in the prison phases of the MPRI.

(5) The MPRI shall include programming on understanding conditions of parole, and each offender's transition accountability plan shall include a plan for following conditions of parole. The department shall ensure that each offender understands his or her conditions of parole prior to release from prison.

(6) The department shall provide monthly reports to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on parolees who participated in the MPRI and have tested positive for substances in the previous month and since October 1, 2007. The report shall include any sanctions imposed by the department in response to the positive substance test.

(7) The department shall provide monthly reports to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on parolees who participated in the MPRI and have a diagnosis of mental illness or received mental health treatment while in prison. The report shall include the number of offenders successfully referred to the local community mental health agency, by county, and number of parolees participating in treatment for mental illness, by county.

Sec. 404. (1) The department shall screen and assess each prisoner for alcohol and other drug involvement to determine the need for further treatment. The assessment process shall be designed to identify the severity of alcohol and other drug addiction and determine the treatment plan, if appropriate.

(2) Subject to the availability of funding resources, the department shall provide substance abuse treatment to prisoners with priority given to those prisoners who are most in need of treatment and who can best benefit from program intervention based on the screening and assessment provided under subsection (1).

Sec. 405. (1) In expending residential substance abuse treatment services funds appropriated under this act, the department shall ensure to the maximum extent possible that residential substance abuse treatment services are available statewide.

(2) By April 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on the allocation, distribution, and expenditure of all funds appropriated by the substance abuse testing and treatment line item during fiscal year 2006-2007 and projected for fiscal year 2007-2008. The report shall include, but not be limited to, an explanation of an anticipated year-end balance, the number of participants in substance abuse programs, and the number of offenders on waiting lists for residential substance abuse programs. Information required under this subsection shall, where possible, be separated by MDOC administrative region and by offender type, including, but not limited to, a distinction between prisoners, parolees, and probationers.

(3) By April 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on substance abuse testing and treatment program objectives, outcome measures, and results, including program impact on offender behavior and recidivism.

Sec. 406. (1) By December 1, 2007, the department shall develop uniform minimum standards for MPRI sites and the expenditure of MPRI funds, including funds appropriated for prisoner reintegration programs. At a minimum, the standards shall address all of the following:

(a) The acceptable range or ranges for administrative costs.

(b) How local program results are to be reported and quantified.

(d) Procedures for referral and follow up by the department on the status of referrals to substance abuse treatment, health care, and mental health treatment.

(e) Any other standards determined by the department to be consistent with good management practices and optimum program results.

(2) By March 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on the standards required by subsection (1). The report shall include information explaining how each standard was determined and how it is being implemented. The department shall implement these standards after review by the senate and house appropriations subcommittees on corrections.

Sec. 407. (1) By March 1, 2008, the department shall report to the senate and house subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on offenders who have served their maximum sentence and been released from prison in the last 5 years. The report shall include the following information:

(a) The number of offenders who were paroled and returned to prison prior to serving their maximum sentence compared to the number of offenders who served their maximum sentence without ever having been paroled.

(b) The number of offenders disaggregated by major offense type: assaultive, nonassaultive, drug, and sex.

(c) The educational history of those offenders, including how many had a GED or high school diploma prior to incarceration in prison, how many received a GED while in prison, and how many received a vocational certificate while in prison.

(d) A comparison of each offender's original offense to the offender's new offense by major offense type: assaultive, nonassaultive, drug, and sex, for offenders who have since returned to prison with a new commitment after previously serving a maximum sentence.

(2) The department shall provide monthly reports to the senate and house subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on offenders who have served their maximum sentence and been released from prison in the previous month. The reports shall include the following information:

(b) The number of offenders disaggregated by major offense type: assaultive, nonassaultive, drug, and sex.

Sec. 408. As a condition of expending funds appropriated for planning, community development and research and prisoner reintegration programs under part 1, the department shall by January 31, 2008 provide a plan to reduce recidivism rates among prisoners released from correctional facilities to the members of the senate and house appropriations committees, the senate and house fiscal agencies, and the state budget director. The plan shall include detailed information on 3-year recidivism rates in this state for the most recent 5-year period, a detailed comparison of those rates to rates in other states and a national average, and details on how the department plans to improve recidivism rates. The plan also shall include details on how the department proposes to measure the success of the plan.

Sec. 409. The office of community corrections shall provide and coordinate the delivery and implementation of services in communities to facilitate successful offender reintegration into the community. Programs and services to be offered shall include, but are not limited to, technical assistance for comprehensive corrections plan development, new program start-up funding, program funding for those programs delivering services for eligible offenders in geographic areas identified by the office of community corrections as having a shortage of available services, technical assistance, referral services for education, employment services, and substance abuse and family counseling. As used in this act:

(a) "Alternative to incarceration in a state facility or jail" means a program that involves offenders who receive a sentencing disposition that appears to be in place of incarceration in a state correctional facility or jail based on historical local sentencing patterns or that amounts to a reduction in the length of sentence in a jail.

(b) "Goal" means the intended or projected result of a comprehensive corrections plan or community corrections program to reduce prison commitment rates, to reduce the length of stay in a jail, or to improve the utilization of a jail.

(c) "Jail" means a facility operated by a local unit of government for the physical detention and correction of persons charged with or convicted of criminal offenses.

(d) "Offender eligibility criteria" means particular criminal violations, state felony sentencing guidelines descriptors, and offender characteristics developed by advisory boards and approved by local units of government that identify the offenders suitable for community corrections programs funded through the office of community corrections.

(e) "Offender target population" means felons or misdemeanants who would likely be sentenced to imprisonment in a state correctional facility or jail, who would not increase the risk to the public safety, who have not demonstrated a pattern of violent behavior, and who do not have criminal records that indicate a pattern of violent offenses.

(f) "Offender who would likely be sentenced to imprisonment" means either of the following:

(i) A felon or misdemeanant who receives a sentencing disposition that appears to be in place of incarceration in a state correctional facility or jail, according to historical local sentencing patterns.

(ii) A currently incarcerated felon or misdemeanant who is granted early release from incarceration to a community corrections program or who is granted early release from incarceration as a result of a community corrections program.

Sec. 410. (1) The funds included in part 1 for community corrections comprehensive plans and services are to encourage the development through technical assistance grants, implementation, and operation of community corrections programs that serve as an alternative to incarceration in a state facility or jail. The comprehensive corrections plans shall include an explanation of how the public safety will be maintained, the goals for the local jurisdiction, offender target populations intended to be affected, offender eligibility criteria for purposes outlined in the plan, and how the plans will meet the following objectives, consistent with section 8(4) of the community corrections act, 1988 PA 511, MCL 791.408:

(a) Reduce admissions to prison of nonviolent offenders who would have otherwise received an active sentence, including probation violators.

(b) Improve the appropriate utilization of jail facilities, the first priority of which is to open jail beds intended to house otherwise prison-bound felons, and the second priority being to appropriately utilize jail beds so that jail crowding does not occur.

(d) Reduce the readmission to prison of parole violators.

(e) Reduce the admission or readmission to prison of offenders, including probation violators and parole violators, for substance abuse violations.

(2) The award of community corrections comprehensive plans and residential services funds shall be based on criteria that include, but are not limited to, the prison commitment rate by category of offenders, trends in prison commitment rates and jail utilization, historical trends in community corrections program capacity and program utilization, and the projected impact and outcome of annual policies and procedures of programs on prison commitment rates and jail utilization.

(3) Funds awarded for residential services in part 1 shall provide for a per diem reimbursement of not more than $47.50.

Sec. 411. The comprehensive corrections plans shall also include, where appropriate, descriptive information on the full range of sanctions and services that are available and utilized within the local jurisdiction and an explanation of how jail beds, residential services, the special alternative incarceration program (boot camp), probation detention centers, the electronic monitoring program for probationers, and treatment and rehabilitative services will be utilized to support the objectives and priorities of the comprehensive corrections plans and the purposes and priorities of section8(4) of the community corrections act, 1988 PA 511, MCL 791.408. The plans shall also include, where appropriate, provisions that detail how the local communities plan to respond to sentencing guidelines found in chapter XVII of the code of criminal procedure, 1927 PA 175, MCL 777.1 to 777.69, and the use of the county jail reimbursement program under section 416. The state community corrections board shall encourage local community corrections advisory boards to include in their comprehensive corrections plans strategies to collaborate with local alcohol and drug treatment agencies of the MDCH for the provision of alcohol and drug screening, assessment, case management planning, and delivery of treatment to alcohol- and drug-involved offenders, including, but not limited to, probation and parole violators who are at risk of revocation.

Sec. 412. (1) As part of the March biannual report specified in section 12(2) of the community corrections act, 1988 PA 511, MCL 791.412, that requires an analysis of the impact of that act on prison admissions and jail utilization, the department shall submit to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director the following information for each county and counties consolidated for comprehensive corrections plans:

(a) Approved technical assistance grants and comprehensive corrections plans including each program and level of funding, the utilization level of each program, and profile information of enrolled offenders.

(b) If federal funds are made available, the number of participants funded, the number served, the number successfully completing the program, and a summary of the program activity.

(d) Data on residential services, including participant data, participant sentencing guideline scores, program expenditures, average length of stay, and bed utilization data.

(e) Offender disposition data by sentencing guideline range, by disposition type, number and percent statewide and by county, current year, and comparisons to the previous 3 years.

(2) The report required under subsection (1) shall include the total funding allocated, program expenditures, required program data, and year-to-date totals.

Sec. 413. (1) The department shall identify and coordinate information regarding the availability of and the demand for community corrections programs, jail-based community corrections programs, and basic state-required jail data.

(2) The department is responsible for the collection, analysis, and reporting of state-required jail data.

(3) As a prerequisite to participation in the programs and services offered through the department, counties shall provide basic jail data to the department.

Sec. 414. (1) The department shall administer a county jail reimbursement program from the funds appropriated in part 1 for the purpose of reimbursing counties for housing in jails felons who otherwise would have been sentenced to prison.

(2) The county jail reimbursement program shall reimburse counties for housing and custody of convicted felons if the conviction was for a crime committed on or after January 1, 1999 and 1 of the following applies:

(a) The felon's sentencing guidelines recommended range upper limit is more than 18 months, the felon's sentencing guidelines recommended range lower limit is 12 months or less, the felon's prior record variable score is 35 or more points, and the felon's sentence is not for commission of a crime in crime class G or crime class H under chapter XVII of the code of criminal procedure, 1927 PA 175, MCL 777.1 to 777.69.

(b) The felon's minimum sentencing guidelines range minimum is more than 12 months.

(3) State reimbursement under this section for prisoner housing and custody expenses per diverted offender shall be $43.50 per diem for up to a 1-year total.

(4) From the funds appropriated in part 1 for the county jail reimbursement program, the department shall conduct an ongoing study to determine the impact of the new legislative sentencing guidelines. The study shall analyze sentencing patterns of jurisdictions as well as future patterns in order to determine and quantify the population impact on prisons and jails of the new guidelines as well as to identify and define felon or crime characteristics or sentencing guidelines scores that indicate a felon is a prison diversion. The department shall conduct a local and statewide study for this purpose and provide periodic reports regarding the status and findings of the study to the house and senate appropriations subcommittees on corrections, the house and senate fiscal agencies, and the state budget director.

(5) The department, the state budget office, the Michigan association of counties, and the Michigan sheriffs' association shall review the periodic findings of the study required in subsection (4) and, if appropriate, recommend modification of the criteria for reimbursement contained in subsection (2) at meetings convened by the chairs of the house and senate appropriations subcommittees on corrections.

(6) The department shall reimburse counties for offenders in jail based upon the reimbursement eligibility criteria in place on the date the offender was originally sentenced for the reimbursable offense.

