FIRST CONFERENCE REPORT
The Committee of Conference on the matters of difference between the two Houses concerning
Senate Bill No. 947, entitled
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:
(attached)
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 agriculture and rural development for the fiscal year ending September 30, 2013; and to provide for the expenditure of the appropriations.
_______________________ ________________________
Mike Green Phil Potvin
_______________________ ________________________
Roger Kahn Anthony G. Forlini
_______________________ ________________________
Hoon-Yung Hopgood Jim Ananich
Conferees for the Senate Conferees for the House
SUBSTITUTE FOR
SENATE BILL NO. 947
A bill to make appropriations for the department of
agriculture and rural development for the fiscal year ending
September 30, 2013; and to provide for the expenditure of the
appropriations.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
PART 1
LINE-ITEM APPROPRIATIONS
FOR FISCAL YEAR 2012-2013
Sec. 101. Subject to the conditions set forth in this act, the
amounts listed in this part are appropriated for the department of
agriculture and rural development for the fiscal year ending
September 30, 2013, from the funds indicated in this part. The
following is a summary of the appropriations in this part:
DEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENT
APPROPRIATION SUMMARY
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions.......... 425.0
GROSS APPROPRIATION.................................... $ 76,953,000
Interdepartmental grant revenues:
IDG from LARA (LCC), liquor quality testing fees....... 209,900
IDG from MDNR, forest development fund................. 200,000
IDG from MDEQ, biosolids............................... 107,000
One-time interdepartmental grant revenues.............. 2,400
Total interdepartmental grants and intradepartmental
transfers............................................ 519,300
ADJUSTED GROSS APPROPRIATION........................... $ 76,433,700
Federal revenues:
USDA, multiple grants.................................. 7,629,800
EPA, multiple grants................................... 1,704,400
HHS-FDA................................................ 1,780,400
One-time federal revenues.............................. 85,000
Total federal revenues................................. 11,199,600
Special revenue funds:
Total local revenues................................... 0
Private - slow-the-spread foundation................... 86,800
Private - commodity group revenue...................... 87,500
One-time private revenues.............................. 1,500
Total private revenues................................. 175,800
Agricultural preservation fund......................... 1,395,300
Agriculture equine industry development fund........... 3,834,900
Animal welfare fund.................................... 209,600
Commodity inspection fees.............................. 566,300
Consumer and industry food safety education fund....... 306,200
Dairy and food safety fund............................. 3,159,800
Freshwater protection fund............................. 5,095,500
Gasoline inspection and testing fund................... 2,570,200
Grain dealer fee fund.................................. 535,200
Horticulture fund...................................... 75,800
Industry support funds................................. 549,100
Licensing and inspection fees.......................... 4,266,800
Migratory labor housing fund........................... 157,000
Nonretail liquor fees.................................. 782,900
Refined petroleum fund................................. 4,012,000
Renewable fuels fund................................... 50,000
Testing fees........................................... 475,300
Weights and measures regulation fees................... 771,400
One-time state restricted revenues..................... 146,100
Total other state restricted revenues.................. 28,959,400
State general fund/general purpose..................... $ 36,098,900
State general fund/general purpose schedule:
Ongoing state general fund/general
purpose................................... 33,863,600
One-time state general fund/general
purpose.................................... 2,235,300
Sec. 102. DEPARTMENTWIDE
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions........... 27.0
Commissions and boards................................. $ 23,800
Unclassified positions--6.0 FTE positions.............. 700,000
Executive direction--9.0 FTE positions................. 1,287,300
Management services--15.0 FTE positions................ 995,200
Statistical reporting service--1.0 FTE positions....... 157,300
Emergency management--2.0 FTE positions................ 770,500
Accounting service center.............................. 920,200
Rent and building occupancy............................ 1,008,700
GROSS APPROPRIATION.................................... $ 5,863,000
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 228,400
EPA, multiple grants................................... 177,000
HHS-FDA................................................ 552,300
Special revenue funds:
Private - commodity group revenue...................... 87,500
Agricultural preservation fund......................... 23,100
Freshwater protection fund............................. 34,100
Industry support funds................................. 49,500
Licensing and inspection fees.......................... 159,500
Nonretail liquor fees.................................. 38,100
Refined petroleum fund................................. 320,300
State general fund/general purpose..................... $ 4,193,200
