No. 38

STATE OF MICHIGAN

Journal of the Senate

95th Legislature

REGULAR SESSION OF 2010

Senate Chamber, Lansing, Tuesday, May 4, 2010.

10:00 a.m.

The Senate was called to order by the President, Lieutenant Governor John D. Cherry, Jr.

The roll was called by the Secretary of the Senate, who announced that a quorum was not present.

Allen—present Garcia—excused Olshove—present

Anderson—present George—present Pappageorge—present

Barcia—present Gilbert—present Patterson—present

Basham—present Gleason—present Prusi—present

Birkholz—present Hardiman—present Richardville—present

Bishop—present Hunter—present Sanborn—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 Nofs—present

Senator Roger Kahn, M.D., of the 32nd District offered the following invocation:

Our dear Heavenly Father, thank You for the grace, love, and mercy that You have shown to all of us. Thank You for this great nation and for the freedom we enjoy; the freedom that You have given us to utter prayers such as this. Thank You for allowing us the privilege of serving the state of Michigan.

Please give us the wisdom as we decide, discernment as we consider, kindness as we debate, and gratitude as we serve. Help us to be aware of Your presence and Your love. Keep us mindful of those in the dawn of life and those in the dusk and those who live in the shadows. Amen.

The President, Lieutenant Governor Cherry, led the members of the Senate in recital of the Pledge of Allegiance.

Recess

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

The motion prevailed, the time being 10:05 a.m.

11:16 a.m.

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

During the recess, Senators Cropsey, Allen, Kuipers, Jansen, McManus, Bishop, Gilbert, Sanborn, Van Woerkom, Pappageorge, George, Jelinek, Nofs, Richardville, Cassis, Stamas, Birkholz and Hardiman entered the Senate Chamber.

A quorum of the Senate was present.

Motions and Communications

Senator Cropsey moved that Senator Garcia be excused from today’s session.

The motion prevailed.

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

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

The following communication was received:

Michigan Economic Development Corporation

March 31, 2010

Attached you will find the 21st Century Jobs Fund report for Fiscal Year 2009, as required in MCL 125.2088n of the Michigan Strategic Fund Act and the 21st Century Jobs Trust Fund legislation.

To date, the 21st Century Jobs Fund has resulted in the creation and retention of 4,934 Michigan jobs, with an additional 5,044 projected to be created in the near future. The funding received through the 21st Century Jobs Fund has enabled Michigan companies to raise additional investment totaling $918,264,710.

If you have any questions regarding the information in this report, please feel free to contact James McBryde in our Office of Governmental Affairs at 517.335.1847.

Sincerely,

D. Gregory Main

President and CEO

The communication was referred to the Secretary for record.

The following communications were received:

Department of State

Administrative Rules

Notices of Filing

April 27, 2010

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 Energy, Labor, and Economic Growth and the State Office of Administrative Hearings and Rules filed Administrative Rule #2007-057-LG (Secretary of State Filing #10-04-07) on this date at 11:43 a.m. for the Department of Energy, Labor, and Economic Growth, entitled “Beer.”

This rule becomes effective immediately upon filing with the Secretary of State unless adopted under section 33, 44, 45a(6), or 48 of 1969 PA 306. Rules adopted under these sections become effective 7 days after filing with the Secretary of State.

April 27, 2010

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 Energy, Labor, and Economic Growth and the State Office of Administrative Hearings and Rules filed Administrative Rule #2009-014-LG (Secretary of State Filing #10-04-08) on this date at 11:45 a.m. for the Department of Energy, Labor, and Economic Growth, entitled “Off-Premises License.”

April 27, 2010

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 Natural Resources and Environment and the State Office of Administrative Hearings and Rules filed Administrative Rule #2009-028-NE (Secretary of State Filing #10-04-09) on this date at 11:47 a.m. for the Department of Natural Resources and Environment, entitled “Shooting Ranges on State‑owned Lands.”

These rules becomes effective immediately upon filing with the Secretary of State unless adopted under section 33, 44, 45a(6), or 48 of 1969 PA 306. Rules adopted under these sections become effective 7 days after filing with the Secretary of State.