(7) County jail reimbursement program expenditures shall not exceed the amount appropriated in part 1 for the county jail reimbursement program. Payments to counties under the county jail reimbursement program shall be made in the order in which properly documented requests for reimbursements are received. A request shall be considered to be properly documented if it meets MDOC requirements for documentation. The department shall by October 15, 2006 distribute the documentation requirements to all counties.

Sec. 415. (1) As a condition of receipt of the funds appropriated in part 1 for community corrections plans and services and residential services, the department shall only award those funds requested under a properly prepared and approved comprehensive corrections plan submitted under section 8 of the community corrections act, 1988 PA 511, MCL 791.408, or directly applied for under section 10 of the community corrections act, 1988 PA 511, MCL 791.410.

(2) The department shall only halt funding for an entity funded under section 8 of the community corrections act, 1988 PA 511, MCL 791.408, in instances of substantial noncompliance during the period covered by the plan.

Sec. 416. (1) Funds included in part 1 for the felony drunk driver jail reduction and community treatment program are appropriated for and may be expended for any of the following purposes:

(a) To increase availability of treatment options to reduce drunk driving and drunk driving-related deaths by addressing the alcohol addiction of felony drunk drivers who otherwise likely would be sentenced to jail or a combination of jail and other sanctions.

(b) To divert from jail sentences or to reduce the length of jail sentences for felony drunk drivers who otherwise would have been sentenced to jail and whose recommended minimum sentence ranges under sentencing guidelines established under chapter XVII of the code of criminal procedure, 1927 PA 175, MCL 777.1 to 777.69, have upper limits of 18 months or less, through funding programs that may be used in lieu of incarceration and that increase the likelihood of rehabilitation.

(c) To provide a policy and funding framework to make additional jail space available for housing convicted felons whose recommended minimum sentence ranges under sentencing guidelines established under chapter XVII of the code of criminal procedure, 1927 PA 175, MCL 777.1 to 777.69, have lower limits of 12 months or less and who likely otherwise would be sentenced to prison, with the aim of enabling counties to meet or exceed amounts received through thecounty jail reimbursement program during fiscal year 2002-2003 and reducing the numbers of felons sentenced to prison.

(2) Expenditure of funds included in part 1 for the felony drunk driver jail reduction and community treatment program shall be by grant awards consistent with standards developed by a committee of the state community corrections advisory board. The chairperson of the committee shall be the board member representing county sheriffs. Remaining members of the committee shall be appointed by the chairperson of the board.

(3) In developing annual standards, the committee shall consult with interested agencies and associations. Standards developed by the committee shall include application criteria, performance objectives and measures, funding allocations, and allowable uses of the funds, consistent with the purposes specified in this section.

(4) Allowable uses of the funds shall include reimbursing counties for transportation, treatment costs, and housing felony drunk drivers during a period of assessment for treatment and case planning. Reimbursements for housing during the assessment process shall be at the rate of $43.50 per day per offender, up to a maximum of 5 days per offender.

(5) The standards developed by the committee shall assign each county a maximum funding allocation based on the amount the county received under the county jail reimbursement program in fiscal year 2001-2002 for housing felony drunk drivers whose recommended minimum sentence ranges under the sentencing guidelines described in subsection(1)(c) had upper limits of 18 months or less.

(6) Awards of funding under this section shall be provided consistent with the local comprehensive corrections plans developed under the community corrections act, 1988 PA 511, MCL 791.401 to 791.414. Funds awarded under this section may be used in conjunction with funds awarded under grant programs established under that act. Due to the need for felony drunk drivers to be transitioned from county jails to community treatment services, it is the intent of the legislature that local units of government utilize funds received under this section to support county sheriff departments.

(7) As used in this section, "felony drunk driver" means a felon convicted of operating a motor vehicle under the influence of intoxicating liquor or a controlled substance, or both, third or subsequent offense, under section 625(9)(c) of the Michigan vehicle code, 1949 PA 300, MCL 257.625, or its predecessor statute, punishable as a felony.

Sec. 417. (1) By April 1, 2008, the department shall report to the members of the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on each of the following programs from the previous fiscal year:

(a) The county jail reimbursement program.

(b) The felony drunk driver jail reduction and community treatment program.

(d) Any new initiatives to control prison population growth funded or proposed to be funded under part 1.

(2) For each program listed under subsection (1), the report under subsection (1) shall include information on each of the following:

(a) Program objectives and outcome measures.

(b) Expenditures by location.

(d) The impact on prison admissions.

(e) Other information relevant to an evaluation of the program.

Sec. 418. (1) It is the intent of the legislature that the department ensure that each prisoner make all reasonable efforts to obtain the documents necessary to obtain a state operator's license or state identification card prior to a prisoner's discharge or parole hearing. The process for prisoners to acquire this documentation shall be part of the department's operating procedure by the end of the fiscal year.

(2) The department shall cooperate with MDCH to develop a process by which prisoners can obtain their birth certificates. By April 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on the process developed under this section.

Sec. 419. (1) The department shall provide weekly electronic mail reports to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on prisoner, parolee, and probationer populations by facility, and prison capacities.

(2) The department shall provide monthly electronic mail reports to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director. By July 1, 2008, the department shall provide monthly reports for March 2006 through September 2007. The reports shall include information on end-of-month prisoner populations in county jails, the net operating capacity according to the most recent certification report, identified by date, and end-of-month data, year-to-date data, and comparisons to the prior year for the following:

(a) Community residential program populations, separated by centers and electronic monitoring.

(b) Parole populations.

(d) Prison and camp populations, with separate identification of the number in special alternative incarceration and the number of lifers.

(e) Parole board activity, including the numbers and percentages of parole grants and parole denials.

(f) Prisoner exits, identifying transfers to community placement, paroles from prisons and camps, paroles from community placement, total movements to parole, prison intake, prisoner deaths, prisoners discharging on the maximum sentence, and other prisoner exits.

(g) Prison intake and returns, including probation violators, new court commitments, violators with new sentences, escaper new sentences, total prison intake, returns from court with additional sentences, community placement returns, technical parole violator returns, and total returns to prison and camp.

Sec. 420. The department shall report to the senate and house appropriations subcommittees on corrections, the senate and house judiciary committees, the senate and house fiscal agencies, and the state budget director on the status of the department's response to the performance audits by the office of the auditor general on the department's staffing, health care services, food service and prisoner transportation, mental health care services, and pharmaceuticals. The department shall provide the reports within 30 days after each audit's official release date.

Sec. 421. Of the funds appropriated in part 1, $100,000.00 is appropriated for the purpose of providing an interdepartmental grant to the Michigan state police for the purpose of providing grants for training teams of law enforcement officers and mental health treatment providers. The teams shall be trained in effective and safe ways of assisting people with mental illness during law enforcement contacts and directing people with mental illness to treatment programs. It is the intent of the legislature that mental health awareness training be incorporated into continuing education for all law enforcement officers in the state.

Sec. 422. It is the intent of the legislature that MPRI programs become standard operating procedure in the department by the end of fiscal year 2008-2009.

OPERATIONS AND SUPPORT ADMINISTRATION

Sec. 501. From the funds appropriated in part 1 for prosecutorial and detainer expenses, the department shall reimburse counties for housing and custody of parole violators and offenders being returned by the department from community placement who are available for return to institutional status and for prisoners who volunteer for placement in a county jail.

Sec. 502. Funds included in part 1 for the sheriffs' coordinating and training office are appropriated for and may be expended to defray costs of continuing education, certification, recertification, decertification, and training of local corrections officers, the personnel and administrative costs of the sheriffs' coordinating and training office, the local corrections officers advisory board, and the sheriffs' coordinating and training council under the local corrections officers training act, 2003 PA 125, MCL 791.531 to 791.546.

Sec. 503. Funds appropriated in part 1 for administrative hearings officers are appropriated as an interdepartmental grant to the department of labor and economic growth for the purpose of funding administrative hearings officers for adjudication of grievances pertaining to the department of corrections. The department shall not expend appropriations from part 1 to satisfy charges from the department of labor and economic growth for administrative hearings officers in excess of the amount expressly appropriated by this act for the administrative hearings officers.

FIELD OPERATIONS ADMINISTRATION

Sec. 601. From the funds appropriated in part 1, the department shall conduct a statewide caseload audit of field agents. The audit shall address public protection issues and assess the ability of the field agents to complete their professional duties. The results of the audit shall be submitted to the senate and house appropriations subcommittees on corrections and the senate and house fiscal agencies, and the state budget office by February 15, 2008.

Sec. 602. (1) Of the amount appropriated in part 1 for field operations, a sufficient amount shall be allocated for the community service work program and shall be used for salaries and wages and fringe benefit costs of community service coordinators employed by the department to supervise offenders participating in work crew assignments. Funds shall also be used to cover motor transport division rates on state vehicles used to transport offenders to community service work project sites.

(2) The community service work program shall provide offenders with community service work of tangible benefit to a community while fulfilling court-ordered community service work sanctions and other postconviction obligations.

(3) As used in this section, "community service work" means work performed by an offender in an unpaid position with a nonprofit or tax-supported or government agency for a specified number of hours of work or service within a given time period.

Sec. 603. (1) All prisoners, probationers, and parolees involved with the electronic tether program shall reimburse the department for costs associated with their participation in the program. The department may require community service work reimbursement as a means of payment for those able-bodied individuals unable to pay for the costs of the equipment.

(2) Program participant contributions and local community tether program reimbursement for the electronic tether program appropriated in part 1 are related to program expenditures and may be used to offset expenditures for this purpose.

(3) Included in the appropriation in part 1 is adequate funding to implement the community tether program to be administered by the department. The community tether program is intended to provide sentencing judges and county sheriffs in coordination with local community corrections advisory boards access to the state's electronic tether program to reduce prison admissions and improve local jail utilization. The department shall determine the appropriate distribution of the tether units throughout the state based upon locally developed comprehensive corrections plans under the community corrections act, 1988 PA 511, MCL 791.401 to 791.414.

(4) For a fee determined by the department, the department shall provide counties with the tether equipment, replacement parts, administrative oversight of the equipment's operation, notification of violators, and periodic reports regarding county program participants. Counties are responsible for tether equipment installation and service. For an additional fee as determined by the department, the department shall provide staff to install and service the equipment. Counties are responsible for the coordination and apprehension of program violators.

(5) Any county with tether charges outstanding over 60 days shall be considered in violation of the community tether program agreement and lose access to the program.

Sec. 604. Community-placement prisoners and parolees shall reimburse the department for the total costs of the program. As an alternative method of payment, the department may develop a community service work schedule for those individuals unable to meet reimbursement requirements established by the department.

Sec. 606. It is the intent of the legislature that the department shall ensure that parolees and probationers may timely contact their parole or probation agents and maintain procedures that preclude any necessity for an offender to have access to an agent's home telephone number or other personal information pertaining to the agent.

Sec. 607. The department shall not expend funds appropriated in part 1 for rental payments or operational expenses for premises leased under lease number 7787 and located at 322 Front Avenue SW, Grand Rapids, Michigan, also known as parcel 41-13-25-378-005, more than 120 days after the effective date of this act.

Sec. 608. By April 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on the use of GPS electronic monitoring. At a minimum, the report shall include all of the following:

(a) Details on the failure rate of parolees for whom GPS tether is utilized, including the number and rate of parolee technical violations, including specifying failures due to committing a new crime that is uncharged but leads to parole termination, and the number and rate of parolee violators with new sentences.

(b) Information on the factors considered in determining whether an offender is placed on active GPS tether, passive GPS tether, radio frequency tether, or some combination of these or other types of electronic monitoring.

(c) Monthly data on the number of offenders on active GPS tether, passive GPS tether, radio frequency tether, and any other type of tether.