Sec. 103. INFORMATION AND TECHNOLOGY
Information technology services and projects........... $ 1,384,900
GROSS APPROPRIATION.................................... $ 1,384,900
Appropriated from:
Interdepartmental grant revenues:
IDG from LARA (LCC), liquor quality testing fees....... 3,000
Special revenue funds:
Agricultural preservation fund......................... 200
Agriculture equine industry development fund........... 80,800
Freshwater protection fund............................. 100
Gasoline inspection testing fund....................... 29,500
Licensing and inspection fees.......................... 30,400
Nonretail liquor fees.................................. 500
State general fund/general purpose..................... $ 1,240,400
Sec. 104. FOOD AND DAIRY
Full-time equated classified positions.......... 101.0
Food safety and quality assurance--75.0 FTE positions.. $ 10,167,500
Milk safety and quality assurance--26.0 FTE positions.. 3,474,800
GROSS APPROPRIATION.................................... $ 13,642,300
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 247,500
HHS-FDA................................................ 476,400
Special revenue funds:
Consumer and industry food safety education fund....... 306,200
Dairy and food safety fund............................. 3,159,800
State general fund/general purpose..................... $ 9,452,400
Sec. 105. ANIMAL INDUSTRY
Full-time equated classified positions........... 60.0
Animal disease prevention and response--60.0 FTE
positions............................................ $ 8,956,700
Indemnification - livestock depredation................ 50,000
GROSS APPROPRIATION.................................... $ 9,006,700
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 836,200
HHS-FDA................................................ 44,200
Special revenue funds:
Animal welfare fund.................................... 209,600
Licensing and inspection fees.......................... 123,100
State general fund/general purpose..................... $ 7,793,600
Sec. 106. PESTICIDE AND PLANT PEST MANAGEMENT
Full-time equated classified positions........... 81.0
Pesticide and plant pest management--77.0 FTE
positions............................................ $ 10,610,100
Producer security/grain dealers--4.0 FTE positions..... 574,200
GROSS APPROPRIATION.................................... $ 11,184,300
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 1,166,100
EPA, multiple grants................................... 769,500
HHS-FDA................................................ 113,700
Special revenue funds:
Private - slow-the-spread foundation................... 86,800
Commodity inspection fees.............................. 566,300
Grain dealers fee fund................................. 535,200
Horticulture fund...................................... 75,800
Industry support funds................................. 350,800
Licensing and inspection fees.......................... 3,866,700
State general fund/general purpose..................... $ 3,653,400
Sec. 107. ENVIRONMENTAL STEWARDSHIP
Full-time equated classified positions........... 50.0
Environmental stewardship--18.0 FTE positions.......... $ 6,146,500
Michigan agriculture environmental assurance program--
7.0 FTE positions.................................... 1,621,500
Farmland and open space preservation--9.0 FTE
positions............................................ 872,000
Private forest development program..................... 200,000
Local conservation districts........................... 100
Migrant labor housing--9.0 FTE positions............... 1,156,900
Right-to-farm--3.0 FTE positions....................... 555,100
Intercounty drain--4.0 FTE positions................... 453,100
GROSS APPROPRIATION.................................... $ 11,005,200
Appropriated from:
Interdepartmental grant revenues:
IDG from MDNR, forest development fund................. 200,000
IDG from MDEQ, biosolids............................... 107,000
Federal revenues:
USDA, multiple grants.................................. 1,035,200
EPA, multiple grants................................... 373,800
Special revenue funds:
Agricultural preservation fund......................... 872,000
Freshwater protection fund............................. 5,061,300
Migratory labor housing fund........................... 157,000
State general fund/general purpose..................... $ 3,198,900
Sec. 108. LABORATORY PROGRAM
Full-time equated classified positions........... 90.0
Laboratory services--38.0 FTE positions................ $ 5,686,400
USDA monitoring--13.0 FTE positions.................... 2,548,700
Consumer protection program--39.0 FTE positions........ 5,667,300
GROSS APPROPRIATION.................................... $ 13,902,400
Appropriated from:
Interdepartmental grant revenues:
IDG from LARA (LCC), liquor quality testing fees....... 206,900
Federal revenues:
USDA, multiple grants.................................. 2,549,600
EPA, multiple grants................................... 384,100
HHS-FDA................................................ 593,800
Special revenue funds:
Agriculture equine industry development fund........... 592,400
Gasoline inspection and testing fund................... 2,540,700
Licensing and inspection fees.......................... 87,100
Refined petroleum fund................................. 3,691,700
Renewable fuels fund................................... 50,000
Testing fees........................................... 475,300
Weights and measures regulation fees................... 771,400
State general fund/general purpose..................... $ 1,959,400