April 27, 2010

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 Energy, Labor, and Economic Growth and the State Office of Administrative Hearings and Rules filed Administrative Rule #2009-029-LG (Secretary of State Filing #10-04-10) on this date at 11:49 a.m. for the Department of Energy, Labor, and Economic Growth, entitled “Board of Real Estate Appraisers - General Rules.”

April 28, 2010

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 Natural Resources and Environment and the State Office of Administrative Hearings and Rules filed Administrative Rule #2010-006-NE (Secretary of State Filing #10-04-11) on this date at 1:54 p.m. for the Department of Natural Resources and Environment, entitled “Inland Lakes and Streams.”

Sincerely,

Terri Lynn Land

Secretary of State

Robin L. Houston, Departmental Supervisor

Office of the Great Seal

The communications were referred to the Secretary for record.

The following communication was received:

Department of Transportation

April 29, 2010

Pursuant to Public Act 116 of 2009, Section 384, enclosed is a report intended to fulfill the requirements of the following language:

(1) The department may continue with preliminary legal, financial, traffic and revenue study, permitting, engineering, and other ancillary work for the Detroit River International Crossing (DRIC) so that it can solicit from the private sector requests for proposals for public-private partnerships to construct the bridge, plaza, and related infrastructure. The department shall submit proposals to the legislature by May 1, 2010. Those activities associated with the DRIC project shall not bind the state in any way to construction.

(2) The department shall submit an investment grade traffic study to the legislature by May 1, 2010 from a reputable traffic company with appropriate experience intended to provide a detailed traffic projection for the ensuing 10 years, taking into account projected infrastructure modifications, expansions, and improvements announced.

(3) The department shall not expend more than $2,500,000.00 from state transportation revenue sources for activities enumerated in this section.

(4) It is the intent of the legislature to fully adopt or reject authorizing legislation by the full legislative bodies by June 1, 2010 to do all of the following:

(a) Construct a new international crossing jointly and in agreement with Canada.

(b) Create an authorized tolling authority.

(c) Create a public-private partnership.

The report includes a “Report to the Legislature of the State of Michigan responding to Public Act 116 of 2009, Section 384,” the investment grade traffic study, and twenty proposals of interest from the private sector for Public-Private Partnerships to construct the bridge, plaza, and related infrastructure.

The Michigan Department of Transportation takes great pride in the way we are conducting the DRIC project. We urge you to visit the project Web site, www.partnershipborderstudy.com , where a wealth of additional information regarding study data and activities has been available since 2005. All material attached to this memo will be made available on the project Web site if not already posted.

If you have any questions, please feel free to contact me at (517) 373-3946 or decookr@michigan.gov .

Sincerely,

Ronald K. DeCook, Director

Office of Governmental Affairs

The communication was referred to the Secretary for record.

The Secretary announced that the following House bills were received in the Senate and filed on Thursday, April 29:

House Bill Nos. 5271 5409 5573 5786 5991 6045

The Secretary announced the enrollment printing and presentation to the Governor on Thursday, April 29, for her approval the following bills:

Enrolled Senate Bill No. 1174 at 11:59 a.m.

Enrolled Senate Bill No. 1010 at 12:01 p.m.

Enrolled Senate Bill No. 468 at 12:03 p.m.

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

House Bill Nos. 6079 6080 6081 6082 6083 6084 6085 6086 6087 6088 6089 6090 6091 6092

The Secretary announced that the following official bills were printed on Friday, April 30, and are available at the legislative website:

Senate Bill Nos. 1305 1306 1307 1308 1309 1310 1311 1312 1313 1314

House Bill Nos. 6093 6094 6095 6096 6097 6098 6099 6100 6101

Messages from the Governor

The following messages from the Governor were received:

Date: April 29, 2010

Time: 10:00 a.m.

To the President of the Senate:

Sir—I have this day approved and signed

Enrolled Senate Bill No. 719 (Public Act No. 56), being

An act to amend 1895 PA 198, entitled “An act to establish a law uniform with the laws of other states relating to the sealing of deeds and other written instruments,” by amending section 2 (MCL 565.232).

(Filed with the Secretary of State on April 29, 2010, at 10:41 a.m.)

Date: April 29, 2010

Time: 10:02 a.m.

To the President of the Senate:

Sir—I have this day approved and signed

Enrolled Senate Bill No. 720 (Public Act No. 57), being

An act to amend 1846 RS 1, entitled “Of the statutes,” by amending section 3n (MCL 8.3n).