Sec. 609. Not more than 6 months after the pilot program is implemented, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on the use of kiosk reporting stations. At a minimum, the report shall include all of the following:

(a) Factors considered in determining whether an offender is assigned to report at a kiosk.

(b) Information on the location, costs, safety features, and other features of kiosks used for offender reporting.

(d) An evaluation of the kiosk reporting pilot program, including any need for improvement and an assessment of the potential for expanded use of kiosk reporting stations.

Sec. 611. The department shall prepare by April 1, 2008 individual reports for the community re-entry program, the electronic tether program, and the special alternative to incarceration program. The reports shall be submitted to the house and senate appropriations subcommittees on corrections, the house and senate fiscal agencies, and the state budget director. Each program's report shall include information on all of the following:

(a) Monthly new participants by type of offender. Community re-entry program participants shall be categorized by reason for placement. For technical rule violators, the report shall sort offenders by length of time since release from prison, by the most recent violation, and by the number of violations occurring since release from prison.

(b) Monthly participant unsuccessful terminations, including cause.

(d) End month population by facility/program.

(e) Average length of placement.

(f) Return to prison statistics.

(g) Description of each program location or locations, capacity, and staffing.

(h) Sentencing guideline scores and actual sentence statistics for participants, if applicable.

(i) Comparison with prior year statistics.

(j) Analysis of the impact on prison admissions and jail utilization and the cost effectiveness of the program.

Sec. 612. (1) The department shall review and revise as necessary policy proposals that provide alternatives to prison for offenders being sentenced to prison as a result of technical probation violations and technical parole violations. To the extent the department has insufficient policies or resources to affect the continued increase in prison commitments among these offender populations, the department shall explore other policy options to allow for program alternatives, including department or OCC-funded programs, local level programs, and programs available through private agencies that may be used as prison alternatives for these offenders.

(2) To the extent policies or programs described in subsection (1) are used, developed, or contracted for, the department may request that funds appropriated in part 1 be transferred under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393, for their operation.

(3) The department shall continue to utilize parole violator processing guidelines that require parole agents to utilize allavailable appropriate community-based, nonincarcerative postrelease sanctions and services when appropriate. The department shall periodically evaluate such guidelines for modification, in response to emerging information from the pilot projects for substance abuse treatment provided under this act and applicable provisions of prior budget acts for the department.

(4) The department shall provide monthly reports to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on the number of all parolees returned to prison and probationers sentenced to prison for either a technical violation or new sentence during the preceding calendar month. The reports shall include the following information each for probationers, parolees after their first parole, and parolees who have been paroled more than once:

(a) The numbers of parole and probation violators returned to or sent to prison for a new crime with a comparison of original versus new offenses by major offense type: assaultive, nonassaultive, drug, and sex.

(b) The numbers of parole and probation violators returned to or sent to prison for a technical violation and the type of violation, including, but not limited to, zero gun tolerance and substance abuse violations. For parole technical rule violators, the report shall list violations by type, by length of time since release from prison, by the most recent violation, and by the number of violations occurring since release from prison.

(d) The number of offenders who participated in the MPRI versus the number of those who did not.

(e) The unduplicated number of offenders who participated in substance abuse treatment programs, mental health treatment programs, or both, while in prison, itemized by diagnosis.

Sec. 613. The department shall report by February 1, 2008 to the members of the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on parole and probation special operations program participants from October 1, 2005 to September 30, 2007.

CONSENT DECREES

Sec. 701. Funding appropriated in part 1 for consent decree line items is appropriated into separate control accounts created for each line item. Funding in each control account shall be distributed as necessary into separate accounts created for the purpose of separately identifying costs and expenditures associated with each consent decree.

HEALTH CARE

Sec. 801. The department shall not expend funds appropriated under part 1 for any surgery, procedure, or treatment to provide or maintain a prisoner's sex change unless it is determined medically necessary by the chief medical officer of the department.

Sec. 802. (1) As a condition of expenditure of the funds appropriated in part 1, the department shall provide the senate and house of representatives appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director with all of the following:

(a) Quarterly reports on physical and mental health care detailing the average number of days between a prisoner's diagnosis and commencement of treatment for that diagnosis, quarterly and fiscal year-to-date expenditures itemized by vendor, allocations, status of payments from contractors to vendors, and projected year-end expenditures from accounts for prisoner health care, mental health care, pharmaceutical services, and durable medical equipment.

(b) Not more than 1 week after receiving the final findings and recommendations of the national commission on correctional health care, a report with regard to the following:

(i) Bureau of health care services organizational structure, administration, and management.

(ii) Timeliness, appropriateness, and quality of the following services:

(A) Clinical services provided through the department, including nursing, dental, and clinical support services.

(B) Clinical psychological services provided through the department, including intake processing, assaultive offender program, and sex offender treatment program.

(C) Mental health services to treat the seriously mentally ill provided through the department of community health, including inpatient care, rehabilitative treatment, residential treatment, crisis stabilization, and outpatient mental health treatment.

(D) Primary on-site medical services, on-site inpatient medical services, specialty services, and utilization review procedures provided by the state's health care contractors.

(2) It is the intent of the legislature that, in the interest of providing the most efficient and cost-effective delivery of health care, local health care providers shall be considered and given the opportunity to competitively bid as vendors under future managed care contracts.

Sec. 804. (1) The department shall report quarterly to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on prisoner health care utilization. The report shall include the number of inpatient hospital days, outpatient visits, and emergency room visits in the previous quarter and since October 1, 2007, by facility.

(2) By April 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on prisoners receiving off-site inpatient medical care that would have received care in a state correctional facility if beds were available. The report shall include the number of prisoners receiving off-site inpatient medical care and average length of stay in an off-site facility during the period they would have received care in a state correctional facility if beds were available, by month and correctional facilities administration region.

Sec. 805. The bureau of health care services shall develop information on Hepatitis C and human immunodeficiency virus (HIV) prevention and the risks associated with exposure to Hepatitis C and HIV. The health care providers shall disseminate this information verbally and in writing to each prisoner at the health screening and full health appraisal conducted at admissions, at the annual health care screening 1 week before or after a prisoner's birthday, and prior to release to the community by parole, transfer to community residential placement, or discharge on the maximum sentence.

Sec. 806. (1) From the funds appropriated in part 1, the department shall require a Hepatitis C antibody test and an HIV test for each prisoner prior to release to the community by parole, transfer to community residential placement, or discharge on the maximum sentence. The department shall require an HIV test and a Hepatitis C risk factor screening for each prisoner at the health screening at admissions. If Hepatitis C risk factors are identified, the department shall offer the prisoner a Hepatitis C antibody test. An explanation of results of the tests shall be provided confidentially to the prisoner, and if appropriate based on the test results, the prisoner shall also be provided a recommendation to seek follow-up medical attention.

(2) By March 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget director on the number of offenders tested and the number of offenders testing positive for HIV, the Hepatitis C antibody, or both at prison admission and parole, transfer to community residential placement, or discharge on the maximum sentence. The department shall keep records of those offenders testing positive for HIV, the Hepatitis C antibody, or both at prison admission, parole, transfer to community residential placement, and discharge. These records shall clearly state the date each test was performed.

(3) As a condition of expenditure of the funds appropriated in part 1, the department shall keep records of the following:

(a) The number of offenders testing positive for the Hepatitis C antibody who do not receive treatment, by reason for not participating.

(b) The number of offenders achieving a sustained viral response from Hepatitis C treatment.

Sec. 807. The department shall ensure that all medications for a prisoner be transported with that prisoner when the prisoner is transferred from 1 correctional facility to another. Prisoners being released shall be provided with a supply of medication to allow for continuity of care in the community.

Sec. 808. There are sufficient funds and FTEs appropriated in part 1 to provide a full complement of nurses for clinical complexes working regular pay hours, and it is the intent of the legislature that sufficient nurses be hired or retained to limit the use of overtime other-than-holiday pay.

Sec. 809. The department, in conjunction with efforts to implement the MPRI, shall cooperate with the MDCH to share data and information as they relate to prisoners being released who are HIV positive or positive for the Hepatitis C antibody. By April 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on all of the following:

(a) Programs and the location of programs implemented as a result of the work under this section.

(b) The programs' potential impact on the state budget.

(c) The number of prisoners released to the community by parole, discharge on the maximum sentence, or transfer to community residential placement who are HIV positive, positive for the Hepatitis C antibody, or both.

(d) The number of offenders successfully referred to the local public health department, by county, and the number of parolees participating in treatment for Hepatitis C, HIV, or both after 6 months in the community, by county.

Sec. 811. The department shall provide to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director a copy of the bureau of health care services quality assurance report not more than 1 week after its completion, but not later than September 30, 2008. The report shall include recommendations for quality improvements and a plan to implement those recommendations.

CORRECTIONAL FACILITIES ADMINISTRATION

Sec. 901. (1) By April 1, 2008, the department shall provide to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director a plan to make all department facilities and camps tobacco-free. It is the intent of the legislature that implementation of the plan shall commence no later than September 1, 2008, and be completed within 2 months after it is commenced.

(2) By September 30, 2008, the department shall provide to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director a progress report on implementation of the plan described in subsection (1). Both the plan and the progress report shall contain all of the following:

(a) A schedule for transitioning all facilities to tobacco-free status, including identification of any facilities that are already tobacco-free.

(b) Details on the department's efforts to provide tobacco cessation programs for prisoners and staff.

(c) Identification of the short-term and projected long-term budgetary and program implications of converting all facilities and camps to tobacco-free status, including the effects on institutional safety and security.

Sec. 902. From the funds appropriated in part 1, the department shall allocate sufficient funds to develop a pilot children's visitation program. The pilot program shall teach parenting skills and arrange for day visitation at these facilities for parents and their children, except for the families of prisoners convicted of a crime involving criminal sexual conduct in which the victim was less than 18 years of age or involving child abuse.

Sec. 903. Except as otherwise provided in this section, the department shall prohibit prisoners' access to or use of the Internet or any similar system. Under adequate supervision and with security precautions that ensure appropriate computer use by prisoners, the department may allow a prisoner access to or use of the Internet for the purposes of educational programming, employment training, job searches, or other Internet-based programs and services consistent with programming objectives, efficient operations, and the safety and security of the institution.

Sec. 904. Any department employee who, in the course of his or her job, is determined by a physician to have had a potential exposure to the Hepatitis B virus, shall receive a Hepatitis B vaccination upon request.

Sec. 905. (1) The inmate housing fund shall be used for the custody, treatment, clinical, and administrative costs associated with the housing of prisoners other than those specifically budgeted for elsewhere in this act. Funding in the inmate housing fund is appropriated into a separate control account. Funding in the control account shall be distributed as necessary into separate accounts created to separately identify costs for specific purposes.

(2) Quarterly reports on all expenditures from the inmate housing fund shall be submitted by the department to the state budget director, the senate and house appropriations subcommittees on corrections, and the senate and house fiscal agencies.

Sec. 906. (1) The department shall establish a uniform rate to be paid by public and private agencies that benefit from public work services provided by special alternative incarceration participants and prisoners.

(2) It is the intent of the legislature that to the degree consistent with public safety and the safety and security of the institutions, public works projects be continued at the level provided in 2006 PA 331 by April 1, 2008.

(3) It is the intent of the legislature that public works user fee schedules be revised to double the rates in effect as of September 30, 2007, and that upon implementation of the fee increase, the department increase wages for prisoners on public works crews by not more than 10%.

Sec. 907. The department shall report monthly to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director on academic/vocational programs. The report shall provide information relevant to an assessment of the department's academic and vocational programs, including, but not limited to, the following:

(a) The number of instructors and the number of instructor vacancies, by program and facility.