Sec. 109. AGRICULTURE DEVELOPMENT
Full-time equated classified positions........... 13.0
Agriculture development--10.0 FTE positions............ $ 2,712,000
Grape and wine program--3.0 FTE positions.............. 788,600
Rural development value-added grants................... 1,050,000
GROSS APPROPRIATION.................................... $ 4,550,600
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 1,566,800
Special revenue funds:
Industry support funds................................. 148,800
Nonretail liquor fees.................................. 744,300
State general fund/general purpose..................... $ 2,090,700
Sec. 110. FAIRS AND EXPOSITIONS
Full-time equated classified positions............ 3.0
Fairs and racing--3.0 FTE positions.................... $ 351,100
County fairs capital improvement grants................ 281,600
Purses and supplements - fairs/licensed tracks......... 708,300
Licensed tracks - light horse racing................... 40,300
Light horse racing – breeders awards................... 20,000
Standardbred breeders' awards.......................... 285,900
Standardbred purses and supplements - licensed tracks.. 527,800
Standardbred sire stakes............................... 239,000
Thoroughbred supplements - licensed tracks............. 385,900
Thoroughbred breeder's awards.......................... 358,600
Thoroughbred sire stakes............................... 244,800
GROSS APPROPRIATION.................................... $ 3,443,300
Appropriated from:
Special revenue funds:
Agriculture equine industry development fund........... 3,161,700
State general fund/general purpose..................... $ 281,600
Sec. 111. CAPITAL OUTLAY
Farmland and open space development acquisition........ $ 500,000
GROSS APPROPRIATION.................................... $ 500,000
Appropriated from:
Special revenue funds:
Agriculture preservation fund.......................... 500,000
State general fund/general purpose..................... $ 0
Sec. 112. ONE-TIME BASIS ONLY
State employee lump-sum payments....................... $ 470,300
Private forestry program............................... 600,000
Rural development value-added grants (1-time).......... 900,000
New food safety requirements........................... 500,000
GROSS APPROPRIATION.................................... $ 2,470,300
Appropriated from:
One-time interdepartmental grant revenues.............. 2,400
One-time federal revenues.............................. 85,000
One-time private revenues.............................. 1,500
One-time state restricted revenues..................... 146,100
State general fund/general purpose..................... $ 2,235,300
PART 2
PROVISIONS CONCERNING APPROPRIATIONS
FOR FISCAL YEAR 2012-2013
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 2012-2013 is $65,058,300.00 and state
spending from state resources to be paid to local units of
government for fiscal year 2012-2013 is $1,500,000.00. The itemized
statement below identifies appropriations from which spending to
local units of government will occur:
DEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENT
Environmental protection............................... $ 1,500,000
TOTAL.................................................. $ 1,500,000
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 agriculture and rural
development.
(b) "Director" means the director of the department.
(c) "EPA" means the United States environmental protection
agency.
(d) "FTE" means full-time equated.
(e) "HHS-FDA" means the United States department of health and
human services - food and drug administration.
(f) "IDG" means interdepartmental grant.
(g) "LARA" means the Michigan department of licensing and
regulatory affairs.
(h) "MDEQ" means the Michigan department of environmental
quality.
(i) "USDA" means the United States department of agriculture.
Sec. 204. The civil service commission shall bill departments
and agencies at the end of the first fiscal quarter for the charges
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. 206. (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. 207. The department shall maintain a searchable website
accessible by the public at no cost that includes, but is not
limited to, all of the following:
(a) Fiscal year-to-date expenditures by category.
(b) Fiscal year-to-date expenditures by appropriation unit.
(c) Fiscal year-to-date payments to a selected vendor,
including the vendor name, payment date, payment amount, and
payment description.
(d) The number of active department employees by job
classification.
(e) Job specifications and wage rates.
Sec. 208. Unless otherwise specified, the departments shall
use the Internet to fulfill the reporting requirements of this act.
This requirement may include transmission of reports via electronic
mail to the recipients identified for each reporting requirement,
or it may include placement of reports on an Internet or Intranet
site.
Sec. 209. Funds appropriated in part 1 shall not be used for
the purchase of foreign goods or services, or both, if
competitively priced and of comparable quality American goods or
services, or both, are available. Preference shall 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 shall 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. 211. 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 technology, management, and budget. 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. 212. The department and agencies receiving appropriations
in part 1 shall receive and retain copies of all reports funded
from appropriations in part 1. Federal and state guidelines for
short-term and long-term retention of records shall be followed.