(Filed with the Secretary of State on April 29, 2010, at 10:43 a.m.)

Date: April 30, 2010

Time: 8:47 a.m.

To the President of the Senate:

Sir—I have this day approved and signed

Enrolled Senate Bill No. 468 (Public Act No. 59), being

An act to amend 1949 PA 300, entitled “An act to provide for the registration, titling, sale, transfer, and regulation of certain vehicles operated upon the public highways of this state or any other place open to the general public or generally accessible to motor vehicles and distressed vehicles; to provide for the licensing of dealers; to provide for the examination, licensing, and control of operators and chauffeurs; to provide for the giving of proof of financial responsibility and security by owners and operators of vehicles; to provide for the imposition, levy, and collection of specific taxes on vehicles, and the levy and collection of sales and use taxes, license fees, and permit fees; to provide for the regulation and use of streets and highways; to create certain funds; to provide penalties and sanctions for a violation of this act; to provide for civil liability of owners and operators of vehicles and service of process on residents and nonresidents; to regulate the introduction and use of certain evidence; to provide for the levy of certain assessments; to provide for the enforcement of this act; to provide for the creation of and to prescribe the powers and duties of certain state and local agencies; to impose liability upon the state or local agencies; to provide appropriations for certain purposes; to repeal all other acts or parts of acts inconsistent with this act or contrary to this act; and to repeal certain parts of this act on a specific date,” by amending sections 732 and 907 (MCL 257.732 and 257.907), section 732 as amended by 2006 PA 298 and section 907 as amended by 2008 PA 463.

(Filed with the Secretary of State on April 30, 2010, at 1:02 p.m.)

Date: April 30, 2010

Time: 3:00 p.m.

To the President of the Senate:

Sir—I have this day approved and signed

Enrolled Senate Bill No. 1174 (Public Act No. 61), being

An act to amend 1956 PA 218, entitled “An act to revise, consolidate, and classify the laws relating to the insurance and surety business; to regulate the incorporation or formation of domestic insurance and surety companies and associations and the admission of foreign and alien companies and associations; to provide their rights, powers, and immunities and to prescribe the conditions on which companies and associations organized, existing, or authorized under this act may exercise their powers; to provide the rights, powers, and immunities and to prescribe the conditions on which other persons, firms, corporations, associations, risk retention groups, and purchasing groups engaged in an insurance or surety business may exercise their powers; to provide for the imposition of a privilege fee on domestic insurance companies and associations and the state accident fund; to provide for the imposition of a tax on the business of foreign and alien companies and associations; to provide for the imposition of a tax on risk retention groups and purchasing groups; to provide for the imposition of a tax on the business of surplus line agents; to provide for the imposition of regulatory fees on certain insurers; to provide for assessment fees on certain health maintenance organizations; to modify tort liability arising out of certain accidents; to provide for limited actions with respect to that modified tort liability and to prescribe certain procedures for maintaining those actions; to require security for losses arising out of certain accidents; to provide for the continued availability and affordability of automobile insurance and homeowners insurance in this state and to facilitate the purchase of that insurance by all residents of this state at fair and reasonable rates; to provide for certain reporting with respect to insurance and with respect to certain claims against uninsured or self-insured persons; to prescribe duties for certain state departments and officers with respect to that reporting; to provide for certain assessments; to establish and continue certain state insurance funds; to modify and clarify the status, rights, powers, duties, and operations of the nonprofit malpractice insurance fund; to provide for the departmental supervision and regulation of the insurance and surety business within this state; to provide for regulation over worker’s compensation self-insurers; to provide for the conservation, rehabilitation, or liquidation of unsound or insolvent insurers; to provide for the protection of policyholders, claimants, and creditors of unsound or insolvent insurers; to provide for associations of insurers to protect policyholders and claimants in the event of insurer insolvencies; to prescribe educational requirements for insurance agents and solicitors; to provide for the regulation of multiple employer welfare arrangements; to create an automobile theft prevention authority to reduce the number of automobile thefts in this state; to prescribe the powers and duties of the automobile theft prevention authority; to provide certain powers and duties upon certain officials, departments, and authorities of this state; to provide for an appropriation; to repeal acts and parts of acts; and to provide penalties for the violation of this act,” by amending section 1311 (MCL 500.1311), as amended by 1994 PA 227.