(b) The number of prisoners enrolled in each program, the number of prisoners completing each program, the number of prisoners who fail each program, the number of prisoners who do not complete each program and the reason for not completing the program, the number of prisoners transferred to another facility while enrolled in a program and the reason for transfer, the number of prisoners enrolled who are repeating the program by reason, and the number of prisoners on waiting lists for each program, all itemized by facility.

(c) The steps the department has undertaken to improve programs, track records, accommodate transfers and prisoners with health care needs, and reduce waiting lists.

(d) The number of prisoners not paroled at their earliest release date due to lack of a GED, and the reason the prisoners do not have their GED.

(e) The number of prisoners paroled without a GED.

(f) An explanation of the value and purpose of each program, e.g., to improve employability, reduce recidivism, reduce prisoner idleness, or some combination of these and other factors.

(g) An identification of program outcomes for each academic and vocational program.

(h) An explanation of the department's plans for academic and vocational programs.

Sec. 908. (1) By February 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director, the percent of offenders included in the prison population intake for fiscal years 2005-2006 and 2006-2007 who have a high school diploma or a GED.

(2) By February 1, 2008, the department shall provide the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director with statistical reports on the efficacy of both department-provided prison general education and vocational education programs in reducing offender recidivism rates. At a minimum, the report should compare the recidivism rates of the following groups of offenders:

(a) Offenders who completed a GED while in prison and participated in the MPRI.

(b) Offenders who completed a GED while in prison but did not participate in the MPRI.

(d) Offenders who completed a vocational education program while in prison but did not participate in the MPRI.

Sec. 909. As a condition of expending funds appropriated for academic/vocational programs under part 1, the department shall by January 31, 2008 provide a plan to increase certification rates among prisoners enrolled in GED programs at correctional facilities to the members of the senate and house appropriations committees, the senate and house fiscal agencies, and the state budget director. The plan shall include detailed information on certification rates for the most recent 5-year period, a comparison with prisoner certification rates in other states and a national average, and details on how the department plans to improve certification rates.

Sec. 910. The department shall allow the Michigan Braille transcribing fund program to operate at its current location. The donation of the building by the Michigan Braille transcribing fund at the G. Robert Cotton correctional facility in Jackson is acknowledged and appreciated. The department shall continue to encourage the Michigan Braille transcribing fund to produce high-quality materials for use by the visually impaired.

Sec. 911. (1) From the appropriations in part 1, the department shall ensure that all prisoner activities shall include the presence of a sufficient number of correctional officers needed to maintain the safety and security of the institution.

(2) By February 1, 2008, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director the number of critical incidents occurring each month by type and the number and severity of assaults occurring each month at each facility during calendar year 2007.

Sec. 912. The department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the state budget director by April 1, 2008 on the ratio of correctional officers to prisoners for each correctional institution, the ratio of shift command staff to line custody staff, and the ratio of noncustody institutional staff to prisoners for each correctional institution.

Sec. 913. The department shall develop and maintain a statewide waiting list for offenders referred for assessment for the assaultive offender program for parole eligibility and, if possible, shall transfer prisoners into facilities where assaultive offender programs are available in order to facilitate timely participation and completion prior to parole eligibility hearings. Nothing in this section should be deemed to make parole denial appealable in court.

Sec. 914. Funds appropriated in part 1 for transportation are appropriated for costs incurred by the department in transporting offenders. It is the intent of the legislature that costs of offender transportation be met through expenditure of the line item for transportation, and that any costs in excess of the amount expressly appropriated for transportation be met solely through transfers into that line item under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 915. Funds appropriated in part 1 for prison food service are appropriated for costs incurred by the department in providing food to prisoners, to department employees as provided by collective bargaining agreements, and to governmental agencies as provided by interagency agreements and contracts. It is the intent of the legislature that costs of prison food service be met through expenditure of the line item for prison food service, and that any costs in excess of the amount expressly appropriated for prison food service be met solely through transfers into that line item under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 916. From the funds appropriated in part 1, the department shall allocate $100,000.00 for the acquisition of stab-proof vests, contingent on entering into a contract for the construction or manufacture of stab-proof vests.

Sec. 917. It is the intent of the legislature that the department implement evidence-based pilot programs that change offenders' behaviors, values, beliefs, and attitudes toward victims and the community.

Sec. 918. Following receipt of an auditor general performance audit on offender transportation, the department, in conjunction with the department of management and budget, shall issue a request for information on the possible bidding of all offender transportation services. State employees shall be given the opportunity to respond to a request for information on offender transportation services. Any response to the request for information shall include an explanation of how savings of at least 5% over existing costs of offender transportation would be realized.

Sec. 919. Following receipt of an auditor general performance audit on prison food service, the department, in conjunction with the department of management and budget, shall issue a request for information on the possible bidding of all prison food service. State employees shall be given the opportunity to respond to a request for information on prison food service. Any response to the request for information shall include an explanation of how savings of at least 5% over existing costs of prison food service would be realized.

Sec. 920. The department shall make every effort to operate a garden or horticultural operation at each correctional facility, where practical, in order to provide food for correctional facilities and not-for-profit organizations.

Sec. 921. Funds appropriated in part 1 for facility maintenance and repurposing are appropriated for necessary utility and security costs for the former Camp Manistique and for conducting a feasibility study on potential future uses of closed correctional facilities, camps, and prison farms located in the Upper Peninsula.

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 corrections and certain state purposes related to corrections for thefiscal year ending September 30, 2008; to provide for the expenditure of the appropriations; to provide for reports; to provide for the creation of certain advisory committees and boards; to prescribe certain powers and duties of the department of corrections, certain other state officers and agencies, and certain advisory committees and boards; to provide for the collection of certain funds; and to provide for the disposition of fees and other income received by certain state agencies.

Alma Wheeler Smith

Doug Bennett

John M. Proos

Conferees for the House

Alan L. Cropsey

Roger Kahn

Liz Brater

Conferees for the Senate

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.448 Yeas--35

Allen Clark-Coleman Jacobs Sanborn

Anderson Clarke Jansen Schauer

Barcia Cropsey Jelinek Scott

Basham Garcia Kahn Stamas

Birkholz George Kuipers Switalski

Bishop Gilbert McManus Thomas

Brater Gleason Olshove Van Woerkom

Brown Hardiman Pappageorge Whitmer

Cherry Hunter Patterson

Nays--3

Cassis Prusi Richardville

Excused--0

Not Voting--0

In The Chair: Richardville

Senator Cropsey moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

House Bill No.4354, entitled

A bill to make appropriations for the department of natural resources for the fiscal year ending September 30, 2008; to provide for the expenditure of those appropriations; to create funds and accounts; to require reports; to prescribe certain powers and duties of certain state agencies and officials; to authorize certain transfers by certain state agencies; and to provide for the disposition of fees and other income received by the various state agencies.

The House of Representatives has adopted the report of the Committee of Conference.

The Conference Report was read as follows:

FIRST CONFERENCE REPORT

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

House Bill No. 4354, entitled

Recommends:

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

Second: That the House and Senate agree to the Substitute of the House as passed by the House, 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 natural resources 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 NATURAL RESOURCES

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 2,082.9

GROSS APPROPRIATION $ 289,195,400

Interdepartmental grant revenues:

IDG, engineering services to work orders 1,972,100

IDG, MacMullan conference center revenue 1,419,200

IDG, land acquisition services to work orders 417,000

Total interdepartmental grants and intradepartmental transfers 3,808,300

ADJUSTED GROSS APPROPRIATION $ 285,387,100

Federal revenues:

DAG, federal 14,344,000

DOC, federal 71,400

DOE, federal 1,000

DOI, federal 25,260,100

DHS, USCG 5,905,600

DOT, federal 2,100,000

EPA, federal 286,800

Total federal revenues 47,968,900

Special revenue funds:

Private funds 3,166,500

Total private revenues 3,166,500

Air photo fees - geographic information system 26,300

Aircraft fees 257,300

Cervidae licensing and inspection fees 165,000

Clean Michigan initiative fund 57,600

Commercial forest fund 48,500

Forest recreation fund 1,459,000

Forest development fund 27,316,800

Forestland user charges 563,400

Game and fish protection fund 66,797,600

Game and fish protection fund - fisheries settlement 905,500

Game and fish protection fund - deer habitat reserve 3,039,900

Game and fish protection fund - turkey permit fees 1,837,700

Game and fish protection fund - waterfowl fees 108,900

Game and fish - wildlife resource protection fund 1,653,600

Game and fish protection fund - youth hunting and fishing education and outreach 28,400

Harbor development fund 299,400

Land exchange facilitation fund 6,166,400

Marine safety fund 4,771,700

Michigan civilian conservation corps endowment fund 525,000

Michigan state parks endowment fund 13,816,600

Michigan state waterways fund $ 16,504,100

Michigan natural resources trust fund 3,065,200

Nongame wildlife fund 704,800

Off-road vehicle trail improvement fund 4,701,600

Park improvement fund 41,367,500

Publication revenue 500

Recreation improvement fund 1,476,500

Safety education fund 217,300

Shop fees 65,900

Snowmobile registration fee revenue 2,273,400

Snowmobile trail improvement fund 10,030,100

Sportsmen against hunger fund 257,000

Total other state restricted revenues 210,508,500

State general fund/general purpose $ 23,743,200

Sec. 102. EXECUTIVE

Full-time equated unclassified positions 6.0

Full-time equated classified positions 45.6

Commission (including travel expense--per diem) $ 91,300

Unclassified salaries 416,500

Communications--33.6 FTE positions 3,378,200

Executive direction--12.0 FTE positions 2,099,500

GROSS APPROPRIATION $ 5,985,500

Appropriated from:

Interdepartmental grant revenues:

IDG, MacMullan conference center revenue 6,100

Special revenue funds:

Aircraft fees 500

Forest development fund 301,100

Forestland user charges 6,500

Forest recreation fund 28,000

Game and fish protection fund 2,040,500

Game and fish protection fund - deer habitat reserve 38,000

Game and fish protection fund - turkey permit fees 16,200

Game and fish protection fund - waterfowl fees 900

Game and fish - wildlife resource protection fund 15,600

Game and fish protection fund - youth hunting and fishing education and outreach 28,400

Harbor development fund 600

Land exchange facilitation fund 65,100

Marine safety fund 29,900

Michigan natural resources trust fund 33,000

Michigan state parks endowment fund 134,100

Michigan state waterways fund 288,100

Nongame wildlife fund 11,300

Off-road vehicle trail improvement fund 24,200

Park improvement fund 2,214,900

Publications revenue 500

Recreation improvement fund 13,300

Snowmobile registration fee revenue 4,400

Snowmobile trail improvement fund 47,400

State general fund/general purpose $ 636,900

Sec. 103. ADMINISTRATIVE SERVICES

Full-time equated classified positions 80.0

Budget and support services--10.0 FTE positions $ 1,034,600

Financial services--27.0 FTE positions 2,560,900

Grants administration--15.0 FTE positions 1,356,000

Human resources--20.0 FTE positions 2,137,700

Human resources optimization user charges $ 163,000

Internal audit--8.0 FTE positions 867,000

GROSS APPROPRIATION $ 8,119,200

Appropriated from:

Interdepartmental grant revenues:

Federal revenues:

DOI, federal 315,600

Special revenue funds:

Clean Michigan initiative fund 57,600

Commercial forest fund 1,000

Forest development fund 1,113,700

Forestland user charges 1,000

Forest recreation fund 77,100

Game and fish protection fund 1,666,000

Game and fish protection fund - deer habitat reserve 66,400

Game and fish protection fund - turkey permit fees 33,700

Game and fish protection fund - waterfowl fees 4,600

Game and fish - wildlife resource protection fund 35,000

Harbor development fund 7,200

Land exchange facilitation fund 77,500

Marine safety fund 173,300

Michigan natural resources trust fund 754,100

Michigan state parks endowment fund 360,400

Michigan state waterways fund 482,800

Nongame wildlife fund 23,900

Off-road vehicle trail improvement fund 70,600

Park improvement fund 1,375,900

Recreation improvement fund 21,000

Safety education fund 6,600

Snowmobile registration fee revenue 79,000

Snowmobile trail improvement fund 246,800

State general fund/general purpose $ 1,068,400

Sec. 104. LAND AND FACILITIES

Full-time equated classified positions 134.2

Land and facilities--134.2 FTE positions $ 20,310,600

GROSS APPROPRIATION $ 20,310,600

Appropriated from:

Interdepartmental grant revenues:

IDG, MacMullan conference center revenue 1,413,100

IDG, engineering services to work orders 1,972,100

IDG, land acquisition services to work orders 417,000

Special revenue funds:

Forest development fund 1,903,300

Forestland user charges 13,600

Forest recreation fund 11,000

Game and fish protection fund 6,912,600

Game and fish protection fund - deer habitat reserve 117,900

Game and fish protection fund - turkey permit fees 37,600

Game and fish - wildlife resource protection fund 10,400

Land exchange facilitation fund 5,907,900

Marine safety fund 75,700

Michigan natural resources trust fund 5,900

Michigan state parks endowment fund 132,600

Michigan state waterways fund 266,100

Park improvement fund 504,200

Off-road vehicle trail improvement fund 24,100

Snowmobile trail improvement fund $ 123,800

State general fund/general purpose $ 461,700

Sec. 105. DEPARTMENTAL OPERATION SUPPORT

Building occupancy charges $ 2,135,700

Rent - privately owned property 565,000

Gifts and bequests 500,000

GROSS APPROPRIATION $ 3,200,700

Appropriated from:

Special revenue funds:

Private funds 500,000

Forest development fund 651,100

Forest recreation fund 20,900

Game and fish protection fund 952,400

Game and fish protection fund - deer habitat reserve 21,300

Game and fish protection fund - turkey permit fees 20,400

Game and fish - wildlife resource protection fund 7,600

Land exchange facilitation fund 13,200

Marine safety fund 34,900

Michigan state parks endowment fund 245,400

Michigan state waterways fund 151,600

Michigan natural resources trust fund 43,000

Snowmobile trail improvement fund 22,300

Park improvement fund 341,600

State general fund/general purpose $ 175,000

Sec. 106. WILDLIFE MANAGEMENT

Full-time equated classified positions 195.7

Wildlife management--186.7 FTE positions $ 27,630,000

Natural resources heritage--9.0 FTE positions 1,324,700

State game and wildlife area maintenance 500,000

GROSS APPROPRIATION $ 29,454,700

Appropriated from:

Federal revenues:

DAG, federal 206,000

DOI, federal 10,957,100

EPA, federal 1,000

Special revenue funds:

Private funds 114,400

Cervidae licensing and inspection fees 101,300

Forest development fund 63,300

Game and fish protection fund 10,653,600

Game and fish protection fund - deer habitat reserve 2,723,300

Game and fish protection fund - turkey permit fees 1,665,500

Game and fish protection fund - waterfowl fees 103,400

Nongame wildlife fund 633,800

Sportsmen against hunger fund 257,000

State general fund/general purpose $ 1,975,000

Sec. 107. FISHERIES MANAGEMENT

Full-time equated classified positions 225.0

Aquatic resource mitigation--3.0 FTE positions $ 906,500

Fisheries resource management--160.0 FTE positions 20,094,000

Fish production--62.0 FTE positions 8,664,400

GROSS APPROPRIATION $ 29,664,900

Appropriated from:

Federal revenues:

DAG, federal 134,200

DOE, federal 1,000

DOC, federal $ 53,300

DOI, federal 9,392,600

EPA, federal 165,000

Special revenue funds:

Private funds 116,300

Game and fish protection fund - fisheries settlement 905,500

Game and fish protection fund 18,897,000

State general fund/general purpose $ 0

Sec. 108. PARKS AND RECREATION

Full-time equated classified positions 794.9

State parks--628.4 FTE positions $ 46,981,200

State park improvement revenue bonds - debt service 1,127,800

Recreational boating--163.5 FTE positions 14,448,500

Michigan civilian conservation corps--3.0 FTE positions 500,000

GROSS APPROPRIATION $ 63,057,500

Appropriated from:

Federal revenues:

EPA, federal 119,800

Special revenue funds:

Private funds 362,500

Harbor development fund 285,000

Michigan civilian conservation corps endowment fund 500,000

Michigan state parks endowment fund 12,032,500

Michigan state waterways fund 14,163,500

Off-road vehicle trail improvement fund 242,200

Park improvement fund 35,352,000

State general fund/general purpose $ 0

Sec. 109. FOREST, MINERAL, AND FIRE MANAGEMENT

Full-time equated classified positions 340.0

Forest and timber treatments--120.0 FTE positions $ 14,165,200

Forest management planning--18.0 FTE positions 3,996,600

Adopt-a-forest program 25,000

Wildfire protection--130.0 FTE positions 10,503,900

Forest recreation and trails--35.0 FTE positions 4,946,200

Minerals management--17.3 FTE positions 2,515,700

Cooperative resource programs--10.5 FTE positions 2,521,500

Forest management initiative--9.2 FTE positions 862,900

Forest fire equipment 100,000

GROSS APPROPRIATION $ 39,637,000

Appropriated from:

Federal revenues:

DAG, federal 2,378,800

DOI, federal 2,000

EPA, federal 1,000

Special revenue funds:

Private funds 923,300

Aircraft fees 256,800

Air photo fees - geographic information system 26,300

Commercial forest fund 47,500

Forest recreation fund 1,211,500

Forest development fund 21,829,000

Forestland user charges 526,200

Game and fish protection fund 1,702,200

Michigan state waterways fund 385,100

Michigan natural resources trust fund 1,243,100

Michigan state parks endowment fund 563,800

Off-road vehicle trail improvement fund $ 661,500

Recreation improvement fund 322,400

Shop fees 65,900

Snowmobile trail improvement fund 2,212,700

State general fund/general purpose $ 5,277,900

Sec. 110. LAW ENFORCEMENT

Full-time equated classified positions 267.5

General law enforcement--267.5 FTE positions $ 32,042,600

GROSS APPROPRIATION $ 32,042,600

Appropriated from:

Federal revenues:

DOC, federal 18,100

DOI, federal 1,475,900

DHS, USCG 4,435,600

Special revenue funds:

Cervidae licensing and inspection fees 63,700

Forest recreation fund 59,700

Game and fish - wildlife resource protection fund 1,529,700

Game and fish protection fund 18,963,200

Marine safety fund 1,579,800

Off-road vehicle trail improvement fund 1,225,000

Safety education fund 60,700

Park improvement fund 59,700

Snowmobile registration fee revenue 1,018,300

State general fund/general purpose $ 1,553,200

Sec. 111. PAYMENTS IN LIEU OF TAXES

Swamp and tax reverted lands $ 7,071,500

Purchased lands 4,450,000

Commercial forest reserve 2,662,600

GROSS APPROPRIATION $ 14,184,100

Appropriated from:

Special revenue funds:

Game and fish protection fund 1,715,000

Michigan natural resources trust fund 500,000

Michigan state waterways fund 135,000

State general fund/general purpose $ 11,834,100

Sec. 112. GRANTS

Grant to counties--marine safety $ 4,275,000

Accessibility grants 1,000,000

Federal - land and water conservation fund payments 2,566,900

Federal - forest stewardship grants 4,125,000

Federal - urban forestry grants 4,000,000

Federal - rural community fire protection 300,000

Federal - clean vessel act grants 400,000

Grants to communities - federal oil, gas, and timber payments 3,450,000

Recreation improvement fund grants 1,100,000

Snowmobile local grants program 7,314,000

Snowmobile law enforcement grants 1,142,000

Off-road vehicle safety training grants 150,000

Off-road vehicle trail improvement grants 2,454,000

National recreational trails 2,150,000

Game and nongame wildlife fund grants 10,000

Inland fisheries resources grants 200,000

GROSS APPROPRIATION $ 34,636,900

Appropriated from:

Federal revenues:

DAG, federal 11,625,000

DHS, USCG $ 1,470,000

DOI, federal 3,116,900

DOT, federal 2,100,000

Special revenue funds:

Private funds 1,150,000

Game and fish protection fund 200,000

Marine safety fund 2,805,000

Nongame wildlife fund 10,000

Off-road vehicle trail improvement fund 2,454,000

Recreation improvement fund 1,100,000

Safety education fund 150,000

Snowmobile registration fee revenue 1,142,000

Snowmobile trail improvement fund 7,314,000

State general fund/general purpose $ 0

Sec. 113. INFORMATION TECHNOLOGY

Information technology services and projects $ 8,901,700

GROSS APPROPRIATION $ 8,901,700

Appropriated from:

Interdepartmental grant revenues:

Special revenue funds:

Forest development fund 1,455,300

Forestland user charges 16,100

Forest recreation fund 50,800

Game and fish protection fund 3,095,100

Game and fish protection fund - deer habitat reserve 73,000

Game and fish protection fund - turkey permit fees 64,300

Game and fish - wildlife resource protection fund 55,300

Harbor development fund 6,600

Land exchange facilitation fund 102,700

Marine safety fund 73,100

Michigan civilian conservation corps endowment fund 25,000

Michigan natural resources trust fund 486,100

Michigan state parks endowment fund 347,800

Michigan state waterways fund 631,900

Nongame wildlife fund 25,800

Park improvement fund 1,519,200

Recreation improvement fund 19,800

Snowmobile registration fee revenue 29,700

Snowmobile trail improvement fund 63,100

State general fund/general purpose $ 761,000

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 $234,251,700.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $19,241,100.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF NATURAL RESOURCES

PAYMENTS IN LIEU OF TAXES

Commercial forest reserves $ 2,662,600

Purchased lands 4,450,000

Swamp and tax reverted lands 7,071,500

GRANTS

Grants to counties - marine safety $ 2,805,000

Off-road vehicle safety training grants 150,000

Off-road vehicle trail improvement grants 450,000

Recreation improvement fund grants 110,000

Snowmobile law enforcement grants 1,142,000

Snowmobile local grants program 400,000

TOTAL $ 19,241,100

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) "Commission" means the commission of natural resources.

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

(d) "DHS" means the United States department of homeland security.

(e) "DOC" means the United States department of commerce.

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

(g) "DOI" means the United States department of interior.

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

(i) "EPA" means the United States environmental protection agency.

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

(k) "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, cause loss of revenue to the state, result in the inability of the state to receive federal funds, or 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 exceptions.

Sec. 206. The department shall use the Internet to fulfill the reporting requirements of this act. This requirement can be met if reports are transmitted 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. 207. Within 14 days after the release of the executive budget recommendation, the department shall provide the state budget director, the senate and house appropriations subcommittees on natural resources, and the senate and house fiscal agencies with an annual report on estimated restricted fund balances, projected revenues, and expenditures for the fiscal years ending September 30, 2007 and September 30, 2008.

Sec. 208. (1) From the funds appropriated under part 1, the department shall prepare a report that lists all of the following regarding grant, loan, or grant and loan programs administered by the department for the fiscal year ending on September 30, 2008:

(a) The name of each program.

(b) The goals, criteria, filing fees, nominating procedures, eligibility requirements, processes, and deadlines for each program.

(d) The amount of any required match, and whether in-kind contributions may be used as part or all of a required match.

(e) Information pertaining to the application process, timeline for each program, and the contact people within the department.