The department may electronically retain copies of reports unless
otherwise required by federal and state guidelines.
Sec. 214. From the funds appropriated in part 1 for
information technology, departments and agencies shall pay user
fees to the department of technology, management, and budget for
technology-related services and projects. The user fees shall be
subject to provisions of an interagency agreement between the
department and agencies and the department of technology,
management, and budget.
Sec. 215. The department shall not take disciplinary action
against an employee for communicating with a member of the
legislature or his or her staff.
Sec. 218. The departments and agencies receiving
appropriations in part 1 shall prepare a report on out-of-state
travel expenses not later than January 1 of each year. The travel
report shall be a listing of 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 house and senate standing committees on
appropriations, the house and senate fiscal agencies, and the state
budget director. The report shall include the following
information:
(a) The dates of each travel occurrence.
(b) The total 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.
Sec. 219. It is the intent of the legislature that all
principal executive departments and agencies cooperate with the
development and implementation of the department of technology,
management, and budget statewide office space consolidation plan.
Sec. 228. Not later than November 15, the department shall
prepare and transmit a report that provides for estimates of the
total general fund/general purpose appropriation lapses at the
close of the fiscal year. This report shall summarize the projected
year-end general fund/general purpose appropriation lapses by major
departmental program or program areas. The report shall be
transmitted to the office of the state budget, the chairpersons of
the senate and house of representatives standing committees on
appropriations, and the senate and house fiscal agencies.
Sec. 229. Within 14 days after the release of the executive
budget recommendation, the department shall provide the state
budget director, the senate and house appropriations chairs, the
senate and house appropriations subcommittees on agriculture and
rural development, respectively, and the senate and house fiscal
agencies with an annual report on estimated state restricted fund
balances, state restricted fund projected revenues, and state
restricted fund expenditures for the fiscal years ending September
30, 2012 and September 30, 2013.
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 outside services that
the attorney general authorizes.
Sec. 231. By October 31, 2012, the department shall identify
10 principal measurable outcomes to be affected by expenditure of
the funds appropriated in part 1 and submit a report to the house
and senate appropriations committees, the house and senate fiscal
agencies, and the state budget director that ranks the outcomes by
level of importance and contains current data on those outcomes.
Beginning on April 1, 2013, the department shall provide biannual
updates to the house and senate appropriations committees on
changes in those measurable outcomes and departmental efforts to
improve the outcomes.
EXECUTIVE
Sec. 301. (1) Pursuant to the appropriations in part 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, and laboratory analyses as specified in the following:
(a) Management services publications.
(b) Management services audit and licensing functions.
(c) Pesticide and plant pest management propagation and
certification of virus-free foundation stock.
(d) Pesticide and plant pest management 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
appropriations subcommittees on agriculture and rural development
and the senate and house fiscal agencies 30 days prior to proposing
changes in fees authorized under this section or under section 5 of
1915 PA 91, MCL 285.35.
(3) Annually, before February 1, the department shall provide
a report to the senate and house appropriations subcommittees on
agriculture and rural development 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. 302. 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 senate and house appropriations subcommittees on
agriculture and rural development 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.
FOOD AND DAIRY
Sec. 402. Not later than April 1, 2013, the department shall
provide a report to the senate and house appropriations
subcommittees on agriculture and rural development and the senate
and house fiscal agencies describing significant food-borne
outbreaks and emergencies, including any enforcement actions taken
related to food safety during the 2011-2012 fiscal year.
ANIMAL INDUSTRY
Sec. 451. From the funds appropriated in part 1 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. 453. (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 287.746, not
to exceed $100,000.00 per order from any line item for the fiscal
year ending September 30, 2012. 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 senate and house
appropriations subcommittees on agriculture and rural development
and to the senate and house fiscal agencies and to the state budget
director.
(2) The department of agriculture and rural development 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.
(3) The funds appropriated in part 1 for indemnification –
livestock depredation are appropriated for indemnification payments
and related department costs under subsection (2). On or before
March 1, 2013, the department shall report to the house and senate
appropriations subcommittees on agriculture and rural development,
and the house and senate fiscal agencies, on costs incurred in the
2010-2011 and 2011-2012 fiscal years for indemnification payments
to producers made under subsection (2) and related department
costs.
Sec. 454. The department shall use its resources to
collaborate with the United States department of agriculture and
rural development 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. The department shall also
convene a workgroup to work toward eradicating bovine TB in the
modified accredited zone.
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, 2012, and on a quarterly
basis thereafter, the department shall report to the senate and
house agriculture committees, the senate and house appropriations
subcommittees on agriculture and rural development, 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; 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 part 1 for animal
industry, the department shall provide inspection and testing of
aquaculture facilities and aquaculture researchers as provided
under section 7 of 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.
PESTICIDE AND PLANT PEST MANAGEMENT
Sec. 551. (1) It is the intent of the legislature that the
department work with the fruit and vegetable industry to ensure the
development of a sustainable system of third-party inspections of
fruits and vegetables.
(2) From the funds appropriated in part 1 for pesticide and
plant pest management, not less than $200,000.00 shall be used for
the purpose to ensure that Michigan commodities receive
departmental inspections required by other governments to ship
commodities out of Michigan. The department shall devise a plan to
provide these required government inspections in a timely manner.
Sec. 552. The department is encouraged to work with local
public health departments and with the USDA to maintain and expand
the clean sweep program for the safe disposal of hazardous
household chemicals and prescription drugs. The department shall
report to the house and senate appropriations subcommittees on
agriculture and rural development and the house and senate fiscal
agencies by March 1, 2013 on clean sweep locations in this state
and on factors affecting program success and expansion including
funding requirements.
ENVIRONMENTAL STEWARDSHIP
Sec. 601. The part 1 appropriation line item environmental
stewardship shall be used to support department agriculture
pollution prevention programs, including groundwater and freshwater
protection programs under part 87 of the Michigan natural resources
and environmental protection act, 1994 PA 451, MCL 324.8701 to
324.8717, and technical assistance in implementing conservation
grants available under the federal farm bill of 2008.
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. (1) 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.
(2) The department shall work with representatives of
intercounty drainage districts to develop a mutually agreeable
method of funding department costs associated with the intercounty
drainage program.
Sec. 608. From the funds appropriated in part 1 for Michigan
agriculture environmental assurance program, the department shall
work to address water quality issues affecting Lake St. Clair,
including efforts to reduce nonpoint source pollution.
AGRICULTURE DEVELOPMENT
Sec. 706. Not later than April 1, 2013, the department shall
provide a report to the senate and house appropriations
subcommittees on agriculture and rural development and the senate
and house 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. 709. (1) Not later than April 1, 2013, the department
shall provide a report to the senate and house appropriations
subcommittees on agriculture and rural development and the senate
and house 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 shall administer the rural
development value-added grant program as prescribed in section
1101.
FAIRS AND EXPOSITIONS
Sec. 801. All appropriations from the agricultural equine
industry development fund shall be spent on equine-related
purposes. No funds from the agriculture equine industry development
fund shall be expended for nonequine-related purposes without prior
approval of the legislature.
Sec. 802. All appropriations from the agriculture equine
industry development fund, except for the racing commission and
laboratory analysis program appropriations, shall be reduced
proportionately if revenues to the agriculture equine industry
development fund decline during the fiscal year ending September
30, 2012 to a level lower than the amounts appropriated in section
108.
Sec. 803. In the event there is no live thoroughbred race meet
in 2011 or 2012, all purse money and program money appropriated for
the thoroughbred industry in fiscal year 2010-2011 and fiscal year
2011-2012 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 Michigan gaming control board. In the event
there is no thoroughbred meet in 2011 or 2012, the purse pool
distribution order to be issued by the Michigan gaming control
board in 2012 that delineates distribution between the thoroughbred
meet that has been held at pinnacle race course and the joint
thoroughbred/quarterhorse meet held in Mt. Pleasant shall be the
same distribution formula as issued in 2011, with the thoroughbred
portion being held in escrow.
Sec. 804. The Michigan gaming control board shall use actual
expenditure data in determining the actual regulatory costs of
conducting racing dates and shall provide that data to the senate
and house of representatives appropriations subcommittees on
agriculture and rural development and general government and the
senate and house fiscal agencies. The Michigan gaming control board
shall not be reimbursed for more than the actual regulatory cost of
conducting race dates. If a certified horsemen's organization funds
more than the actual regulatory cost, the balance shall remain in
the agriculture equine industry development fund to be used to fund
subsequent race dates conducted by race meeting licensees with
which the certified horsemen's organization has contracts. If a
certified horsemen's organization funds less than the actual
regulatory costs of the additional horse racing dates, the Michigan
gaming control board shall reduce the number of future race dates
conducted by race meeting licensees with which the certified
horsemen's organization has contracts. Prior to the reduction in
the number of authorized race dates due to budget deficits, the
executive director of the Michigan gaming control board shall
provide notice to the certified horsemen's organizations with an
opportunity to respond with alternatives. In determining actual
costs, the Michigan gaming control board shall take into account
that each specific breed may require different regulatory
mechanisms.
Sec. 805. (1) The department shall establish and administer a
county fairs capital improvement grant program. The program shall
assist in the promotion of building improvements or other capital
improvements at county fairgrounds of the state.
(2) The department shall award grants on a competitive basis
to county fair organizations from the funds appropriated in part 1
for county fairs capital improvements grants. Grantees will be
required to provide a dollar-for-dollar cash match with grant
awards and identify measurable project outcomes.
(3) The department shall identify criteria, evaluate
applications, and provide recommendations to the director for final
approval of grant awards.
(4) The department may expend money from the funds
appropriated in part 1 for the county fairs capital improvement
grants for administering the program.
(5) The unexpended portion of the county fairs capital
improvement grant program is considered a work project
appropriation in accordance with the management and budget act,
1984 PA 431, MCL 18.1101 to 18.1594.
(6) The department shall provide an interim report no later
than March 15, 2013 and a year-end report no later than September
30, 2013 to the senate and house appropriations subcommittees on
agriculture and rural development and the senate and house fiscal
agencies, including the grantees, award amount, match funding, and
project outcomes.
CAPITAL OUTLAY
Sec. 1002. (1) The director shall allocate lump-sum
appropriations made in this act consistent with statutory
provisions and the purposes for which funds were appropriated.
Lump-sum allocations shall address priority program or facility
needs and may include, but are not limited to, design,
construction, remodeling and addition, special maintenance, major
special maintenance, energy conservation, and demolition.
(2) The state budget director may authorize that funds
appropriated for lump-sum appropriations shall be available for no
more than 3 fiscal years following the fiscal year in which the
original appropriation was made. Any remaining balance from
allocations made in this section shall lapse to the fund from which
it was appropriated pursuant to the lapsing of funds as provided in
the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.
Sec. 1003. The appropriations in part 1 for capital outlay
shall be carried forward at the end of the fiscal year consistent
with the provisions of section 248 of the management and budget
act, 1984 PA 431, MCL 18.1248.
ONE-TIME BASIS ONLY APPROPRIATIONS
Sec. 1101. (1) The department shall establish and administer a
rural development value-added grant program. The program shall
promote the expansion of value-added agricultural production,
processing, and access within the state.
(2) The department shall award grants on a competitive basis
from the funds appropriated in part 1 for rural development value-
added grants. Grantees will be required to provide a cash match and
identify measurable project outcomes. Eligible grantees may
include, but are not limited to, individuals, partnerships,
cooperatives, private or public corporations, and local units of
government.
(3) A joint evaluation committee shall be selected by the
director with representatives with agriculture, business, and
economic development expertise. The joint evaluation committee
shall identify criteria, evaluate applications, and provide
recommendations to the director for final approval of grant awards.
(4) The department may expend money from the funds
appropriated in part 1 for the rural development valued-added
grants for administering the program.
(5) The unexpended portion of the rural development value-
added grant program is considered a work project appropriation in
accordance with the management and budget act, 1984 PA 431, MCL
18.1101 to 18.1594.
(6) The department shall provide an interim report no later
than March 15, 2013 and year-end report no later than September 30,
2013 to the senate and house appropriations subcommittees on
agriculture and rural development and the senate and house fiscal
agencies, including the grantees, award amount, match funding, and
project outcomes.
Sec. 1103. (1) The appropriations in part 1 for private
forestry program is for the purpose of increasing the knowledge of
nonindustrial private forestland owners of sound forest management
practices and increasing the amount of commercial timber production
from those lands.
(2) The department shall work in partnership with stakeholder
groups and other state and federal agencies to increase the active
management of nonindustrial private forestland to foster the growth
of Michigan's timber product industry.
PART 2A
PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS
FOR FISCAL YEAR 2013-2014
GENERAL SECTIONS
Sec. 1201. It is the intent of the legislature to provide
appropriations for the fiscal year ending on September 30, 2014 for
the line items listed in part 1. The fiscal year 2013-2014
appropriations are anticipated to be the same as those for fiscal
year 2012-2013, except that the line items will be adjusted for
changes in caseload and related costs, federal fund match rates,
economic factors, and available revenue. These adjustments will be
determined after the January 2013 consensus revenue estimating
conference.