(Filed with the Secretary of State on April 30, 2010, at 3:43 p.m.)

Respectfully,

Jennifer M. Granholm

Governor

The following messages from the Governor were received and read:

May 3, 2010

I respectfully submit to the Senate, pursuant to Section 6 of Article 5 of the Michigan Constitution of 1963, the following appointment to office under Section 3 of the Older Michiganians Act, 1981 PA 180, MCL 400.583:

Commission on Services to the Aging

Mr. William H. Walters IV, an Independent, of 4108 2nd Street, P.O. Box 221, Brown City, Michigan 48416, county of Sanilac, succeeding Rose Gill, whose term will expire, is appointed for a term commencing July 29, 2010 and expiring July 28, 2013.

May 3, 2010

I respectfully submit to the Senate pursuant to Article V, Section 6 of the Michigan Constitution of 1963, the following appointment to office under Section 2 of the Electrical Administrative Act, 1956 PA 217, MCL 338.882:

Electrical Administrative Board

Mr. David M. Vallier of 37244 Woodpointe Drive, Clinton Township, Michigan 48036, county of Macomb, succeeding Clark Justin, whose term has expired, is appointed to represent electrical parts manufacturers operating in this state, for a term commencing May 3, 2010 and expiring August 10, 2013.

May 3, 2010

I respectfully submit to the Senate, pursuant to Section 6 of Article 5 of the Michigan Constitution of 1963, the following appointment and reappointment to office under Section 88l of the Michigan Strategic Fund Act, 1984 PA 270, MCL 125.2088l:

Strategic Economic Investment and Commercialization Board

Ms. Coffiann U. Hawthorne of 4060 Springer Way, #714, East Lansing, Michigan 48823, county of Clinton, succeeding David Baker Lewis, who has resigned, is appointed to represent business with expertise, knowledge, skill, or experience in venture capital investments, business finance, bringing competitive edge technology products to market, or representing a qualified business, for a term commencing May 3, 2010 and expiring December 31, 2013.

Mr. John W. Brown of 6464 Liteolier, Portage, Michigan 49024, county of Kalamazoo, is reappointed to represent business with expertise, knowledge, skill, or experience in venture capital investments, business finance, bringing competitive edge technology products to market, or representing a qualified business, for a term expiring December 31, 2013.

Sincerely,

Jennifer M. Granholm

Governor

The appointments were referred to the Committee on Government Operations.

Senator Thomas moved that Senator Clarke be temporarily excused from today’s session.

The motion prevailed.

By unanimous consent the Senate proceeded to the order of

Resolutions

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

Senate Resolution No. 41

Senate Resolution No. 75

Senate Resolution No. 88

The motion prevailed.

Senator Clarke entered the Senate Chamber.

House Concurrent Resolution No. 49.

A concurrent resolution to urge the Great Lakes-St. Lawrence River Basin Water Resources Council to scrutinize carefully the proposed diversion at Waukesha, Wisconsin.

The question being on the adoption of the following committee substitute:

Substitute (S-1).

The substitute was adopted.

The concurrent resolution, as substituted, was adopted.

Senator Clarke was named co‑sponsor of the concurrent resolution.

Introduction and Referral of Bills

Senator Jacobs introduced

Senate Joint Resolution X, entitled

A joint resolution proposing an amendment to the state constitution of 1963, by amending section 54 of article IV, to modify term limits for members of the house of representatives and senate.

The joint resolution was read a first and second time by title and referred to the Committee on Government Operations.

Senators Jacobs, Pappageorge, Switalski, Sanborn and Cassis introduced

Senate Bill No. 1315, entitled

A bill to amend 1978 PA 368, entitled “Public health code,” by amending section 18223 (MCL 333.18223), as amended by 1986 PA 174.

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

Senator Stamas introduced

Senate Bill No. 1316, entitled

A bill to amend 1949 PA 300, entitled “Michigan vehicle code,” by amending section 710 (MCL 257.710).

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

House Bill No. 5271, entitled

A bill to amend 1976 PA 451, entitled “The revised school code,” (MCL 380.1 to 380.1852) by adding section 1264.