(f) The source of funds for each program, including the citation of pertinent authorizing acts.

(g) Information regarding plans for the next fiscal year for the phaseout, expansion, or changes for each program.

(h) A listing of all recipients of grants or loans awarded by the department by type and amount of grant or loan during the fiscal year ending September 30, 2007.

(2) The reports required under this section shall be submitted to the state budget director, the senate and house appropriations committees, and the senate and house fiscal agencies by January 1, 2008.

Sec. 209. Appropriations of state-restricted game and fish protection funds have been made to the following departments and agencies in their respective appropriation acts. The amounts appropriated to these departments and agencies are listed below:

Department of civil service $ 409,100

History, arts, and libraries 3,700

Legislative auditor general 21,400

Attorney general 767,800

Department of management and budget 278,600

Department of treasury 11,700

Sec. 210. Before January 31, 2008, the department, in cooperation with the Michigan state waterways commission, shall provide to the state budget director, the senate and house appropriations subcommittees on natural resources, and the senate and house fiscal agencies a list of projects completed by the commission in fiscal year 2006-2007, including the county and municipality in which each project is located.

Sec. 211. Pursuant to section 43703(3) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.43703, there is appropriated from the game and fish protection trust fund to the game and fish protection account of the Michigan conservation and recreation legacy fund, $6,000,000.00 for the fiscal year ending September 30, 2008.

Sec. 212. 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. Such user fees shall be subject to provisions of an interagency agreement between the department and the department of information technology.

Sec. 213. 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. 214. (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 house and senate appropriations committees, the house and senate 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. 215. Funds appropriated in part 1 shall not be used for the purchase of foreign goods or services, or both, if competitively priced and 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. 216. The director shall take all reasonable steps to ensure businesses in deprived and depressed communities and in Lake County 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. 217. The department shall not take disciplinary action against an employee for communicating truthfully and factually with a member of the legislature or his or her staff.

Sec. 218. (1) The department shall report no later than April 1, 2008 on each specific policy change made to implementa 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. 219. 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. 220. The department shall develop a plan for allocating restricted funds among department administrative support and regulatory activities. This plan shall be submitted to the house and senate appropriations subcommittees on natural resources by January 30, 2008. This plan shall include a cost allocation plan for financial services support, office space rent and building occupancy charges, and support division service for information systems and technology and a methodology to use information generated through activity reports that identifies the percentage of employee time spent on restricted fund activities.

Sec. 222. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $3,000,000.00 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.

Sec. 223. (1) The department and the legislature shall create a workgroup to develop recommendations for long-term funding for the department. The recommendations shall be submitted to the senate and house appropriations committees by September 30, 2008.

(2) The workgroup shall consist of 7 members, appointed as follows:

(a) Two members of the senate appointed by the senate majority leader, 1 of whom shall be the chair of the appropriations subcommittee on natural resources.

(b) Two members of the house appointed by the speaker of the house, 1 of whom shall be the chair of the appropriations subcommittee on natural resources.

(d) Two members appointed by the governor, 1 of whom shall be a member of the natural resources commission and 1 of whom shall be a member of the citizens committee for Michigan state parks.

(3) The chairs of the appropriation subcommittees shall serve as cochairs of the workgroup.

Sec. 224. It is the intent of the legislature that revenue shortfalls in state restricted funds appropriated in part 1 shall be addressed by January 15, 2008.

ADMINISTRATIVE SERVICES

Sec. 401. The department may charge the appropriations contained in part 1, including all special maintenance and capital projects appropriated for the fiscal year ending September 30, 2008, for engineering services provided, a standard percentage fee to recover actual costs. The department may use the revenue derived to support the engineering services charges provided for in part 1.

Sec. 402. The department may charge land acquisition projects appropriated for the fiscal year ending September 30, 2008, and for prior fiscal years, a standard percentage fee to recover actual costs, and may use the revenue derived to support the land acquisition service charges provided for in part 1.

Sec. 403. The department may charge both application fees and transaction fees related to the exchange or sale of state-owned land or rights in land authorized by part 21 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.2101 to 324.2162. The fees shall be set by the director at a rate which allows the department to recover its costs for providing these services.

Sec. 404. The department shall prominently display in a prominent place in the fishing guide provided to each licensed fisher and paid for from the funds appropriated in part 1, the website address for the department of community health. In addition, the fishing guide shall include information on alternative sources where interested parties without Internet access may find information on fish advisories issued by the department of community health.

Sec. 405. Within 21 days after the end of the fiscal year ending September 30, 2008, the department shall submit to the senate and house appropriations subcommittees on natural resources a report on all land transactions approved by the commission in the previous fiscal year. For each land transaction, the report shall include the size of the parcel, the county and municipality in which the parcel is located, the dollar amount of the transaction, the fund source affected by the transaction, and whether the transaction is by purchase, public auction, transfer, exchange, or conveyance.

WILDLIFE MANAGEMENT

Sec. 501. It is the intent of the legislature that, from the funds appropriated in part 1, the department shall reimburse the department of agriculture for costs incurred for indemnification payments for livestock losses caused by wolves, coyotes, or cougars under the animal industry act, 1988 PA 466, MCL 287.701 to 287.745.

Sec. 502. From the funds appropriated in part 1, the department shall submit quarterly reports to the state budget director, the senate and house appropriations subcommittees on natural resources, and the senate and house fiscal agencies that provide detail about enforcement actions taken to eradicate bovine TB, the number of infected deer found, new science it is working on to detect bovine TB, and other relevant information about the department's efforts to address the presence of bovine TB in the state.

FISHERIES MANAGEMENT

Sec. 601. As a condition of expenditure of fisheries management appropriations under part 1, the department shall not impede the certification process for water control structures on Michigan waterways. The department shall fund from funds appropriated in part 1 all non-water-quality studies or requirements that the department requests of either of the following:

(a) The department of environmental quality as a condition for issuance of a certification under the federal water pollution control act, 33 USC 1341.

(b) The federal energy regulatory commission as a condition of licensing under the federal power act, 16 USC 791a to 825r.

Sec. 602. (1) From the appropriation in part 1 for aquatic resource mitigation, not more than $758,000.00 shall be allocated for grants to watershed councils, resource development councils, soil conservation districts, local governmental units, and other nonprofit organizations for stream habitat stabilization and soil erosion control.

(2) The fisheries division of the department shall develop priority and cost estimates for all recommended projects.

Sec. 603. From the funds appropriated in part 1 for fish production and fisheries resource management, the department shall continue to operate the 6 hatcheries that were operational on September 30, 2007.

PARKS AND RECREATION

Sec. 701. Pursuant to section 1902(2) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.1902, there is appropriated from the Michigan natural resources trust fund to the Michigan state parks endowment fund an amount not to exceed $10,000,000.00 for the fiscal year ending September 30, 2008.

Sec. 702. (1) The department shall prepare detailed reports for construction projects in state parks that will involve campsite or campground closures. These reports shall include expected costs, impacts on recreation opportunities, impacts on state park revenues, and the expected impact on state park users. The department shall also prepare reports on average monthly campground occupancy rates for every state park during the previous summer season. The department shall provide reports described in this subsection to the house and senate appropriations subcommittees on natural resources and the house and senate fiscal agencies not later than April 1, 2008.

(2) The department shall notify the house and senate appropriations subcommittees on natural resources and the house and senate fiscal agencies if it intends to reduce operations or reduce recreation opportunities at any state park or recreation area.

Sec. 703. From the funds appropriated in part 1, the department shall maintain an appropriate number of defibrillators in state parks. State parks shall accept donations of defibrillators.

Sec. 704. By September 30, 2008, the department shall report to the senate and house appropriations subcommittees on natural resources and the senate and house fiscal agencies any misuse of complimentary or discounted day passes at state recreational facilities during the 2007-2008 fiscal year.

Sec. 705. The department shall not alter or halt operations of the ski hill or demolish buildings related to the ski hill, the assistant manager residence, the 3-unit apartment building, or the carpenter's shop and garage in Porcupine Mountains wilderness state park. The department shall collaborate with travel Michigan for the marketing and promotion of the ski hill.

Sec. 706. The department shall work with the natural resources commission to create a plan for generating annual corporate sponsorship revenue for state parks operations. The department shall inventory all state park assets and determine a plan for attracting sponsorships of those assets in a tasteful and appropriate manner without detracting from the image of the park itself. The plan shall be submitted to the state budget director, the senate and house appropriations subcommittees on natural resources, and the senate and house fiscal agencies by January 31, 2008.

FOREST, MINERAL, AND FIRE MANAGEMENT

Sec. 801. In addition to the funds appropriated in part 1, $350,000.00 is appropriated to cover costs related to any declared emergency involving the collapse of any abandoned mine shaft located on state land. This appropriation shall not be expended unless the state budget director recommends the expenditure and the department notifies the house and senate committees on appropriations.

Sec. 802. As a condition of expenditure of appropriations in part 1 from state general fund/general purpose, on November 15, 2007 the department shall provide at least $1,000,000.00 from cooperative resources programs as an interdepartmental grant to the department of agriculture for the cooperative resources management initiative program for the purposes of supporting forestry programs in local conservation districts.

Sec. 804. It is the intent of the legislature to restore the $20,000,000.00 by which the grant from the 21st century jobs trust fund to the Michigan forest finance authority under section 88j of the Michigan strategic fund act, 1984 PA 270, MCL 125.2088j, was reduced in fiscal year 2006-2007.

Sec. 805. The department shall spend amounts appropriated in part 1 for forest-related activities to employ or contract for additional foresters to mark timber, pursuant to section 806.

Sec. 806. Of the funds appropriated in part 1, the department shall, subject to the forest certification process, prescribe appropriate treatment on not less than 63,000 acres at the current average rate of 12.5 to 13 cords per acre, and put those cords up for sale in 2008, provided that the department shall take into consideration the impact of timber harvesting on wildlife habitat and recreation uses. The department shall, subject to the forest certification process, increase marking or treatment of hardwood timber for sale and harvest by 10% over 2007 levels. In addition, the department shall take into consideration silvicultural analysis and report annually to the legislature on plans and efforts to address factors limiting management of timber. The department shall provide quarterly reports on the number of acres treated, pursuant to this section, to the senate and house appropriations subcommittees on natural resources and the standing committees of the senate and house of representatives with primary responsibility for natural resources issues.

Sec. 807. From the funds appropriated in part 1, the department shall allow for a designated snowmobile route connecting the Village of Bellaire to the Jordan River Trail across state-owned land with associated reasonable restrictions that mitigate negative impacts on the natural resources.

Sec. 808. In addition to the money appropriated in this act, the department may receive and expend money from federal sources for the purpose of providing response to wildfires as required by a compact with the federal government. If additional expenditure authorization is required, the department shall notify the state budget office that expenditure under this section is required. The department shall notify the house and senate appropriations subcommittees on natural resources and the house and senate fiscal agencies of the expenditures under this section by November 1, 2008.

LAW ENFORCEMENT

Sec. 901. The appropriation in part 1 for snowmobile law enforcement grants shall be used to provide grants to county law enforcement agencies to enforce part 821 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.82101 to 324.82160, including rules promulgated under that part and ordinances enacted pursuant to that part. The department shall consider the number of enforcement hours and the number of miles of snowmobile trails in each county in allocating these grants. Any funds not distributed to counties revert back to the snowmobile registration fee subaccount created under section 82111 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.82111. Counties shall provide semiannual reports to the department on the use of grant money received under this section.

GRANTS

Sec. 1101. Federal pass-through funds to local institutions and governments that are received in amounts in addition to those included in part 1 for grants to communities - federal oil, gas, and timber payments and that do not require additional state matching funds are appropriated for the purposes intended. By November 30, 2007, the department shall report to the senate and house appropriations subcommittees on natural resources, the senate and house fiscal agencies, and the state budget director on all amounts appropriated under this section during the fiscal year ending September 30, 2007.

Sec. 1102. Subject to part 811 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.81101 to 324.81150, from the funds appropriated in part 1 for off-road vehicle trail improvements grants, not less than $980,000.00 shall be spent on the development of new trails in accordance with the off-road vehicle trail expansion plan submitted to the legislature pursuant to section 807 of article 14 of 2005 PA 154.

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

Michael Lahti

Dudley Spade

Darwin Booher

Conferees for the House

Michelle McManus

Mark Jansen

Liz Brater

Conferees for the Senate

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.449 Yeas--32

Allen Cassis Hardiman Olshove

Anderson Cherry Hunter Pappageorge

Barcia Clark-Coleman Jacobs Schauer

Basham Clarke Jansen Scott

Birkholz Cropsey Jelinek Stamas

Bishop Garcia Kahn Switalski

Brater George Kuipers Thomas

Brown Gleason McManus Van Woerkom

Nays--6

Gilbert Prusi Sanborn Whitmer

Patterson Richardville

Excused--0

Not Voting--0

In The Chair: Richardville

Senator Cropsey moved that the bill be given immediate effect.

The motion prevailed, 2/3 of the members serving voting therefor.

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

The motion prevailed.

Senator Garcia's statement is as follows:

First of all, I intend to support this budget, but I do want to take this opportunity to say a couple of things about this department that I believe needs some attention.

First of all, some of you may know that I have the Island Lake Shooting Range in my district. Over the last couple of years, some of my constituents have brought suit against the state and the shooting range for the noise that comes from that shooting range. Now there are some disputes between the residents and the shooting range as to who was there first. I think it is clear that the shooting range was there first. However, the type of shooting that has occurred there changed about three years ago and has caused a deterioration in the quality of life for many of my constituents.

Now most of you know that I have been supported by the NRA. The fact that I serve in the military, I have no problem with guns; I have no problem with shooting, but I also represent constituents and believe that they, too, ought to be afforded a quality of life. The judge in the court case ruled in favor of the department. It is my hope that the department will now take some steps to help improve the situation there and help serve all the citizens of the state, including my constituents. It is my hope that we will be able to work something out there.

So while I intend to support this budget, I do hope that the department will keep in mind the fact that we still need to do something about the noise at that range and the complaints that my constituents will have.

House Bill No.4358, entitled

A bill to make appropriations for the department of environmental quality for the fiscal year ending September 30, 2008; to provide for the expenditure of those appropriations; to create certain funds and accounts; to require certain reports; to prescribe the powers and duties of certain state agencies and officials; to authorize certain transfers by certain state agencies; and to provide for the disposition of fees and other income received by the various state agencies.

The House of Representatives has adopted the report of the Committee of Conference.

The Conference Report was read as follows:

FIRST CONFERENCE REPORT

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

House Bill No. 4358, entitled

Recommends:

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

Second: That the House and Senate agree to the Substitute of the House as passed by the House, 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 environmental quality 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 ENVIRONMENTAL QUALITY

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 1,561.7

GROSS APPROPRIATION $ 370,844,400

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 18,662,900

ADJUSTED GROSS APPROPRIATION $ 352,181,500

Federal revenues:

Total federal revenues 131,750,500

Special revenue funds:

Total local revenues 0

Total private revenues 455,100

Total other state restricted revenues 188,212,700

State general fund/general purpose $ 31,763,200

FUND SOURCE SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 1,561.7

GROSS APPROPRIATION $ 370,844,400

Interdepartmental grant revenues:

IDG-MDCH, local public health operations 10,472,500

IDG-MDSP 880,400

IDG, Michigan transportation fund 1,057,000

IDT, interdivisional charges 2,053,400

IDT, laboratory services 4,199,600

Total interdepartmental grants and intradepartmental transfers 18,662,900

ADJUSTED GROSS APPROPRIATION $ 352,181,500

Federal revenues:

DHHS, federal 6,200

DHS, federal 3,609,300

DOC-NOAA, federal 3,670,200

DOD, federal 1,202,600

DOI, federal 594,000

EPA, brownfield cleanup revolving loan fund 1,000,000

EPA, multiple 121,668,200

Total federal revenues 131,750,500

Special revenue funds:

Private funds $ 455,100

Total private revenues 455,100

Aboveground storage tank fees 760,400

Air emissions fees 13,654,900

Aquifer protection revolving fund 400,000

Campground fund 237,600

Clean Michigan initiative - administration 335,500

Clean Michigan initiative - clean water fund 3,372,000

Clean Michigan initiative - response activities 5,663,200

Cleanup and redevelopment fund 12,383,100

Community pollution prevention fund 250,000

Environmental pollution prevention fund 2,033,000

Environmental protection fund 3,907,100

Environmental response fund 6,299,700

Fees and collections 552,500

Financial instruments 5,000,000

Great Lakes protection fund 1,603,100

Groundwater discharge permit fees 2,826,000

Hazardous materials transportation permit fund 218,500

Infrastructure construction fund 400,000

Laboratory data quality recognition fund 16,200

Land and water permit fees 4,252,500

Landfill maintenance trust fund 55,900

Medical waste emergency response fund 240,300

Metallic mining surveillance fee revenue 93,500

Mineral well regulatory fee revenue 246,000

Nonferrous metallic mineral surveillance 218,600

NPDES fees 3,362,400

Oil and gas regulatory fund 7,829,100

On-site wastewater treatment program fund 592,500

Orphan well fund 2,051,900

Public swimming pool fund 541,300

Public utility assessments 786,100

Public water supply fees 3,949,600

Publication revenue 120,200

Refined petroleum fund 30,684,500

Restricted funds 18,448,500

Retired engineers technical assistance fund 1,474,300

Revitalization revolving loan fund 84,300

Revolving loan revenue bonds 11,400,000

Saginaw Bay and River restoration revenue 174,800

Sand extraction fee revenue 198,300

Scrap tire regulatory fund 5,846,300

Septage waste contingency fund 37,700

Septage waste program fund 720,200

Settlement funds 2,093,100

Sewage sludge land application fee 850,800

Small business pollution prevention revolving loan fund 107,700

Soil erosion and sedimentation control training fund 114,700

Solid waste program fees 4,493,500

Stormwater permit fees 2,799,400

Strategic water quality initiatives fund 10,000,000

Underground storage tank fees 3,125,500

Waste reduction fee revenue 4,479,600

Wastewater operator training fees 172,100

Water analysis fees 3,317,600

Water pollution control revolving fund $ 3,066,400

Water quality protection fund 25,000

Water use reporting fees 245,700

Total other state restricted revenues 188,212,700

State general fund/general purpose $ 31,763,200

Sec. 102. EXECUTIVE OPERATIONS AND DEPARTMENT SUPPORT

Full-time equated unclassified positions 6.0

Full-time equated classified positions 78.0

Unclassified salaries--6.0 FTE positions $ 587,600

Administrative hearings 441,800

Automated data processing 2,053,400

Central operations--62.0 FTE positions 6,757,100

Environmental support projects 5,000,000

Executive direction--9.0 FTE positions 2,306,100

Human resource optimization user charges 98,600

Office of the Great Lakes--7.0 FTE positions 1,048,900

Building occupancy charges 7,291,400

Rent - privately owned property 2,145,900

GROSS APPROPRIATION $ 27,730,800

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP 112,100

IDT, interdivisional charges 2,053,400

IDT, laboratory services 471,400

Federal revenues:

DOC-NOAA, federal 22,500

DOI, federal 160,300

EPA, multiple 265,100

Special revenue funds:

Financial instruments 5,000,000

Great Lakes protection fund 603,100

Restricted funds 13,248,100

Settlement funds 104,400

State general fund/general purpose $ 5,690,400

Sec. 103. AIR QUALITY

Full-time equated classified positions 241.5

Air quality programs--241.5 FTE positions $ 26,408,400

GROSS APPROPRIATION $ 26,408,400

Appropriated from:

Federal revenues:

DHS, federal 2,027,600

EPA, multiple 4,470,600

Special revenue funds:

Air emissions fees 12,889,300

Environmental response fund 106,200

Fees and collections 408,400

Oil and gas regulatory fund 107,500

Refined petroleum fund 2,850,700

State general fund/general purpose $ 3,548,100

Sec. 104. ENVIRONMENTAL SCIENCE AND SERVICES

Full-time equated classified positions 184.0

Program services and grant management--27.5 FTE positions $ 3,886,300

Laboratory services--68.0 FTE positions 6,822,900

Municipal assistance--35.5 FTE positions 5,305,100

Pollution prevention and technical assistance--53.0 FTE positions 5,085,800

Pollution prevention outreach 300,000

Retired engineers technical assistance program $ 1,474,300

Revitalization revolving loan program 1,000,000

GROSS APPROPRIATION $ 23,874,400

Appropriated from:

Interdepartmental grant revenues:

IDT, laboratory services 3,577,800

Federal revenues:

DOC-NOAA, federal 353,000

EPA, brownfield cleanup revolving loan fund 1,000,000

EPA, multiple 3,432,400

Special revenue funds:

Private funds 300,000

Air emissions fees 765,600

Environmental protection fund 68,500

Environmental response fund 662,500

Laboratory data quality recognition fund 16,200

Public water supply fees 252,100

Retired engineers technical assistance fund 1,474,300

Revitalization revolving loan fund 84,300

Settlement funds 234,400

Small business pollution prevention revolving loan fund 107,700

Stormwater permit fees 95,500

Strategic water quality initiatives fund 400,000

Waste reduction fee revenue 4,405,000

Wastewater operator training fees 172,100

Water analysis fees 3,317,600

Water pollution control revolving fund 2,398,300

State general fund/general purpose $ 757,100

Sec. 105. OFFICE OF GEOLOGICAL SURVEY

Full-time equated classified positions 68.0

Coal and sand dune management--3.0 FTE positions $ 626,000

Metallic mine reclamation--1.0 FTE position 93,500

Mineral wells management--3.0 FTE positions 246,000

Nonferrous metallic mining--2.0 FTE positions 218,600

Orphan well--2.0 FTE positions 2,051,900

Services to oil and gas--57.0 FTE positions 7,478,300

GROSS APPROPRIATION $ 10,714,300

Appropriated from:

Federal revenues:

DOI, federal 427,700

Special revenue funds:

Metallic mining surveillance fee revenue 93,500

Mineral well regulatory fee revenue 246,000

Nonferrous metallic mineral surveillance 218,600

Oil and gas regulatory fund 7,358,100

Orphan well fund 2,051,900

Publication revenue 120,200

Sand extraction fee revenue 198,300

State general fund/general purpose $ 0

Sec. 106. LAND AND WATER MANAGEMENT

Full-time equated classified positions 129.0

Program direction--8.0 FTE positions $ 938,700

Field permitting and project assistance--72.0 FTE positions 7,514,900

Great Lakes shorelands--28.0 FTE positions 2,662,700

Water management--21.0 FTE positions 2,688,600

GROSS APPROPRIATION $ 13,804,900

Appropriated from:

Interdepartmental grant revenues:

IDG, Michigan transportation fund $ 1,002,500

Federal revenues:

DHS, federal 999,700

DOC-NOAA, federal 1,508,800

EPA, multiple 1,047,400

Special revenue funds:

Land and water permit fees 3,653,300

State general fund/general purpose $ 5,593,200

Sec. 107. REMEDIATION AND REDEVELOPMENT

Full-time equated classified positions 297.5

Contaminated site investigation, cleanup, and revitalization--230.5 FTE positions $ 22,924,100

Federal cleanup project management--67.0 FTE positions 8,385,800

Emergency cleanup actions 4,000,000

Refined petroleum product cleanup program 20,000,000

Environmental cleanup and redevelopment program 5,663,200

Environmental cleanup support 2,340,000

Superfund cleanup 4,000,000

GROSS APPROPRIATION $ 67,313,100

Appropriated from:

Federal revenues:

DHHS, federal 6,200

DOD, federal 1,174,500

EPA, multiple 8,403,500

Special revenue funds:

Private funds 155,100

Clean Michigan initiative - response activities 5,663,200

Cleanup and redevelopment fund 12,383,100

Environmental protection fund 3,838,600

Environmental response fund 5,231,400

Landfill maintenance trust fund 55,900

Refined petroleum fund 26,790,900

Settlement funds 1,504,300

State general fund/general purpose $ 2,106,400

Sec. 108. WASTE AND HAZARDOUS MATERIALS

Full-time equated classified positions 183.5

Aboveground storage tank program--8.0 FTE positions $ 760,400

Hazardous waste management program--61.0 FTE positions 6,463,200

Low-level radioactive waste authority--2.0 FTE positions 786,100

Medical waste program--2.0 FTE positions 240,300

Radiological protection program--14.5 FTE positions 1,418,800

Scrap tire regulatory program--11.0 FTE positions 1,061,200

Solid waste management program--50.0 FTE positions 4,568,100

Underground storage tank program--35.0 FTE positions 3,394,600

GROSS APPROPRIATION $ 18,692,700

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP 740,400

Federal revenues:

EPA, multiple 4,006,600

Special revenue funds:

Aboveground storage tank fees 760,400

Environmental pollution prevention fund 2,033,000

Hazardous materials transportation permit fund 218,500

Medical waste emergency response fund 240,300

Public utility assessments $ 786,100

Scrap tire regulatory fund 1,061,200

Solid waste program fees 4,493,500

Underground storage tank fees 3,125,500

Waste reduction fee revenue 74,600

State general fund/general purpose $ 1,152,600

Sec. 109. WATER

Full-time equated classified positions 358.2

Aquifer protection program $ 350,000

Aquifer protection and dispute resolution - IDG to Michigan department of agriculture 50,000

Drinking water and environmental health--114.2 FTE positions 16,093,800

Expedited water/wastewater permits--3.0 FTE positions 400,000

Fish contaminant monitoring 316,100

Groundwater discharge--22.0 FTE positions 2,965,300

NPDES nonstormwater program--118.4 FTE positions 10,975,900

Sewage sludge land application program--6.5 FTE positions 850,800

Surface water--94.1 FTE positions 15,339,700

GROSS APPROPRIATION $ 47,341,600

Appropriated from:

Federal revenues:

EPA, multiple 18,070,000

Special revenue funds:

Aquifer protection revolving fund 400,000

Campground fund 237,600

Clean Michigan initiative - administration 335,500

Clean Michigan initiative - clean water fund 3,372,000

Environmental response fund 167,100

Fees and collections 144,100

Groundwater discharge permit fees 2,826,000

Infrastructure construction fund 400,000

Land and water permit fees 599,200

NPDES fees 3,362,400

On-site wastewater treatment program fund 592,500

Public swimming pool fund 541,300

Public water supply fees 2,297,500

Refined petroleum fund 959,200

Saginaw Bay and River restoration revenue 174,800

Septage waste contingency fund 37,700

Septage waste program fund 320,200

Sewage sludge land application fee 850,800

Soil erosion and sedimentation control training fund 114,700

Stormwater permit fees 2,703,900

Water pollution control revolving fund 668,100

Water use reporting fees 245,700

State general fund/general purpose $ 7,921,300

Sec. 110. CRIMINAL INVESTIGATIONS

Full-time equated classified positions 22.0

Environmental investigations--22.0 FTE positions $ 2,587,400

GROSS APPROPRIATION $ 2,587,400

Appropriated from:

Federal revenues:

DHS, federal 557,600

EPA, multiple 154,100

Special revenue funds:

Environmental response fund 132,500

Oil and gas regulatory fund 363,500

Scrap tire regulatory fund $ 285,100

State general fund/general purpose $ 1,094,600

Sec. 111. GRANTS

Coastal management grants $ 2,000,000

Federal - Great Lakes remedial action plan grants 700,000

Federal - nonpoint source water pollution grants 6,500,000

Grants to counties--air pollution 83,700

Radon grants 90,000

Water pollution control and drinking water revolving fund 86,309,300

Drinking water program grants 1,330,000

Great Lakes research and protection grants 1,000,000

Local health department operations 10,472,500

Noncommunity water grants 1,400,000

Pollution prevention local grants 250,000

Real-time water quality monitoring 250,000

Septage waste compliance grants 400,000

Scrap tire grants 4,500,000

Strategic water quality initiative loans 9,600,000

Volunteer river, stream, and creek cleanup 25,000

GROSS APPROPRIATION $ 124,910,500

Appropriated from:

Interdepartmental grant revenues

IDG-MDCH, local public health operations 10,472,500

Federal revenues:

DOC-NOAA, federal 1,700,000

EPA, multiple 80,463,000

Special revenue funds:

Community pollution prevention fund 250,000

Great Lakes protection fund 1,000,000

Public water supply fees 1,400,000

Refined petroleum fund 83,700

Revolving loan revenue bonds 11,400,000

Scrap tire regulatory fund 4,500,000

Septage waste program fund 400,000

Settlement funds 250,000

Strategic water quality initiatives fund 9,600,000

Water quality protection fund 25,000

State general fund/general purpose $ 3,366,300

Sec. 112. INFORMATION TECHNOLOGY

Information technology services and projects $ 7,466,300

GROSS APPROPRIATION $ 7,466,300

Appropriated from:

Interdepartmental grant revenues

IDG-MDSP 27,900

IDG, Michigan transportation fund 54,500

IDT, laboratory services 150,400

Federal revenues:

DHS, federal 24,400

DOC-NOAA, federal 85,900

DOD, federal 28,100

DOI, federal 6,000

EPA, multiple 1,355,500

Special revenue funds:

Restricted funds 5,200,400

State general fund/general purpose $ 533,200

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 $219,975,900.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $4,300,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF ENVIRONMENTAL QUALITY

GRANTS

Noncommunity water grants $ 1,400,000

Real-time water quality monitoring 250,000

Scrap tire grants 2,250,000

Septage waste compliance program 400,000

TOTAL $ 4,300,000

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 environmental quality.

(b) "DHHS" means the United States department of health and human services.

(d) "DOC" means the United States department of commerce.

(e) "DOC-NOAA" means the DOC national oceanic and atmospheric administration.

(f) "DOD" means the United States department of defense.

(g) "DOI" means the United States department of interior.

(h) "EPA" means the United States environmental protection agency.

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

(j) "IDG" means interdepartmental grant.

(k) "IDT" means intradepartmental transfer.

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

(m) "MDSP" means the Michigan department of state police.

(n) "MI" means Michigan.

(o) "NPDES" means national pollutant discharge elimination system.

(2) The state budget director shall grant exceptions to the hiring freeze described in subsection (1) 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. 206. 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. 207. The departments and state agencies receiving appropriations under this act shall receive and retain copies of all reports funded from appropriations in part 1. These departments and state agencies shall follow federal and state guidelines for short-term and long-term retention of these reports. To the extent consistent with federal and state guidelines, the requirements of this section are satisfied if the reports funded from appropriations in part 1 are retained in electronic format.

Sec. 208. By February 15, 2008, the department shall provide the state budget director, the subcommittees on environmental quality of the senate and house appropriations committees, and the senate and house fiscal agencies with an annual report on restricted fund balances, projected revenues, and expenditures for the fiscal years ending September 30, 2007 and September 30, 2008.

Sec. 209. (1) From funds appropriated under part 1, the department shall prepare a report that lists all of the followingregarding grant or loan or grant and loan programs administered by the department for the fiscal year ending September30, 2008:

(a) The name of each program.

(b) The goals of the program, the criteria, eligibility, process, filing fees, nominating procedures, and deadlines for each program.

(d) The amount of any required match, and whether in-kind contributions may be used as part or all of a required match.

(e) Information pertaining to the application process, timeline for each program, and the contact people within the department.

(f) The source of funds for each program, including the citation of pertinent authorizing acts.

(g) Information regarding plans for the next fiscal year for the phaseout, expansion, or changes for each program.

(h) A listing of all recipients of grants or loans awarded by the department by type and amount of grant or loan.

(2) The reports required under this section shall be submitted to the state budget office, the senate and house appropriations committees, and the senate and house fiscal agencies by January 1, 2008.

Sec. 211. (1) The department shall report all of the following information relative to allocations made from appropriations for the environmental cleanup and redevelopment program, state cleanup, emergency actions, superfund cleanup, the revitalization revolving loan program, the brownfield grants and loans program, the leaking underground storage tank cleanup program, the contaminated lake and river sediments cleanup program, the refined petroleum product cleanup program, and the environmental protection bond projects under section 19508(7) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19508, to the state budget director, the senate and house appropriations subcommittees on environmental quality, and the senate and house fiscal agencies:

(a) The name and location of the site for which an allocation is made.

(b) The nature of the problem encountered at the site.

(d) The estimated date that site closure activities will be completed.

(e) The amount of the allocation, or the anticipated financing for the site.

(f) A summary of the sites and the total amount of funds expended at the sites at the conclusion of the fiscal year.

(g) The number of sites that would qualify as brownfields that were redeveloped.

(2) The report prepared under subsection (1) shall also include all of the following:

(a) The status of all state-owned facilities that are on the list compiled under part 201 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.20101 to 324.20142.

(b) The report shall include the total amount of funds expended during the fiscal year and the total amount of funds awaiting expenditure.

(c) The total amount of bonds issued for the environmental protection bond program pursuant to part 193 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19301 to 324.19306, and bonds issued pursuant to the clean Michigan initiative act, 1998 PA 284, MCL 324.95101 to 324.95108.

(3) The report shall be made available by March 31 of each year.

Sec. 212. (1) The department of environmental quality is authorized to expend amounts remaining from the current and prior fiscal year appropriations to meet funding needs of legislatively approved sites for the environmental cleanup and redevelopment program, the leaking underground storage tank cleanup program, and the refined petroleum product cleanup program.

(2) Unexpended and unencumbered amounts remaining from appropriations from the environmental protection bond fund contained in 2003 PA 173 and 2006 PA 343 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(3) Unexpended and unencumbered amounts remaining from appropriations from the cleanup and redevelopment fund and unclaimed bottle deposits fund contained in 2003 PA 171, 2003 PA 173, 2003 PA 237, and 2004 PA 350 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(4) Unexpended and unencumbered amounts remaining from appropriations from the clean Michigan initiative fund -response activities contained in 2000 PA 506, 2001 PA 120, 2003 PA 173, 2003 PA 237, 2004 PA 309, 2004 PA 350, 2005 PA 11, and 2006 PA 343 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(5) Unexpended and unencumbered amounts remaining from appropriations from the environmental protection fund contained in 2001 PA 43, 2002 PA 520, 2003 PA 171, and 2004 PA 350 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(6) Unexpended and unencumbered amounts remaining from appropriations from the refined petroleum fund activities contained in 2005 PA 154 and 2006 PA 343 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

Sec. 213. Of the money appropriated from the environmental education fund in part 1, $5,000.00 shall be allocated to Michigan State University Extension Service - 4-H Youth Programs to fund the Michigan Youth Conservation Council.

Sec. 214. 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. 215. 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. 216. (1) Due to the current budgetary problems in this state, out-of-state travel for the fiscal year ending September30, 2008 shall be limited to situations in which 1 or more of the following conditions apply: