Act No. 252

Public Acts of 2014

Approved by the Governor*

June 30, 2014

Filed with the Secretary of State

June 30, 2014

EFFECTIVE DATE: June 30, 2014

*Item Vetoes

   ARTICLE XVII    Sec. 120. ONE-TIME BASIS ONLY

 High-speed rail crossing pilot program................................................... $ 1,500,000 (Page 261)

   Sec. 311.

 Entire Section. (Page 266)

   Sec. 1004.

 Entire Section. (Page 271)

STATE OF MICHIGAN

97TH LEGISLATURE

REGULAR SESSION OF 2014

Introduced by Rep. Haveman

ENROLLED HOUSE BILL No. 5313

AN ACT to make, supplement, adjust, and consolidate appropriations for various state departments and agencies, the judicial branch, and the legislative branch for the fiscal year ending September 30, 2015 and other fiscal years; to provide for certain conditions on appropriations; to provide for the expenditure of the appropriations; and to repeal acts and parts of acts.

The People of the State of Michigan enact:

ARTICLE I

DEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENT

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the department of agriculture and rural development for the fiscal year ending September 30, 2015, from the following funds:

DEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENT

APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................446.0

GROSS APPROPRIATION.......................................................................................................................... $ 84,462,200

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 318,100

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 84,144,100

Federal revenues:

Total federal revenues.................................................................................................................................... 10,126,200

Special revenue funds:

Total private revenues.................................................................................................................................... 98,300

Total other state restricted revenues.......................................................................................................... 28,003,400

State general fund/general purpose............................................................................................................. $ 45,916,200

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.................................................................................................. 524,700

Executive direction—9.0 FTE positions..................................................................................................... 1,392,800

Operational services—15.0 FTE positions.................................................................................................. 1,065,700

Statistical reporting service—1.0 FTE position........................................................................................ 150,900

Emergency management—2.0 FTE positions............................................................................................ 601,900

Accounting service center.............................................................................................................................. 968,100

Building occupancy charges........................................................................................................................... 622,500

GROSS APPROPRIATION.......................................................................................................................... $ 5,350,400

Appropriated from:

Federal revenues:

HHS-FDA......................................................................................................................................................... 325,000

Special revenue funds:

Private - commodity group revenue............................................................................................................ 77,600

Agricultural preservation fund..................................................................................................................... 15,000

Agriculture licensing and inspection fees................................................................................................... 112,100

Freshwater protection fund........................................................................................................................... 22,200

Industry support funds................................................................................................................................... 53,500

Nonretail liquor fees....................................................................................................................................... 27,800

Refined petroleum fund.................................................................................................................................. 220,300

State general fund/general purpose............................................................................................................. $ 4,496,900

Sec. 103. INFORMATION AND TECHNOLOGY

Information technology services and projects............................................................................................ $ 1,460,000

GROSS APPROPRIATION.......................................................................................................................... $ 1,460,000

Appropriated from:

Interdepartmental grant revenues:

IDG from LARA (LCC), liquor quality testing fees................................................................................. 3,200

Special revenue funds:

Agricultural preservation fund..................................................................................................................... 200

Agriculture equine industry development fund......................................................................................... 84,800

Agriculture licensing and inspection fees................................................................................................... 32,400

Freshwater protection fund........................................................................................................................... 100

Gasoline inspection testing fund................................................................................................................... 31,400

Nonretail liquor fees....................................................................................................................................... 500

State general fund/general purpose............................................................................................................. $ 1,307,400

Sec. 104. FOOD AND DAIRY

Full-time equated classified positions.............................................................................................113.0

Food safety and quality assurance—83.0 FTE positions......................................................................... $ 12,378,200

Milk safety and quality assurance—30.0 FTE positions.......................................................................... 4,219,200

GROSS APPROPRIATION.......................................................................................................................... $ 16,597,400

Appropriated from:

Federal revenues:

HHS-FDA......................................................................................................................................................... 1,175,800

USDA, multiple grants................................................................................................................................... 134,200

Special revenue funds:

Consumer and industry food safety education fund.................................................................................. 318,700

Dairy and food safety fund............................................................................................................................ 3,366,500

State general fund/general purpose............................................................................................................. $ 11,602,200

Sec. 105. ANIMAL INDUSTRY

Full-time equated classified positions...............................................................................................60.0

Animal disease prevention and response—60.0 FTE positions.............................................................. $ 8,836,600

Indemnification - livestock depredation...................................................................................................... 50,000

GROSS APPROPRIATION.......................................................................................................................... $ 8,886,600

Appropriated from:

Federal revenues:

HHS-FDA......................................................................................................................................................... $ 45,900

USDA, multiple grants................................................................................................................................... 519,500

Special revenue funds:

Agriculture licensing and inspection fees................................................................................................... 40,400

Animal welfare fund........................................................................................................................................ 217,400

State general fund/general purpose............................................................................................................. $ 8,063,400

Sec. 106. PESTICIDE AND PLANT PEST MANAGEMENT

Full-time equated classified positions...............................................................................................86.0

Pesticide and plant pest management—81.0 FTE positions................................................................... $ 12,181,800

Producer security/grain dealers—5.0 FTE positions................................................................................ 646,700

GROSS APPROPRIATION.......................................................................................................................... $ 12,828,500

Appropriated from:

Federal revenues:

Department of interior................................................................................................................................... 222,600

EPA, multiple grants...................................................................................................................................... 525,700

HHS-FDA......................................................................................................................................................... 320,700

USDA, multiple grants................................................................................................................................... 832,100

Special revenue funds:

Private - slow-the-spread foundation........................................................................................................... 20,700

Agriculture licensing and inspection fees................................................................................................... 3,818,700

Commodity inspection fees............................................................................................................................ 437,100

Freshwater protection fund........................................................................................................................... 151,900

Grain dealers fee fund..................................................................................................................................... 606,400

Horticulture fund............................................................................................................................................. 38,300

Industry support funds................................................................................................................................... 243,000

State general fund/general purpose............................................................................................................. $ 5,611,300

Sec. 107. ENVIRONMENTAL STEWARDSHIP

Full-time equated classified positions...............................................................................................55.0

Environmental stewardship—8.0 FTE positions....................................................................................... $ 1,246,100

Michigan agriculture environmental assurance program—15.0 FTE positions................................... 4,284,100

Farmland and open space preservation—7.0 FTE positions................................................................... 905,700

Qualified forest program—9.0 FTE positions............................................................................................ 2,535,000

Commercial forestry audit program............................................................................................................. 150,000

Local conservation districts........................................................................................................................... 2,173,800

Migrant labor housing—9.0 FTE positions................................................................................................. 1,214,300

Right-to-farm—3.0 FTE positions................................................................................................................ 569,000

Intercounty drain—4.0 FTE positions......................................................................................................... 475,100

GROSS APPROPRIATION.......................................................................................................................... $ 13,553,100

Appropriated from:

Interdepartmental grant revenues:

IDG from MDEQ, biosolids............................................................................................................................ 101,400

Federal revenues:

Department of interior................................................................................................................................... 120,600

EPA, multiple grants...................................................................................................................................... 305,600

USDA, multiple grants................................................................................................................................... 917,000

Special revenue funds:

Agricultural preservation fund..................................................................................................................... 584,000

Freshwater protection fund........................................................................................................................... 5,013,000

Migratory labor housing fund........................................................................................................................ 164,600

Private forestland enhancement fund.......................................................................................................... 35,000

State general fund/general purpose............................................................................................................. $ 6,311,900

Sec. 108. LABORATORY PROGRAM

Full-time equated classified positions...............................................................................................90.0

Laboratory services—36.0 FTE positions.................................................................................................. $ 5,409,200

USDA monitoring—13.0 FTE positions...................................................................................................... 1,598,600

Consumer protection program—41.0 FTE positions................................................................................ 6,083,100

GROSS APPROPRIATION.......................................................................................................................... $ 13,090,900

Appropriated from:

Interdepartmental grant revenues:

IDG from LARA (LCC), liquor quality testing fees................................................................................. 213,500

Federal revenues:

EPA, multiple grants...................................................................................................................................... 168,900

HHS-FDA......................................................................................................................................................... 613,100

USDA, multiple grants................................................................................................................................... 1,599,500

Special revenue funds:

Agriculture equine industry development fund......................................................................................... 611,700

Agriculture licensing and inspection fees................................................................................................... 77,400

Gasoline inspection and testing fund........................................................................................................... 2,562,300

Refined petroleum fund.................................................................................................................................. 3,691,700

Renewable fuels fund...................................................................................................................................... 51,800

Testing fees....................................................................................................................................................... 288,400

Weights and measures regulation fees........................................................................................................ 1,002,200

State general fund/general purpose............................................................................................................. $ 2,210,400

Sec. 109. AGRICULTURE DEVELOPMENT

Full-time equated classified positions...............................................................................................14.0

Agriculture development—11.0 FTE positions.......................................................................................... $ 3,579,500

Food and agriculture industry growth initiative....................................................................................... 1,000,000

Grape and wine program—3.0 FTE positions............................................................................................ 828,500

Rural development value-added grants....................................................................................................... 1,050,000

GROSS APPROPRIATION.......................................................................................................................... $ 6,458,000

Appropriated from:

Federal revenues:

USDA, multiple grants................................................................................................................................... 2,300,000

Special revenue funds:

Industry support funds................................................................................................................................... 131,900

Nonretail liquor fees....................................................................................................................................... 783,400

State general fund/general purpose............................................................................................................. $ 3,242,700

Sec. 110. FAIRS AND EXPOSITIONS

Full-time equated classified positions.................................................................................................1.0

Fairs and racing—1.0 FTE position............................................................................................................. $ 356,700

Shows and expositions.................................................................................................................................... 50,000

County fairs capital improvement grants................................................................................................... 320,000

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 breeders’ awards................................................................................................................... 358,600

Thoroughbred sire stakes.............................................................................................................................. 244,800

GROSS APPROPRIATION.......................................................................................................................... $ 3,537,300

Appropriated from:

Special revenue funds:

Agriculture equine industry development fund......................................................................................... 3,167,300

State general fund/general purpose............................................................................................................. $ 370,000

Sec. 111. ONE-TIME BASIS ONLY

Food and agriculture industry growth initiative....................................................................................... $ 2,000,000

Muskegon farmers market............................................................................................................................. 200,000

Ottawa County agriculture incubator.......................................................................................................... 500,000

GROSS APPROPRIATION.......................................................................................................................... $ 2,700,000

Appropriated from:

State general fund/general purpose............................................................................................................. $ 2,700,000

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

FOR FISCAL YEAR 2014-2015

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 2014-2015 is $73,919,600.00 and state spending from state resources to be paid to local units of government for fiscal year 2014-2015 is $4,750,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENT

Environmental stewardship........................................................................................................................... $ 209,000

Michigan agriculture environment assurance program............................................................................ 2,000,000

Local conservation districts........................................................................................................................... 1,041,000

Qualified forest program................................................................................................................................ 1,500,000

TOTAL............................................................................................................................................................... $ 4,750,000

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

Sec. 203. As used in part 1 and this part:

(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) “Fiscal agencies” means the Michigan house fiscal agency and the Michigan senate fiscal agency.

(e) “FTE” means full-time equated.

(f) “HHS-FDA” means the United States department of health and human services - food and drug administration.

(g) “IDG” means interdepartmental grant.

(h) “LARA” means the Michigan department of licensing and regulatory affairs.

(i) “LCC” means the Michigan liquor control commission.

(j) “MDEQ” means the Michigan department of environmental quality.

(k) “MDNR” means the Michigan department of natural resources.

(l) “MOU” means memorandum of understanding.

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

(n) “TB” means tuberculosis.

(o) “USDA” means the United States department of agriculture.

Sec. 205. (1) For each new program or program expansion for which funds in excess of $500,000.00 are appropriated in part 1, the department shall identify specific benchmarks intended to measure the performance or return on taxpayer investment of the program and its associated expenditures. Not later than November 1, 2014, the department shall report the proposed benchmarks to the house and senate appropriations subcommittees for that department, the house and senate fiscal agencies, and the state budget director. The department shall provide an update on its progress in achieving those benchmarks at an appropriations subcommittee meeting called for the purpose of discussing benchmarks and their status.

(2) It is the intent of the legislature that, beginning with the budget for the fiscal year ending September 30, 2016, any proposal for a new program or an expansion of an existing program in excess of $500,000.00 initiated by the executive branch or the legislature shall include, as part of the original proposal or budget request, a list of benchmarks intended to measure the performance or return on taxpayer investment of the program or spending increase.

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 part 1 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 part 1 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 part 1 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 part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 207. The department shall cooperate with the department of technology, management, and budget to 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. The departments and agencies receiving appropriations in part 1 shall use the Internet to fulfill the reporting requirements of this part. 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. 210. 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. 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. 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. 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 appropriations committees, 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 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. 228. Not later than November 30, the state budget office shall prepare and transmit a report that provides for estimates of the total general fund/general purpose appropriation lapses at the close of the prior 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 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 cooperate with the state budget office to provide 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, 2014 and September 30, 2015.

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. The department shall maintain, on a publicly accessible website, a department scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the agency’s performance.

Sec. 232. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 is $11,651,400.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $6,512,000.00. Total agency appropriations for retiree health care legacy costs are estimated at $5,139,400.00.

DEPARTMENTWIDE

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 subcommittees and the 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 subcommittees and the 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 subcommittees and fiscal agencies 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, the department shall provide a report to the subcommittees and the fiscal agencies describing significant food-borne outbreaks and emergencies, including any enforcement actions taken related to food safety during the immediately preceding 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 current fiscal year. 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 the subcommittees and the fiscal agencies.

(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 287.746.

(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 of the current fiscal year, the department shall report to the subcommittees and the fiscal agencies on costs incurred in the previous 2 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 USDA 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 of the current fiscal year and on a quarterly basis thereafter, the department shall report to the senate and house agriculture committees, the subcommittees, and the 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.

Sec. 459. It is the intent of the legislature that the department shall not conduct whole herd bovine TB testing on any 1 herd in a TB-free zone more often than every 4 years or re-test until all other herds in their county have been tested, unless involved in an epidemiological investigation, there is an outbreak within a 10 radius mile area, or is not on a verified wildlife risk mitigated premises. If there is an outbreak within a 10 radius mile area, protocols outlined by the current memorandum of understanding with the USDA shall be used.

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 2014.

Sec. 603. The appropriation in part 1 for local conservation districts shall be allocated in the following manner:

(a) Of the total appropriation, local conservation districts shall receive funds to carry out the functions of environmental conservation and protection programs within that district. The amount of money allocated under this subdivision shall not be used by local conservation districts to replace any funds 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. 604. (1) Federal revenues authorized by and available from the federal government in excess of the appropriation in part 1 under section 107 are appropriated and may be received and expended by the department for purposes authorized under state law and subject to federal requirements.

(2) The department shall notify the subcommittees and fiscal agencies prior to expending federal revenues received and appropriated under subsection (1).

Sec. 605. No funds other than those appropriated in part 1 for the Michigan agriculture environmental assurance program shall be expended for administration or implementation of the Michigan agriculture environmental assurance 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. (1) The appropriations in part 1 for qualified forest affidavit program are 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.

Sec. 609. From the appropriation in part 1 for commercial forestry audit program, it is the intent of the legislature to provide grant funding to the qualified nonprofit sustainable forestry initiative to work with public and private forestland owners to conduct site visits and prepare an analysis and audit of statewide best management practices for water quality and the related forest ecosystem, including native plant and animal species and wildlife habitat. The best management practices audit shall be performed by an audit team composed of qualified professionals, including, but not limited to, the department, the department of environmental quality, university faculty, and conservation groups.

AGRICULTURE DEVELOPMENT

Sec. 701. (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 value-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 of the current fiscal year and a year-end report no later than September 30 of the current fiscal year to the subcommittees and the fiscal agencies, including the grantees, award amount, match funding, and project outcomes.

(7) Notwithstanding any other provisions of this section, the department shall award a $200,000.00 rural development value-added grant to the Eastern Michigan food bank for completion of its new food hub facility.

Sec. 706. Not later than April 1 of the current fiscal year, the department shall provide a report to the subcommittees and the 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 of the current fiscal year, the department shall provide a report to the subcommittees and the 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. 711. (1) The department shall establish and administer the food and agriculture industry growth initiative. The program shall use a grant process to support research, education, and technical assistance efforts focused on removing barriers and leveraging opportunities identified by those in the food and agriculture industry as critical to business development and growth within the state.

(2) In addition to the funds appropriated in part 1, the department of agriculture and rural development may receive and expend funds received from outside sources for the food and agriculture industry growth initiative.

(3) The director shall establish a consortium of interested parties including those involved in the food and agriculture industry sector to develop the program priorities described in subsection (1).

(4) The department shall award grants from the funds appropriated in part 1 or received from outside sources under subsection (2) for food and agriculture industry growth initiative grants. Grantees will be required to identify measurable project outcomes.

(5) A joint evaluation committee selected by the director shall evaluate applications and provide recommendations to the director for final approval of grant awards.

(6) The department may expend money from the funds appropriated in part 1 for the food and agriculture industry growth initiative for administering the program.

(7) Notwithstanding other provisions of this section, of the funds appropriated in part 1 for food and agriculture industry growth initiative, $250,000.00 shall be designated for a regional public private partnership consisting of Michigan Technological University and at least 1 pulp and paper manufacturing operation focused on removing existing barriers and leveraging opportunities directly related to combined heat and power co-located with sustainable agricultural food processing operations.

FAIRS AND EXPOSITIONS

Sec. 801. All appropriations from the agriculture 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 Michigan gaming control board’s regulatory expenses and the department’s expenses to administer horse racing programs and laboratory analysis, shall be reduced proportionately if revenues to the agriculture equine industry development fund decline during the preceding fiscal year to a level lower than the amounts appropriated in part 1.

Sec. 803. (1) In the event there is no live thoroughbred race meet in 2014 or 2015, all purse money and program money appropriated for the thoroughbred industry in fiscal year 2013-2014 and fiscal year 2014-2015 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.

(2) In the event there is no live standardbred race meet in 2014 or 2015, all purse money and program money appropriated for the standardbred industry in fiscal year 2013-2014 and fiscal year 2014-2015 shall be held in escrow for a period not to exceed 18 months, or until a standardbred race meet license is applied for and granted by the Michigan gaming control board.

Sec. 804. It is the intent of the legislature that 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 fiscal agencies by November 1 of the current fiscal year. 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 a year-end report no later than December 1, 2015 to the subcommittees and the fiscal agencies, including the grantees, award amount, match funding, and project outcomes.

Sec. 806. (1) The amount appropriated in part 1 for shows and expositions shall be expended for the purpose of financial support, promotion, prizes, and premiums of equine, livestock, and other agricultural commodity expositions in Michigan.

(2) The department shall award grants for the purposes stipulated in subsection (1) on a competitive basis to persons organizing shows and expositions from the funds appropriated in part 1 for shows and expositions. 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 unexpended portion of the appropriation for shows and expositions is considered a work project appropriation in accordance with the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

(5) The department shall provide a year-end report no later than December 1, 2015 to the subcommittees and the fiscal agencies, including the grantees, award amount, match funding, and project outcomes.

ONE-TIME BASIS APPROPRIATIONS ONLY

Sec. 1101. The 1-time appropriations in part 1 for food and agriculture industry growth initiative shall be expended in accordance with the requirements of section 711 of this part.

PART 2A

PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS

FOR FISCAL YEAR 2015-2016

GENERAL SECTIONS

Sec. 1201. It is the intent of the legislature to provide appropriations for the fiscal year ending on September 30, 2016 for the line items listed in part 1. The fiscal year 2015-2016 appropriations are anticipated to be the same as those for fiscal year 2014-2015, 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 2015 consensus revenue estimating conference.

ARTICLE IV

DEPARTMENT OF COMMUNITY HEALTH

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the department of community health for the fiscal year ending September 30, 2015, from the following funds:

DEPARTMENT OF COMMUNITY HEALTH

APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions..........................................................................................3,648.1

Average population.............................................................................................................................893.0

GROSS APPROPRIATION.......................................................................................................................... $ 18,215,375,900

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 9,425,900

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 18,205,950,000

Federal revenues:

Total federal revenues.................................................................................................................................... 12,539,355,700

Social security act, temporary assistance for needy families.................................................................. 18,330,400

Special revenue funds:

Total local revenues......................................................................................................................................... 220,102,400

Total private revenues.................................................................................................................................... 127,056,600

Merit award trust fund................................................................................................................................... 68,334,700

Roads and risks reserve fund........................................................................................................................ 60,900,000

Autism coverage fund..................................................................................................................................... 5,500,000

Total other state restricted revenues.......................................................................................................... 1,926,668,800

State general fund/general purpose............................................................................................................. $ 3,239,701,400

Sec. 102. DEPARTMENTWIDE ADMINISTRATION

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................190.7

Director and other unclassified—6.0 FTE positions................................................................................. $ 724,700

Departmental administration and management—180.7 FTE positions................................................. 27,088,800

Worker’s compensation program................................................................................................................... 5,000,500

Rent and building occupancy......................................................................................................................... 10,268,900

Developmental disabilities council and projects—10.0 FTE positions.................................................. $ 3,042,200

Human trafficking intervention services..................................................................................................... 200,000

GROSS APPROPRIATION.......................................................................................................................... $ 46,325,100

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 15,472,900

Special revenue funds:

Total private revenues.................................................................................................................................... 35,200

Total other state restricted revenues.......................................................................................................... 829,800

State general fund/general purpose............................................................................................................. $ 29,987,200

Sec. 103. BEHAVIORAL HEALTH PROGRAM ADMINISTRATION AND SPECIAL

PROJECTS

Full-time equated classified positions.............................................................................................103.0

Behavioral health program administration—102.0 FTE positions......................................................... $ 51,172,900

Gambling addiction—1.0 FTE position........................................................................................................ 3,003,900

Protection and advocacy services support.................................................................................................. 194,400

Community residential and support services............................................................................................. 592,100

Federal and other special projects............................................................................................................... 2,839,200

Family support subsidy.................................................................................................................................. 18,149,900

Housing and support services....................................................................................................................... 13,238,800

GROSS APPROPRIATION.......................................................................................................................... $ 89,191,200

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 39,567,400

Social security act, temporary assistance for needy families.................................................................. 18,330,400

Special revenue funds:

Total private revenues.................................................................................................................................... 200,000

Total other state restricted revenues.......................................................................................................... 3,003,900

State general fund/general purpose............................................................................................................. $ 28,089,500

Sec. 104. BEHAVIORAL HEALTH SERVICES

Full-time equated classified positions.................................................................................................9.5

Medicaid mental health services................................................................................................................... $ 2,323,857,900

Community mental health non-Medicaid services..................................................................................... 97,050,400

Mental health services for special populations........................................................................................... 8,842,800

Medicaid substance use disorder services................................................................................................... 45,867,300

CMHSP, purchase of state services contracts............................................................................................ 139,465,600

Civil service charges....................................................................................................................................... 1,499,300

Federal mental health block grant—2.5 FTE positions........................................................................... 15,445,500

State disability assistance program substance use disorder services.................................................... 2,018,800

Community substance use disorder prevention, education, and treatment.......................................... 73,811,800

Children’s waiver home care program......................................................................................................... 21,544,900

Nursing home PAS/ARR-OBRA—7.0 FTE positions.............................................................................. 12,260,600

Children with serious emotional disturbance waiver................................................................................ 12,647,900

Health homes.................................................................................................................................................... 900,000

Healthy Michigan plan - behavioral health................................................................................................. 274,331,900

GROSS APPROPRIATION.......................................................................................................................... $ 3,029,544,700

Appropriated from:

Interdepartmental grant revenues:

Interdepartmental grant from the department of human services........................................................ 6,351,500

Federal revenues:

Total federal revenues.................................................................................................................................... 1,937,773,000

Special revenue funds:

Total local revenues......................................................................................................................................... 25,228,900

Total other state restricted revenues.......................................................................................................... 22,506,200

State general fund/general purpose............................................................................................................. $ 1,037,685,100

Sec. 105. STATE PSYCHIATRIC HOSPITALS AND FORENSIC MENTAL HEALTH

SERVICES

Total average population...................................................................................................................893.0

Full-time equated classified positions..........................................................................................2,130.9

Caro Regional Mental Health Center - psychiatric hospital - adult—461.3 FTE positions.............. $ 56,257,100

Average population.............................................................................................................................185.0

Kalamazoo Psychiatric Hospital - adult—466.1 FTE positions............................................................... 64,409,100

Average population.............................................................................................................................189.0

Walter P. Reuther Psychiatric Hospital - adult—420.8 FTE positions................................................. 55,919,900

Average population.............................................................................................................................234.0

Hawthorn Center - psychiatric hospital - children and adolescents—226.4 FTE positions.............. 28,778,000

Average population...............................................................................................................................75.0

Center for forensic psychiatry—556.3 FTE positions.............................................................................. 72,695,200

Average population.............................................................................................................................210.0

Revenue recapture.......................................................................................................................................... 750,000

IDEA, federal special education................................................................................................................... 120,000

Special maintenance........................................................................................................................................ 332,500

Purchase of medical services for residents of hospitals and centers..................................................... 445,600

Gifts and bequests for patient living and treatment environment......................................................... 1,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 280,707,400

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 34,724,400

Special revenue funds:

CMHSP, purchase of state services contracts............................................................................................ 139,465,600

Other local revenues....................................................................................................................................... 19,493,800

Total private revenues.................................................................................................................................... 1,000,000

Total other state restricted revenues.......................................................................................................... 18,871,300

State general fund/general purpose............................................................................................................. $ 67,152,300

Sec. 106. PUBLIC HEALTH ADMINISTRATION

Full-time equated classified positions.............................................................................................100.4

Public health administration—7.3 FTE positions...................................................................................... $ 1,574,000

Health and wellness initiatives—11.7 FTE positions............................................................................... 8,950,000

Vital records and health statistics—81.4 FTE positions.......................................................................... 11,483,500

GROSS APPROPRIATION.......................................................................................................................... $ 22,007,500

Appropriated from:

Interdepartmental grant revenues:

Interdepartmental grant from the department of human services........................................................ 1,208,200

Federal revenues:

Total federal revenues.................................................................................................................................... 3,657,000

Special revenue funds:

Total other state restricted revenues.......................................................................................................... 12,053,900

State general fund/general purpose............................................................................................................. $ 5,088,400

Sec. 107. HEALTH POLICY

Full-time equated classified positions...............................................................................................64.8

Certificate of need program administration—12.3 FTE positions......................................................... $ 2,785,200

Emergency medical services program—23.0 FTE positions................................................................... 6,421,800

Health innovation grants................................................................................................................................ 1,500,000

Health policy administration—24.1 FTE positions................................................................................... 3,112,700

Michigan essential health provider............................................................................................................... 3,591,300

Minority health grants and contracts.......................................................................................................... 612,700

Nurse education and research program—3.0 FTE positions.................................................................. 774,400

Primary care services—1.4 FTE positions................................................................................................. 4,067,900

Rural health services—1.0 FTE position.................................................................................................... 1,555,500

GROSS APPROPRIATION.......................................................................................................................... $ 24,421,500

Appropriated from:

Interdepartmental grant revenues:

Interdepartmental grant from the department of licensing and regulatory affairs........................... $ 774,400

Interdepartmental grant from the department of treasury, Michigan state hospital finance

authority........................................................................................................................................................ 116,200

Federal revenues:

Total federal revenues.................................................................................................................................... 7,994,500

Special revenue funds:

Total private revenues.................................................................................................................................... 865,000

Total other state restricted revenues.......................................................................................................... 6,565,700

State general fund/general purpose............................................................................................................. $ 8,105,700

Sec. 108. LABORATORY SERVICES

Full-time equated classified positions.............................................................................................100.0

Laboratory services—100.0 FTE positions................................................................................................ $ 19,043,200

GROSS APPROPRIATION.......................................................................................................................... $ 19,043,200

Appropriated from:

Interdepartmental grant revenues:

Interdepartmental grant from the department of environmental quality............................................ 975,600

Federal revenues:

Total federal revenues.................................................................................................................................... 2,298,100

Special revenue funds:

Total other state restricted revenues.......................................................................................................... 8,993,900

State general fund/general purpose............................................................................................................. $ 6,775,600

Sec. 109. EPIDEMIOLOGY AND INFECTIOUS DISEASE

Full-time equated classified positions.............................................................................................144.9

AIDS surveillance and prevention program............................................................................................... $ 1,854,100

Bioterrorism preparedness—52.0 FTE positions...................................................................................... 30,094,200

Epidemiology administration—41.6 FTE positions................................................................................... 11,845,700

Healthy homes program—8.0 FTE positions............................................................................................. 4,386,200

Immunization program—12.8 FTE positions............................................................................................. 15,022,300

Newborn screening follow-up and treatment services—10.5 FTE positions....................................... 6,748,800

Sexually transmitted disease control program—20.0 FTE positions.................................................... 6,252,900

Tuberculosis control and prevention............................................................................................................ 867,000

GROSS APPROPRIATION.......................................................................................................................... $ 77,071,200

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 58,971,700

Special revenue funds:

Total private revenues.................................................................................................................................... 338,800

Total other state restricted revenues.......................................................................................................... 11,110,500

State general fund/general purpose............................................................................................................. $ 6,650,200

Sec. 110. LOCAL HEALTH ADMINISTRATION AND GRANTS

Full-time equated classified positions.................................................................................................2.0

Essential local public health services........................................................................................................... $ 40,886,100

Implementation of 1993 PA 133, MCL 333.17015...................................................................................... 20,000

Local health services—2.0 FTE positions................................................................................................... 537,300

Medicaid outreach cost reimbursement to local health departments.................................................... 9,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 50,443,400

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 9,537,300

Special revenue funds:

Total local revenues......................................................................................................................................... 5,150,000

State general fund/general purpose............................................................................................................. $ 35,756,100

Sec. 111. CHRONIC DISEASE AND INJURY PREVENTION AND HEALTH

PROMOTION

Full-time equated classified positions...............................................................................................96.0

AIDS prevention, testing, and care programs—31.7 FTE positions..................................................... $ 70,427,500

Cancer prevention and control program—12.0 FTE positions............................................................... 15,009,000

Chronic disease control and health promotion administration—29.4 FTE positions.......................... 4,139,900

Diabetes and kidney program—8.0 FTE positions................................................................................... 1,893,300

Injury control intervention project.............................................................................................................. 1,350,000

Smoking prevention program—12.0 FTE positions.................................................................................. 2,111,000

Violence prevention—2.9 FTE positions..................................................................................................... 1,824,000

GROSS APPROPRIATION.......................................................................................................................... $ 96,754,700

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 49,169,800

Special revenue funds:

Total private revenues.................................................................................................................................... 38,778,400

Total other state restricted revenues.......................................................................................................... 5,535,000

State general fund/general purpose............................................................................................................. $ 3,271,500

Sec. 112. FAMILY, MATERNAL, AND CHILDREN’S HEALTH SERVICES

Full-time equated classified positions...............................................................................................65.6

Childhood lead program—2.5 FTE positions............................................................................................. $ 1,236,200

Dental programs—3.0 FTE positions.......................................................................................................... 1,647,600

Dental program for persons with developmental disabilities.................................................................. 151,000

Family, maternal, and children’s health services administration—46.1 FTE positions...................... 7,817,800

Family planning local agreements................................................................................................................ 8,310,700

Local MCH services........................................................................................................................................ 7,018,100

Pregnancy prevention program.................................................................................................................... 602,100

Prenatal care outreach and service delivery support—14.0 FTE positions......................................... 19,685,700

Special projects................................................................................................................................................ 6,832,900

Sudden infant death syndrome program..................................................................................................... 321,300

GROSS APPROPRIATION.......................................................................................................................... $ 53,623,400

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 41,805,000

Special revenue funds:

Total local revenues......................................................................................................................................... 75,000

Total private revenues.................................................................................................................................... 874,500

State general fund/general purpose............................................................................................................. $ 10,868,900

Sec. 113. WOMEN, INFANTS, AND CHILDREN FOOD AND NUTRITION

PROGRAM

Full-time equated classified positions...............................................................................................45.0

Women, infants, and children program administration and special projects—45.0 FTE positions... $ 17,923,200

Women, infants, and children program local agreements and food costs.............................................. 256,285,000

GROSS APPROPRIATION.......................................................................................................................... $ 274,208,200

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 213,130,300

Special revenue funds:

Total private revenues.................................................................................................................................... 61,077,900

State general fund/general purpose............................................................................................................. $ 0

Sec. 114. CHILDREN’S SPECIAL HEALTH CARE SERVICES

Full-time equated classified positions...............................................................................................46.8

Children’s special health care services administration—44.0 FTE positions....................................... $ 5,582,100

Bequests for care and services—2.8 FTE positions.................................................................................. 1,528,800

Outreach and advocacy................................................................................................................................... 5,510,000

Nonemergency medical transportation........................................................................................................ $ 1,505,900

Medical care and treatment........................................................................................................................... 187,931,700

GROSS APPROPRIATION.......................................................................................................................... $ 202,058,500

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 106,258,400

Special revenue funds:

Total private revenues.................................................................................................................................... 1,009,300

Total other state restricted revenues.......................................................................................................... 3,857,400

State general fund/general purpose............................................................................................................. $ 90,933,400

Sec. 115. CRIME VICTIM SERVICES COMMISSION

Full-time equated classified positions...............................................................................................13.0

Grants administration services—13.0 FTE positions............................................................................... $ 2,128,100

Justice assistance grants................................................................................................................................ 15,000,000

Crime victim rights services grants............................................................................................................. 16,870,000

GROSS APPROPRIATION.......................................................................................................................... $ 33,998,100

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 18,696,900

Special revenue funds:

Total other state restricted revenues.......................................................................................................... 15,301,200

State general fund/general purpose............................................................................................................. $ 0

Sec. 116. OFFICE OF SERVICES TO THE AGING

Full-time equated classified positions...............................................................................................40.0

Office of services to aging administration—40.0 FTE positions............................................................. $ 7,600,700

Community services........................................................................................................................................ 39,013,900

Nutrition services............................................................................................................................................ 39,044,000

Foster grandparent volunteer program...................................................................................................... 2,233,600

Retired and senior volunteer program........................................................................................................ 627,300

Senior companion volunteer program.......................................................................................................... 1,604,400

Employment assistance.................................................................................................................................. 3,500,000

Respite care program..................................................................................................................................... 5,868,700

GROSS APPROPRIATION.......................................................................................................................... $ 99,492,600

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 57,534,600

Special revenue funds:

Total private revenues.................................................................................................................................... 677,500

Merit award trust fund................................................................................................................................... 4,068,700

Total other state restricted revenues.......................................................................................................... 1,400,000

State general fund/general purpose............................................................................................................. $ 35,811,800

Sec. 117. MEDICAL SERVICES ADMINISTRATION

Full-time equated classified positions.............................................................................................495.5

Medical services administration—435.5 FTE positions............................................................................ $ 79,697,800

Healthy Michigan plan administration—36.0 FTE positions................................................................... 49,353,800

Facility inspection contract............................................................................................................................ 132,800

MIChild administration.................................................................................................................................. 3,500,000

Electronic health record incentive program—24.0 FTE positions......................................................... 144,233,600

GROSS APPROPRIATION.......................................................................................................................... $ 276,918,000

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 233,720,400

Special revenue funds:

Total local revenues......................................................................................................................................... 105,900

Total private revenues.................................................................................................................................... 100,000

Total other state restricted revenues.......................................................................................................... 331,700

State general fund/general purpose............................................................................................................. $ 42,660,000

Sec. 118. MEDICAL SERVICES

Hospital services and therapy....................................................................................................................... $ 1,251,951,200

Hospital disproportionate share payments................................................................................................. 45,000,000

Physician services............................................................................................................................................ 393,821,100

Medicare premium payments........................................................................................................................ 408,503,400

Pharmaceutical services................................................................................................................................. 303,791,800

Home health services...................................................................................................................................... 5,804,700

Hospice services............................................................................................................................................... 111,982,500

Transportation.................................................................................................................................................. 23,288,200

Auxiliary medical services............................................................................................................................. 7,268,800

Dental services................................................................................................................................................. 200,341,500

Ambulance services......................................................................................................................................... 11,000,000

Long-term care services................................................................................................................................. 1,393,963,800

Integrated care organizations....................................................................................................................... 478,495,500

Medicaid home- and community-based services waiver........................................................................... 325,318,000

Adult home help services............................................................................................................................... 302,440,800

Personal care services.................................................................................................................................... 12,237,000

Program of all-inclusive care for the elderly.............................................................................................. 66,672,600

Autism services................................................................................................................................................ 25,171,800

Health plan services........................................................................................................................................ 4,905,539,800

Health insurer fee reserve fund.................................................................................................................... 87,057,500

MIChild program............................................................................................................................................. 71,220,100

Special indigent care payments..................................................................................................................... 10,000,000

Federal Medicare pharmaceutical program................................................................................................ 150,883,900

Maternal and child health............................................................................................................................... 20,279,500

Healthy Michigan plan.................................................................................................................................... 2,376,690,900

Subtotal basic medical services program.................................................................................................... 12,988,724,400

School-based services...................................................................................................................................... 112,102,700

Special Medicaid reimbursement.................................................................................................................. 321,831,500

Subtotal special medical services payments............................................................................................... 433,934,200

GROSS APPROPRIATION.......................................................................................................................... $ 13,422,658,600

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 9,656,901,100

Special revenue funds:

Total local revenues......................................................................................................................................... 30,583,200

Total private revenues.................................................................................................................................... 2,100,000

Merit award trust fund................................................................................................................................... 64,266,000

Roads and risks reserve fund........................................................................................................................ 60,900,000

Total other state restricted revenues.......................................................................................................... 1,814,320,300

State general fund/general purpose............................................................................................................. $ 1,793,588,000

Sec. 119. INFORMATION TECHNOLOGY

Information technology services and projects............................................................................................ $ 37,002,700

Michigan Medicaid information system....................................................................................................... 50,201,100

GROSS APPROPRIATION.......................................................................................................................... $ 87,203,800

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 45,480,400

Special revenue funds:

Total private revenues.................................................................................................................................... 20,000,000

Total other state restricted revenues.......................................................................................................... 1,988,000

State general fund/general purpose............................................................................................................. $ 19,735,400

Sec. 120. ONE-TIME BASIS ONLY APPROPRIATIONS

University autism programs.......................................................................................................................... $ 7,000,000

Autism family assistance services................................................................................................................ 1,500,000

Pay for success contracts............................................................................................................................... 1,500,000

Bone marrow transplant registry................................................................................................................. $ 250,000

Child and adolescent health services........................................................................................................... 2,000,000

Mental health commission recommendations............................................................................................. 8,962,500

Dental clinic program...................................................................................................................................... 4,092,300

Healthy kids dental computer project......................................................................................................... 3,000,000

Statewide trauma system.............................................................................................................................. 1,300,000

Senior Olympics............................................................................................................................................... 100,000

GROSS APPROPRIATION.......................................................................................................................... $ 29,704,800

Appropriated from:

Federal revenues:

Total federal revenues.................................................................................................................................... 6,662,500

Special revenue funds:

Autism coverage fund..................................................................................................................................... 5,500,000

State general fund/general purpose............................................................................................................. $ 17,542,300

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

FOR FISCAL YEAR 2014-2015

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 2014-2015 is $5,301,104,900.00 and state spending from state resources to be paid to local units of government for fiscal year 2014-2015 is $1,108,135,300.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF COMMUNITY HEALTH

BEHAVIORAL HEALTH PROGRAM ADMINISTRATION

Community residential and support services............................................................................................. $ 757,200

Housing and support services....................................................................................................................... 812,800

BEHAVIORAL HEALTH SERVICES

State disability assistance program substance use disorder services.................................................... $ 2,018,000

Community substance use disorder prevention, education, and treatment programs....................... 14,553,400

Medicaid mental health services................................................................................................................... 772,083,300

Community mental health non-Medicaid services..................................................................................... 97,050,400

Mental health services for special populations........................................................................................... 8,842,800

Medicaid substance use disorder services................................................................................................... 15,806,200

Children’s waiver home care program......................................................................................................... 6,056,200

Nursing home PAS/ARR-OBRA.................................................................................................................. 2,725,300

PUBLIC HEALTH ADMINISTRATION

Health and wellness initiatives..................................................................................................................... $ 3,584,600

HEALTH POLICY

Primary care services..................................................................................................................................... $ 413,900

LABORATORY SERVICES

Laboratory services........................................................................................................................................ $ 16,200

EPIDEMIOLOGY AND INFECTIOUS DISEASE

Sexually transmitted disease control program.......................................................................................... $ 175,200

Immunization program................................................................................................................................... 1,123,500

LOCAL HEALTH ADMINISTRATION AND GRANTS

Implementation of 1993 PA 133, MCL 333.17015...................................................................................... $ 5,000

Essential local public health services........................................................................................................... 35,736,100

CHRONIC DISEASE AND INJURY PREVENTION AND HEALTH PROMOTION

AIDS prevention, testing, and care programs........................................................................................... $ 1,600,100

Cancer prevention and control program..................................................................................................... 94,700

Chronic disease and health promotion administration.............................................................................. 12,000

FAMILY, MATERNAL, AND CHILDREN’S HEALTH SERVICES

Prenatal care outreach and service delivery support............................................................................... $ 1,500,000

CHILDREN’S SPECIAL HEALTH CARE SERVICES

Medical care and treatment........................................................................................................................... $ 939,700

Outreach and advocacy................................................................................................................................... 2,226,000

CRIME VICTIM SERVICES COMMISSION

Crime victim rights services grants............................................................................................................. $ 7,200,600

OFFICE OF SERVICES TO THE AGING

Community services........................................................................................................................................ $ 16,533,500

Nutrition services............................................................................................................................................ 10,587,000

Foster grandparent volunteer program...................................................................................................... 657,100

Retired and senior volunteer program........................................................................................................ 173,900

Senior companion volunteer program.......................................................................................................... 348,800

Respite care program..................................................................................................................................... 5,115,000

MEDICAL SERVICES

Dental services................................................................................................................................................. $ 990,600

Long-term care services................................................................................................................................. 84,754,000

Transportation.................................................................................................................................................. 1,359,300

Hospital services and therapy....................................................................................................................... 2,344,700

Physician services............................................................................................................................................ 9,938,200

TOTAL OF PAYMENTS TO LOCAL UNITS OF GOVERNMENT...................................................... $ 1,108,135,300

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

Sec. 203. As used in this part and part 1:

(a) “AIDS” means acquired immunodeficiency syndrome.

(b) “CMHSP” means a community mental health services program as that term is defined in section 100a of the mental health code, 1974 PA 258, MCL 330.1100a.

(c) “Current fiscal year” means the fiscal year ending September 30, 2015.

(d) “Department” means the department of community health.

(e) “Director” means the director of the department.

(f) “DSH” means disproportionate share hospital.

(g) “EPSDT” means early and periodic screening, diagnosis, and treatment.

(h) “Federal poverty level” means the poverty guidelines published annually in the federal register by the United States department of health and human services under its authority to revise the poverty line under 42 USC 9902.

(i) “FTE” means full-time equated.

(j) “GME” means graduate medical education.

(k) “Health plan” means, at a minimum, an organization that meets the criteria for delivering the comprehensive package of services under the department’s comprehensive health plan.

(l) “HEDIS” means healthcare effectiveness data and information set.

(m) “HIV” means human immunodeficiency virus.

(n) “HMO” means health maintenance organization.

(o) “IDEA” means the individuals with disabilities education act, 20 USC 1400 to 1482.

(p) “MCH” means maternal and child health.

(q) “MIChild” means the program described in section 1670.

(r) “PAS/ARR-OBRA” means the preadmission screening and annual resident review required under the omnibus budget reconciliation act of 1987, section 1919(e)(7) of the social security act, 42 USC 1396r.

(s) “PIHP” means a governmental entity designated by the department as a regional entity or a specialty prepaid inpatient health plan for Medicaid mental health services, services to individuals with developmental disabilities, and substance use disorder services. Regional entities are described in section 204b of the mental health code, 1974 PA 258, MCL 330.1204b. Specialty prepaid inpatient health plans are described in section 232b of the mental health code, 1974 PA 258, MCL 330.1232b.

(t) “Temporary assistance for needy families” means part A of title IV of the social security act, 42 USC 601 to 619.

(u) “Title X” means title X of the public health service act, 42 USC 300 to 300a-8, that establishes grants to states for family planning services.

(v) “Title XVIII” and “Medicare” mean title XVIII of the social security act, 42 USC 1395 to 1395kkk-1.

(w) “Title XIX” and “Medicaid” mean title XIX of the social security act, 42 USC 1396 to 1396w-5.

Sec. 204. (1) For each new program or program expansion for which funds in excess of $500,000.00 are appropriated in part 1, the department shall identify specific benchmarks intended to measure the performance or return on taxpayer investment of the program and its associated expenditures. Not later than November 1, 2014, the department shall report the proposed benchmarks to the house and senate appropriations subcommittees for that department, the house and senate fiscal agencies, and the state budget director. The department shall provide an update on its progress in achieving those benchmarks at an appropriations subcommittee meeting called for the purpose of discussing benchmarks and their status.

(2) It is the intent of the legislature that, beginning with the budget for the fiscal year ending September 30, 2016, any proposal for a new program or an expansion of an existing program in excess of $500,000.00 initiated by the executive branch or the legislature shall include, as part of the original proposal or budget request, a list of benchmarks intended to measure the performance or return on taxpayer investment of the program or spending increase.

Sec. 206. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $200,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $40,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $20,000,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $40,000,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 207. The department shall maintain, on a public accessible website, a department scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the department’s performance.

Sec. 208. The departments and agencies receiving appropriations in part 1 shall use the Internet to fulfill the reporting requirements of this part and part 1. This requirement may include transmission of reports via electronic mail to the recipients identified for each reporting requirement, or it may include placement of reports on the Internet or Intranet site.

Sec. 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. 210. The director and the director of the office of services to the aging 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 and the director of the office of services to the aging shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 211. If the revenue collected by the department from fees and collections exceeds the amount appropriated in part 1, the revenue may be carried forward with the approval of the state budget director into the subsequent fiscal year. The revenue carried forward under this section shall be used as the first source of funds in the subsequent fiscal year.

Sec. 212. (1) On or before February 1 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on community health, the house and senate fiscal agencies, and the state budget director on the detailed name and amounts of federal, restricted, private, and local sources of revenue that support the appropriations in each of the line items in part 1.

(2) Upon the release of the next fiscal year executive budget recommendation, the department shall report to the same parties in subsection (1) on the amounts and detailed sources of federal, restricted, private, and local revenue proposed to support the total funds appropriated in each of the line items in part 1 of the next fiscal year executive budget proposal.

Sec. 213. The state departments, agencies, and commissions receiving tobacco tax funds and Healthy Michigan funds from part 1 shall report by April 1 of the current fiscal year to the senate and house appropriations committees, the senate and house fiscal agencies, and the state budget director on the following:

(a) Detailed spending plan by appropriation line item including description of programs and a summary of organizations receiving these funds.

(b) Description of allocations or bid processes including need or demand indicators used to determine allocations.

(c) Eligibility criteria for program participation and maximum benefit levels where applicable.

(d) Outcome measures used to evaluate programs, including measures of the effectiveness of these programs in improving the health of Michigan residents.

(e) Any other information considered necessary by the house of representatives or senate appropriations committees or the state budget director.

Sec. 216. (1) In addition to funds appropriated in part 1 for all programs and services, there is appropriated for write-offs of accounts receivable, deferrals, and for prior year obligations in excess of applicable prior year appropriations, an amount equal to total write-offs and prior year obligations, but not to exceed amounts available in prior year revenues.

(2) The department’s ability to satisfy appropriation deductions in part 1 shall not be limited to collections and accruals pertaining to services provided in the current fiscal year, but shall also include reimbursements, refunds, adjustments, and settlements from prior years.

Sec. 218. The department shall include the following in its annual list of proposed basic health services as required in part 23 of the public health code, 1978 PA 368, MCL 333.2301 to 333.2321:

(a) Immunizations.

(b) Communicable disease control.

(c) Sexually transmitted disease control.

(d) Tuberculosis control.

(e) Prevention of gonorrhea eye infection in newborns.

(f) Screening newborns for the conditions listed in section 5431 of the public health code, 1978 PA 368, MCL 333.5431, or recommended by the newborn screening quality assurance advisory committee created under section 5430 of the public health code, 1978 PA 368, MCL 333.5430.

(g) Community health annex of the Michigan emergency management plan.

(h) Prenatal care.

Sec. 219. (1) The department may contract with the Michigan public health institute for the design and implementation of projects and for other public health-related activities prescribed in section 2611 of the public health code, 1978 PA 368, MCL 333.2611. The department may develop a master agreement with the institute to carry out these purposes for up to a 3-year period. The department shall report to the house and senate appropriations subcommittees on community health, the house and senate fiscal agencies, and the state budget director on or before January 1 of the current fiscal year all of the following:

(a) A detailed description of each funded project.

(b) The amount allocated for each project, the appropriation line item from which the allocation is funded, and the source of financing for each project.

(c) The expected project duration.

(d) A detailed spending plan for each project, including a list of all subgrantees and the amount allocated to each subgrantee.

(2) On or before September 30 of the current fiscal year, the department shall provide to the same parties listed in subsection (1) a copy of all reports, studies, and publications produced by the Michigan public health institute, its subcontractors, or the department with the funds appropriated in part 1 and allocated to the Michigan public health institute.

Sec. 223. The department may establish and collect fees for publications, videos and related materials, conferences, and workshops. Collected fees shall be used to offset expenditures to pay for printing and mailing costs of the publications, videos and related materials, and costs of the workshops and conferences. The department shall not collect fees under this section that exceed the cost of the expenditures.

Sec. 252. The appropriations in part 1 for Healthy Michigan plan-behavioral health, Healthy Michigan plan administration, and Healthy Michigan plan are contingent on the provisions of the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b, that were contained in 2013 PA 107 not being amended, repealed, or otherwise altered to eliminate the Healthy Michigan plan. If that occurs, then, upon the effective date of the amendatory act that amends, repeals, or otherwise alters those provisions, the remaining funds in the Healthy Michigan plan-behavioral health, Healthy Michigan plan administration, and Healthy Michigan plan line items shall only be used to pay previously incurred costs and any remaining appropriations shall not be allotted to support those line items.

Sec. 264. (1) Upon submission of a Medicaid waiver, a Medicaid state plan amendment, or a similar proposal to the centers for Medicare and Medicaid services, the department shall notify the house and senate appropriations subcommittees on community health and the house and senate fiscal agencies of the submission.

(2) The department shall provide written or verbal biannual reports to the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies summarizing the status of any new or ongoing discussions with the centers for Medicare and Medicaid services or the federal department of health and human services regarding potential or future Medicaid waiver applications.

(3) The department shall inform the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies of any alterations or adjustments made to the published plan for integrated care for individuals who are dual Medicare/Medicaid eligibles when the final version of the plan has been submitted to the federal centers for Medicare and Medicaid services or the federal department of health and human services.

(4) At least 30 days before implementation of the plan for integrated care for individuals who are dual Medicare/Medicaid eligibles, the department shall submit the plan to the legislature for review.

Sec. 266. 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 senate and house appropriations committees, 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 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. 267. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 270. Within 180 days after receipt of the notification from the attorney general’s office of a legal action in which expenses had been recovered pursuant to section 106(4) of the social welfare act, 1939 PA 280, MCL 400.106, or any other statute under which the department has the right to recover expenses, the department shall submit a written report to the house and senate appropriations subcommittees on community health, the house and senate fiscal agencies, and the state budget office which includes, at a minimum, all of the following:

(a) The total amount recovered from the legal action.

(b) The program or service for which the money was originally expended.

(c) Details on the disposition of the funds recovered such as the appropriation or revenue account in which the money was deposited.

(d) A description of the facts involved in the legal action.

Sec. 276. 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. 282. (1) The department shall work with the department of technology, management, and budget to establish an automated annual metric collection, validation, and reporting system for contracts via the state’s e-procurement system by September 30 of the current fiscal year. The department shall report the status of this work and a project plan to the house and senate appropriations subcommittees on community health and the house and senate fiscal agencies by November 1 and May 1 of the current fiscal year.

(2) By June 30, 2016, the automated system established in subsection (1) shall be able to generate a report to the house and senate appropriations subcommittees on community health and the house and senate fiscal agencies that presents performance metrics on all new or existing contracts at renewal of $1,000,000.00 or more funded only with state general fund/general purpose or state restricted resources. The performance metrics shall include, at a minimum, service delivery volumes and provider or beneficiary outcomes.

Sec. 287. Not later than November 30, the state budget office shall prepare and transmit a report that provides for estimates of the total general fund/general purpose appropriation lapses at the close of the prior 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 chairpersons of the senate and house appropriations committees, and the senate and house fiscal agencies.

Sec. 288. (1) Beginning October 1 of the current fiscal year, no less than 90% of a new department contract supported solely from state restricted funds or general fund/general purpose funds and designated in this part or part 1 for a specific entity for the purpose of providing services to individuals shall be expended for such services after the first year of the contract.

(2) The department may allow a contract to exceed the limitation on administrative and services costs if it can be demonstrated that an exception should be made to the provision in subsection (1).

(3) By September 30 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on community health, house and senate fiscal agencies, and state budget office on the rationale for all exceptions made to the provision in subsection (1) and the number of contracts terminated due to violations of subsection (1).

Sec. 292. The department shall cooperate with the department of technology, management, and budget to 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. 296. Within 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide the senate and house appropriations chairs, the senate and house appropriations subcommittees on community health, 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, 2014 and September 30, 2015.

Sec. 297. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $89,124,600.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $449,676,000.00. Total agency appropriations for retiree health care legacy costs are estimated at $39,448,600.00.

Sec. 298. From the funds appropriated in part 1 for the Michigan Medicaid information system line item, $20,000,000.00 in private revenue will be allocated for the Michigan-Illinois alliance Medicaid management information systems project.

Sec. 299. No state department or agency shall issue a request for proposal (RFP) for a contract in excess of $5,000,000.00, unless the department or agency has first considered issuing a request for information (RFI) or a request for qualification (RFQ) relative to that contract to better enable the department or agency to learn more about the market for the products or services that are the subject of the RFP. The department or agency shall notify the department of technology, management, and budget of the evaluation process used to determine if an RFI or RFQ was not necessary prior to issuing the RFP.

BEHAVIORAL HEALTH SERVICES

Sec. 401. Funds appropriated in part 1 are intended to support a system of comprehensive community mental health services under the full authority and responsibility of local CMHSPs or PIHPs in accordance with the mental health code, 1974 PA 258, MCL 330.1001 to 330.2106, the Medicaid provider manual, federal Medicaid waivers, and all other applicable federal and state laws.

Sec. 402. (1) From funds appropriated in part 1, final authorizations to CMHSPs or PIHPs shall be made upon the execution of contracts between the department and CMHSPs or PIHPs. The contracts shall contain an approved plan and budget as well as policies and procedures governing the obligations and responsibilities of both parties to the contracts. Each contract with a CMHSP or PIHP that the department is authorized to enter into under this subsection shall include a provision that the contract is not valid unless the total dollar obligation for all of the contracts between the department and the CMHSPs or PIHPs entered into under this subsection for the current fiscal year does not exceed the amount of money appropriated in part 1 for the contracts authorized under this subsection.

(2) The department shall immediately report to the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget director if either of the following occurs:

(a) Any new contracts with CMHSPs or PIHPs that would affect rates or expenditures are enacted.

(b) Any amendments to contracts with CMHSPs or PIHPs that would affect rates or expenditures are enacted.

(3) The report required by subsection (2) shall include information about the changes and their effects on rates and expenditures.

Sec. 403. (1) From the funds appropriated in part 1 for mental health services for special populations, the department may require each contractor to provide data and information on performance-related metrics. These metrics may include, but are not limited to, all of the following:

(a) Each contractor or subcontractor shall have a mission that is consistent with the purpose of multicultural integration funding.

(b) Each contractor shall validate that any subcontractors utilized within these appropriations share the same mission as the lead agency receiving funding.

(c) Each contractor or subcontractor shall demonstrate cost-effectiveness.

(d) Each contractor or subcontractor shall ensure its ability to leverage private dollars to strengthen and maximize service provision.

(e) Each contractor or subcontractor shall provide timely and accurate reports regarding the number of clients served, units of service provision, and ability to meet its stated goals.

(2) The department shall require an annual report from the contractors that receive mental health services for special populations funding. The annual report, due 60 days following the end of the contract period, shall include specific information on services and programs provided, the client base to which the services and programs were provided, information on any wraparound services provided, and the expenditures for those services. The department shall provide the annual reports to the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget office.

(3) The department of human services and the department shall convene a workgroup to discuss and make recommendations on including accreditation in the contractor specifications and potentially moving toward competitive bidding. Each contractor required to provide data per this section shall be invited to participate in the workgroup.

Sec. 404. (1) Not later than May 31 of the current fiscal year, the department shall provide a report on the community mental health services programs, PIHPs, regional entities designated by the department as PIHPs, and managing entities for substance use disorders to the members of the house and senate appropriations subcommittees on community health, the house and senate fiscal agencies, and the state budget director that includes the information required by this section.

(2) The report shall contain information for each CMHSP, PIHP, regional entity designated by the department as a PIHP, and managing entity for substance use disorders and a statewide summary, each of which shall include at least the following information:

(a) A demographic description of service recipients which, minimally, shall include reimbursement eligibility, client population, age, ethnicity, housing arrangements, and diagnosis.

(b) Per capita expenditures by client population group.

(c) Financial information that, minimally, includes a description of funding authorized; expenditures by client group and fund source; and cost information by service category, including administration and funds specified for outside contracts. Service category includes all department-approved services.

(d) Data describing service outcomes that includes, but is not limited to, an evaluation of consumer satisfaction, consumer choice, and quality of life concerns including, but not limited to, housing and employment.

(e) Information about access to community mental health services programs that includes, but is not limited to, the following:

(i) The number of people receiving requested services.

(ii) The number of people who requested services but did not receive services.

(f) The number of second opinions requested under the code and the determination of any appeals.

(g) An analysis of information provided by CMHSPs in response to the needs assessment requirements of the mental health code, 1974 PA 258, MCL 330.1001 to 330.2106, including information about the number of individuals in the service delivery system who have requested and are clinically appropriate for different services.

(h) Lapses and carryforwards during the immediately preceding fiscal year for CMHSPs, PIHPs, regional entities designated by the department as PIHPs, and managing entities for substance use disorders.

(i) Information about contracts for both administrative and mental health services entered into by CMHSPs, PIHPs, regional entities designated by the department as PIHPs, and managing entities for substance use disorders with providers and others, including, but not limited to, all of the following:

(i) The amount of the contract, organized by type of service provided.

(ii) Payment rates, organized by the type of service provided.

(iii) Administrative costs, including contract and consultant costs, for services provided to CMHSPs, PIHPs, regional entities designated by the department as PIHPs, and managing entities for substance use disorders.

(j) Information on the community mental health Medicaid managed care program, including, but not limited to, both of the following:

(i) Expenditures by each CMHSP, PIHP, regional entity designated by the department as a PIHP, and managing entity for substance use disorders organized by Medicaid eligibility group, including per eligible individual expenditure averages.

(ii) Performance indicator information required to be submitted to the department in the contracts with CMHSPs, PIHPs, regional entities designated by the department as PIHPs, and managing entities for substance use disorders.

(k) An estimate of the number of direct care workers in local residential settings and paraprofessional and other nonprofessional direct care workers in settings where skill building, community living supports and training, and personal care services are provided by CMHSPs, PIHPs, regional entities designated by the department as PIHPs, and managing entities for substance use disorders as of September 30 of the prior fiscal year employed directly or through contracts with provider organizations.

(3) The department shall include data reporting requirements listed in subsection (2) in the annual contract with each individual CMHSP, PIHP, regional entity designated by the department as a PIHP, and managing entity for substance use disorders.

(4) The department shall take all reasonable actions to ensure that the data required are complete and consistent among all CMHSPs, PIHPs, regional entities designated by the department as PIHPs, and managing entities for substance use disorders.

Sec. 406. (1) The funds appropriated in part 1 for the state disability assistance substance use disorder services program shall be used to support per diem room and board payments in substance use disorder residential facilities. Eligibility of clients for the state disability assistance substance use disorder services program shall include needy persons 18 years of age or older, or emancipated minors, who reside in a substance use disorder treatment center.

(2) The department shall reimburse all licensed substance use disorder programs eligible to participate in the program at a rate equivalent to that paid by the department of human services to adult foster care providers. Programs accredited by department-approved accrediting organizations shall be reimbursed at the personal care rate, while all other eligible programs shall be reimbursed at the domiciliary care rate.

Sec. 407. (1) The amount appropriated in part 1 for substance use disorder prevention, education, and treatment grants shall be expended to coordinate care and services provided to individuals with severe and persistent mental illness and substance use disorder diagnoses.

(2) The department shall approve managing entity fee schedules for providing substance use disorder services and charge participants in accordance with their ability to pay.

(3) The managing entity shall continue current efforts to collaborate on the delivery of services to those clients with mental illness and substance use disorder diagnoses with the goal of providing services in an administratively efficient manner.

Sec. 408. (1) By April 1 of the current fiscal year, the department shall report the following data from the prior fiscal year on substance use disorder prevention, education, and treatment programs to the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget office:

(a) Expenditures stratified by department-designated community mental health entity, by central diagnosis and referral agency, by fund source, by subcontractor, by population served, and by service type. Additionally, data on administrative expenditures by department-designated community mental health entity shall be reported.

(b) Expenditures per state client, with data on the distribution of expenditures reported using a histogram approach.

(c) Number of services provided by central diagnosis and referral agency, by subcontractor, and by service type. Additionally, data on length of stay, referral source, and participation in other state programs.

(d) Collections from other first- or third-party payers, private donations, or other state or local programs, by department-designated community mental health entity, by subcontractor, by population served, and by service type.

(2) The department shall take all reasonable actions to ensure that the required data reported are complete and consistent among all department-designated community mental health entities.

Sec. 410. The department shall assure that substance use disorder treatment is provided to applicants and recipients of public assistance through the department of human services who are required to obtain substance use disorder treatment as a condition of eligibility for public assistance.

Sec. 411. (1) The department shall ensure that each contract with a CMHSP or PIHP requires the CMHSP or PIHP to implement programs to encourage diversion of individuals with serious mental illness, serious emotional disturbance, or developmental disability from possible jail incarceration when appropriate.

(2) Each CMHSP or PIHP shall have jail diversion services and shall work toward establishing working relationships with representative staff of local law enforcement agencies, including county prosecutors’ offices, county sheriffs’ offices, county jails, municipal police agencies, municipal detention facilities, and the courts. Written interagency agreements describing what services each participating agency is prepared to commit to the local jail diversion effort and the procedures to be used by local law enforcement agencies to access mental health jail diversion services are strongly encouraged.

Sec. 412. The department shall contract directly with the Salvation Army harbor light program to provide non‑Medicaid substance use disorder services.

Sec. 418. On or before the tenth of each month, the department shall report to the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget director on the amount of funding paid to PIHPs to support the Medicaid managed mental health care program in the preceding month. The information shall include the total paid to each PIHP, per capita rate paid for each eligibility group for each PIHP, and number of cases in each eligibility group for each PIHP, and year-to-date summary of eligibles and expenditures for the Medicaid managed mental health care program.

Sec. 424. Each PIHP that contracts with the department to provide services to the Medicaid population shall adhere to the following timely claims processing and payment procedure for claims submitted by health professionals and facilities:

(a) A “clean claim” as described in section 111i of the social welfare act, 1939 PA 280, MCL 400.111i, shall be paid within 45 days after receipt of the claim by the PIHP. A clean claim that is not paid within this time frame shall bear simple interest at a rate of 12% per annum.

(b) A PIHP shall state in writing to the health professional or facility any defect in the claim within 30 days after receipt of the claim.

(c) A health professional and a health facility have 30 days after receipt of a notice that a claim or a portion of a claim is defective within which to correct the defect. The PIHP shall pay the claim within 30 days after the defect is corrected.

Sec. 428. Each PIHP shall provide, from internal resources, local funds to be used as a bona fide part of the state match required under the Medicaid program in order to increase capitation rates for PIHPs. These funds shall not include either state funds received by a CMHSP for services provided to non-Medicaid recipients or the state matching portion of the Medicaid capitation payments made to a PIHP.

Sec. 435. A county required under the provisions of the mental health code, 1974 PA 258, MCL 330.1001 to 330.2106, to provide matching funds to a CMHSP for mental health services rendered to residents in its jurisdiction shall pay the matching funds in equal installments on not less than a quarterly basis throughout the fiscal year, with the first payment being made by October 1 of the current fiscal year.

Sec. 494. (1) Contingent upon federal approval, if a CMHSP, PIHP, or subcontracting provider agency is reviewed and accredited by a national accrediting entity for behavioral health care services, the department, by April 1 of the current fiscal year, shall consider that CMHSP, PIHP, or subcontracting provider agency in compliance with state program review and audit requirements that are addressed and reviewed by that national accrediting entity.

(2) By June 1 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on community health, the house and senate fiscal agencies, and the state budget office all of the following:

(a) A list of each CMHSP, PIHP, and subcontracting provider agency that is considered in compliance with state program review and audit requirements under subsection (1).

(b) For each CMHSP, PIHP, or subcontracting provider agency described in subdivision (a), all of the following:

(i) The state program review and audit requirements that the CMHSP, PIHP, or subcontracting provider agency is considered in compliance with.

(ii) The national accrediting entity that reviewed and accredited the CMHSP, PIHP, or subcontracting provider agency.

(3) The department shall continue to comply with state and federal law and shall not initiate an action that negatively impacts beneficiary safety.

(4) As used in this section, “national accrediting entity” means the joint commission on accreditation of healthcare organizations, the commission on accreditation of rehabilitation facilities, the council of accreditation, the utilization review accreditation commission, the national committee for quality assurance, or other appropriate entity, as approved by the department.

Sec. 495. From the funds appropriated in part 1 for behavioral health program administration, $3,350,000.00 is intended to address the recommendations of the mental health diversion council.

Sec. 497. The population data used in determining the distribution of substance use disorder block grant funds shall be from the most recent federal census.

Sec. 502. (1) The department shall continue developing an outreach program on fetal alcohol syndrome services. The department shall report to the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies by April 1 of the current fiscal year on efforts to prevent and combat fetal alcohol syndrome as well as deficiencies in efforts to reduce the incidence of fetal alcohol syndrome.

(2) The department shall explore federal grant funding to address prevention services for fetal alcohol syndrome and reduce alcohol consumption among pregnant women. The department shall submit a progress report to the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies by April 1 of the current fiscal year on efforts to secure federal grants.

Sec. 503. The department shall notify the Michigan association of community mental health boards when developing policies and procedures that will impact PIHPs or CMHSPs.

Sec. 504. (1) The department shall create a workgroup to make recommendations to achieve more uniformity in capitation payments made to the PIHPs.

(2) The workgroup shall include but not be limited to representatives of the department, PIHPs, and CMHSPs.

(3) The department shall provide the workgroup’s recommendations to the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget director by March 1 of the current fiscal year.

Sec. 505. For the purposes of special projects involving high-need children or adults, including the not guilty by reason of insanity population, the department may contract directly with providers of services to these identified populations.

Sec. 506. No later than November 30 of the current fiscal year, the department shall provide the house and senate appropriations subcommittees on community health, the house and senate fiscal agencies, and the state budget office with the most recent cost data information submitted by the CMHSPs on how the funds appropriated in part 1 for the community mental health services non-Medicaid services line item were expended by each CMHSP. At a minimum, the information must include CMHSPs general fund/general purpose costs for each of the following categories: administration, prevention, jail diversion and treatment services, MIChild program, children’s waiver home care program, children with serious emotional disturbance waiver program, services provided to individuals with mental illness and developmental disabilities who are not eligible for Medicaid, and the Medicaid spend down population.

STATE PSYCHIATRIC HOSPITALS AND FORENSIC MENTAL HEALTH SERVICES

Sec. 601. The department shall continue a revenue recapture project to generate additional revenues from third parties related to cases that have been closed or are inactive. A portion of revenues collected through project efforts may be used for departmental costs and contractual fees associated with these retroactive collections and to improve ongoing departmental reimbursement management functions.

Sec. 602. The purpose of gifts and bequests for patient living and treatment environments is to use additional private funds to provide specific enhancements for individuals residing at state-operated facilities. Use of the gifts and bequests shall be consistent with the stipulation of the donor. The expected completion date for the use of gifts and bequests donations is within 3 years unless otherwise stipulated by the donor.

Sec. 605. (1) The department shall not implement any closures or consolidations of state hospitals, centers, or agencies until CMHSPs or PIHPs have programs and services in place for those individuals currently in those facilities and a plan for service provision for those individuals who would have been admitted to those facilities.

(2) All closures or consolidations are dependent upon adequate department-approved CMHSP and PIHP plans that include a discharge and aftercare plan for each individual currently in the facility. A discharge and aftercare plan shall address the individual’s housing needs. A homeless shelter or similar temporary shelter arrangements are inadequate to meet the individual’s housing needs.

(3) Four months after the certification of closure required in section 19(6) of the state employees’ retirement act, 1943 PA 240, MCL 38.19, the department shall provide a closure plan to the house and senate appropriations subcommittees on community health and the state budget director.

(4) Upon the closure of state-run operations and after transitional costs have been paid, the remaining balances of funds appropriated for that operation shall be transferred to CMHSPs or PIHPs responsible for providing services for individuals previously served by the operations.

Sec. 606. The department may collect revenue for patient reimbursement from first- and third-party payers, including Medicaid and local county CMHSP payers, to cover the cost of placement in state hospitals and centers. The department is authorized to adjust financing sources for patient reimbursement based on actual revenues earned. If the revenue collected exceeds current year expenditures, the revenue may be carried forward with approval of the state budget director. The revenue carried forward shall be used as a first source of funds in the subsequent year.

Sec. 608. Effective October 1 of the current fiscal year, the department, in consultation with the department of technology, management, and budget, may maintain a bid process to identify 1 or more private contractors to provide food service and custodial services for the administrative areas at any state hospital identified by the department as capable of generating savings through the outsourcing of such services.

PUBLIC HEALTH ADMINISTRATION

Sec. 650. By October 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on community health a report that includes detailed information regarding the current process by which fish consumption advisories are created and revised. The department shall include all of the following information in the report:

(a) The triggers to begin the process for developing the fish consumption advisories, such as evidence of human disease, fish residue data, and biomonitoring data.

(b) The process for developing and modifying a fish consumption advisory, including the data inputs used, the rationale behind the selection of particular fish for collection, whether the process has been independently reviewed and validated by a scientific panel or benchmarked in any way, and the reasons for the lack of any independent review, validation, or benchmarking.

(c) The type of data specific to a particular body of water that would be needed to modify a current fish consumption advisory, including the data quality criteria that are used to determine if data are suitable for use in the assessment and exclusions to bodies of data and the justifications for such exclusions.

(d) Information on the ways stakeholder input is incorporated into the fish consumption advisory process prior to an advisory being issued.

(e) Information on how advisory analyses are documented, including how uncertainty analyses are conducted and reported, with information as to whether these evaluations are publicly available and, if not available, an explanation of why any such evaluations are not publicly available.

Sec. 651. The department shall work with the Michigan health endowment fund corporation established pursuant to section 653 of the nonprofit health care corporation reform act, 1980 PA 350, MCL 550.1653, to explore ways to expand health and wellness programs.

Sec. 654. From the funds appropriated in part 1 for health and wellness initiatives, $1,000,000.00 shall be allocated for a school children’s healthy exercise program to promote and advance physical health for school children in kindergarten through grade 8. The department shall recommend model programs for sites to implement that incorporate evidence-based best practices. The department shall grant no less than 1/2 of the funds appropriated in part 1 for before- and after-school programs. The department shall establish guidelines for program sites, which may include schools, community-based organizations, private facilities, recreation centers, or other similar sites. The program format shall encourage local determination of site activities and shall encourage local inclusion of youth in the decision-making regarding site activities. Program goals shall include children experiencing improved physical health and access to physical activity opportunities, the reduction of obesity, providing a safe place to play and exercise, and nutrition education. To be eligible to participate, program sites shall provide a 20% match to the state funding, which may be provided in full, or in part, by a corporation, foundation, or private partner. The department shall seek financial support from corporate, foundation, or other private partners for the program or for individual program sites.

HEALTH POLICY

Sec. 709. (1) The funds appropriated in part 1 for the Michigan essential health care provider program may also provide loan repayment for dentists that fit the criteria established by part 27 of the public health code, 1978 PA 368, MCL 333.2701 to 333.2727.

(2) From the funds appropriated in part 1 for the Michigan essential health provider program, the department may reduce the local and private share of the loan and repayment costs to 25% for primary care physicians, particularly obstetricians and gynecologists working in underserved areas.

Sec. 712. From the funds appropriated in part 1 for primary care services, $250,000.00 shall be allocated to free health clinics operating in the state. The department shall distribute the funds equally to each free health clinic. For the purpose of this appropriation, “free health clinics” means nonprofit organizations that use volunteer health professionals to provide care to uninsured individuals.

Sec. 713. The department shall continue support of multicultural agencies that provide primary care services from the funds appropriated in part 1.

Sec. 715. The department shall evaluate options for incentivizing students attending medical schools in this state to meet their primary care residency requirements in this state and ultimately, for some period of time, to remain in this state and serve as primary care physicians.

Sec. 717. (1) The department may award health innovation grants to address emerging issues and encourage cutting edge advances in health care including strategic partners in both the public and private sectors.

(2) The unexpended funds appropriated for the health innovation grants are considered work project appropriations, and any unencumbered or unallotted funds are carried forward into the following fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the project to be carried forward is to address emerging issues and encourage cutting edge advances in health care including strategic partners in both the public and private sectors.

(b) The project will be accomplished by providing incentive grants.

(c) The estimated cost of this project phase is identified in the appropriation line item.

(d) The tentative completion date for the work project is September 30, 2019.

EPIDEMIOLOGY AND INFECTIOUS DISEASE

Sec. 851. (1) From the funds appropriated in part 1 for the healthy homes program, no less than $1,750,000.00 shall be allocated for lead abatement of homes.

(2) The department shall coordinate its lead abatement efforts with the Michigan community action agency association, specifically on the issue of window replacement.

Sec. 852. The department shall develop a plan designed to improve Michigan’s childhood and adolescent immunization rates. The department shall engage organizations working to provide immunizations and education about the value of vaccines, including, but not limited to, statewide organizations representing health care providers, local public health departments, child health interest groups, and private foundations with a mission to increase immunization rates.

LOCAL HEALTH ADMINISTRATION AND GRANTS

Sec. 901. The amount appropriated in part 1 for implementation of the 1993 additions of or amendments to sections 9161, 16221, 16226, 17014, 17015, and 17515 of the public health code, 1978 PA 368, MCL 333.9161, 333.16221, 333.16226, 333.17014, 333.17015, and 333.17515, shall be used to reimburse local health departments for costs incurred related to implementation of section 17015(18) of the public health code, 1978 PA 368, MCL 333.17015.

Sec. 902. If a county that has participated in a district health department or an associated arrangement with other local health departments takes action to cease to participate in such an arrangement after October 1 of the current fiscal year, the department shall have the authority to assess a penalty from the local health department’s operational accounts in an amount equal to no more than 6.25% of the local health department’s essential local public health services funding. This penalty shall only be assessed to the local county that requests the dissolution of the health department.

Sec. 904. (1) Funds appropriated in part 1 for essential local public health services shall be prospectively allocated to local health departments to support immunizations, infectious disease control, sexually transmitted disease control and prevention, hearing screening, vision services, food protection, public water supply, private groundwater supply, and on-site sewage management. Food protection shall be provided in consultation with the department of agriculture and rural development. Public water supply, private groundwater supply, and on-site sewage management shall be provided in consultation with the department of environmental quality.

(2) Local public health departments shall be held to contractual standards for the services in subsection (1).

(3) Distributions in subsection (1) shall be made only to counties that maintain local spending in the current fiscal year of at least the amount expended in fiscal year 1992-1993 for the services described in subsection (1).

CHRONIC DISEASE AND INJURY PREVENTION AND HEALTH PROMOTION

Sec. 1001. From the funds appropriated in part 1 for chronic disease control and health promotion administration, $150,000.00 is appropriated for Alzheimer’s disease services and shall be remitted to the Alzheimer’s association-Michigan chapters for the purpose of carrying out a pilot project in Macomb, Monroe, and St. Joseph Counties. The fiduciary for the funds is the Alzheimer’s association-greater Michigan chapter. The Alzheimer’s association shall provide enhanced services, including 24/7 helpline, continued care consultation, and support groups, to individuals with Alzheimer’s disease or dementia and their families in the 3 counties, and partner with a Michigan public university to study whether provision of such in-home support services significantly delays the need for residential long-term care services for individuals with Alzheimer’s disease or dementia. The study must also consider potential cost savings related to the delay of long-term care services, if a delay is shown.

FAMILY, MATERNAL, AND CHILDREN’S HEALTH SERVICES

Sec. 1103. By January 3 of the current fiscal year the department shall annually issue to the legislature, and to the public on the Internet, a report providing estimated public funds administered by the department for family planning, sexually transmitted infection prevention and treatment, and pregnancies and births, as well as demographics collected by the department as voluntarily self-reported by individuals utilizing those services. The department shall provide the actual expenditures by marital status or, where actual expenditures are not available, shall provide estimated expenditures by marital status. The department may utilize the Plan First application (Form MSA 1582), MIChild, and Healthy Kids application (DCH 0373) or Assistance Application (DHS 1171) or any other official application for public assistance for medical coverage to determine the actual or estimated public expenditures based on marital status.

Sec. 1104. (1) Before April 1 of the current fiscal year, the department shall submit a report to the house and senate fiscal agencies and the state budget director on planned allocations from the amounts appropriated in part 1 for local MCH services, prenatal care outreach and service delivery support, family planning local agreements, and pregnancy prevention programs. Using applicable federal definitions, the report shall include information on all of the following:

(a) Funding allocations.

(b) Actual number of women, children, and adolescents served and amounts expended for each group for the immediately preceding fiscal year.

(c) A breakdown of the expenditure of these funds between urban and rural communities.

(2) The department shall ensure that the distribution of funds through the programs described in subsection (1) takes into account the needs of rural communities.

(3) For the purposes of this section, “rural” means a county, city, village, or township with a population of 30,000 or less, including those entities if located within a metropolitan statistical area.

Sec. 1106. Each family planning program receiving federal title X family planning funds under 42 USC 300 to 300a‑8 shall be in compliance with all performance and quality assurance indicators that the office of population affairs within the United States department of health and human services specifies in the program guidelines for project grants for family planning services. An agency not in compliance with the indicators shall not receive supplemental or reallocated funds.

Sec. 1108. The department shall not use state restricted funds or state general funds appropriated in part 1 in the pregnancy prevention program or family planning local agreements appropriation line items for abortion counseling, referrals, or services.

Sec. 1109. (1) From the amounts appropriated in part 1 for dental programs, funds shall be allocated to the Michigan dental association for the administration of a volunteer dental program that provides dental services to the uninsured.

(2) Not later than December 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on community health and the senate and house standing committees on health policy the number of individual patients treated, number of procedures performed, and approximate total market value of those procedures from the immediately preceding fiscal year.

Sec. 1136. From the funds appropriated in part 1 for prenatal care outreach and service delivery support, $800,000.00 shall be allocated for a pregnancy and parenting support services program, which program must promote childbirth, alternatives to abortion, and grief counseling. The department shall establish a program with a qualified contractor that will contract with qualified service providers to provide free counseling, support, and referral services to eligible women during pregnancy through 12 months after birth. As appropriate, the goals for client outcomes shall include an increase in client support, an increase in childbirth choice, an increase in adoption knowledge, an improvement in parenting skills, and improved reproductive health through abstinence education. The contractor of the program shall provide for program training, client educational material, program marketing, and annual service provider site monitoring. The department shall submit a report to the house and senate appropriations subcommittees on community health and the house and senate fiscal agencies by April 1 of the current fiscal year on the number of clients served.

Sec. 1137. From the funds appropriated in part 1 for prenatal care outreach and service delivery support, not less than $500,000.00 of funding shall be allocated for evidence-based programs to reduce infant mortality including nurse family partnership programs. The funds shall be used for enhanced support and education to nursing teams or other teams of qualified health professionals, client recruitment in areas designated as underserved for obstetrical and gynecological services and other high-need communities, strategic planning to expand and sustain programs, and marketing and communications of programs to raise awareness, engage stakeholders, and recruit nurses.

Sec. 1138. The department shall allocate funds appropriated in section 113 of part 1 for family, maternal, and children’s health services pursuant to section 1 of 2002 PA 360, MCL 333.1091.

Sec. 1139. (1) By November 1, 2014, the department shall work jointly with the department of human services and the Michigan state housing development authority to appoint members to a joint task force to review housing rehabilitation, energy and weatherization, and hazard abatement program policies and to make recommendations for integrating and coordinating project delivery with the goals of serving more families and achieving better outcomes by maximizing state and federal resources. The joint task force must include all of the following:

(a) A representative of the department.

(b) A representative of the healthy homes section, lead safe home program.

(c) A construction management specialist.

(d) A representative of the community development division.

(e) A representative of the Michigan state housing development authority.

(f) An energy and weatherization staff representative from the department of human services.

(g) A local weatherization operator.

(h) A certified lead professional or a certified lead contractor.

(i) Representatives from at least 2 community organizations that address harmful housing conditions.

(2) The department and the Michigan state housing development authority shall organize the initial meeting of the task force and shall provide administrative support for the task force.

(3) By March 1, 2015, the task force described in subsection (1) shall provide to the house and senate chairs of the appropriations subcommittees for the department and the department of human services, the senate and house fiscal agencies, and the senate and house policy offices a report of its findings and recommendations.

Sec. 1140. From the funds appropriated in part 1 for prenatal care outreach and service delivery support, equal consideration shall be given to all eligible evidence-based providers in all regions in contracting for rural health visitation services.

WOMEN, INFANTS, AND CHILDREN FOOD AND NUTRITION PROGRAM

Sec. 1151. By January 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget office a report on the number of complaints received regarding access to generic peanut butter by county, and a report on savings gained from implementing the generic peanut butter purchasing requirement within the women, infants, and children food and nutrition program.

CHILDREN’S SPECIAL HEALTH CARE SERVICES

Sec. 1202. The department may do 1 or more of the following:

(a) Provide special formula for eligible clients with specified metabolic and allergic disorders.

(b) Provide medical care and treatment to eligible patients with cystic fibrosis who are 21 years of age or older.

(c) Provide medical care and treatment to eligible patients with hereditary coagulation defects, commonly known as hemophilia, who are 21 years of age or older.

(d) Provide human growth hormone to eligible patients.

Sec. 1205. From the funds appropriated in part 1 for medical care and treatment, the department is authorized to spend up to $500,000.00 for the continued development and expansion of telemedicine capacity to allow families with children in the children’s special health care services program to access specialty providers more readily and in a more timely manner.

CRIME VICTIM SERVICES COMMISSION

Sec. 1302. From the funds appropriated in part 1 for justice assistance grants, up to $200,000.00 shall be allocated for expansion of forensic nurse examiner programs to facilitate training for improved evidence collection for the prosecution of sexual assault. The funds shall be used for program coordination and training.

OFFICE OF SERVICES TO THE AGING

Sec. 1403. (1) By February 1 of the current fiscal year, the office of services to the aging shall require each region to report to the office of services to the aging and to the legislature home-delivered meals waiting lists based upon standard criteria. Determining criteria shall include all of the following:

(a) The recipient’s degree of frailty.

(b) The recipient’s inability to prepare his or her own meals safely.

(c) Whether the recipient has another care provider available.

(d) Any other qualifications normally necessary for the recipient to receive home-delivered meals.

(2) Data required in subsection (1) shall be recorded only for individuals who have applied for participation in the home-delivered meals program and who are initially determined as likely to be eligible for home-delivered meals.

Sec. 1417. The department shall provide to the senate and house appropriations subcommittees on community health, senate and house fiscal agencies, and state budget director a report by March 30 of the current fiscal year that contains all of the following:

(a) The total allocation of state resources made to each area agency on aging by individual program and administration.

(b) Detail expenditure by each area agency on aging by individual program and administration including both state-funded resources and locally-funded resources.

Sec. 1421. From the funds appropriated in part 1 for community services, $1,100,000.00 shall be allocated to area agencies on aging for locally determined needs.

MEDICAL SERVICES ADMINISTRATION

Sec. 1501. The unexpended funds appropriated in part 1 for the electronic health records incentive program are considered work project appropriations, and any unencumbered or unallotted funds are carried forward into the following fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the project to be carried forward is to implement the Medicaid electronic health record program that provides financial incentive payments to Medicaid health care providers to encourage the adoption and meaningful use of electronic health records to improve quality, increase efficiency, and promote safety.

(b) The projects will be accomplished according to the approved federal advanced planning document.

(c) The estimated cost of this project phase is identified in the appropriation line item.

(d) The tentative completion date for the work project is September 30, 2019.

Sec. 1502. The department shall spend available work project revenue plus any associated federal match to create and develop a transparency database website. This funding is contingent upon enactment of enabling legislation.

Sec. 1503. From the funds appropriated in part 1 for Healthy Michigan plan administration, the department shall establish an accounting structure within the Michigan administrative information network that will allow expenditures associated with the administration of the Healthy Michigan plan to be identified.

MEDICAL SERVICES

Sec. 1601. The cost of remedial services incurred by residents of licensed adult foster care homes and licensed homes for the aged shall be used in determining financial eligibility for the medically needy. Remedial services include basic self-care and rehabilitation training for a resident.

Sec. 1603. (1) The department may establish a program for individuals to purchase medical coverage at a rate determined by the department.

(2) The department may receive and expend premiums for the buy-in of medical coverage in addition to the amounts appropriated in part 1.

(3) The premiums described in this section shall be classified as private funds.

Sec. 1605. The protected income level for Medicaid coverage determined pursuant to section 106(1)(b)(iii) of the social welfare act, 1939 PA 280, MCL 400.106, shall be 100% of the related public assistance standard.

Sec. 1606. For the purpose of guardian and conservator charges, the department may deduct up to $60.00 per month as an allowable expense against a recipient’s income when determining medical services eligibility and patient pay amounts.

Sec. 1607. (1) An applicant for Medicaid, whose qualifying condition is pregnancy, shall immediately be presumed to be eligible for Medicaid coverage unless the preponderance of evidence in her application indicates otherwise. The applicant who is qualified as described in this subsection shall be allowed to select or remain with the Medicaid participating obstetrician of her choice.

(2) An applicant qualified as described in subsection (1) shall be given a letter of authorization to receive Medicaid covered services related to her pregnancy. All qualifying applicants shall be entitled to receive all medically necessary obstetrical and prenatal care without preauthorization from a health plan. All claims submitted for payment for obstetrical and prenatal care shall be paid at the Medicaid fee-for-service rate in the event a contract does not exist between the Medicaid participating obstetrical or prenatal care provider and the managed care plan. The applicant shall receive a listing of Medicaid physicians and managed care plans in the immediate vicinity of the applicant’s residence.

(3) In the event that an applicant, presumed to be eligible pursuant to subsection (1), is subsequently found to be ineligible, a Medicaid physician or managed care plan that has been providing pregnancy services to an applicant under this section is entitled to reimbursement for those services until such time as they are notified by the department that the applicant was found to be ineligible for Medicaid.

(4) If the preponderance of evidence in an application indicates that the applicant is not eligible for Medicaid, the department shall refer that applicant to the nearest public health clinic or similar entity as a potential source for receiving pregnancy-related services.

(5) The department shall develop an enrollment process for pregnant women covered under this section that facilitates the selection of a managed care plan at the time of application.

(6) The department shall mandate enrollment of women, whose qualifying condition is pregnancy, into Medicaid managed care plans.

(7) The department shall encourage physicians to provide women, whose qualifying condition for Medicaid is pregnancy, with a referral to a Medicaid participating dentist at the first pregnancy-related appointment.

Sec. 1611. (1) For care provided to medical services recipients with other third-party sources of payment, medical services reimbursement shall not exceed, in combination with such other resources, including Medicare, those amounts established for medical services-only patients. The medical services payment rate shall be accepted as payment in full. Other than an approved medical services co-payment, no portion of a provider’s charge shall be billed to the recipient or any person acting on behalf of the recipient. Nothing in this section shall be considered to affect the level of payment from a third-party source other than the medical services program. The department shall require a nonenrolled provider to accept medical services payments as payment in full.

(2) Notwithstanding subsection (1), medical services reimbursement for hospital services provided to dual Medicare/medical services recipients with Medicare part B coverage only shall equal, when combined with payments for Medicare and other third-party resources, if any, those amounts established for medical services-only patients, including capital payments.

Sec. 1620. (1) For fee-for-service recipients who do not reside in nursing homes, the pharmaceutical dispensing fee shall be $2.75 or the pharmacy’s usual or customary cash charge, whichever is less. For nursing home residents, the pharmaceutical dispensing fee shall be $3.00 or the pharmacy’s usual or customary cash charge, whichever is less.

(2) The department shall require a prescription co-payment for Medicaid recipients of $1.00 for a generic drug and $3.00 for a brand-name drug, except as prohibited by federal or state law or regulation.

Sec. 1629. The department shall utilize maximum allowable cost pricing for generic drugs that is based on wholesaler pricing to providers that is available from at least 2 wholesalers who deliver in the state of Michigan.

Sec. 1631. (1) The department shall require co-payments on dental, podiatric, and vision services provided to Medicaid recipients, except as prohibited by federal or state law or regulation.

(2) Except as otherwise prohibited by federal or state law or regulations, the department shall require Medicaid recipients to pay the following co-payments:

(a) Two dollars for a physician office visit.

(b) Three dollars for a hospital emergency room visit.

(c) Fifty dollars for the first day of an inpatient hospital stay.

(d) One dollar for an outpatient hospital visit.

Sec. 1641. An institutional provider that is required to submit a cost report under the medical services program shall submit cost reports completed in full within 5 months after the end of its fiscal year.

Sec. 1657. (1) Reimbursement for medical services to screen and stabilize a Medicaid recipient, including stabilization of a psychiatric crisis, in a hospital emergency room shall not be made contingent on obtaining prior authorization from the recipient’s HMO. If the recipient is discharged from the emergency room, the hospital shall notify the recipient’s HMO within 24 hours of the diagnosis and treatment received.

(2) If the treating hospital determines that the recipient will require further medical service or hospitalization beyond the point of stabilization, that hospital shall receive authorization from the recipient’s HMO prior to admitting the recipient.

(3) Subsections (1) and (2) do not require an alteration to an existing agreement between an HMO and its contracting hospitals and do not require an HMO to reimburse for services that are not considered to be medically necessary.

Sec. 1659. The following sections of this part are the only ones that shall apply to the following Medicaid managed care programs, including the comprehensive plan, MIChoice long-term care plan, and the mental health, substance use disorder, and developmentally disabled services program: 404, 411, 418, 428, 494, 1607, 1657, 1662, 1699, 1764, 1765, 1815, 1820, 1850, 1881, and 1888.

Sec. 1662. (1) The department shall assure that an external quality review of each contracting HMO is performed that results in an analysis and evaluation of aggregated information on quality, timeliness, and access to health care services that the HMO or its contractors furnish to Medicaid beneficiaries.

(2) The department shall require Medicaid HMOs to provide EPSDT utilization data through the encounter data system, and HEDIS well child health measures in accordance with the national committee for quality assurance prescribed methodology.

(3) The department shall provide a copy of the analysis of the Medicaid HMO annual audited HEDIS reports and the annual external quality review report to the senate and house of representatives appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget director, within 30 days of the department’s receipt of the final reports from the contractors.

Sec. 1670. (1) The appropriation in part 1 for the MIChild program is to be used to provide comprehensive health care to all children under age 19 who reside in families with income at or below 212% of the federal poverty level, who are uninsured and have not had coverage by other comprehensive health insurance within 6 months of making application for MIChild benefits, and who are residents of this state. The department shall develop detailed eligibility criteria through the medical services administration public concurrence process, consistent with the provisions of this part and part 1. Health coverage for children in families between 160% and 212% of the federal poverty level shall be provided through a state-based private health care program.

(2) The department may provide up to 1 year of continuous eligibility to children eligible for the MIChild program unless the family fails to pay the monthly premium, a child reaches age 19, or the status of the children’s family changes and its members no longer meet the eligibility criteria as specified in the federally approved MIChild state plan.

(3) Children whose category of eligibility changes between the Medicaid and MIChild programs shall be assured of keeping their current health care providers through the current prescribed course of treatment for up to 1 year, subject to periodic reviews by the department if the beneficiary has a serious medical condition and is undergoing active treatment for that condition.

(4) To be eligible for the MIChild program, a child must be residing in a family with an adjusted gross income of less than or equal to 212% of the federal poverty level. The department’s verification policy shall be used to determine eligibility.

(5) The department shall contract with Medicaid health plans to provide physical health services to MIChild enrollees. The department may continue to obtain physical health services for MIChild enrollees from health maintenance organizations and preferred provider organizations currently under contract for whatever duration is needed as determined by the department. The department shall contractually require that health plans pay out-of-network providers at the department fee schedule. The department shall contract with qualified dental plans to provide dental coverage for MIChild enrollees.

(6) The department may enter into contracts to obtain certain MIChild services from community mental health service programs.

(7) The department may make payments on behalf of children enrolled in the MIChild program from the line-item appropriation associated with the program as described in the MIChild state plan approved by the United States department of health and human services, or from other medical services.

(8) The department shall assure that an external quality review of each MIChild contractor, as described in subsection (5), is performed, which analyzes and evaluates the aggregated information on quality, timeliness, and access to health care services that the contractor furnished to MIChild beneficiaries.

(9) The department shall develop an automatic enrollment algorithm that is based on quality and performance factors.

(10) MIChild services shall include treatment for autism spectrum disorders as defined in the federally approved Medicaid state plan.

Sec. 1673. The department may establish premiums for MIChild eligible individuals in families with income above 150% of the federal poverty level. The monthly premiums shall not be less than $10.00 or exceed $15.00 for a family.

Sec. 1677. The MIChild program shall provide all benefits available under the Michigan benchmark plan that are delivered through contracted providers and consistent with federal law, including, but not limited to, the following medically necessary services:

(a) Inpatient mental health services, other than substance use disorder treatment services, including services furnished in a state-operated mental hospital and residential or other 24-hour therapeutically planned structured services.

(b) Outpatient mental health services, other than substance use disorder services, including services furnished in a state-operated mental hospital and community-based services.

(c) Durable medical equipment and prosthetic and orthotic devices.

(d) Dental services as outlined in the approved MIChild state plan.

(e) Substance use disorder treatment services that may include inpatient, outpatient, and residential substance use disorder treatment services.

(f) Care management services for mental health diagnoses.

(g) Physical therapy, occupational therapy, and services for individuals with speech, hearing, and language disorders.

(h) Emergency ambulance services.

Sec. 1682. (1) The department shall implement enforcement actions as specified in the nursing facility enforcement provisions of section 1919 of title XIX, 42 USC 1396r.

(2) In addition to the appropriations in part 1, the department is authorized to receive and spend penalty money received as the result of noncompliance with medical services certification regulations. Penalty money, characterized as private funds, received by the department shall increase authorizations and allotments in the long-term care accounts.

(3) Any unexpended penalty money, at the end of the year, shall carry forward to the following year.

Sec. 1692. (1) The department is authorized to pursue reimbursement for eligible services provided in Michigan schools from the federal Medicaid program. The department and the state budget director are authorized to negotiate and enter into agreements, together with the department of education, with local and intermediate school districts regarding the sharing of federal Medicaid services funds received for these services. The department is authorized to receive and disburse funds to participating school districts pursuant to such agreements and state and federal law.

(2) From the funds appropriated in part 1 for medical services school-based services payments, the department is authorized to do all of the following:

(a) Finance activities within the medical services administration related to this project.

(b) Reimburse participating school districts pursuant to the fund-sharing ratios negotiated in the state-local agreements authorized in subsection (1).

(c) Offset general fund costs associated with the medical services program.

Sec. 1693. The special Medicaid reimbursement appropriation in part 1 may be increased if the department submits a medical services state plan amendment pertaining to this line item at a level higher than the appropriation. The department is authorized to appropriately adjust financing sources in accordance with the increased appropriation.

Sec. 1694. From the funds appropriated in part 1 for special Medicaid reimbursement, $378,000.00 of general fund/general purpose revenue and any associated federal match shall be distributed for poison control services to an academic health care system that includes a children’s hospital that has a high indigent care volume.

Sec. 1699. (1) The department may make separate payments in the amount of $45,000,000.00 directly to qualifying hospitals serving a disproportionate share of indigent patients and to hospitals providing GME training programs. If direct payment for GME and DSH is made to qualifying hospitals for services to Medicaid clients, hospitals shall not include GME costs or DSH payments in their contracts with HMOs.

(2) The department shall allocate $45,000,000.00 in DSH funding using the distribution methodology used in fiscal year 2003-2004.

(3) By September 30 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies on the new distribution of funding to each eligible hospital from the GME and DSH pools.

Sec. 1724. The department shall allow licensed pharmacies to purchase injectable drugs for the treatment of respiratory syncytial virus for shipment to physicians’ offices to be administered to specific patients. If the affected patients are Medicaid eligible, the department shall reimburse pharmacies for the dispensing of the injectable drugs and reimburse physicians for the administration of the injectable drugs.

Sec. 1757. The department shall direct the department of human services to obtain proof from all Medicaid recipients that they are legal United States citizens or otherwise legally residing in this country and that they are residents of this state before approving Medicaid eligibility.

Sec. 1764. The department shall annually certify rates paid to Medicaid health plans and specialty prepaid inpatient health plans as being actuarially sound in accordance with federal requirements and shall provide a copy of the rate certification and approval immediately to the house and senate appropriations subcommittees on community health and the house and senate fiscal agencies.

Sec. 1765. There shall be established a health insurer fee reserve fund of $30,000,000.00 general fund/general purpose and associated federal match to provide funding to Medicaid health plans for the cost of the 2015 insurance provider’s fee under section 9010 of the patient protection and affordable care act, Public Law 111-148, as amended by the health care and education reconciliation act of 2010, Public Law 111-152. Funds will be expended as provided for in this section only after the internal revenue service finalizes the 2015 percent assessment of the fee and the state budget director approves the amount of reimbursement from the fund. The state budget director shall provide notification to the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies at least 15 days before exercising the authority under this section. Upon notification by the state budget director, the funds shall be available for use as a source of financing for Medicaid health plan payments.

Sec. 1775. If the state’s application for a waiver to implement managed care for dual Medicare/Medicaid eligibles is approved by the federal government, the department shall provide quarterly reports to the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies on progress in implementing the waiver.

Sec. 1800. From the $85,000,000.00 increase in funding in part 1 for outpatient disproportionate share hospital payments, the department shall explore establishing a Medicaid value pool that rewards and incentivizes hospitals providing low-cost and high-quality Medicaid services. The department shall convene a workgroup of hospitals to assist in the development of the metrics utilized to determine value, and shall report to the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, and the state budget director on the results of the workgroup by April 1 of the current fiscal year.

Sec. 1801. Beginning January 1, 2015, from the funds appropriated in part 1 for physician services and health plan services, the department shall use $25,000,000.00 in general fund/general purpose plus associated federal match to increase Medicaid rates for primary care services provided only by primary care providers. For the purpose of this section, a primary care provider is a physician, or a practitioner working under the personal supervision of a physician, who is board-eligible or certified with a specialty designation of family medicine, general internal medicine, or pediatric medicine, or a provider who provides the department with documentation of equivalency. Providers performing a service and whose primary practice is as a non-primary-care subspecialty is not eligible for the increase. The department shall establish policies that most effectively limit the increase to primary care providers for primary care services only.

Sec. 1802. From the funds appropriated in part 1, a lump-sum payment shall be made to hospitals that qualified for rural hospital access payments in fiscal year 2013-2014 and that provide obstetrical care in the current fiscal year. The payment shall be calculated as $830.00 for each obstetrical care case payment and each newborn care case payment for all such cases billed by the qualified hospitals for fiscal year 2012-2013 and shall be paid through the Medicaid health plan hospital rate adjustment process by January 1 of the current fiscal year.

Sec. 1804. The department, in cooperation with the department of human services and the department of military and veterans affairs, shall work with the federal public assistance reporting information system to identify Medicaid recipients who are veterans and who may be eligible for federal veterans health care benefits or other benefits.

Sec. 1815. From the funds appropriated in part 1 for health plan services, the department shall not implement a capitation withhold as part of the overall capitation rate schedule that exceeds the 0.19% withhold administered during fiscal year 2008-2009.

Sec. 1820. (1) In order to avoid duplication of efforts, the department shall utilize applicable national accreditation review criteria to determine compliance with corresponding state requirements for Medicaid health plans that have been reviewed and accredited by a national accrediting entity for health care services.

(2) Upon submission by Medicaid health plans of a listing of program requirements that are part of the state program review criteria but are not reviewed by an applicable national accrediting entity, the department shall review the listing and provide a recommendation to the house and senate appropriations subcommittees on community health, the house and senate fiscal agencies, and the state budget office as to whether or not state program review should continue. The Medicaid health plans may request the department to convene a workgroup to fulfill this section.

(3) The department shall continue to comply with state and federal law and shall not initiate an action that negatively impacts beneficiary safety.

(4) As used in this section, “national accrediting entity” means the national committee for quality assurance, the utilization review accreditation committee, or other appropriate entity, as approved by the department.

(5) By July 1 of the current fiscal year, the department shall provide a progress report to the house and senate appropriations subcommittees on community health, the house and senate fiscal agencies, and the state budget office on implementation of this section.

Sec. 1837. The department shall explore utilization of telemedicine and telepsychiatry as strategies to increase access to services for Medicaid recipients in medically underserved areas.

Sec. 1842. (1) Subject to the availability of funds, the department shall adjust the hospital outpatient Medicaid reimbursement rate for qualifying hospitals as provided in this section. The Medicaid reimbursement rate for qualifying hospitals shall be adjusted to provide each qualifying hospital with its actual cost of delivering outpatient services to Medicaid recipients.

(2) As used in this section, “qualifying hospital” means a hospital that has not more than 50 staffed beds and is either located outside a metropolitan statistical area or in a metropolitan statistical area but within a city, village, or township with a population of not more than 12,000 according to the official 2010 federal decennial census and within a county with a population of not more than 165,000 according to the official 2010 federal decennial census.

Sec. 1846. From the funds appropriated in part 1 for graduate medical education, the department shall distribute the funds with an emphasis on the following health care workforce goals:

(a) The encouragement of the training of physicians in specialties, including primary care, that are necessary to meet the future needs of residents of this state.

(b) The training of physicians in settings that include ambulatory sites and rural locations.

Sec. 1848. It is the intent of the legislature that the healthy kids dental program be expanded in fiscal year 2015-2016 to cover Kent, Oakland, and Wayne counties.

Sec. 1850. The department may allow Medicaid health plans to assist with the redetermination process through outreach activities to ensure continuation of Medicaid eligibility and enrollment in managed care. This may include mailings, telephone contact, or face-to-face contact with beneficiaries enrolled in the individual Medicaid health plan. Health plans may offer assistance in completing paperwork for beneficiaries enrolled in their plan.

Sec. 1854. The department may work with a provider of kidney dialysis services and renal care as authorized under section 2703 of the patient protection and affordable care act, Public Law 111-148, to develop a chronic condition health home program for Medicaid enrollees identified with chronic kidney disease and who are beginning dialysis. If initiated, the department shall develop metrics that evaluate program effectiveness and submit a report by June 1 of the current fiscal year to the senate and house appropriations subcommittees on community health. Metrics shall include cost savings and clinical outcomes.

Sec. 1858. Medicaid services shall include treatment for autism spectrum disorders as defined in the federally approved Medicaid state plan. Such alternatives may be coordinated with the Medicaid health plans and the Michigan association of health plans.

Sec. 1861. (1) The department shall conduct a review of the efficiency and effectiveness of the current nonemergency transportation system funded in part 1. For nonemergency transportation services provided outside the current broker coverage, the review is contingent on available detailed travel data, including methods of travel, number of people served, travel distances, number of trips, and costs of trips. The department shall report the results of the review required under this subsection to the house and senate appropriations subcommittees on community health and the house and senate fiscal agencies no later than September 30 of the current fiscal year.

(2) The department shall create a pilot nonemergency transportation system in at least 2 counties with priority given to Berrien and Muskegon Counties to provide nonemergency transportation services encouraging use of nonprofit entities. The transportation providers selected by the department are responsible for ensuring that federal and state safety and training standards are met.

Sec. 1862. From the funds appropriated in part 1, the department shall increase payment rates for Medicaid obstetrical services to 95% of Medicare levels effective October 1, 2014.

Sec. 1865. Upon federal approval of the department’s proposal for integrated care for individuals who are dual Medicare/Medicaid eligibles, the department shall provide the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies its plan and organizational chart for administering and providing oversight of this proposal. The plan shall include information on how the department intends to organize staff in an integrated manner to ensure that key components of the proposal are implemented effectively.

Sec. 1866. (1) From the funds appropriated in part 1 for hospital services and therapy, $12,000,000.00 in general fund/general purpose revenue and any associated federal match shall be awarded to hospitals that meet criteria established by the department for services to low-income rural residents. One of the reimbursement components of the distribution formula shall be assistance with labor and delivery services.

(2) No hospital or hospital system shall receive more than 10.0% of the total funding referenced in subsection (1).

(3) To allow hospitals to understand their rural payment amounts under this section, the department shall provide hospitals with the methodology for distribution under this section and provide each hospital with its applicable data that are used to determine the payment amounts by August 1 of the current fiscal year. The department shall publish the distribution of payments for the current fiscal year and the immediately preceding fiscal year.

(4) The department shall report to the senate and house appropriations subcommittees on community health and the senate and house fiscal agencies on the distribution of funds referenced in subsection (1) by April 1 of the current fiscal year.

Sec. 1870. The department shall work in collaboration with Michigan-based medical schools that choose to participate in the creation of a graduate medical education consortium known as MIDocs. The purpose of MIDocs is to develop freestanding residency training programs in primary care and other ambulatory care-based specialties. MIDocs shall design residency training programs to address physician shortage needs in this state, including placing physicians post‑residency in underserved communities across this state. MIDocs shall give special consideration to small and rural hospitals with a GME program director. MIDocs’ voting members will include any Michigan-based university with a medical school or an affiliated faculty practice physician group that is making a substantial contribution to MIDocs programs. The department shall be a permanent nonvoting member of MIDocs. The department, in collaboration with MIDocs voting members, may also appoint nonvoting members to MIDocs to represent various stakeholders. As the sponsoring institution and fiduciary, MIDocs shall assure initial and continued accreditation from the accreditation council for graduate medical education or ACGME, financial accountability, clinical quality, and compliance. The department shall require an annual report from MIDocs detailing per resident costs for medical training and clinical quality measures. The department shall create MIDocs no later than January 10, 2015. MIDocs shall provide the department with a report proposing the creation of new residency programs and an actionable plan for retaining consortium related students post-residency, especially in underserved communities. From the funds appropriated in part 1, $500,000.00 is allocated to prepare the report, legally create the consortium, prepare to obtain ACGME accreditation, and develop new residency programs.

Sec. 1874. The department may explore ways to work with private providers to develop fraud management solutions to reduce fraud, waste, and abuse in this state’s Medicaid program.

Sec. 1878. In any project negotiated with the federal government for integrated health care of individuals dually enrolled in Medicaid and Medicare, the department shall seek to assure the existence of an ombudsman program that is not associated with any project service manager or provider. For activities to be undertaken by the ombudsman program, the department shall include, but is not limited to, assisting beneficiaries with navigating complaint and dispute resolution mechanisms, identifying problems in the project’s complaint and dispute resolution mechanisms, and reporting to the executive and legislative branches on any such problems and potential solutions for them.

Sec. 1879. In any program of integrated service for persons dually enrolled in Medicaid and Medicare that the department negotiates with the federal government, the department shall seek to use the Medicare Part D benefit for prescription drug coverage.

Sec. 1881. The department shall create a default eligibility and enrollment determination for newborns so that newborns are assigned to the same Medicaid health plan as the mother at the time of birth.

Sec. 1883. For the purposes of more effectively managing inpatient care for Medicaid health plans and Medicaid fee‑for-service, the department shall consider developing an appropriate policy and rate for observation stays.

Sec. 1886. The department shall work in conjunction with the workgroup established by the department of human services to determine how the state can maximize Medicaid claims for community-based and outpatient treatment services to foster care children and adjudicated youths who are placed in community-based treatment programs. The department shall report to the senate and house appropriations subcommittees on community health, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year on the findings of the workgroup.

Sec. 1888. The department shall establish contract performance standards associated with the capitation withhold provisions under section 1815 for Medicaid health plans at least 3 months in advance of the implementation of those standards. The determination of whether performance standards have been met shall be based primarily on recognized concepts such as 1-year continuous enrollment and the healthcare effectiveness data and information set, HEDIS, audited data.

Sec. 1890. From the funds appropriated in part 1 for pharmaceutical services, the department shall ensure Medicaid recipients access to breast pumps to support and encourage breastfeeding. The department shall adjust Medicaid policy to, at a minimum, provide an individual double electric style pump to a breastfeeding mother when a physician prescribes such a device based on diagnosis of mother or infant. If the distribution method for pumps or other equipment is a department contract with durable medical equipment providers, the department shall guarantee providers stock and rent to Medicaid recipients without delay or undue restriction.

Sec. 1892. The department shall conduct a workgroup jointly with the department of human services, the department of transportation, the department of corrections, the strategic fund in the department of treasury, and members from both the senate and house of representatives to determine if the state can maximize its services and funding for transportation for low-income, elderly, and disabled individuals through consolidating all of the current transportation services for these populations under 1 department.

Sec. 1893. (1) The department, jointly with the department of human services, shall explore the feasibility of securing federal Medicaid funds for children in need of secure residential treatment in this state. The departments shall include an examination of the public juvenile detention facilities or private secure residential facilities in this state as possible treatment sites.

(2) If the exploration determines that federal Medicaid funds are available for services to this population, the department, jointly with the department of human services, shall develop a plan to provide stabilization services, assessment, and treatment accordingly.

(3) By December 1 of the current fiscal year, the department, jointly with the department of human services, shall provide a progress report to the senate and house subcommittees on community health and the senate and house fiscal agencies outlining all of the following:

(a) The findings of the initial exploration.

(b) A comparison of similar services provided by juvenile rehabilitation centers that receive Medicaid funds in other states, including, but not limited to, the Woodside Juvenile Rehabilitation Center in the State of Vermont, with those provided in public juvenile detention facilities or private secure residential facilities in this state.

(c) Any barriers to securing Medicaid funds for such services in this state.

(d) Recommendations for future action, if any.

Sec. 1896. (1) From the funds appropriated in part 1 and upon the receipt of private matching funds, the department shall allocate up to $35,000.00 to identify the impact of gestational diabetes and reduce the impact of the condition on the Medicaid program. These steps shall include all of the following:

(a) Reviewing Medicaid claims information and data to determine the average cost of a case of gestational diabetes in comparison to the cost of a noncomplicated pregnancy and the cost of pregnancy for a woman with gestational diabetes.

(b) Determining the percentage and number of pregnant women screened for gestational diabetes per established medical criteria.

(c) Determining the percentage and number of pregnant women diagnosed with gestational diabetes in the Medicaid program each year in comparison to all pregnant women in the Medicaid program.

(2) By September 30 of the current fiscal year, the department shall submit a report to the legislature on steps taken and proposed to increase the screening rate for gestational diabetes in the Medicaid program, to reduce the number of women with undiagnosed gestational diabetes giving birth in the Medicaid program, to increase the number of pregnant women with gestational diabetes receiving appropriate medical care in the Medicaid program, and steps taken to improve the health of unborn and newborn children of women diagnosed with gestational diabetes.

Sec. 1897. (1) From the funds appropriated in part 1, the department shall take steps to identify the performance of the Medicaid program on all diabetes-specific performance measures as measured by the national committee for quality assurance and the utilization review accreditation commission. These steps shall include:

(a) Reviewing Medicaid claims information and data to determine the performance of the Medicaid program’s fee for service and managed care plans for diabetes-specific and diabetes-related measures as assessed by the national committee for quality assurance and the utilization review accreditation commission over the past 5 years.

(b) Comparing the claims information and data to the national averages for diabetes-specific and diabetes-related measures as assessed by the national committee for quality assurance and the utilization review accreditation commission over the past 5 years.

(c) Identifying areas of strength and deficiencies for these measures specific to the Medicaid program.

(2) By September 30 of the current fiscal year, the department shall submit a report on steps taken and proposed to improve national committee for quality assurance and utilization review accreditation commission measure scores for all forms of diabetes within the Medicaid program to the legislature.

Sec. 1899. From the funds appropriated in part 1 for personal care services, the department shall increase the personal care services rate by 6% effective October 1 of the current fiscal year.

ONE-TIME BASIS ONLY APPROPRIATIONS

Sec. 1902. (1) From the funds appropriated in part 1 for university autism programs, the department shall make the following allocations:

(a) $1,000,000.00 to the Eastern Michigan University autism center.

(b) $500,000.00 to the Central Michigan University central assessment lending library.

(c) $500,000.00 to the Oakland University center for autism research, education, and support.

(d) $4,000,000.00 to the Western Michigan University autism center of excellence.

(e) $1,000,000.00 to Michigan State University autism services.

(2) From the funds appropriated in part 1 for autism family assistance services, $1,500,000.00 shall be allocated to the autism alliance for autism support services designed to aid individuals and families in choosing treatment and other service options.

Sec. 1904. From the funds appropriated in part 1 for the statewide trauma system, the department shall allocate funds to establish and operate statewide systems for trauma, stroke, ST segment elevation myocardial infarction, perinatal, and other time-dependent systems of care.

Sec. 1905. From the funds appropriated in part 1 for bone marrow transplant registry, $250,000.00 shall be allocated to Michigan Blood, the partner of the match registry of the national marrow donor program. The funds shall be used to offset ongoing tissue typing expenses associated with donor recruitment and collection services and to expand those services to better serve the citizens of this state.

Sec. 1906. (1) The department may initiate pay for success pilot projects to identify and deliver services to improve outcomes and lower costs for government services in this state. From the funds appropriated in part 1 for pay for success contracts, the department may initiate contracts with private and not-for-profit vendors, selected through a competitive bid process, to implement these pilot projects. Payments shall not be issued to funding intermediaries or vendors until contractual performance measures have been achieved and project savings have been confirmed by a third-party evaluator, certified by the department and approved by the state budget director.

(2) Unexpended funds appropriated in part 1 for pay for success contracts are designated as work project appropriations, and any unencumbered or unalloted funds shall not lapse at the end of the fiscal year and shall be available for expenditures for the pay for success contracts under this section until the projects have been completed. All of the following are in compliance with section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the projects is to coordinate cost-saving projects to the state with public-private partnerships.

(b) The projects will be carried out through contracts with private and not-for-profit vendors.

(c) The estimated cost of this work project is $1,500,000.00.

(d) The estimated work project completion date is September 30, 2019.

PART 2A

PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS

FOR FISCAL YEAR 2015-2016

GENERAL SECTIONS

Sec. 2001. It is the intent of the legislature to provide appropriations for the fiscal year ending on September 30, 2016 for the line items listed in part 1. The fiscal year 2015-2016 appropriations are anticipated to be the same as those for fiscal year 2014-2015, 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 2015 consensus revenue estimating conference.

ARTICLE V

DEPARTMENT OF CORRECTIONS

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the department of corrections for the fiscal year ending September 30, 2015, from the following funds:

DEPARTMENT OF CORRECTIONS

APPROPRIATION SUMMARY

Average population...........................................................................................................................44,997

Full-time equated unclassified positions..........................................................................................16.0

Full-time equated classified positions........................................................................................14,179.3

GROSS APPROPRIATION.......................................................................................................................... $ 2,040,521,700

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 225,000

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 2,040,296,700

Federal revenues:

Total federal revenues.................................................................................................................................... 5,081,000

Special revenue funds:

Total local revenues......................................................................................................................................... 8,547,700

Total private revenues.................................................................................................................................... 0

Total other state restricted revenues.......................................................................................................... 45,869,600

State general fund/general purpose............................................................................................................. $ 1,980,798,400

Sec. 102. EXECUTIVE

Full-time equated unclassified positions..........................................................................................16.0

Full-time equated classified positions...............................................................................................13.0

Unclassified positions—16.0 FTE positions................................................................................................ $ 1,724,200

Executive direction—13.0 FTE positions................................................................................................... 3,115,900

GROSS APPROPRIATION.......................................................................................................................... $ 4,840,100

Appropriated from:

State general fund/general purpose............................................................................................................. $ 4,840,100

Sec. 103. PRISONER RE-ENTRY AND COMMUNITY SUPPORT

Prisoner re-entry local service providers.................................................................................................... $ 13,708,600

Prisoner re-entry MDOC programs............................................................................................................. 11,124,000

Prisoner re-entry federal grants................................................................................................................... 250,000

Prisoner re-entry legal services.................................................................................................................... 149,000

Jail mental health transition pilot program................................................................................................ 1,000,000

Public safety initiative.................................................................................................................................... 4,500,000

Goodwill flip the script................................................................................................................................... 2,500,000

GROSS APPROPRIATION.......................................................................................................................... $ 33,231,600

Appropriated from:

Federal revenues:

DOJ, prisoner reintegration........................................................................................................................... 250,000

State general fund/general purpose............................................................................................................. $ 32,981,600

Sec. 104. BUDGET AND OPERATIONS ADMINISTRATION

Full-time equated classified positions.............................................................................................173.0

Budget and operations administration—173.0 FTE positions................................................................. $ 22,193,400

New custody staff training............................................................................................................................ 9,075,800

Compensatory buyout and union leave bank.............................................................................................. 100

Worker’s compensation................................................................................................................................... 18,000,000

Rent.................................................................................................................................................................... 2,317,800

Equipment and special maintenance............................................................................................................ 7,359,600

Administrative hearings officers.................................................................................................................. 3,339,700

Judicial data warehouse user fees................................................................................................................ 50,000

Sheriffs’ coordinating and training office.................................................................................................... 100,000

Prosecutorial and detainer expenses........................................................................................................... 5,001,000

County jail reimbursement program........................................................................................................... 14,847,100

GROSS APPROPRIATION.......................................................................................................................... $ 82,284,500

Appropriated from:

Special revenue funds:

Jail reimbursement program fund................................................................................................................ 5,900,000

Special equipment fund.................................................................................................................................. 5,800,000

Local corrections officer training fund........................................................................................................ 100,000

Correctional industries revolving fund........................................................................................................ 602,600

State general fund/general purpose............................................................................................................. $ 69,881,900

Sec. 105. FIELD OPERATIONS ADMINISTRATION

Full-time equated classified positions..........................................................................................1,954.3

Field operations—1,821.9 FTE positions.................................................................................................... $ 198,982,300

Parole board operations—41.0 FTE positions............................................................................................ 4,829,700

Parole/probation services............................................................................................................................... 940,000

Community re-entry centers—12.4 FTE positions................................................................................... 8,152,800

Electronic monitoring center—56.0 FTE positions................................................................................... 13,365,400

Community corrections administration—6.0 FTE positions................................................................... 763,300

Substance abuse testing and treatment services—17.0 FTE positions................................................. 21,794,200

Residential services......................................................................................................................................... 15,475,500

Community corrections comprehensive plans and services..................................................................... 12,158,000

Felony drunk driver jail reduction and community treatment program.............................................. 1,440,100

Interdepartmental grant to the department of human services for swift and sure........................... 1,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 278,901,300

Appropriated from:

Federal revenues:

DOJ, office of justice programs, RSAT........................................................................................................ 185,400

Special revenue funds:

Local - community tether program reimbursement.................................................................................. 201,300

Re-entry center offender reimbursements................................................................................................. 23,900

Parole and probation oversight fees............................................................................................................ 4,341,500

Parole and probation oversight fees set-aside........................................................................................... 1,361,300

Tether program participant contributions.................................................................................................. 2,432,100

State general fund/general purpose............................................................................................................. $ 270,355,800

Sec. 106. CORRECTIONAL FACILITIES ADMINISTRATION

Full-time equated classified positions.............................................................................................781.4

Correctional facilities administration—61.0 FTE positions..................................................................... $ 11,239,800

Prison food service.......................................................................................................................................... 52,558,900

Transportation—210.0 FTE positions.......................................................................................................... 25,073,500

Central records—53.0 FTE positions.......................................................................................................... 5,607,500

Inmate legal services...................................................................................................................................... 790,900

Loans to parolees............................................................................................................................................. 20,000

Housing inmates in federal institutions....................................................................................................... 611,000

Prison store operations—63.0 FTE positions............................................................................................. 5,657,600

Prison industries operations—123.0 FTE positions.................................................................................. 12,297,400

Federal school lunch program....................................................................................................................... $ 812,800

Leased beds and alternatives to leased beds............................................................................................. 5,250,000

Public works programs................................................................................................................................... 1,000,000

Cost-effective housing initiative................................................................................................................... 100

Inmate housing fund....................................................................................................................................... 100

Education program—271.4 FTE positions.................................................................................................. 35,305,900

GROSS APPROPRIATION.......................................................................................................................... $ 156,225,500

Appropriated from:

Interdepartmental grant revenues:

IDG-MDHS, Maxey/Woodland Center food service.................................................................................. 225,000

Federal revenues:

DAG-FNS, national school lunch.................................................................................................................. 812,800

DED-OESE, title 1......................................................................................................................................... 404,900

DED-OVAE, adult education........................................................................................................................ 354,300

DED-OSERS.................................................................................................................................................... 115,500

DED, vocational education equipment........................................................................................................ 152,600

DED, youthful offender/Specter grant........................................................................................................ 202,400

DOJ-BOP, federal prisoner reimbursement................................................................................................ 411,000

DOJ, prison rape elimination act grant....................................................................................................... 660,400

SSA-SSI, incentive payment......................................................................................................................... 268,400

Special revenue funds:

Correctional industries revolving fund........................................................................................................ 12,297,400

Public works user fees.................................................................................................................................... 1,000,000

Resident stores................................................................................................................................................ 5,657,600

State general fund/general purpose............................................................................................................. $ 133,663,200

Sec. 107. HEALTH CARE

Full-time equated classified positions..........................................................................................1,468.9

Health care administration—22.0 FTE positions...................................................................................... $ 3,650,700

Prisoner health care services........................................................................................................................ 75,180,400

Vaccination program....................................................................................................................................... 691,200

Interdepartmental grant to human services, eligibility specialists........................................................ 100,000

Mental health services and support—363.0 FTE positions..................................................................... 58,785,200

Clinical complexes—1,077.9 FTE positions................................................................................................. 148,715,800

Healthy Michigan plan administration—6.0 FTE positions..................................................................... 1,079,700

GROSS APPROPRIATION.......................................................................................................................... $ 288,203,000

Appropriated from:

Federal revenues:

Federal revenues and reimbursements....................................................................................................... 248,800

Special revenue funds:

Prisoner health care copayments.................................................................................................................. 253,200

State general fund/general purpose............................................................................................................. $ 287,701,000

Sec. 108. CORRECTIONAL FACILITIES

Average population...........................................................................................................................44,997

Full-time equated classified positions..........................................................................................9,788.7

Alger correctional facility - Munising—261.2 FTE positions.................................................................. $ 30,934,700

Average population................................................................................................................................889

Baraga correctional facility - Baraga—295.8 FTE positions................................................................... 34,936,800

Average population................................................................................................................................884

Bellamy Creek correctional facility - Ionia—390.2 FTE positions......................................................... 43,429,700

Average population.............................................................................................................................1,850

Earnest C. Brooks correctional facility - Muskegon—444.7 FTE positions......................................... 50,309,500

Average population.............................................................................................................................2,512

Carson City correctional facility - Carson City—424.4 FTE positions.................................................. 47,780,500

Average population.............................................................................................................................2,440

Central Michigan correctional facility - St. Louis—391.6 FTE positions.............................................. 45,888,900

Average population.............................................................................................................................2,554

Chippewa correctional facility - Kincheloe—435.1 FTE positions.......................................................... $ 49,076,400

Average population.............................................................................................................................2,282

Cooper street correctional facility - Jackson—260.1 FTE positions...................................................... 29,056,200

Average population.............................................................................................................................1,799

G. Robert Cotton correctional facility - Jackson—392.9 FTE positions................................................ 43,831,500

Average population.............................................................................................................................1,841

Detroit detention center—63.1 FTE positions........................................................................................... 8,346,400

Detroit re-entry center—216.2 FTE positions........................................................................................... 26,149,300

Average population.............................................................................................................................1,044

Charles E. Egeler correctional facility - Jackson—372.7 FTE positions.............................................. 44,501,900

Average population.............................................................................................................................1,376

Richard A. Handlon correctional facility - Ionia—246.4 FTE positions................................................ 28,568,700

Average population.............................................................................................................................1,373

Gus Harrison correctional facility - Adrian—444.1 FTE positions........................................................ 48,846,500

Average population.............................................................................................................................2,342

Ionia correctional facility - Ionia—287.8 FTE positions........................................................................... 33,187,000

Average population................................................................................................................................654

Kinross correctional facility - Kincheloe—323.8 FTE positions.............................................................. 37,781,900

Average population.............................................................................................................................1,799

Lakeland correctional facility - Coldwater—275.2 FTE positions.......................................................... 32,721,200

Average population.............................................................................................................................1,336

Macomb correctional facility - New Haven—297.0 FTE positions......................................................... 34,500,300

Average population.............................................................................................................................1,376

Marquette branch prison - Marquette—321.7 FTE positions................................................................. 38,752,600

Average population.............................................................................................................................1,201

Michigan reformatory - Ionia—310.7 FTE positions................................................................................ 34,800,400

Average population.............................................................................................................................1,338

Muskegon correctional facility - Muskegon—202.5 FTE positions........................................................ 23,557,800

Average population.............................................................................................................................1,338

Newberry correctional facility - Newberry—201.1 FTE positions........................................................ 23,958,900

Average population................................................................................................................................978

Oaks correctional facility - Eastlake—291.4 FTE positions.................................................................... 34,097,200

Average population.............................................................................................................................1,156

Ojibway correctional facility - Marenisco—202.1 FTE positions............................................................ 22,871,900

Average population.............................................................................................................................1,090

Parnall correctional facility - Jackson—259.5 FTE positions.................................................................. 28,221,900

Average population.............................................................................................................................1,678

Pugsley correctional facility - Kingsley—210.9 FTE positions............................................................... 24,539,700

Average population.............................................................................................................................1,342

Saginaw correctional facility - Freeland—275.9 FTE positions.............................................................. 32,623,300

Average population.............................................................................................................................1,480

Special alternative incarceration program (Camp Cassidy Lake)—119.0 FTE positions.................. 13,893,700

Average population................................................................................................................................400

St. Louis correctional facility - St. Louis—310.9 FTE positions............................................................ 36,662,700

Average population.............................................................................................................................1,226

Thumb correctional facility - Lapeer—284.4 FTE positions................................................................... 33,115,400

Average population.............................................................................................................................1,219

Womens Huron Valley correctional complex - Ypsilanti—502.9 FTE positions.................................. 58,686,800

Average population.............................................................................................................................1,872

Woodland correctional facility - Whitmore Lake—285.4 FTE positions............................................... 33,110,200

Average population................................................................................................................................328

Northern region administration and support—47.0 FTE positions....................................................... 4,299,300

Southern region administration and support—141.0 FTE positions...................................................... 17,568,200

Ionia and Jackson area utilities..................................................................................................................... 8,579,600

GROSS APPROPRIATION.......................................................................................................................... $ 1,139,187,000

Appropriated from:

Federal revenues:

DOJ, state criminal alien assistance program............................................................................................ 1,014,500

Special revenue funds:

Local revenues................................................................................................................................................. $ 8,346,400

State restricted revenues and reimbursements......................................................................................... 100,000

State general fund/general purpose............................................................................................................. $ 1,129,726,100

Sec. 109. INFORMATION TECHNOLOGY

Information technology services and projects............................................................................................ $ 24,562,800

GROSS APPROPRIATION.......................................................................................................................... $ 24,562,800

Appropriated from:

State general fund/general purpose............................................................................................................. $ 24,562,800

Sec. 110. CAPITAL OUTLAY

Capital outlay - security improvements...................................................................................................... $ 6,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 6,000,000

Appropriated from:

Special revenue funds:

Special equipment fund.................................................................................................................................. 6,000,000

State general fund/general purpose............................................................................................................. $ 0

Sec. 111. ONE-TIME APPROPRIATIONS

Education program - one-time enhancement costs................................................................................... $ 1,045,300

Field operations - one-time mobilization costs........................................................................................... 440,600

Neal, et al. settlement agreement................................................................................................................ 25,000,000

70 x 7 life recovery - Muskegon pilot........................................................................................................... 600,000

GROSS APPROPRIATION.......................................................................................................................... $ 27,085,900

Appropriated from:

State general fund/general purpose............................................................................................................. $ 27,085,900

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

FOR FISCAL YEAR 2014-2015

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 2014-2015 is $2,026,668,000.00 and state spending from state resources to be paid to local units of government for fiscal year 2014-2015 is $115,714,000.00. 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.......................................................................... $ 60,543,300

Community corrections comprehensive plans and services..................................................................... 12,158,000

Community re-entry centers......................................................................................................................... 1,500,000

Residential services......................................................................................................................................... 15,475,500

County jail reimbursement program........................................................................................................... 14,847,100

Felony drunk driver jail reduction and community treatment program.............................................. 1,440,100

Leased beds and alternatives to leased beds............................................................................................. 5,250,000

Public safety initiative.................................................................................................................................... 4,500,000

TOTAL............................................................................................................................................................... $ 115,714,000

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

Sec. 203. As used in this part and part 1:

(a) “Administrative segregation” means confinement for maintenance of order or discipline to a cell or room apart from accommodations provided for inmates who are participating in programs of the facility.

(b) “Cost per prisoner” means the sum total of the funds appropriated under part 1 for the following, divided by the projected prisoner population in fiscal year 2014-2015:

(i) Correctional facilities.

(ii) Northern and southern region administration and support.

(iii) Clinical complexes.

(iv) Prisoner health care services.

(v) Health care administration.

(vi) Vaccination program.

(vii) Prison food service and federal school lunch program.

(viii) Transportation.

(ix) Inmate legal services.

(x) Correctional facilities administration.

(xi) Central records.

(xii) Mental health services and support.

(xiii) Worker’s compensation.

(xiv) New custody staff training.

(xv) Prison store operations.

(xvi) Education program.

(c) “DAG” means the United States department of agriculture.

(d) “DAG-FNS” means the DAG food and nutrition service.

(e) “DED” means the United States department of education.

(f) “DED-OESE” means the DED office of elementary and secondary education.

(g) “DED-OSERS” means the DED office of special education and rehabilitative services.

(h) “DED-OVAE” means the DED office of vocational and adult education.

(i) “Department” or “MDOC” means the Michigan department of corrections.

(j) “DOJ” means the United States department of justice.

(k) “DOJ-BOP” means the DOJ bureau of prisons.

(l) “DOJ-OJP” means the DOJ office of justice programs.

(m) “Evidence-based practices” or “EBP” means a decision-making process that integrates the best available research, clinician expertise, and client characteristics.

(n) “FTE” means full-time equated.

(o) “GED” means general educational development certificate.

(p) “Goal” means the intended or projected result of a comprehensive corrections plan or community corrections program to reduce repeat offending, criminogenic and high-risk behaviors, prison commitment rates, to reduce the length of stay in a jail, or to improve the utilization of a jail.

(q) “GPS” means global positioning system.

(r) “HIV” means human immunodeficiency virus.

(s) “IDG” means interdepartmental grant.

(t) “IDT” means intradepartmental transfer.

(u) “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.

(v) “MDCH” means the Michigan department of community health.

(w) “MDHS” means the Michigan department of human services.

(x) “MDSP” means the Michigan department of state police.

(y) “Medicaid benefit” means a benefit paid or payable under a program for medical assistance under the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b.

(z) “Objective risk and needs assessment” means an evaluation of an offender’s criminal history; the offender’s noncriminal history; and any other factors relevant to the risk the offender would present to the public safety, including, but not limited to, having demonstrated a pattern of violent behavior, and a criminal record that indicates a pattern of violent offenses.

(aa) “OCC” means the office of community corrections.

(bb) “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.

(cc) “Offender success” means that an offender has, with the support of the community, intervention of the field agent, and benefit of any participation in programs and treatment, made an adjustment while at liberty in the community such that he or she has not been sentenced to or returned to prison for the conviction of a new crime or the revocation of probation or parole.

(dd) “Offender target population” means felons or misdemeanants who would likely be sentenced to imprisonment in a state correctional facility or jail, who would not likely increase the risk to the public safety based on an objective risk and needs assessment that indicates that the offender can be safely treated and supervised in the community.

(ee) “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.

(ff) “Programmatic success” means that the department program or initiative has ensured that the offender has accomplished all of the following:

(i) Obtained employment, has enrolled or participated in a program of education or job training, or has investigated all bona fide employment opportunities.

(ii) Obtained housing.

(iii) Obtained a state identification card.

(gg) “Recidivism” means the return of an individual to prison within 3 years after he or she is released either with a new sentence to prison or as a technical violator of parole conditions.

(hh) “RSAT” means residential substance abuse treatment.

(ii) “Serious emotional disturbance” means that term as defined in section 100d(2) of the mental health code, 1974 PA 328, MCL 330.1100d.

(jj) “Serious mental illness” means that term as defined in section 100d(3) of the mental health code, 1974 PA 328, MCL 330.1100d.

(kk) “SSA” means the United States social security administration.

(ll) “SSA-SSI” means SSA supplemental security income.

Sec. 204. (1) It is the intent of the legislature that annual financial savings from the department’s budget appropriation be invested in the following areas: early childhood education, K-12 education, higher education, local law enforcement entities through revenue sharing, and roads.

(2) It is the intent of the legislature that the investments outlined in subsection (1) from savings found in the department’s budget are utilized in order to reduce high crime rates in the state.

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. State employees shall be given the opportunity to competitively bid on services that are or were provided by state employees. If the contract is awarded to any state employee, he or she ceases being an employee of the state.

Sec. 208. The department shall use the Internet to fulfill the reporting requirements of this part. 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 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. 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, and public works programs and services provided to local units of government. The revenues and fees collected are appropriated for all expenses associated with these services and activities.

Sec. 212. On a quarterly basis, the department shall report on the number of full-time equated positions in pay status by civil service classification to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, and the senate and house fiscal agencies. This report shall include a detailed accounting of the long-term vacancies that exist within each department. As used in this subsection, “long-term vacancy” means any full‑time equated position that has not been filled at any time during the past 24 calendar months.

Sec. 214. The department 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. 216. The department 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 senate and house standing committees on appropriations, the legislative corrections ombudsman, the senate and house 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. (1) Any contract for prisoner telephone services entered into after the effective date of this section shall 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.

(2) Revenues appropriated and collected for special equipment funds shall be considered state restricted revenue. Of this revenue, $2,000,000.00 shall be used for programming that is a condition of parole, such as violence prevention programming, sexual offender programming, and thinking for a change, with particular emphasis on individuals who are past their earliest release dates. Any remaining balance shall be used for special equipment and security projects. Unexpended funds remaining at the close of the fiscal year shall not lapse to the general fund but shall be carried forward and be available for appropriation in subsequent fiscal years.

(3) The department shall submit a report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the legislative corrections ombudsman, and the state budget director by February 1 outlining revenues and expenditures from special equipment funds. The report shall include all of the following:

(a) A list of all individual projects and purchases financed with special equipment funds in the immediately preceding fiscal year, the amounts expended on each project or purchase, and the name of each vendor the products or services were purchased from.

(b) A list of planned projects and purchases to be financed with special equipment funds during the current fiscal year, the amounts to be expended on each project or purchase, and the name of each vendor for which the products or services were purchased.

(c) A review of projects and purchases planned for future fiscal years from special equipment funds.

Sec. 220. Not later than November 30, the state budget office 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 chairpersons of the senate and house of representatives standing committees on appropriations and the senate and house fiscal agencies.

Sec. 221. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is not limited to, all of the following for the department:

(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. 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 part 1 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 part 1 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 part 1 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 part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 229. Within 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide the chairpersons of the senate and house appropriations committees, the chairpersons of the senate and house appropriations subcommittees on corrections, 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, 2014 and September 30, 2015.

Sec. 230. Funds appropriated in part 1 shall not be used by the department 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. The department shall maintain, on a publicly accessible website, a department scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the department’s performance.

Sec. 232. The department shall issue a report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the legislative corrections ombudsman by October 1 that includes the security levels of all prisoners who were classified as past their earliest release date as of March 1 of the prior fiscal year.

Sec. 238. It is the intent of the legislature that the department make additional efforts to sell, rent, or otherwise repurpose closed correctional facilities.

Sec. 239. It is the intent of the legislature that the department establish and maintain a management-to-staff ratio of not more than 1 supervisor for each 8 employees at the department’s central office in Lansing and at both the northern and southern region administration offices.

Sec. 246. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $351,595,400.00. From this amount, total department appropriations for pension-related legacy costs are estimated at $196,513,200.00. Total department appropriations for retiree health care legacy costs are estimated at $155,082,200.00.

Sec. 247. (1) For each new program or program expansion for which funds in excess of $500,000.00 are appropriated in part 1, the department shall identify specific benchmarks intended to measure the performance or return on taxpayer investment of the program and its associated expenditures.

(2) By November 1, the department shall report the proposed benchmarks to the senate and house appropriations subcommittees on corrections, to the senate and house fiscal agencies, and to the state budget director.

(3) The department shall provide an update on its progress in achieving those benchmarks at an appropriations subcommittee meeting called for the purpose of discussing benchmarks and their status.

(4) It is the intent of the legislature that, beginning with the budget for the fiscal year ending September 30, 2016, any proposal for a new program or an expansion of an existing program in excess of $500,000.00 initiated by the executive branch or the legislature shall include, as part of the original proposal or budget request, a list of benchmarks intended to measure the performance or return on taxpayer investment of the program or spending increase.

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. 304. The director of the department shall maintain a staff savings initiative program to invite employees to submit suggestions for saving costs for the department.

Sec. 305. By March 1, the department shall report to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director on the number of prisoners who committed suicide during the previous calendar year. To the extent permitted by law, the report shall include all of the following information:

(a) The prisoner’s age, offense, sentence, and admission date.

(b) Each prisoner’s facility and unit.

(c) A description of the circumstances of the suicide.

(d) The date of the suicide.

(e) Whether the suicide occurred in a housing unit, a segregation unit, a mental health unit, or elsewhere on the grounds of the facility.

(f) Whether the prisoner had been denied parole and the date of any denial.

(g) Details on the department’s responses to each suicide, including immediate on-site responses and subsequent internal investigations.

(h) A description of any monitoring and psychiatric interventions that had been undertaken prior to the prisoner’s suicide, including any changes in placement or mental health care.

(i) Whether the prisoner had previously attempted suicide.

PRISONER RE-ENTRY AND COMMUNITY SUPPORT

Sec. 401. The department shall submit 3-year and 5-year prison population projection updates concurrent with submission of the executive budget to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, 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. (1) It is the intent of the legislature that the funds appropriated in part 1 for prisoner re-entry programs be expended for the purpose of reducing victimization by reducing repeat offending through the following prisoner re-entry programming:

(a) The provision of employment or employment services and job training.

(b) The provision of housing assistance.

(c) Referral to mental health services.

(d) Referral to substance abuse services.

(e) Referral to public health services.

(f) Referral to education.

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

(2) By March 1, the department shall provide a report on prisoner re-entry expenditures and allocations to the members of the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director. At a minimum, the report shall include information on both of the following:

(a) Details on prior-year expenditures, including amounts spent on each project funded, itemized by service provided and service provider.

(b) Allocations and planned expenditures for each project funded and for each project to be funded, itemized by service to be provided and service provider. The department shall provide an amended report quarterly, if any revisions to allocations or planned expenditures occurred during that quarter.

Sec. 403. (1) The department shall undertake a request for proposal to institute a LEAN process in determining ways to reduce the backlog for programming for prisoners who are within 6 months of their earliest release date (ERD). The programming that the LEAN process shall prioritize is: Violence Prevention Programming (VPP), Sex Offender Programming (SOP), and Thinking For Change.

(2) The LEAN process shall also look into ways of instituting LEAN principles which may lead to the elimination of the backlog for ERD prisoners from continuing to occur.

(3) Not later than 1 month after completion of a LEAN process evaluation, the department shall provide a report to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, and the senate and house fiscal agencies detailing the outcomes of the LEAN process, the department’s progress in achieving the reduction in providing programming, and the department’s plan for implementing efficiency standards identified in the LEAN process throughout the department.

Sec. 404. (1) The department may hire additional staff on a temporary basis to assist with instituting LEAN process principles, as identified in section 403. The temporary staff shall be hired to provide programming if the number of prisoners who are past their earliest release date and have not received programming is backlogged more than 50 prisoners in the entire department facility system. The temporary staff shall be retained until the backlog has dropped below 50 prisoners for 2 consecutive months throughout the department facility system.

(2) The role of the temporary staff shall be to provide necessary programming for those individuals who are past their earliest release date.

(3) The financial savings provided through the reduction of past earliest release date prisoners, as identified through the LEAN process undertaken by the department, shall be directed for the use of hiring the additional temporary staff.

Sec. 405. By March 1, the department shall report to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, 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 success and programmatic success as those terms are defined in section 203.

Sec. 406. From the funds appropriated in part 1, the department shall provide an interdepartmental grant to the department of human services to expand the swift and sure sanctions program through Michigan rehabilitative services. The department shall allocate not less than $1,000,000.00 for the purpose described in this section and shall establish an interagency agreement with the department of human services and judicial branch to carry out this purpose. These funds shall be used to contract with accredited, community-based rehabilitation organizations for job placement and other support services and to assist individuals who have a history of probation and parole violations, who have exceptional mental health needs, and who meet the profile of the current customer base of Michigan rehabilitative services and shall not be used for individuals who are currently incarcerated.

Sec. 407. (1) By June 30, the department shall place the statistical report from the immediately preceding calendar year on an Internet site. The statistical report shall include, but not be limited to, the information as provided in the 2004 statistical report.

(2) It is the intent of the legislature that starting with calendar year 2010, the statistical report be placed on an Internet site within 6 months after the end of each calendar year.

Sec. 408. The department shall measure the recidivism rates of offenders.

Sec. 409. (1) The department shall engage with state agencies and local entities to coordinate services and shall use appropriations provided in part 1 for re-entry and vocational education programs designed through collaboration with Michigan’s workforce development system. The department shall ensure that the collaboration provides relevant professional development opportunities to prisoners to ensure that the programs are high quality, demand driven, locally receptive, and responsive to the needs of communities where the prisoners are expected to reside after their release from correctional facilities. The programs shall begin upon the intake of the prisoner into a department facility.

(2) It is the intent of the legislature that the workforce development programming continue through the entire duration of the prisoner’s incarceration to encourage employment upon release.

(3) By March 1, the department shall provide a report to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, and the senate and house fiscal agencies detailing the results of the workforce development 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 enhance offender success and that also may 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 offenders who would likely be sentenced to imprisonment, 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.

(c) Open jail beds through the increase of pretrial release options.

(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.

(f) Contribute to offender success, as that term is defined in section 203.

(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 offender success, 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 for nonaccredited facilities, or of not more than $48.50 for facilities that have been accredited by the American corrections association or a similar organization as approved by the department.

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, 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 section 8(4) of the community corrections act, 1988 PA 511, MCL 791.408, that contribute to the success of offenders. 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 use the county jail reimbursement program under section 414. 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.

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 legislative corrections ombudsman, 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.

(c) Status of the community corrections information system and the jail population information system.

(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, by prior record variable score, by number and percent statewide and by county, current year, and comparisons to the previous 3 years.

(f) Data on the use of funding made available under the felony drunk driver jail reduction and community treatment program.

(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, jail-based probation violation sanctions, and all state-required jail data.

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

(3) As a prerequisite to participation in the programs and services offered through the department, counties shall provide necessary 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 certain felons who otherwise would have been sentenced to prison.

(2) The county jail reimbursement program shall reimburse counties for convicted felons in the custody of the sheriff 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 or a nonperson crime in crime class F 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 under the sentencing guidelines described in subdivision (a).

(c) The felon was sentenced to jail for a felony committed while he or she was on parole and under the jurisdiction of the parole board and for which the sentencing guidelines recommended range for the minimum sentence has an upper limit of more than 18 months.

(3) State reimbursement under this subsection shall be $60.00 per diem per diverted offender for offenders with a presumptive prison guideline score, $50.00 per diem per diverted offender for offenders with a straddle cell guideline for a group 1 crime, and $35.00 per diem per diverted offender for offenders with a straddle cell guideline for a group 2 crime. Reimbursements shall be paid for sentences up to a 1-year total.

(4) As used in this subsection:

(a) “Group 1 crime” means a crime in 1 or more of the following offense categories: arson, assault, assaultive other, burglary, criminal sexual conduct, homicide or resulting in death, other sex offenses, robbery, and weapon possession as determined by the department of corrections based on specific crimes for which counties received reimbursement under the county jail reimbursement program in fiscal year 2007 and fiscal year 2008, and listed in the county jail reimbursement program document titled “FY 2007 and FY 2008 Group One Crimes Reimbursed”, dated March 31, 2009.

(b) “Group 2 crime” means a crime that is not a group 1 crime, including larceny, fraud, forgery, embezzlement, motor vehicle, malicious destruction of property, controlled substance offense, felony drunk driving, and other nonassaultive offenses.

(c) “In the custody of the sheriff” means that the convicted felon has been sentenced to the county jail and is either housed in the county jail or has been released from jail and is being monitored through the use of the sheriff’s electronic monitoring system.

(5) 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. By October 15, the department shall distribute the documentation requirements to all counties.

Sec. 416. Allowable uses of felony drunk driver jail reduction and community treatment program funding 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.

Sec. 417. (1) By March 1, the department shall report to the members of the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, 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.

(c) 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 shall include information on each of the following:

(a) Program objectives and outcome measures, including, but not limited to, the number of offenders who successfully completed the program, and the number of offenders who successfully remained in the community during the 3 years following termination from the program.

(b) Expenditures by location.

(c) The impact on jail utilization.

(d) The impact on prison admissions.

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

Sec. 418. (1) The department shall collaborate with the state court administrative office on facilitating changes to Michigan court rules that would require the court to collect at the time of sentencing the state operator’s license, state identification card, or other documentation used to establish the identity of the individual to be admitted to the department. The department shall maintain those documents in the prisoner’s personal file.

(2) The department shall cooperate with MDCH to create and maintain a process by which prisoners can obtain their Michigan birth certificates if necessary. The department shall describe a process for obtaining birth certificates from other states, and in situations where the prisoner’s effort fails, the department shall assist in obtaining the birth certificate.

(3) The department shall collaborate with the department of military and veterans affairs to create and maintain a process by which prisoners can obtain a copy of their DD Form 214 or other military discharge documentation if necessary.

Sec. 419. (1) The department shall provide weekly electronic mail reports to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, 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 legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director. 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.

(c) Probation populations, with identification of the number in special alternative incarceration.

(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. By March 1, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house judiciary committees, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director on performance data and efforts to improve efficiencies relative to departmental staffing, health care services, food service, prisoner transportation, mental health care services, and pharmaceutical costs.

Sec. 421. From the funds appropriated in part 1 for jail mental health transition pilot program, $1,000,000.00 is intended to address the recommendations of the mental health diversion council.

Sec. 431. Upon offender request, the department shall ensure that prior to release from prison, each offender has possession of a set of clothing that would be appropriate and suitable for wearing to an interview for employment.

Sec. 434. The department shall explore opportunities to collaborate with Michigan colleges and universities on establishing programs that will employ parolees in agricultural settings.

Sec. 435. (1) From the funds appropriated in part 1 for prisoner re-entry legal services, the department shall contract with the legal aid of western Michigan office in Kent County and the legal aid and defender office in Oakland County to establish 2 pilot projects. The purpose of the pilot projects is to provide outreach, education, and legal representation to former offenders in areas such as employment, housing, income stability, and child custody and other domestic matters.

(2) The legal aid and defender office in Oakland County shall provide prisoner re-entry legal services to former offenders in Wayne County.

(3) The department, in collaboration with legal aid of western Michigan and the legal aid and defender office, shall submit a report by April 1 that documents the number of new cases accepted, the types of cases, and case outcomes for completed work. The report shall be submitted to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the legislative corrections ombudsman, and the state budget director.

(4) Unexpended funds remaining at the close of the fiscal year shall not lapse to the general fund but shall be carried forward and be available for appropriation in subsequent fiscal years.

Sec. 436. (1) The department shall establish a workgroup with representatives from the Genesee County sheriff’s office, the city of Flint police department, and other relevant governmental agencies in Genesee County to develop and implement a long-term strategic plan to ease the county jail backlog and to gradually reduce the need for department intervention.

(2) 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 September 30 strategic recommendations that result from the work of the workgroup.

Sec. 437. (1) Funds appropriated in part 1 for Goodwill flip the script shall be distributed to a Michigan-chartered 501(c)(3) nonprofit corporation operating in a county with greater than 1,500,000 people for administration and expansion of a program which serves a population of persons aged 16-29. The expansion of the program shall be operational by November 1. The existing program to be expanded shall target those who are entering the criminal justice system for the first or second time and shall assist those individuals through the following program types:

(a) Alternative sentencing programs in partnership with a local district or circuit court.

(b) Educational recovery for special adult populations with high rates of illiteracy.

(c) Career development and continuing education for women.

(2) The program selected shall report by March 30 to the department, the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the legislative corrections ombudsman, and the state budget director. The report shall include program performance measurements, the number of individuals diverted from incarceration, the number of individuals served, and outcomes of participants who complete the program.

BUDGET AND OPERATIONS 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. 504. (1) The department shall conduct a workgroup in conjunction with the department of community health, the state transportation department, the department of human services, the strategic fund in the department of treasury, and members from both the senate and house of representatives to determine if the state can maximize its services and funding for transportation for low-income, elderly, and disabled individuals through consolidating all of the current transportation services for these populations under 1 department.

(2) The department shall submit to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office, by March 1, a report on the findings of the workgroup on the items described in subsection (1).

Sec. 505. The department shall provide for the training of all custody staff in effective and safe ways of handling prisoners with mental illness and referring prisoners to mental health treatment programs. Mental health awareness training shall be incorporated into the training of new custody staff.

Sec. 508. (1) The department shall analyze the structural integrity and overall facility quality of each of the correctional facilities it owns or operates.

(2) The department shall issue a report for all correctional facilities to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the legislative corrections ombudsman by October 1 setting forth the following information for each facility: its name, street address, and date of construction; its current maintenance costs; any maintenance planned; its current utility costs; its expected future capital improvement costs; and its expected future useful life.

Sec. 509. (1) The department shall conduct a study on the Michigan state industries program. The study shall focus on determining which industries have the maximum benefit to the prisoner population in providing marketable skills and leading to employable outcomes after release of the prisoner from a department facility. The report shall also include data on the current operations of Michigan state industries including: a list of and the number of products sold, the operating budget, the location of all Michigan state industries facilities, the number of prisoners working through Michigan state industries, and purchasers of products. Data in the report shall be data from the preceding fiscal year.

(2) By December 1, the department shall provide a report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, and the legislative corrections ombudsman detailing the results and recommendations from the study on Michigan state industries described in subsection (1).

Sec. 510. The department, in collaboration with the department of community heath, shall establish an accounting structure within the Michigan administrative information network that will allow expenditures associated with the administration of the Healthy Michigan plan to be identified. By October 1, the department shall provide the state budget office and the senate and house fiscal agencies with the relevant accounting structure and associated business objects script and report that group’s administrative costs.

Sec. 511. (1) By February 1, the department shall provide a report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the legislative corrections ombudsman, and the state budget director which details the strategic plan of the department. The report shall contain strategies to decrease the overall recidivism rate, measurable plans to increase the rehabilitative function of correctional facilities, metrics to track and ensure prisoner readiness to re-enter society, and constructive actions for providing prisoners with life skills development.

(2) The intent of this report is to express that the mission of the department is to provide an action plan before re-entry to society that ensures prisoners’ readiness for meeting parole requirements and ensures a reduction in the total number of released inmates who re-enter the criminal justice system.

FIELD OPERATIONS ADMINISTRATION

Sec. 601. (1) 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 complete audit shall be submitted to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget office by March 1.

(2) It is the intent of the legislature that the department maintain a number of field agents sufficient to meet supervision and workload standards.

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. 608. By March 1, the department shall report to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director on the use of 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. 611. The department shall prepare by March 1 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 senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house 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.

(c) Number of successful terminations.

(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 all available 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 demonstration projects for substance abuse treatment provided under this part and applicable provisions of prior budget acts for the department.

(4) The department shall provide annual reports to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, 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 quarter. 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.

(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) The number of offenders who participated in the re-entry program 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. 615. The department shall submit a report containing a list detailing the number of prisoners who have received life imprisonment sentences with the possibility of parole and who are currently eligible for parole to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the legislative corrections ombudsman, and the state budget director by January 1.

HEALTH CARE

Sec. 802. 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 legislative corrections ombudsman, 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 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) Regular updates on progress on requests for proposals and requests for information pertaining to prisoner health care and mental health care, until the applicable contract is approved.

Sec. 803. (1) The department shall establish a standard medical release form for all prisoners by October 1.

(2) The department shall assure that all prisoners, upon any health care treatment, are given the opportunity to sign a release of information form designating a family member or other individual to whom the department shall release records information regarding a prisoner. A release of information form signed by a prisoner shall remain in effect for 1 year, and the prisoner may elect to withdraw or amend the release form at any time.

(3) The department shall assure that any such signed release forms follow a prisoner upon transfer to another department facility or to the supervision of a parole officer.

(4) The form shall be placed on an online, public website managed by the department.

Sec. 804. (1) The department shall report quarterly to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, 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, by facility.

(2) By March 1, the department shall report to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, 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.

Sec. 805. If a prisoner aged 26 years or under is determined not to be eligible for Medicaid, the department shall determine whether the prisoner is eligible for dependent health insurance coverage.

Sec. 812. (1) The department shall provide the department of human services with a monthly list of prisoners newly committed to the department of corrections. The department and the department of human services shall enter into an interagency agreement under which the department of human services provides the department of corrections with monthly lists of newly committed prisoners who are eligible for Medicaid benefits in order to maintain the process by which Medicaid benefits are suspended rather than terminated. The department shall assist prisoners who may be eligible for Medicaid benefits after release from prison with the Medicaid enrollment process prior to release from prison.

(2) The department shall provide the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director with quarterly updates on the utilization of Medicaid benefits for prisoners.

Sec. 814. The department shall assure that psychotropic medications are available, when deemed medically necessary by a licensed medical service provider, to prisoners who have mental illness diagnoses but are not enrolled in corrections mental health services.

Sec. 816. By April 1, the department shall provide the members of the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the state budget director, and the legislative corrections ombudsman with a report on pharmaceutical expenditures and prescribing practices. In particular, the report shall provide the following information:

(a) A detailed accounting of expenditures on antipsychotic medications.

(b) Any changes that have been made to the prescription drug formularies.

CORRECTIONAL FACILITIES ADMINISTRATION

Sec. 904. The department shall calculate the per prisoner/per day cost for each prisoner security custody level. This calculation shall include all actual direct and indirect costs for the previous fiscal year, including, but not limited to, the value of services provided to the department by other state agencies and the allocation of statewide legacy costs. To calculate the per prisoner/per day costs, the department shall divide these direct and indirect costs by the average daily population for each custody level. For multilevel facilities, the indirect costs that cannot be accurately allocated to each custody level can be included in the calculation on a per-prisoner basis for each facility. A report summarizing these calculations and the direct and indirect costs included in them shall be submitted to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director not later than December 15.

Sec. 906. Any local unit of government or private nonprofit organization that contracts with the department for public works services shall be responsible for financing the entire cost of such an agreement.

Sec. 907. The department shall report by March 1 to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director on academic and vocational programs. The report shall provide information relevant to an assessment of the department’s academic and vocational programs, including, but not limited to, all of 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 paroled without a high school diploma and the number of prisoners paroled without a GED.

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

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

(g) An explanation of the department’s plans for academic and vocational programs, including plans to contract with intermediate school districts for GED and high school diploma programs.

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

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 program to produce high-quality materials for use by the visually impaired.

Sec. 911. By March 1, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the legislative corrections ombudsman, and the state budget director the number of critical incidents occurring each month by type and the number and severity of assaults and escape attempts occurring each month at each facility during the immediately preceding calendar year.

Sec. 912. The department shall report to the senate and house appropriations subcommittees on corrections, the legislative corrections ombudsman, the senate and house fiscal agencies, and the state budget director by March 1 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. (1) It is the intent of the legislature that any prisoner required to complete a violence prevention program, sexual offender program, or other program as a condition of parole shall be transferred to a facility where that program is available in order to accomplish timely completion of that program prior to the expiration of his or her minimum sentence and eligibility for parole. Nothing in this section should be deemed to make parole denial appealable in court.

(2) The department shall submit a quarterly report to the members of the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the state budget director, and the legislative corrections ombudsman detailing enrollment in sex offender programming, assaultive offender programming, violent offender programming, and thinking for change. At a minimum, the report shall include the following:

(a) A full accounting of the number of individuals who are required to complete the programming, but have not yet done so.

(b) The number of individuals who have reached their earliest release date, but who have not completed required programming.

(c) A plan of action for addressing any waiting lists or backlogs for programming that may exist.

Sec. 915. The department shall explore opportunities to collaborate with Michigan universities on establishing programs that will allow graduate students to work in correctional facilities to teach programming that is a condition of parole. The intent of the legislature is that graduate students teaching in correctional facilities will result in a cost savings for the department and will reduce the number of individuals who are past their earliest release dates due to the inability to obtain programming.

Sec. 924. The department shall evaluate all prisoners at intake for substance abuse disorders, serious developmental disorders, serious mental illness, and other mental health disorders. Prisoners with serious mental illness or serious developmental disorders shall not be removed from the general population as a punitive response to behavior caused by their serious mental illness or serious developmental disorder. Due to persistent high violence risk or severe disruptive behavior that is unresponsive to treatment, prisoners with serious mental illness or serious developmental disorders may be placed in secure residential housing programs that will facilitate access to institutional programming and ongoing mental health services. A prisoner with serious mental illness or serious developmental disorder who is confined in these specialized housing programs shall be evaluated or monitored by a medical professional at a frequency of not less than every 12 hours.

Sec. 925. By March 1, the department shall report to the senate and house appropriations subcommittees on corrections, the senate and house fiscal agencies, the legislative corrections ombudsman, and the state budget director on the annual number of prisoners in administrative segregation between October 1, 2012 and September 30, 2014, and the annual number of prisoners in administrative segregation between October 1, 2012 and September 30, 2014 who at any time during the current or prior prison term were diagnosed with serious mental illness or have a developmental disorder and the number of days each of the prisoners with serious mental illness or a developmental disorder have been confined to administrative segregation.

Sec. 929. From the funds appropriated in part 1, the department shall do all of the following:

(a) Ensure that any inmate care and control staff in contact with prisoners less than 18 years of age are adequately trained with regard to the developmental and mental health needs of prisoners less than 18 years of age. By April 1, 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 training curriculum used and the number and types of staff receiving annual training under that curriculum.

(b) Provide appropriate placement for prisoners less than 18 years of age who have serious mental illness, serious emotional disturbance, or a serious developmental disorder and need to be housed separately from the general population. Prisoners less than 18 years of age who have serious mental illness, serious emotional disturbance, or a serious developmental disorder shall not be removed from an existing placement as a punitive response to behavior caused by their serious mental illness, serious emotional disturbance, or a serious developmental disorder. Due to persistent high violence risk or severe disruptive behavior that is unresponsive to treatment, prisoners less than 18 years of age with serious emotional disturbance, serious mental illness, or serious developmental disorders may be placed in secure residential housing programs that will facilitate access to institutional programming and ongoing mental health services. A prisoner less than 18 years of age with serious mental illness, serious emotional disturbance, or a serious developmental disorder who is confined in these specialized housing programs shall be evaluated or monitored by a medical professional at a frequency of not less than every 12 hours.

(c) Implement a specialized re-entry program that recognizes the needs of prisoners less than 18 years old for supervised re-entry.

Sec. 937. The department shall not issue a request for proposal (RFP) for a contract in excess of $5,000,000.00, unless the department has first considered issuing a request for information (RFI) or a request for qualification (RFQ) relative to that contract to better enable the department to learn more about the market for the products or services that are the subject of the future RFP. The department shall notify the department of technology, management, and budget of the evaluation process used to determine if an RFI or RFQ was not necessary prior to issuing the RFP.

Sec. 938. By January 1, the department, in consultation with the departments of technology, management, and budget and community health, shall issue a request for information for a contract to provide beds in a skilled nursing facility for the placement of geriatric and medically fragile inmates, such that those inmates are eligible for Medicaid reimbursement.

Sec. 940. (1) Any lease, rental, contract, or other legal agreement that includes a provision allowing a private person or entity to use state-owned facilities or other property to conduct a for-profit business enterprise shall require the lessee to pay fair market value for the use of the state-owned property.

(2) The lease, rental, contract, or other legal agreement shall also require the party using the property to make a payment in lieu of taxes to the local jurisdictions that would otherwise receive property tax revenue, as if the property were not owned by the state.

Sec. 942. The department shall ensure that any contract with a public or private party to operate a facility to house state prisoners includes a provision to allow access by both the office of the legislative auditor general and the office of the legislative corrections ombudsman to the facility and to appropriate records and documents related to the operation of the facility. These access rights for both offices shall be the same for the contracted facility as for a general state‑operated correctional facility.

MISCELLANEOUS

Sec. 1009. The department shall make an information packet for the families of incoming prisoners available on the department’s website. The information packet shall be updated by February 1 of each year thereafter. The packet shall provide information on topics including, but not limited to: how to put money into prisoner accounts, how to make phone calls or create Jpay email accounts, how to visit in person, proper procedures for filing complaints or grievances, the rights of prisoners to physical and mental health care, how to utilize the offender tracking information system (OTIS), truth-in-sentencing and how it applies to minimum sentences, the parole process, and guidance on the importance of the role of families in the reentry process. The department is encouraged to partner with external advocacy groups and actual families of prisoners in the packet-writing process to ensure that the information is useful and complete.

Sec. 1011. The department shall accept in-kind services and equipment donations to facilitate the addition of a cable network that provides programming that will address the religious needs of incarcerated individuals. This network shall be a cable television network that presently reaches the majority of households in the United States. A bilingual channel affiliated with this network may also be added to department programming to assist the religious needs of Spanish-speaking inmates. The addition of these channels shall be of no additional cost to this state.

CAPITAL OUTLAY

Sec. 1051. 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.

PART 2A

PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS

FOR FISCAL YEAR 2015-2016

GENERAL SECTIONS

Sec. 1201. It is the intent of the legislature to provide appropriations for the fiscal year ending on September 30, 2016 for the line items listed in part 1. The fiscal year 2015-2016 appropriations are anticipated to be the same as those for fiscal year 2014-2015, 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 2015 consensus revenue estimating conference.

ARTICLE VI

DEPARTMENT OF EDUCATION

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the department of education for the fiscal year ending September 30, 2015, from the following funds:

DEPARTMENT OF EDUCATION

APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................600.5

GROSS APPROPRIATION.......................................................................................................................... $ 287,096,100

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 0

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 287,096,100

Federal revenues:

Total federal revenues.................................................................................................................................... 189,473,500

Special revenue funds:

Total local revenues......................................................................................................................................... 5,633,700

Total private revenues.................................................................................................................................... 1,933,300

Total other state restricted revenues.......................................................................................................... 7,972,600

State general fund/general purpose............................................................................................................. $ 82,083,000

Sec. 102. STATE BOARD OF EDUCATION/OFFICE OF THE SUPERINTENDENT

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions...............................................................................................11.0

State board of education, per diem payments............................................................................................ $ 24,400

Unclassified positions—6.0 FTE positions.................................................................................................. 795,100

State board/superintendent operations—11.0 FTE positions................................................................. 2,110,000

GROSS APPROPRIATION.......................................................................................................................... $ 2,929,500

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 222,400

Special revenue funds:

Private foundations......................................................................................................................................... 28,100

Certification fees.............................................................................................................................................. 861,100

State general fund/general purpose............................................................................................................. $ 1,817,900

Sec. 103. CENTRAL SUPPORT

Full-time equated classified positions...............................................................................................23.6

Central support operations—23.6 FTE positions...................................................................................... $ 3,623,400

Worker’s compensation................................................................................................................................... 30,800

Building occupancy charges - property management services............................................................... 3,053,700

Training and orientation workshops............................................................................................................. $ 150,000

Terminal leave payments............................................................................................................................... 554,700

GROSS APPROPRIATION.......................................................................................................................... $ 7,412,600

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 1,641,400

Federal indirect funds.................................................................................................................................... 2,550,400

Special revenue funds:

Certification fees.............................................................................................................................................. 403,200

Teacher testing fees........................................................................................................................................ 3,800

Training and orientation workshop fees...................................................................................................... 150,000

State general fund/general purpose............................................................................................................. $ 2,663,800

Sec. 104. INFORMATION TECHNOLOGY SERVICES

Information technology operations............................................................................................................... $ 4,192,200

GROSS APPROPRIATION.......................................................................................................................... $ 4,192,200

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 605,800

Federal indirect funds.................................................................................................................................... 1,789,800

Special revenue funds:

Local cost sharing (schools for deaf/blind).................................................................................................. 76,500

Certification fees.............................................................................................................................................. 390,400

State general fund/general purpose............................................................................................................. $ 1,329,700

Sec. 105. SPECIAL EDUCATION SERVICES

Full-time equated classified positions...............................................................................................47.0

Special education operations—47.0 FTE positions.................................................................................... $ 8,937,300

GROSS APPROPRIATION.......................................................................................................................... $ 8,937,300

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 8,457,300

Special revenue funds:

Private foundations......................................................................................................................................... 110,100

Certification fees.............................................................................................................................................. 44,100

State general fund/general purpose............................................................................................................. $ 325,800

Sec. 106. MICHIGAN SCHOOLS FOR THE DEAF AND BLIND

Full-time equated classified positions...............................................................................................77.0

Michigan schools for the deaf and blind operations—76.0 FTE positions............................................ $ 12,664,500

Camp Tuhsmeheta—1.0 FTE position......................................................................................................... 295,100

Private gifts - blind......................................................................................................................................... 200,000

Private gifts - deaf........................................................................................................................................... 50,000

GROSS APPROPRIATION.......................................................................................................................... $ 13,209,600

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 6,900,400

Special revenue funds:

Local cost sharing (schools for deaf/blind).................................................................................................. 5,233,000

Local school district service fees.................................................................................................................. 312,500

Gifts, bequests, and donations....................................................................................................................... 545,100

Student insurance revenue............................................................................................................................ 218,600

State general fund/general purpose............................................................................................................. $ 0

Sec. 107. PROFESSIONAL PREPARATION SERVICES

Full-time equated classified positions...............................................................................................34.0

Professional preparation operations—34.0 FTE positions....................................................................... $ 5,896,800

Department of attorney general................................................................................................................... 66,000

GROSS APPROPRIATION.......................................................................................................................... $ 5,962,800

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. $ 1,444,800

Special revenue funds:

Certification fees.............................................................................................................................................. 3,882,700

Teacher college review fees........................................................................................................................... 55,300

Teacher testing fees........................................................................................................................................ 359,300

State general fund/general purpose............................................................................................................. $ 220,700

Sec. 108. MICHIGAN OFFICE OF GREAT START

Full-time equated classified positions...............................................................................................65.0

Office of great start operations—64.0 FTE positions............................................................................... $ 22,830,300

Child development and care external support........................................................................................... 17,766,500

Head start collaboration office—1.0 FTE position.................................................................................... 307,700

Child development and care public assistance........................................................................................... 110,292,000

GROSS APPROPRIATION.......................................................................................................................... $ 151,196,500

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 110,264,600

Special revenue funds:

Private foundations......................................................................................................................................... 250,000

Certification fees.............................................................................................................................................. 64,200

State general fund/general purpose............................................................................................................. $ 40,617,700

Sec. 109. STATE AID AND SCHOOL FINANCE SERVICES

Full-time equated classified positions...............................................................................................11.5

State aid and school finance operations—9.5 FTE positions................................................................... $ 1,361,500

Financial independence team operations—2.0 FTE positions................................................................. 500,000

GROSS APPROPRIATION.......................................................................................................................... $ 1,861,500

Appropriated from:

State general fund/general purpose............................................................................................................. $ 1,861,500

Sec. 110. AUDIT SERVICES

Full-time equated classified positions.................................................................................................4.5

Audit operations—4.5 FTE positions.......................................................................................................... $ 602,200

GROSS APPROPRIATION.......................................................................................................................... $ 602,200

Appropriated from:

Federal revenues:

Federal indirect funds.................................................................................................................................... 478,700

Special revenue funds:

Certification fees.............................................................................................................................................. 61,200

State general fund/general purpose............................................................................................................. $ 62,300

Sec. 111. ADMINISTRATIVE LAW SERVICES

Full-time equated classified positions.................................................................................................2.0

Administrative law operations—2.0 FTE positions.................................................................................. $ 1,310,700

GROSS APPROPRIATION.......................................................................................................................... $ 1,310,700

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 551,600

Special revenue funds:

Certification fees.............................................................................................................................................. 686,000

State general fund/general purpose............................................................................................................. $ 73,100

Sec. 112. ACCOUNTABILITY SERVICES

Full-time equated classified positions...............................................................................................65.6

Accountability services operations—65.6 FTE positions......................................................................... $ 14,637,700

GROSS APPROPRIATION.......................................................................................................................... $ 14,637,700

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 13,460,700

State general fund/general purpose............................................................................................................. $ 1,177,000

Sec. 113. SCHOOL SUPPORT SERVICES

Full-time equated classified positions...............................................................................................82.6

School support services operations—82.6 FTE positions........................................................................ $ 15,111,700

Federal and private grants............................................................................................................................ 3,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 18,111,700

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 16,263,600

Special revenue funds:

Local school district service fees.................................................................................................................. 11,700

Private foundations......................................................................................................................................... 1,000,000

Certification fees.............................................................................................................................................. 85,700

Commodity distribution fees......................................................................................................................... 71,700

State general fund/general purpose............................................................................................................. $ 679,000

Sec. 114. FIELD SERVICES

Full-time equated classified positions...............................................................................................45.0

Field services operations—45.0 FTE positions.......................................................................................... $ 9,194,500

GROSS APPROPRIATION.......................................................................................................................... $ 9,194,500

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 8,894,300

Special revenue funds:

Certification fees.............................................................................................................................................. 77,200

State general fund/general purpose............................................................................................................. $ 223,000

Sec. 115. EDUCATIONAL IMPROVEMENT AND INNOVATION SERVICES

Full-time equated classified positions...............................................................................................63.7

Educational improvement and innovation operations—63.7 FTE positions......................................... $ 9,382,500

Educator evaluations and assessments phase-in operations................................................................... 3,414,000

GROSS APPROPRIATION.......................................................................................................................... $ 12,796,500

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 6,514,500

Special revenue funds:

Certification fees.............................................................................................................................................. 558,100

State general fund/general purpose............................................................................................................. $ 5,723,900

Sec. 116. CAREER AND TECHNICAL EDUCATION

Full-time equated classified positions...............................................................................................27.0

Career and technical education operations—27.0 FTE positions........................................................... $ 4,758,300

GROSS APPROPRIATION.......................................................................................................................... $ 4,758,300

Appropriated from:

Federal revenues:

Federal revenues............................................................................................................................................. 3,826,200

State general fund/general purpose............................................................................................................. $ 932,100

Sec. 117. LIBRARY OF MICHIGAN

Full-time equated classified positions...............................................................................................33.0

Library of Michigan operations—32.0 FTE positions............................................................................... $ 4,419,700

Library services and technology program—1.0 FTE position................................................................ 5,607,000

State aid to libraries....................................................................................................................................... 8,876,000

Michigan eLibrary........................................................................................................................................... 1,750,000

Renaissance zone reimbursements............................................................................................................... 4,700,000

MPSERS payments to libraries.................................................................................................................... 2,200,000

GROSS APPROPRIATION.......................................................................................................................... $ 27,552,700

Appropriated from:

Federal revenues:

IMLS, library services and technology act................................................................................................. 5,607,000

State general fund/general purpose............................................................................................................. $ 21,945,700

Sec. 118. SCHOOL REFORM OFFICE

Full-time equated classified positions.................................................................................................8.0

School reform office operations—8.0 FTE positions................................................................................. $ 2,429,800

GROSS APPROPRIATION.......................................................................................................................... $ 2,429,800

Appropriated from:

State general fund/general purpose............................................................................................................. $ 2,429,800

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

FOR FISCAL YEAR 2014-2015

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 the fiscal year ending September 30, 2015 is $90,055,600.00 and state spending from state resources to be paid to local units of government for the fiscal year ending September 30, 2015 is $15,776,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF EDUCATION

State aid to libraries....................................................................................................................................... $ 8,876,000

Renaissance zone reimbursements............................................................................................................... 4,700,000

MPSERS payments to libraries.................................................................................................................... 2,200,000

Total department of education...................................................................................................................... $ 15,776,000

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

Sec. 203. As used in this part and part 1:

(a) “Department” means the Michigan department of education.

(b) “District” means a local school district as defined in section 6 of the revised school code, 1976 PA 451, MCL 380.6, or a public school academy as defined in section 5 of the revised school code, 1976 PA 451, MCL 380.5.

(c) “FTE” means full-time equated.

(d) “IMLS” means institute of museum and library services.

(e) “Participating entity” means a district library that is a reporting unit of the Michigan public school employees’ retirement system under the public school employees retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1437, and that reports employees to the Michigan public school employees’ retirement system for the applicable fiscal year.

(f) “Retirement board” means the board that administers the retirement system under the public school employees retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.

(g) As used in this part and part 1, “retirement system” and “MPSERS” mean the Michigan public school employees’ retirement system under the public school employees retirement act of 1979, 1980 PA 300, MCL 38.1301 to 38.1437.

Sec. 204. The state superintendent of public instruction 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 state superintendent of public instruction 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. 205. The departments and agencies shall use the Internet to fulfill the reporting requirements of this part. 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. 206. The department shall provide through the Internet the state board of education agenda and all supporting documents, and shall notify the state budget director and the senate and house fiscal agencies that the agenda and supporting documents are available on the Internet, at the time the agenda and supporting documents are provided to state board of education members.

Sec. 207. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is not limited to, all of the following for each department or agency:

(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. The department shall require all districts and intermediate school districts to maintain complete records within the personnel file of a teacher or school employee of any disciplinary actions taken by the governing board against the teacher or employee for sexual misconduct. The records shall not be destroyed or removed from the teacher’s or employee’s personnel file except as required by a court order.

Sec. 211. To the extent the state continues to identify schools as meeting proficiency targets, before publishing a list of schools or districts determined to have failed to make adequate yearly progress as required by the no child left behind act of 2001, Public Law 107-110, the department shall allow a school or district to appeal that determination. The department shall consider and act upon the appeal within 30 days after it is submitted and shall not publish the list until after all appeals have been considered and decided.

Sec. 212. 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 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 should be given to goods or services, or both, manufactured or provided by Michigan businesses owned and operated by veterans if they are competitively priced and of comparable quality.

Sec. 214. The department 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 senate and house appropriations committees, the house and senate fiscal agencies, and the state budget director. The report must include the following information:

(a) The dates of each travel occurrence.

(b) 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.

Sec. 216. The department shall not take disciplinary action against an employee who communicates truthfully and factually with a member of the legislature or his or her staff.

Sec. 218. 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. 219. (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 part 1 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 $700,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $250,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $3,000,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 220. (1) The department shall provide data requested by a member of the legislature, his or her staff, or the house and senate fiscal agencies in a timely manner. If the department fails to provide reasonably requested data within 30 days after the request, the state money appropriated in part 1 for state board/superintendent operations shall be reduced by 1%.

(2) If the department fails to provide to the legislature reports and other data required by boilerplate or statute within 30 days after the date the information is due, the state money appropriated in part 1 for state board/superintendent operations shall be reduced by 1%.

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

Sec. 222. The department shall maintain, on a publicly accessible website, a department scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the agency’s performance.

Sec. 226. Not later than November 30, the state budget office 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 appropriations committees, and the senate and house fiscal agencies.

Sec. 227. Within 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide the senate and house appropriations chairs, the senate and house appropriations subcommittees responsible for the department budget, 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, 2014 and September 30, 2015.

Sec. 230. The department may assist the department of community health, other departments, and local school districts to secure reimbursement for eligible services provided in Michigan schools from the federal Medicaid program. The department may submit reports of direct expenses related to this effort to the department of community health for reimbursement.

Sec. 231. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 is estimated at $15,637,500.00. Total agency appropriations for pension-related legacy costs are estimated at $8,739,900.00. Total agency appropriations for retiree health care legacy costs are estimated at $6,897,600.00.

Sec. 233. No state department or agency shall issue a request for proposal (RFP) for a contract in excess of $5,000,000.00, unless the department or agency has first considered issuing a request for information (RFI) or a request for qualification (RFQ) relative to that contract to better enable the department or agency to learn more about the market for the products or services that are the subject of the future RFP. The department or agency shall notify the department of technology, management, and budget of the evaluation process used to determine if an RFI or RFQ was not necessary prior to issuing the RFP.

Sec. 234. (1) For each new program or program expansion for which funds in excess of $500,000.00 are appropriated in part 1, the department shall identify specific benchmarks intended to measure the performance or return on taxpayer investment of the program and its associated expenditures. Not later than November 1, 2014, the department shall report the proposed benchmarks to the house and senate appropriations subcommittees for that department, the house and senate fiscal agencies, and the state budget director. The department shall provide an update on its progress in achieving those benchmarks at an appropriations subcommittee meeting called for the purpose of discussing benchmarks and their status.

(2) It is the intent of the legislature that, beginning with the budget for the fiscal year ending September 30, 2016, any proposal for a new program or an expansion of an existing program in excess of $500,000.00 initiated by the executive branch or the legislature shall include, as part of the original proposal or budget request, a list of benchmarks intended to measure the performance or return on taxpayer investment of the program or spending increase.

Sec. 235. The department shall not enter into a contract funded under part 1 that exceeds $1,000,000.00 or seek a federal waiver from the no child left behind act of 2001, Public Law 107-110, or an amendment to the federal waiver, until after notification of the content to both the house and senate appropriations committees.

Sec. 236. From the funds appropriated in part 1, the department shall compile a report that identifies the mandates required of nonpublic schools. In compiling the report, the department may consult with relevant statewide education associations in Michigan. The report compiled by the department shall indicate the type of mandate, including, but not limited to, student health, student or building safety, accountability, and educational requirements, and shall indicate whether a school has to report on the specified mandates. The report required under this section shall be completed by April 1, 2015 and transmitted to the state budget director, the house and senate appropriations subcommittees responsible for the department of education, and the senate and house fiscal agencies not later than April 15, 2015.

STATE BOARD/OFFICE OF THE SUPERINTENDENT

Sec. 301. (1) The appropriations in part 1 may be used for per diem payments to the state board for meetings at which a quorum is present or for performing official business authorized by the state board. The per diem payments shall be at a rate as follows:

(a) State board of education - president - $110.00 per day.

(b) State board of education - member other than president - $100.00 per day.

(2) A state board of education member shall not be paid a per diem for more than 30 days per year.

Sec. 302. From the amount appropriated in part 1 to the state board of education, not more than $35,000.00 for the fiscal year ending September 30, 2015 shall be expended for in-state travel and out-of-state travel directly related to the duties of the state board of education.

MICHIGAN SCHOOLS FOR THE DEAF AND BLIND

Sec. 401. The employees at the Michigan schools for the deaf and blind who work on a school year basis are considered annual employees for purposes of service credits, retirement, and insurance benefits.

Sec. 402. For each student enrolled at the Michigan schools for the deaf and blind, the department shall assess the intermediate school district of residence 100% of the cost of operating the student’s instructional program. The amount shall exclude room and board related costs and the cost of weekend transportation between the school and the student’s home.

Sec. 406. (1) The Michigan schools for the deaf and blind may promote its residential program as a possible appropriate option for children who are deaf or hard of hearing or who are blind or visually impaired. The Michigan schools for the deaf and blind shall distribute information detailing its services to all intermediate school districts in the state.

(2) Upon knowledge of or recognition by an intermediate school district that a child in the district is deaf or hard of hearing or blind or visually impaired, the intermediate school district shall provide to the parents of the child the literature distributed by the Michigan schools for the deaf and blind to intermediate school districts under subsection (1).

(3) Parents will continue to have a choice regarding the educational placement of their deaf or hard-of-hearing children.

Sec. 407. Revenue received by the Michigan schools for the deaf and blind from gifts, bequests, donations, and local district service fees that is unexpended at the end of the state fiscal year may be carried over to the succeeding fiscal year and shall not revert to the general fund.

PROFESSIONAL PREPARATION SERVICES

Sec. 501. From the funds appropriated in part 1 for professional preparation services, the department shall maintain the registry of educational personnel and certificate revocation/felony conviction files.

Sec. 502. The department shall authorize teacher preparation institutions to provide an alternative program by which up to 1/2 of the required student internship or student teaching credits may be earned through substitute teaching. The department shall require that teacher preparation institutions collaborate with school districts to ensure that the quality of instruction provided to student teachers is comparable to that required in a traditional student teaching program.

Sec. 506. Revenue received from teacher testing fees that is unexpended at the end of the state fiscal year may be carried over to the succeeding fiscal year and shall not revert to the general fund.

STATE AID AND SCHOOL FINANCE SERVICES

Sec. 601. Funds appropriated in part 1 for the financial independence team shall be expended for the purpose of implementing an early warning system to identify districts and intermediate school districts that are in need of financial attention. The financial independence team shall provide expertise, technical assistance, and the resources necessary to address the financial needs for those identified distressed districts and intermediate school districts.

EDUCATIONAL IMPROVEMENT AND INNOVATION SERVICES

Sec. 702. Funds appropriated in part 1 for educator evaluations and assessments phase-in shall not be expended unless House Bill Nos. 5223 and 5224 of the 97th Legislature are enacted into law.

LIBRARY OF MICHIGAN

Sec. 801. In addition to the funds appropriated in part 1, the funds collected by the department for document reproduction and services; conferences, workshops, and training classes; and the use of specialized equipment, facilities, and software are appropriated for all expenses necessary to provide the required services. These funds are available for expenditure when they are received and may be carried forward into the next succeeding fiscal year.

Sec. 803. It is the intent of the legislature that the library of Michigan and the component programs currently within the library of Michigan with the exception of the genealogical collections shall be kept together in a state department.

Sec. 804. (1) The funds appropriated in part 1 for renaissance zone reimbursements shall be used to reimburse public libraries under section 12 of the Michigan renaissance zone act, 1996 PA 376, MCL 125.2692, for taxes levied in 2014. The allocations shall be made not later than 60 days after the department of treasury certifies to the department and to the state budget director that the department of treasury has received all necessary information to properly determine the amounts due to each eligible recipient.

(2) If the amount appropriated under this section is not sufficient to fully pay obligations under this section, payments shall be prorated on an equal basis among all eligible public libraries.

Sec. 805. (1) The funds appropriated in part 1 for Michigan public school employees’ retirement system reform costs shall be used for payments to district libraries that are participating entities of the Michigan public school employees’ retirement system.

(2) Payments made under this section shall be equal to the difference between the unfunded actuarial accrued liability contribution rate as calculated pursuant to section 41 of the public school employees retirement act of 1979, 1980 PA 300, MCL 38.1341, as calculated without taking into account the maximum employer rate of 20.96% included in section 41 of the public school employees retirement act of 1979, 1980 PA 300, MCL 38.1341, and the maximum employer rate of 20.96% included in section 41 of the public school employees retirement act of 1979, 1980 PA 300, MCL 38.1341.

(3) The amount allocated to each district library under this section shall be based on each district library’s proportion of the total covered payroll for the immediately preceding fiscal year for all district libraries that are participating entities. District libraries that receive funds under this section shall use the funds solely for the purpose of retirement contributions as specified in subsection (4).

(4) Each participating entity receiving funds under this section shall forward an amount equal to the amount allocated under subsection (3) to the retirement system in a form, manner, and time frame determined by the retirement system.

SCHOOL SUPPORT SERVICES

Sec. 901. Within 10 days of the receipt of a grant appropriated in the federal and private grants line item in part 1, the department shall notify the house and senate chairpersons of the appropriations subcommittees responsible for the department budget, the house and senate fiscal agencies, and the state budget director of the receipt of the grant, including the funding source, purpose, and amount of the grant.

MICHIGAN OFFICE OF GREAT START

Sec. 1001. By November 1, 2014, the department shall submit a report to the house and senate appropriations subcommittees on the department of education budget and the house and senate fiscal agencies on the number of eligible child care providers by type receiving payment for child care services from the department on October 1, 2014.

Sec. 1003. (1) The department shall provide the house and senate appropriations subcommittees on the department budget with an annual report on all funding appropriated to the early childhood investment corporation (ECIC) by the state for fiscal year 2013-2014. The report is due by February 15 and shall contain at least the following information:

(a) Total funding appropriated to the early childhood investment corporation by the state for fiscal year 2013-2014.

(b) The amount of funding for each grant awarded.

(c) The grant recipients.

(d) The activities funded by each grant.

(e) An analysis of each grant recipient’s success in addressing the development of a comprehensive system of early childhood services and supports.

(2) All department contracts for early childhood comprehensive systems planning shall be bid out through a statewide request-for-proposal process.

SCHOOL REFORM OFFICE

Sec. 1101. (1) From the funds appropriated in part 1, the department shall assure all of the following:

(a) That public schools that are removed from the control of a district by action of the state reform/redesign officer, superintendent of public instruction, or any other entity remain in compliance with all applicable state and federal law concerning special education.

(b) That students at public schools described in subdivision (a) with individualized education programs are afforded special education services in accordance with applicable state and federal law concerning special education.

(2) The department shall report to the legislature on the number of students in public schools described in subsection (1)(a) who have an individualized education program and the performance results of those students after the change in governance of the public school.

PART 2A

PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS

FOR FISCAL YEAR 2015-2016

GENERAL SECTIONS

Sec. 1201. It is the intent of the legislature to provide appropriations for the fiscal year ending on September 30, 2016 for the line items listed in part 1. The fiscal year 2015-2016 appropriations are anticipated to be the same as those for fiscal year 2014-2015, 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 2015 consensus revenue estimating conference.

ARTICLE VII

DEPARTMENT OF ENVIRONMENTAL QUALITY

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the department of environmental quality for the fiscal year ending September 30, 2015, from the following funds:

DEPARTMENT OF ENVIRONMENTAL QUALITY

APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions..........................................................................................1,284.5

GROSS APPROPRIATION.......................................................................................................................... $ 502,591,800

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 9,530,500

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 493,061,300

Federal revenues:

Federal funds................................................................................................................................................... 149,867,600

Special revenue funds:

Private funds.................................................................................................................................................... 546,900

Total other state restricted revenues.......................................................................................................... 301,770,900

State general fund/general purpose............................................................................................................. $ 40,875,900

State general fund/general purpose schedule:

Ongoing state general fund/general purpose........................................................................38,375,900

One-time state general fund/general purpose........................................................................2,500,000

FUND SOURCE SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions..........................................................................................1,284.5

GROSS APPROPRIATION.......................................................................................................................... $ 502,591,800

Interdepartmental grant revenues:

IDG, MDOT - Michigan transportation fund.............................................................................................. 1,312,800

IDG, MDSP....................................................................................................................................................... 1,562,900

IDT, interdivisional charges.......................................................................................................................... 2,053,400

IDT, laboratory services................................................................................................................................. 4,601,400

Total interdepartmental grants and intradepartmental transfers.......................................................... 9,530,500

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 493,061,300

Federal revenues:

Federal funds................................................................................................................................................... 149,867,600

Special revenue funds:

Private funds.................................................................................................................................................... 546,900

Air emissions fees............................................................................................................................................ 10,670,000

Campground fund............................................................................................................................................ 334,300

Clean Michigan initiative - response activities.......................................................................................... 5,500,000

Clean Michigan initiative - clean water fund.............................................................................................. 2,617,100

Clean Michigan initiative - contaminated sediments................................................................................ 665,000

Clean Michigan initiative - nonpoint source............................................................................................... 500,000

Cleanup and redevelopment fund................................................................................................................. 22,620,500

Community pollution prevention fund......................................................................................................... 250,000

Electronic waste recycling fund.................................................................................................................... 342,400

Environmental education fund...................................................................................................................... 164,300

Environmental perpetual care fund............................................................................................................. 115,000

Environmental pollution prevention fund................................................................................................... 8,247,300

Environmental protection fund..................................................................................................................... 2,165,800

Environmental response fund....................................................................................................................... 5,721,100

Fees and collections........................................................................................................................................ 478,100

Financial instruments..................................................................................................................................... 5,000,000

Great Lakes protection fund......................................................................................................................... 295,000

Groundwater discharge permit fees............................................................................................................. 1,723,200

Infrastructure construction fund.................................................................................................................. 50,000

Land and water permit fees.......................................................................................................................................... $ 3,939,000

Landfill maintenance trust fund................................................................................................................................... 30,400

Medical waste emergency response fund................................................................................................................... 346,100

Metallic mining surveillance fee revenue................................................................................................................... 160,900

Mineral well regulatory fee revenue........................................................................................................................... 233,400

Nonferrous metallic mineral surveillance.................................................................................................................. 105,300

NPDES fees....................................................................................................................................................................... 4,468,900

Oil and gas regulatory fund........................................................................................................................................... 11,398,100

Orphan well fund.............................................................................................................................................................. 2,345,800

Public swimming pool fund............................................................................................................................................ 661,500

Public utility assessments.............................................................................................................................................. 287,800

Public water supply fees................................................................................................................................................. 4,896,700

Refined petroleum fund.................................................................................................................................................. 53,617,900

Retired engineers technical assistance program..................................................................................................... 670,400

Revitalization revolving loan fund............................................................................................................................... 101,000

Revolving loan revenue bonds...................................................................................................................................... 11,400,000

Sand extraction fee revenue.......................................................................................................................................... 100,500

Scrap tire regulatory fund............................................................................................................................................. 5,128,000

Septage waste contingency fund.................................................................................................................................. 18,100

Septage waste program fund........................................................................................................................................ 540,700

Settlement funds............................................................................................................................................................... 652,100

Sewage sludge land application fees........................................................................................................................... 1,113,500

Small business pollution prevention revolving loan fund...................................................................................... 163,000

Soil erosion and sedimentation control training fund............................................................................................. 167,500

Solid waste management fund - staff account.......................................................................................................... 5,444,600

Stormwater permit fees.................................................................................................................................................. 3,067,400

Strategic water quality initiatives fund...................................................................................................................... 116,176,100

Wastewater operator training fees.............................................................................................................................. 593,100

Water analysis fees.......................................................................................................................................................... 2,260,200

Water pollution control revolving fund....................................................................................................................... 3,844,600

Water quality protection fund....................................................................................................................................... 100,000

Water use reporting fees................................................................................................................................................ 279,200

Total other state restricted revenues.......................................................................................................................... 301,770,900

State general fund/general purpose............................................................................................................................ $ 40,875,900

Sec. 102. EXECUTIVE OPERATIONS

Full-time equated unclassified positions...........................................................................................................6.0

Full-time equated classified positions..............................................................................................................13.0

Unclassified salaries—6.0 FTE positions................................................................................................................... $ 724,700

Executive direction—13.0 FTE positions.................................................................................................................. 2,080,900

GROSS APPROPRIATION......................................................................................................................................... $ 2,805,600

Appropriated from:

Federal revenues:

Federal funds..................................................................................................................................................................... 39,600

Special revenue funds:

Environmental response fund....................................................................................................................................... 217,900

Oil and gas regulatory fund........................................................................................................................................... 399,900

Refined petroleum fund.................................................................................................................................................. 593,100

Settlement funds............................................................................................................................................................... 68,800

State general fund/general purpose............................................................................................................................ $ 1,486,300

Sec. 103. OFFICE OF THE GREAT LAKES

Full-time equated classified positions..............................................................................................................12.0

Office of the Great Lakes—12.0 FTE positions....................................................................................................... $ 2,894,700

Coastal management grants.......................................................................................................................................... 1,750,000

GROSS APPROPRIATION......................................................................................................................................... $ 4,644,700

Appropriated from:

Federal revenues:

Federal funds..................................................................................................................................................................... 3,427,600

Special revenue funds:

Great Lakes protection fund......................................................................................................................... $ 213,900

Settlement funds.............................................................................................................................................. 112,100

State general fund/general purpose ............................................................................................................ $ 891,100

Sec. 104. GREAT LAKES RESTORATION INITIATIVE

Full-time equated classified positions.................................................................................................6.0

Great Lakes restoration initiative—6.0 FTE positions............................................................................ $ 15,052,200

GROSS APPROPRIATION.......................................................................................................................... $ 15,052,200

Appropriated from:

Federal revenues:

Federal funds................................................................................................................................................... 15,052,200

State general fund/general purpose............................................................................................................. $ 0

Sec. 105. DEPARTMENT SUPPORT SERVICES

Full-time equated classified positions...............................................................................................34.0

Central support services—34.0 FTE positions.......................................................................................... $ 4,090,800

Accounting service center.............................................................................................................................. 1,365,300

Administrative hearings................................................................................................................................. 373,800

Automated data processing........................................................................................................................... 2,053,400

Building occupancy charges........................................................................................................................... 4,466,600

Environmental support projects................................................................................................................... 5,000,000

Rent - privately owned property.................................................................................................................. 2,205,300

GROSS APPROPRIATION.......................................................................................................................... $ 19,555,200

Appropriated from:

Interdepartmental grant revenues:

IDG, MDSP....................................................................................................................................................... 203,700

IDT, interdivisional charges.......................................................................................................................... 2,053,400

IDT, laboratory services................................................................................................................................. 519,800

Federal revenues:

Federal funds................................................................................................................................................... 5,400

Special revenue funds:

Air emissions fees............................................................................................................................................ 1,232,900

Campground fund............................................................................................................................................ 28,000

Cleanup and redevelopment fund................................................................................................................. 1,704,500

Electronic waste recycling fund.................................................................................................................... 28,700

Environmental perpetual care fund............................................................................................................. 115,000

Environmental pollution prevention fund................................................................................................... 994,400

Environmental response fund....................................................................................................................... 272,500

Fees and collections........................................................................................................................................ 23,800

Financial instruments..................................................................................................................................... 5,000,000

Great Lakes protection fund......................................................................................................................... 52,800

Groundwater discharge permit fees............................................................................................................. 179,500

Land and water permit fees.......................................................................................................................... 517,600

Medical waste emergency response fund.................................................................................................... 27,300

Metallic mining surveillance fee revenue.................................................................................................... 11,100

Mineral well regulatory fee revenue............................................................................................................ 16,700

Nonferrous metallic mineral surveillance................................................................................................... 1,700

NPDES fees..................................................................................................................................................... 219,000

Oil and gas regulatory fund........................................................................................................................... 918,200

Orphan well fund............................................................................................................................................. 29,100

Public swimming pool fund............................................................................................................................ 36,100

Public utility assessments.............................................................................................................................. 38,800

Public water supply fees................................................................................................................................ 184,200

Refined petroleum fund.................................................................................................................................. 1,593,500

Sand extraction fee revenue.......................................................................................................................... 9,000

Scrap tire regulatory fund............................................................................................................................. 187,900

Septage waste program fund......................................................................................................................... 28,700

Settlement funds.............................................................................................................................................. $ 211,500

Sewage sludge land application fees............................................................................................................ 114,600

Small business pollution prevention revolving loan fund......................................................................... 17,000

Soil erosion and sedimentation control training fund............................................................................... 16,600

Solid waste management fund - staff account............................................................................................ 581,600

Stormwater permit fees................................................................................................................................. 111,000

Wastewater operator training fees............................................................................................................... 37,300

Water analysis fees.......................................................................................................................................... 166,100

Water use reporting fees................................................................................................................................ 21,600

State general fund/general purpose............................................................................................................. $ 2,044,600

Sec. 106. OFFICE OF ENVIRONMENTAL ASSISTANCE

Full-time equated classified positions...............................................................................................40.0

Office of environmental assistance—40.0 FTE positions......................................................................... $ 7,242,800

Pollution prevention local grants.................................................................................................................. 250,000

GROSS APPROPRIATION.......................................................................................................................... $ 7,492,800

Appropriated from:

Federal revenues:

Federal funds................................................................................................................................................... 780,200

Special revenue funds:

Private funds.................................................................................................................................................... 359,700

Air emissions fees............................................................................................................................................ 134,800

Community pollution prevention fund......................................................................................................... 250,000

Environmental education fund...................................................................................................................... 164,300

Environmental pollution prevention fund................................................................................................... 1,483,700

Fees and collections........................................................................................................................................ 118,700

Retired engineers technical assistance program....................................................................................... 670,400

Settlement funds.............................................................................................................................................. 259,700

Small business pollution prevention revolving loan fund......................................................................... 132,700

State general fund/general purpose............................................................................................................. $ 3,138,600

Sec. 107. WATER RESOURCE DIVISION

Full-time equated classified positions.............................................................................................331.0

Land and water interface permit programs—83.0 FTE positions......................................................... $ 11,714,600

Program direction and project assistance—30.0 FTE positions............................................................. 3,089,200

Water withdrawal assessment program—4.0 FTE positions.................................................................. 613,600

Water quality and use initiative/general—5.0 FTE positions................................................................. 2,477,200

Real-time beach monitoring program.......................................................................................................... 500,000

Wetlands program........................................................................................................................................... 1,000,000

Expedited water/wastewater permits—3.0 FTE positions..................................................................... 50,000

Fish contaminant monitoring........................................................................................................................ 316,100

Groundwater discharge—22.0 FTE positions............................................................................................ 3,064,100

NPDES nonstormwater program—89.0 FTE positions........................................................................... 12,803,900

Surface water—95.0 FTE positions............................................................................................................. 16,446,500

Federal - Great Lakes remedial action plan grants.................................................................................. 700,000

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

Contaminated lake and river sediment cleanup program........................................................................ 665,000

Nonpoint source pollution prevention and control project program...................................................... 500,000

Wetland mitigation banking grants and loans............................................................................................ 3,000,000

Water quality protection grants................................................................................................................... 100,000

GROSS APPROPRIATION.......................................................................................................................... $ 63,540,200

Appropriated from:

Interdepartmental grant revenues:

IDG, MDOT - Michigan transportation fund.............................................................................................. 1,227,600

Federal revenues:

Federal funds................................................................................................................................................... 22,909,700

Special revenue funds:

Clean Michigan initiative - clean water fund.............................................................................................. 2,617,100

Clean Michigan initiative - contaminated sediments................................................................................ $ 665,000

Clean Michigan initiative - nonpoint source............................................................................................... 500,000

Environmental response fund....................................................................................................................... 202,000

Groundwater discharge permit fees............................................................................................................. 1,449,200

Infrastructure construction fund.................................................................................................................. 50,000

Land and water permit fees.......................................................................................................................... 3,081,700

NPDES fees..................................................................................................................................................... 4,078,500

Refined petroleum fund.................................................................................................................................. 440,700

Sewage sludge land application fees............................................................................................................ 937,800

Soil erosion and sedimentation control training fund............................................................................... 137,900

Stormwater permit fees................................................................................................................................. 2,869,900

Strategic water quality initiatives fund...................................................................................................... 3,000,000

Wastewater operator training fees............................................................................................................... 277,000

Water pollution control revolving fund........................................................................................................ 810,900

Water quality protection fund....................................................................................................................... 100,000

Water use reporting fees................................................................................................................................ 241,200

State general fund/general purpose............................................................................................................. $ 17,944,000

Sec. 108. LAW ENFORCEMENT DIVISION

Full-time equated classified positions...............................................................................................14.0

Environmental investigations—14.0 FTE positions.................................................................................. $ 2,810,900

GROSS APPROPRIATION.......................................................................................................................... $ 2,810,900

Appropriated from:

Interdepartmental grant revenues:

IDT, laboratory services................................................................................................................................. 54,300

Federal revenues:

Federal funds................................................................................................................................................... 824,500

Special revenue funds:

Air emissions fees............................................................................................................................................ 56,000

Campground fund............................................................................................................................................ 4,100

Cleanup and redevelopment fund................................................................................................................. 223,500

Electronic waste recycling fund.................................................................................................................... 3,000

Environmental pollution prevention fund................................................................................................... 138,600

Environmental response fund ...................................................................................................................... 51,000

Fees and collections........................................................................................................................................ 3,700

Great Lakes protection fund......................................................................................................................... 5,600

Groundwater discharge permit fees............................................................................................................. 18,700

Land and water permit fees.......................................................................................................................... 77,000

Medical waste emergency response fund.................................................................................................... 4,200

Metallic mining surveillance fee revenue.................................................................................................... 1,700

Mineral well regulatory fee revenue............................................................................................................ 2,600

NPDES fees..................................................................................................................................................... 32,000

Oil and gas regulatory fund........................................................................................................................... 154,900

Orphan well fund............................................................................................................................................. 4,500

Public swimming pool fund............................................................................................................................ 5,600

Public utility assessments.............................................................................................................................. 4,100

Public water supply fees................................................................................................................................ 28,400

Refined petroleum fund.................................................................................................................................. 363,400

Sand extraction fee revenue.......................................................................................................................... 1,400

Scrap tire regulatory fund............................................................................................................................. 36,500

Septage waste program fund......................................................................................................................... 4,400

Sewage sludge land application fees............................................................................................................ 12,200

Small business pollution prevention revolving loan fund......................................................................... 2,600

Soil erosion and sedimentation control training fund............................................................................... 2,600

Solid waste management fund - staff account............................................................................................ 78,200

Stormwater permit fees................................................................................................................................. 17,200

Wastewater operator training fees............................................................................................................... 5,700

Water analysis fees.......................................................................................................................................... 22,300

Water use reporting fees................................................................................................................................ 3,100

State general fund/general purpose............................................................................................................. $ 563,300

Sec. 109. AIR QUALITY DIVISION

Full-time equated classified positions.............................................................................................203.0

Air quality programs—203.0 FTE positions.............................................................................................. $ 26,093,200

GROSS APPROPRIATION.......................................................................................................................... $ 26,093,200

Appropriated from:

Federal revenues:

Federal funds................................................................................................................................................... 7,565,300

Special revenue funds:

Air emissions fees............................................................................................................................................ 8,587,400

Environmental pollution prevention fund................................................................................................... 1,337,000

Fees and collections........................................................................................................................................ 282,800

Oil and gas regulatory fund........................................................................................................................... 134,900

Refined petroleum fund.................................................................................................................................. 3,596,600

State general fund/general purpose............................................................................................................. $ 4,589,200

Sec. 110. RESOURCE MANAGEMENT DIVISION

Full-time equated classified positions.............................................................................................319.5

Drinking water and environmental health—106.5 FTE positions.......................................................... $ 15,982,300

Hazardous waste management program—51.0 FTE positions............................................................... 6,821,200

Low-level radioactive waste authority—2.0 FTE positions.................................................................... 228,400

Medical waste program—2.0 FTE positions.............................................................................................. 297,700

Municipal assistance—34.0 FTE positions.................................................................................................. 6,534,700

Radiological protection program—12.0 FTE positions............................................................................. 1,693,900

Scrap tire regulatory program—11.0 FTE positions................................................................................ 1,323,400

Oil, gas, and mineral services—61.0 FTE positions.................................................................................. 12,031,900

Recycling initiative—3.0 FTE positions...................................................................................................... 1,000,000

Solid waste management program—37.0 FTE positions......................................................................... 4,935,700

Drinking water program grants................................................................................................................... 1,330,000

Noncommunity water grants......................................................................................................................... 2,000,000

Septage waste compliance grants................................................................................................................. 275,000

Strategic water quality initiative grants and loans................................................................................... 97,000,000

Water pollution control and drinking water revolving fund.................................................................... 87,943,000

Scrap tire grants.............................................................................................................................................. 3,500,000

GROSS APPROPRIATION.......................................................................................................................... $ 242,897,200

Appropriated from:

Interdepartmental grant revenues:

IDG, MDSP....................................................................................................................................................... 1,272,100

Federal revenues:

Federal funds................................................................................................................................................... 89,533,200

Special revenue funds:

Campground fund............................................................................................................................................ 285,700

Electronic waste recycling fund.................................................................................................................... 298,300

Environmental pollution prevention fund................................................................................................... 3,700,100

Fees and collections........................................................................................................................................ 34,200

Medical waste emergency response fund.................................................................................................... 297,700

Metallic mining surveillance fee revenue.................................................................................................... 141,200

Mineral well regulatory fee revenue............................................................................................................ 203,700

Nonferrous metallic mineral surveillance................................................................................................... 103,000

Oil and gas regulatory fund........................................................................................................................... 9,205,600

Orphan well fund............................................................................................................................................. 2,293,900

Public swimming pool fund............................................................................................................................ 597,300

Public utility assessments.............................................................................................................................. 228,400

Public water supply fees................................................................................................................................ 4,222,200

Refined petroleum fund.................................................................................................................................. 671,700

Revolving loan revenue bonds...................................................................................................................... 11,400,000

Sand extraction fee revenue.......................................................................................................................... 84,500

Scrap tire regulatory fund............................................................................................................................. 4,823,400

Septage waste contingency fund................................................................................................................... 18,100

Septage waste program fund......................................................................................................................... $ 489,500

Solid waste management fund - staff account............................................................................................ 4,457,500

Strategic water quality initiatives fund...................................................................................................... 98,176,100

Wastewater operator training fees............................................................................................................... 249,800

Water pollution control revolving fund........................................................................................................ 2,821,300

State general fund/general purpose............................................................................................................. $ 7,288,700

Sec. 111. REMEDIATION AND REDEVELOPMENT DIVISION

Full-time equated classified positions.............................................................................................312.0

Contaminated site investigations, cleanup and revitalization—209.0 FTE positions......................... $ 29,385,200

Federal cleanup project management—55.0 FTE positions.................................................................... 8,931,000

Laboratory services—48.0 FTE positions.................................................................................................. 6,092,000

Brownfield grants............................................................................................................................................ 5,500,000

Emergency cleanup actions........................................................................................................................... 4,000,000

Environmental cleanup support.................................................................................................................... 1,840,000

Environmental cleanup and redevelopment program............................................................................... 15,000,000

Refined petroleum product cleanup program............................................................................................. 32,900,000

Superfund cleanup........................................................................................................................................... 3,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 106,648,200

Appropriated from:

Interdepartmental grant revenues:

IDT, laboratory services................................................................................................................................. 3,807,200

Federal revenues:

Federal funds................................................................................................................................................... 8,315,000

Special revenue funds:

Private funds.................................................................................................................................................... 187,200

Clean Michigan initiative - response activities.......................................................................................... 5,500,000

Cleanup and redevelopment fund................................................................................................................. 19,785,700

Environmental protection fund..................................................................................................................... 2,165,800

Environmental response fund....................................................................................................................... 4,769,400

Landfill maintenance trust fund................................................................................................................... 30,400

Public water supply fees................................................................................................................................ 303,300

Refined petroleum fund.................................................................................................................................. 44,701,700

Revitalization revolving loan fund................................................................................................................ 101,000

Strategic water quality initiatives fund...................................................................................................... 15,000,000

Water analysis fees.......................................................................................................................................... 1,981,500

State general fund/general purpose............................................................................................................. $ 0

Sec. 112. INFORMATION TECHNOLOGY

Information technology services and projects............................................................................................ $ 8,551,600

GROSS APPROPRIATION.......................................................................................................................... $ 8,551,600

Appropriated from:

Interdepartmental grant revenues:

IDG, MDOT - Michigan transportation fund.............................................................................................. 85,200

IDG, MDSP....................................................................................................................................................... 87,100

IDT, laboratory services................................................................................................................................. 220,100

Federal revenues:

Federal funds................................................................................................................................................... 1,414,900

Special revenue funds:

Air emissions fees............................................................................................................................................ 658,900

Campground fund............................................................................................................................................ 16,500

Cleanup and redevelopment fund................................................................................................................. 906,800

Electronic waste recycling fund.................................................................................................................... 12,400

Environmental pollution prevention fund................................................................................................... 593,500

Environmental response fund....................................................................................................................... 208,300

Fees and collections........................................................................................................................................ 14,900

Great Lakes protection fund......................................................................................................................... 22,700

Groundwater discharge permit fees............................................................................................................. 75,800

Land and water permit fees.......................................................................................................................... $ 262,700

Medical waste emergency response fund.................................................................................................... 16,900

Metallic mining surveillance fee revenue.................................................................................................... 6,900

Mineral well regulatory fee revenue............................................................................................................ 10,400

Nonferrous metallic mineral surveillance................................................................................................... 600

NPDES fees..................................................................................................................................................... 139,400

Oil and gas regulatory fund........................................................................................................................... 584,600

Orphan well fund............................................................................................................................................. 18,300

Public swimming pool fund............................................................................................................................ 22,500

Public utility assessments.............................................................................................................................. 16,500

Public water supply fees................................................................................................................................ 158,600

Refined petroleum fund.................................................................................................................................. 1,657,200

Sand extraction fee revenue.......................................................................................................................... 5,600

Scrap tire regulatory fund............................................................................................................................. 80,200

Septage waste program fund......................................................................................................................... 18,100

Sewage sludge land application fees............................................................................................................ 48,900

Small business pollution prevention revolving loan fund......................................................................... 10,700

Soil erosion and sedimentation control training fund............................................................................... 10,400

Solid waste management fund - staff account............................................................................................ 327,300

Stormwater permit fees................................................................................................................................. 69,300

Wastewater operator training fees............................................................................................................... 23,300

Water analysis fees.......................................................................................................................................... 90,300

Water pollution control revolving fund........................................................................................................ 212,400

Water use reporting fees................................................................................................................................ 13,300

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

Sec. 113. ONE-TIME BASIS ONLY APPROPRIATIONS

Electronic document management............................................................................................................... $ 2,500,000

GROSS APPROPRIATION.......................................................................................................................... $ 2,500,000

Appropriated from:

Special revenue funds:

State general fund/general purpose............................................................................................................. $ 2,500,000

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

FOR FISCAL YEAR 2014-2015

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 2014-2015 is $342,646,800.00 and state spending from state resources to be paid to local units of government for fiscal year 2014-2015 is $2,775,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

GRANTS

Noncommunity water grants......................................................................................................................... $ 2,000,000

Scrap tire grants.............................................................................................................................................. 500,000

Septage waste compliance program............................................................................................................. 275,000

TOTAL............................................................................................................................................................... $ 2,775,000

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

Sec. 203. As used in this part and part 1:

(a) “Department” means the department of environmental quality.

(b) “Director” means the director of the department.

(c) “FTE” means full-time equated.

(d) “IDG” means interdepartmental grant.

(e) “IDT” means intradepartmental transfer.

(f) “MDOT” means the state transportation department.

(g) “MDSP” means the department of state police.

(h) “NPDES” means national pollution discharge elimination system.

Sec. 204. (1) For each new program or program expansion for which funds in excess of $500,000.00 are appropriated in part 1, the department shall identify specific benchmarks intended to measure the performance or return on taxpayer investment of the program and its associated expenditures. Not later than November 1, 2014, the department shall report the proposed benchmarks to the house and senate appropriations subcommittees for that department, the house and senate fiscal agencies, and the state budget director. The department shall provide an update on its progress in achieving those benchmarks at an appropriations subcommittee meeting called for the purpose of discussing benchmarks and their status.

(2) It is the intent of the legislature that, beginning with the budget for the fiscal year ending September 30, 2016, any proposal for a new program or an expansion of an existing program in excess of $500,000.00 initiated by the executive branch or the legislature shall include, as part of the original proposal or budget request, a list of benchmarks intended to measure the performance or return on taxpayer investment of the program or spending increase.

Sec. 205. Unless otherwise specified, the department shall use the Internet to fulfill the reporting requirements of this part. 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 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. 209. 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 appropriations committees, 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. 210. 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 and associated subcontractors 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. The director shall take all reasonable steps to ensure businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. The director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 212. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 213. (1) Funds appropriated in part 1 shall not be used by the department to promulgate 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.

(2) 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. 214. Funds appropriated in this part and 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. 215. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $30,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 part 1 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 part 1 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 $500,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 216. (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.

(c) A brief description of how the problem will be resolved if the allocation is made for a response activity.

(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 brownfield projects that were successfully 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. 217. (1) The department may 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 refined petroleum product cleanup program, brownfield grants and loans, waterfront grants, and the environmental bond site reclamation program.

(2) Unexpended and unencumbered amounts remaining from appropriations from the environmental protection bond fund contained in 1991 PA 160, 2003 PA 173, 2005 PA 109, 2006 PA 343, 2011 PA 63, and 2012 PA 236 are appropriated for expenditure for any site listed in this part and part 1 and any site listed in the public acts referenced in this section.

(3) Unexpended and unencumbered amounts remaining from appropriations from the clean Michigan initiative fund - response activities contained in 2000 PA 52, 2004 PA 309, 2005 PA 11, 2006 PA 343, 2007 PA 121, 2011 PA 63, and 2013 PA 59 are appropriated for expenditure for any site listed in this part and part 1 and any site listed in the public acts referenced in this section.

(4) Unexpended and unencumbered amounts remaining from appropriations from the refined petroleum fund activities contained in 2007 PA 121, 2008 PA 247, 2009 PA 118, 2010 PA 189, 2011 PA 63, 2012 PA 200, and 2013 PA 59 are appropriated for expenditure for any site listed in this part and part 1 and any site listed in the public acts referenced in this section.

(5) Unexpended and unencumbered amounts remaining from the appropriations from the strategic water quality initiatives fund contained in 2011 PA 50, 2011 PA 63, 2012 PA 200, and 2013 PA 59 are appropriated for expenditure for any site listed in this part and part 1 and any site listed in the public acts referenced in this section.

Sec. 219. Unexpended settlement revenues at the end of the fiscal year may be carried forward into the settlement fund in the succeeding fiscal year up to a maximum carryforward of $2,500,000.00.

Sec. 221. Not later than November 30, the state budget office shall prepare and transmit a report that provides for estimates of the total general fund/general purpose appropriation lapses at the close of the previous 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 chairpersons of the senate and house appropriations committees and the senate and house fiscal agencies.

Sec. 222. Within 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide the senate and house appropriations chairs, the senate and house appropriations subcommittee chairs, 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, 2014 and September 30, 2015.

Sec. 223. Part 1 provides authorizations to fund classified positions during the fiscal year ending September 30, 2015. Line-item appropriations include limitations on the number of payroll hours to be funded, on the basis of 2,088 hours per each FTE position. The department shall report the number of funded FTE positions within 15 days after the effective date of this part. The number of classified employees compensated through each line item is limited by the authorized FTE positions indicated in part 1, as adjusted for the number of reported funded FTE positions. The report shall be provided to the house and senate appropriations subcommittees on environmental quality and the house and senate fiscal agencies.

Sec. 225. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is not limited to, all of the following for each department or agency:

(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. 228. The department shall provide a report on the customer satisfaction evaluation program and the feedback received to the house and senate appropriations subcommittees on environmental quality and the house and senate fiscal agencies by July 1, 2015.

Sec. 229. The department shall provide a report on the expedited permitting program to the house and senate appropriations subcommittees on environmental quality and the house and senate fiscal agencies by July 1, 2015.

Sec. 231. The department shall maintain, on a publicly accessible website, a department scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the agency’s performance.

Sec. 234. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $34,046,600.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $19,029,300.00. Total agency appropriations for retiree health care legacy costs are estimated at $15,017,300.00.

REMEDIATION DIVISION

Sec. 301. Revenues remaining in the interdepartmental transfers, laboratory services at the end of the fiscal year shall carry forward into the succeeding fiscal year.

Sec. 302. The unexpended funds appropriated in part 1 for emergency cleanup actions, the environmental cleanup and redevelopment program, and the refined petroleum product cleanup program are considered work project appropriations and any unencumbered or unallotted funds are carried forward into the succeeding fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the projects to be carried forward is to provide contaminated site cleanup.

(b) The projects will be accomplished by contract.

(c) The total estimated cost of all projects is identified in each line-item appropriation.

(d) The tentative completion date is September 30, 2019.

Sec. 303. Effective October 1, 2014, surplus funds not to exceed $1,000,000.00 in the cleanup and redevelopment trust fund are appropriated to the environmental protection fund created in section 503a of the natural resources and environmental protection act, 1994 PA 451, MCL 324.503a.

Sec. 304. Effective October 1, 2014, surplus funds not to exceed $1,000,000.00 in the community pollution prevention fund created in section 3f of 1976 IL 1, MCL 445.573f, are appropriated to the environmental protection fund created in section 503a of the natural resources and environmental protection act, 1994 PA 451, MCL 324.503a.

Sec. 305. It is the intent of the legislature to repay the refined petroleum fund for the $70,000,000.00 that was transferred to the environmental protection fund created in section 503a of the natural resources and environmental protection act, 1994 PA 451, MCL 324.503a, as part of the resolution for the fiscal year 2006-2007 budget.

Sec. 306. (1) The funds appropriated in part 1 for the refined petroleum product cleanup program shall be used to fund cleanup activities on the following sites:

Site Name County

Laughing Whitefish Trading Post Alger

Geib Oil Company Allegan

Bob-A-Lu Market Alpena

Kihn’s Suprette Alpena

Schultz’s Market and Gas Alpena

Frankfort Station Benzie

Nyes Shell Service Berrien

Strefling Oil Co. Berrien

Strefling Oil Galien Pro Quick Mart Berrien

Clark #768 (Albion) Calhoun

Pioneer Auto Truck Stops Calhoun

Te-Khi Truck Auto Plaza Inc. Calhoun

J.J.’s General Store Charlevoix

Donald Johnson Cheboygan

Jack’s Auto Repair Cheboygan

Rex Oil & Gas Cheboygan

The Depot Clare

Alexander Towing Crawford

Bob’s Marathon Eaton

Maeward Inc. (Fabrications Plus, LLC) Eaton

Odyssey House, Flint Genesee

Sunshine Foods #119 Burton Genesee

Taber’s Oil Co., Inc. Genesee

Estey Service Station Gladwin

Jim’s Automotive Gladwin

Winegar’s Trading Post Gladwin

Wilson’s Grocery Gratiot

Bilcor Plastics Hillsdale

Engelhardt Petroleum, Inc. Gas Station Huron

Action Auto Inc. Ingham

Action Auto Store #30 Ingham

Clark Station #1995 Ingham

Graham Oil Bulk Plant Iosco

McDonald’s Crosstown Service Kalamazoo

Davis Country Corners Kalkaska

1515 Madison Avenue SE Kent

MSI #635 Kent

E.J. Green Lapeer

Fred & Margaret Munger/Sunoco Lapeer

Market 103 Lapeer

Lakeside Resort and Party Store Leelanau

Ralph Herman Farm Leelanau

Ted’s Standard Service (former) Leelanau

A-1 Auto Parts Lenawee

Blissfield Marathon Lenawee

C & J Service (H. Jerry Powelka) Lenawee

Clayton Corners Lenawee

Darwin’s Truck & Auto Service Lenawee

The Pit Livingston

Slagg’s Auto Service Mackinac

White Star Tavern Manistee

Quick Lube Mason

216 Millbrook, Mecosta Mecosta

Purcell Property Mecosta

Dutch Hutch Missaukee

Alexander’s Full Service Newaygo

DOC Optical Oakland

Speed-E-Mart (former) Oakland

Wells Oil, 281 N. Shelby Rd. Oceana

William Crawford Property Oceana

Andy’s Standard Osceola

Chuck’s Corner Osceola

Hersey Party Store Osceola

West Otsego Lake Grocery Otsego

Onaway Tax Service Presque Isle

Radio Tavern Presque Isle

Vince’s Sunoco Presque Isle

Winterhawk General Store Presque Isle

Thomas White Property Roscommon

Chapin General Store Saginaw

Clark #1072 Saginaw

Iva General Store Saginaw

M & K Investment Group LLC Saginaw

State Wide Expanded Triage Statewide

Imlay City Gas & Oil Tuscola

Mr. C’s Service Tuscola

Broekhutzen Produce Van Buren

Jimmie’s Filling Station Washtenaw

1801 S. Fort Street (Sunoco #0008-6520) Wayne

3901 Mt. Elliot, former service station Wayne

Anmas Inc. Wayne

Cal’s Car Care, Incorporated – BTEX Wayne

(2) The department shall provide a report to the legislature on the amount actually spent at each site listed in subsection (1) and give a detailed account of the work actually performed at each site.

Sec. 309. The unexpended funds appropriated in part 1 for the brownfield grant program are considered work project appropriations and any unencumbered or unallotted funds are carried forward into the succeeding fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the projects to be carried forward is to provide contaminated site cleanup.

(b) The projects will be accomplished by contract.

(c) The total estimated cost of all projects is $5,500,000.00.

(d) The tentative completion date is September 30, 2019.

Sec. 310. (1) Upon approval by the state budget director, the department may expend from the general fund of the state an amount to meet the cash-flow requirements of projects funded under any of the following that are financed from bond proceeds and for which bonds have been authorized but not yet issued:

(a) Part 52 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.5201 to 324.5206.

(b) Part 193 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19301 to 324.19306.

(c) Part 196 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19601 to 324.19616.

(2) Upon the sale of bonds for projects described in subsection (1), the department shall credit the general fund of the state an amount equal to that expended from the general fund.

WATER RESOURCES DIVISION

Sec. 401. From the funds appropriated in part 1 for surface water, not less than $700,000.00 and 5.0 FTEs shall be allocated to support the permit review program within the aquatic nuisance control program. The department shall report to the house and senate appropriations subcommittees on environmental quality and the house and senate fiscal agencies by September 30, 2015 on the use of this funding and the number of permit applications processed by the program in 2015.

Sec. 402. From the funds appropriated in part 1 for the water quality and use initiative/general line item, the department shall produce a report detailing a comprehensive plan for the use of the water quality and use initiative funding appropriated in part 1 and identifying the amount of expenditures for specific programs made from the water quality and use initiative/general line item, the real-time beach monitoring program line item, and the wetlands program line item. The report shall be submitted to the chairpersons of the senate and house of representatives appropriations subcommittees on environmental quality and the senate and house fiscal agencies by September 30, 2015.

Sec. 405. If a certified health department does not exist in a city, county, or district or does not fulfill its responsibilities under part 117 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11701 to 324.11720, then the department may spend funds appropriated in part 1 under the septage waste compliance program in accordance with section 11716 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11716.

AIR QUALITY DIVISION

Sec. 502. The department shall not assess additional penalties under part 55 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.5501 to 324.5542, for violations that occurred under a previous owner unless compelled by a consent order or judgment, or other legal requirement.

RESOURCE MANAGEMENT DIVISION

Sec. 603. From the funds appropriated in part 1, by December 31, 2014, the department shall compile and make available to the public on a publicly accessible website a report containing a summary document of each completed asset management plan for any stormwater, asset management, or wastewater grant awarded to a local unit of government to fund the development of a plan. As a condition of receiving a stormwater, asset management, or wastewater grant, a local unit of government shall make its asset management plan available to the department upon request when completed and shall retain copies of the plan that can be made available to the public for a minimum of 15 years. The department shall make available a summary document of each plan on a publicly accessible website by September 30 of the year it was completed. The summary document shall include a summary of the plan, the plan’s major identified assets, and contact information for the local unit of government.

Sec. 604. Of the funds appropriated in part 1, if the balance of revenue in the environmental pollution prevention fund is anticipated to decline below anticipated spending levels at any point during the fiscal year ending September 30, 2015, appropriations other than the hazardous waste management program appropriation shall be reduced.

PART 2A

PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS

FOR FISCAL YEAR 2015-2016

GENERAL SECTIONS

Sec. 1201. It is the intent of the legislature to provide appropriations for the fiscal year ending on September 30, 2016 for the line items listed in part 1. The fiscal year 2015-2016 appropriations are anticipated to be the same as those for fiscal year 2014-2015, 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 2015 consensus revenue estimating conference.

Sec. 1202. It is the intent of the legislature that the department identify the amounts for normal retirement costs and legacy retirement costs for the fiscal year ending on September 30, 2016 for the line items listed in part 1.

ARTICLE VIII

GENERAL GOVERNMENT

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the legislature, the executive, the department of attorney general, the department of state, the department of treasury, the department of technology, management, and budget, the department of civil rights, and certain state purposes related thereto, for the fiscal year ending September 30, 2015, from the following funds:

TOTAL GENERAL GOVERNMENT

APPROPRIATION SUMMARY

Full-time equated unclassified positions..........................................................................................44.0

Full-time equated classified positions..........................................................................................7,747.2

GROSS APPROPRIATION.......................................................................................................................... $ 4,705,290,900

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 740,374,200

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 3,964,916,700

Federal revenues:

Total federal revenues.................................................................................................................................... 689,103,500

Special revenue funds:

Total local revenues......................................................................................................................................... 9,969,700

Total private revenues.................................................................................................................................... 6,287,200

Total other state restricted revenues.......................................................................................................... 2,048,873,600

State general fund/general purpose............................................................................................................. $ 1,210,682,700

State general fund/general purpose schedule:

Ongoing state general fund/general purpose...................................................................1,106,382,400

One-time state general fund/general purpose....................................................................104,300,300

Sec. 102. DEPARTMENT OF ATTORNEY GENERAL

(1) APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................513.5

GROSS APPROPRIATION.......................................................................................................................... $ 93,822,300

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 27,783,800

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 66,038,500

Federal revenues:

Total federal revenues.................................................................................................................................... 9,857,200

Special revenue funds:

Total local revenues......................................................................................................................................... 0

Total private revenues.................................................................................................................................... $ 0

Total other state restricted revenues.......................................................................................................... 17,914,200

State general fund/general purpose............................................................................................................. $ 38,267,100

State general fund/general purpose schedule:

Ongoing state general fund/general purpose........................................................................35,267,100

One-time state general fund/general purpose........................................................................3,000,000

(2) ATTORNEY GENERAL OPERATIONS

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................513.5

Attorney general............................................................................................................................................. $ 112,500

Unclassified positions—5.0 FTE positions.................................................................................................. 724,700

Attorney general operations—475.5 FTE positions.................................................................................. 82,072,700

Child support enforcement—25.0 FTE positions...................................................................................... 3,445,000

Prosecuting attorneys coordinating council—12.0 FTE positions.......................................................... 2,106,100

Public safety initiative—1.0 FTE position.................................................................................................. 904,300

GROSS APPROPRIATION.......................................................................................................................... $ 89,365,300

Appropriated from:

Interdepartmental grant revenues:

IDG from MDCH, health policy.................................................................................................................... 203,300

IDG from MDCH, medical services administration.................................................................................. 523,000

IDG from MDCH, WIC.................................................................................................................................. 94,800

IDG from department of corrections........................................................................................................... 649,100

IDG from MDE................................................................................................................................................ 389,700

IDG from MDEQ............................................................................................................................................. 2,174,000

IDG from MDHS............................................................................................................................................. 5,829,700

IDG from MSF, workforce development agency....................................................................................... 88,000

IDG from MDLARA, financial and insurance services............................................................................ 1,377,000

IDG from MDLARA, fireworks safety fund.............................................................................................. 81,600

IDG from MDLARA, health professions.................................................................................................... 2,984,600

IDG from MDLARA, licensing and regulation fees.................................................................................. 243,100

IDG from MDLARA, Michigan occupational safety and health administration.................................. 106,000

IDG from MDLARA, remonumentation fees............................................................................................. 104,500

IDG from MDLARA, unlicensed builders.................................................................................................. 181,600

IDG from MDTMB.......................................................................................................................................... 255,800

IDG from MDTMB, civil service commission............................................................................................. 300,600

IDG from MDTMB, risk management revolving fund............................................................................. 1,442,900

IDG from MDMVA.......................................................................................................................................... 161,900

IDG from MDOS, children’s protection registry....................................................................................... 44,300

IDG from MDOT, comprehensive transportation fund............................................................................. 200,900

IDG from MDOT, state aeronautics fund.................................................................................................... 174,400

IDG from MDOT, state trunkline fund........................................................................................................ 2,387,000

IDG from MDSP, Michigan justice training fund...................................................................................... 162,900

IDG from MDSP.............................................................................................................................................. 352,700

IDG from Michigan state housing development authority...................................................................... 664,900

IDG from treasury.......................................................................................................................................... 6,429,700

IDG from treasury, strategic fund................................................................................................................ 175,800

Federal revenues:

DAG, state administrative match grant/food stamps............................................................................... 434,500

Federal funds................................................................................................................................................... 3,035,300

HHS, medical assistance, medigrant............................................................................................................ 678,200

HHS-OS, state Medicaid fraud control units.............................................................................................. 5,590,000

National criminal history improvement program...................................................................................... 119,200

Special revenue funds:

Antitrust enforcement collections................................................................................................................ 749,400

Attorney general’s operations fund.............................................................................................................. 1,213,000

Auto repair facilities fees............................................................................................................................... 321,800

Franchise fees.................................................................................................................................................. 375,900

Game and fish protection fund...................................................................................................................... 838,000

Liquor purchase revolving fund.................................................................................................................... $ 1,434,300

Manufactured housing fees............................................................................................................................ 246,200

Merit award trust fund................................................................................................................................... 487,300

Michigan employment security act - administrative fund........................................................................ 2,202,500

Prisoner reimbursement................................................................................................................................. 614,400

Prosecuting attorneys training fees............................................................................................................. 405,300

Public utility assessments.............................................................................................................................. 2,141,300

Real estate enforcement fund....................................................................................................................... 499,000

Reinstatement fees.......................................................................................................................................... 215,100

Retirement funds............................................................................................................................................. 1,024,200

Second injury fund.......................................................................................................................................... 807,500

Self-insurers security fund............................................................................................................................. 561,400

Silicosis and dust disease fund...................................................................................................................... 221,700

State building authority revenue.................................................................................................................. 118,800

State casino gaming fund............................................................................................................................... 1,829,600

State lottery fund............................................................................................................................................ 339,100

Utility consumers fund................................................................................................................................... 767,600

Waterways fund............................................................................................................................................... 137,600

Worker’s compensation administrative revolving fund............................................................................ 363,200

State general fund/general purpose............................................................................................................. $ 33,810,100

(3) INFORMATION TECHNOLOGY

Information technology services and projects............................................................................................ $ 1,457,000

GROSS APPROPRIATION.......................................................................................................................... $ 1,457,000

Appropriated from:

State general fund/general purpose............................................................................................................. $ 1,457,000

(4) ONE-TIME BASIS ONLY APPROPRIATIONS

Sexual assault prosecutions........................................................................................................................... $ 3,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 3,000,000

Appropriated from:

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

Sec. 103. DEPARTMENT OF CIVIL RIGHTS

(1) APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................132.0

GROSS APPROPRIATION.......................................................................................................................... $ 16,644,200

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 288,900

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 16,355,300

Federal revenues:

Total federal revenues.................................................................................................................................... 2,736,500

Special revenue funds:

Total local revenues......................................................................................................................................... 0

Total private revenues.................................................................................................................................... 18,700

Total other state restricted revenues.......................................................................................................... 151,900

State general fund/general purpose............................................................................................................. $ 13,448,200

State general fund/general purpose schedule:

Ongoing state general fund/general purpose........................................................................13,448,200

One-time state general fund/general purpose......................................................................................0

(2) CIVIL RIGHTS OPERATIONS

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................132.0

Unclassified positions—6.0 FTE positions.................................................................................................. $ 724,700

Civil rights operations—124.0 FTE positions............................................................................................ 14,091,800

Division on deaf and hard of hearing—6.0 FTE positions....................................................................... 785,600

Hispanic/Latino commission of Michigan—1.0 FTE position.................................................................. 255,600

Asian Pacific American affairs commission—1.0 FTE position.............................................................. 110,800

GROSS APPROPRIATION.......................................................................................................................... $ 15,968,500

Appropriated from:

Interdepartmental grant revenues:

IDG from DTMB.............................................................................................................................................. $ 288,900

Federal revenues:

EEOC, state and local antidiscrimination agency contracts.................................................................... 1,199,200

HUD, grant....................................................................................................................................................... 1,522,300

Special revenue funds:

Private revenues.............................................................................................................................................. 18,700

Division on deafness fund............................................................................................................................... 93,400

State restricted revenues............................................................................................................................... 58,500

State general fund/general purpose............................................................................................................. $ 12,787,500

(3) INFORMATION TECHNOLOGY

Information technology services and projects............................................................................................ $ 675,700

GROSS APPROPRIATION.......................................................................................................................... $ 675,700

Appropriated from:

Federal revenues:

EEOC, state and local antidiscrimination agency contracts.................................................................... 15,000

State general fund/general purpose............................................................................................................. $ 660,700

Sec. 104. EXECUTIVE OFFICE

(1) APPROPRIATION SUMMARY

Full-time equated unclassified positions..........................................................................................10.0

Full-time equated classified positions...............................................................................................78.2

GROSS APPROPRIATION.......................................................................................................................... $ 5,916,100

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 0

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 5,916,100

Federal revenues:

Total federal revenues.................................................................................................................................... 0

Special revenue funds:

Total local revenues......................................................................................................................................... 0

Total private revenues.................................................................................................................................... 0

Total other state restricted revenues.......................................................................................................... 0

State general fund/general purpose............................................................................................................. $ 5,916,100

State general fund/general purpose schedule:

Ongoing state general fund/general purpose..........................................................................5,916,100

One-time state general fund/general purpose......................................................................................0

(2) EXECUTIVE OFFICE OPERATIONS

Full-time equated unclassified positions..........................................................................................10.0

Full-time equated classified positions...............................................................................................78.2

Governor............................................................................................................................................................ $ 159,300

Lieutenant governor....................................................................................................................................... 111,600

Executive office—78.2 FTE positions.......................................................................................................... 4,387,900

Unclassified positions—8.0 FTE positions.................................................................................................. 1,257,300

GROSS APPROPRIATION.......................................................................................................................... $ 5,916,100

Appropriated from:

State general fund/general purpose............................................................................................................. $ 5,916,100

Sec. 105. LEGISLATURE

(1) APPROPRIATION SUMMARY

GROSS APPROPRIATION.......................................................................................................................... $ 154,089,300

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 5,220,700

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 148,868,600

Federal revenues:

Total federal revenues.................................................................................................................................... 0

Special revenue funds:

Total local revenues......................................................................................................................................... 0

Total private revenues.................................................................................................................................... $ 400,000

Total other state restricted revenues.......................................................................................................... 6,110,600

State general fund/general purpose............................................................................................................. $ 142,358,000

State general fund/general purpose schedule:

Ongoing state general fund/general purpose......................................................................142,358,000

One-time state general fund/general purpose......................................................................................0

(2) LEGISLATURE

Senate................................................................................................................................................................ $ 32,150,600

Senate automated data processing............................................................................................................... 2,541,600

Senate fiscal agency........................................................................................................................................ 3,580,200

House of representatives............................................................................................................................... 49,446,200

House automated data processing................................................................................................................ 2,017,800

House fiscal agency......................................................................................................................................... 3,580,200

GROSS APPROPRIATION.......................................................................................................................... $ 93,316,600

Appropriated from:

State general fund/general purpose............................................................................................................. $ 93,316,600

(3) LEGISLATIVE COUNCIL

Legislative council........................................................................................................................................... $ 10,927,800

Legislative service bureau automated data processing............................................................................ 1,371,200

Worker’s compensation................................................................................................................................... 145,500

National association dues............................................................................................................................... 437,100

Legislative corrections ombudsman............................................................................................................. 700,900

GROSS APPROPRIATION.......................................................................................................................... $ 13,582,500

Appropriated from:

Special revenue funds:

Private - gifts and bequests revenues......................................................................................................... 400,000

State general fund/general purpose............................................................................................................. $ 13,182,500

(4) LEGISLATIVE RETIREMENT SYSTEM

General nonretirement expenses.................................................................................................................. $ 4,717,000

GROSS APPROPRIATION.......................................................................................................................... $ 4,717,000

Appropriated from:

Special revenue funds:

Court fees.......................................................................................................................................................... 1,109,800

State general fund/general purpose............................................................................................................. $ 3,607,200

(5) PROPERTY MANAGEMENT

Cora Anderson building.................................................................................................................................. $ 10,667,000

Farnum building and other properties........................................................................................................ 2,662,200

GROSS APPROPRIATION.......................................................................................................................... $ 13,329,200

Appropriated from:

State general fund/general purpose............................................................................................................. $ 13,329,200

(6) STATE CAPITOL HISTORIC SITE

General operations........................................................................................................................................... $ 3,985,200

Restoration, renewal and maintenance........................................................................................................ 3,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 6,985,200

Appropriated from:

Special revenue funds:

Capitol historic site fund................................................................................................................................ 3,000,000

State general fund/general purpose............................................................................................................. $ 3,985,200

(7) OFFICE OF THE AUDITOR GENERAL

Unclassified positions...................................................................................................................................... $ 329,400

Field operations............................................................................................................................................... 21,829,400

GROSS APPROPRIATION.......................................................................................................................... $ 22,158,800

Appropriated from:

Interdepartmental grant revenues:

IDG from MDOT, comprehensive transportation fund............................................................................. 37,400

IDG from MDOT, Michigan transportation fund....................................................................................... 303,500

IDG from MDOT, state aeronautics fund.................................................................................................... 29,100

IDG from MDOT, state trunkline fund........................................................................................................ 704,900

IDG, single audit act....................................................................................................................................... $ 2,799,200

IDG, commercial mobile radio system emergency telephone fund........................................................ 35,400

IDG, contract audit administration fees...................................................................................................... 39,800

IDG, deferred compensation funds............................................................................................................... 52,200

IDG, Michigan finance authority.................................................................................................................. 317,800

IDG, Michigan economic development authority....................................................................................... 92,500

IDG, Michigan education trust fund............................................................................................................ 68,000

IDG, Michigan strategic fund........................................................................................................................ 162,500

IDG, office of retirement services................................................................................................................ 209,800

IDG, other restricted funding sources......................................................................................................... 368,600

Special revenue funds:

21st century jobs fund.................................................................................................................................... 92,500

Brownfield development fund....................................................................................................................... 27,100

Clean Michigan initiative implementation bond fund............................................................................... 52,300

Fee adequacy, air quality delegated authority........................................................................................... 13,400

Game and fish protection fund...................................................................................................................... 30,100

Legislative retirement system...................................................................................................................... 28,000

MDTMB, civil service commission................................................................................................................ 159,700

MDLARA, liquor purchase revolving fund................................................................................................ 27,500

Michigan justice training commission fund................................................................................................. 39,300

Michigan state housing development authority fees................................................................................. 109,100

Michigan veterans trust fund........................................................................................................................ 34,100

Motor transport revolving fund.................................................................................................................... 7,200

Office services revolving fund....................................................................................................................... 9,600

State disbursement unit, office of child support........................................................................................ 55,200

State services fee fund................................................................................................................................... 1,304,800

Waterways fund............................................................................................................................................... 10,900

State general fund/general purpose............................................................................................................. $ 14,937,300

Sec. 106. DEPARTMENT OF STATE

(1) APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions..........................................................................................1,587.0

GROSS APPROPRIATION.......................................................................................................................... $ 223,984,900

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 20,000,000

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 203,984,900

Federal revenues:

Total federal revenues.................................................................................................................................... 1,460,000

Special revenue funds:

Total local revenues......................................................................................................................................... 0

Total private revenues.................................................................................................................................... 100

Total other state restricted revenues.......................................................................................................... 184,985,800

State general fund/general purpose............................................................................................................. $ 17,539,000

State general fund/general purpose schedule:

Ongoing state general fund/general purpose........................................................................17,539,000

One-time state general fund/general purpose......................................................................................0

(2) EXECUTIVE DIRECTION

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions...............................................................................................30.0

Secretary of state............................................................................................................................................ $ 112,500

Unclassified positions—5.0 FTE positions.................................................................................................. 724,700

Operations—30.0 FTE positions................................................................................................................... 4,579,400

GROSS APPROPRIATION.......................................................................................................................... $ 5,416,600

Appropriated from:

Special revenue funds:

Auto repair facilities fees............................................................................................................................... 69,200

Children’s protection registry fund.............................................................................................................. 272,600

Driver fees........................................................................................................................................................ $ 277,900

Enhanced driver license and enhanced official state personal identification card fund..................... 212,900

Expedient service fees.................................................................................................................................... 66,800

Parking ticket court fines............................................................................................................................... 9,300

Personal identification card fees................................................................................................................... 32,300

Reinstatement fees - operator licenses........................................................................................................ 250,700

Transportation administration collection fund........................................................................................... 2,506,500

Vehicle theft prevention fees......................................................................................................................... 40,700

State general fund/general purpose............................................................................................................. $ 1,677,700

(3) DEPARTMENT SERVICES

Full-time equated classified positions.............................................................................................161.0

Operations—161.0 FTE positions................................................................................................................. $ 30,449,000

GROSS APPROPRIATION.......................................................................................................................... $ 30,449,000

Appropriated from:

Special revenue funds:

Abandoned vehicle fees.................................................................................................................................. 481,900

Auto repair facilities fees............................................................................................................................... 1,608,700

Driver fees........................................................................................................................................................ 1,578,700

Driver improvement course fund................................................................................................................. 309,200

Enhanced driver license and enhanced official state personal identification card fund..................... 546,200

Expedient service fees.................................................................................................................................... 274,100

Marine safety fund.......................................................................................................................................... 84,300

Personal identification card fees................................................................................................................... 191,600

Reinstatement fees - operator licenses........................................................................................................ 1,290,000

Scrap tire fund................................................................................................................................................. 77,300

Transportation administration collection fund........................................................................................... 22,225,900

Vehicle theft prevention fees......................................................................................................................... 629,900

State general fund/general purpose............................................................................................................. $ 1,151,200

(4) LEGAL SERVICES

Full-time equated classified positions...............................................................................................33.0

Operations—33.0 FTE positions................................................................................................................... $ 7,117,300

GROSS APPROPRIATION.......................................................................................................................... $ 7,117,300

Appropriated from:

Special revenue funds:

Auto repair facilities fees............................................................................................................................... 1,449,100

Driver education provider and instructor fund.......................................................................................... 25,500

Driver fees........................................................................................................................................................ 934,900

Enhanced driver license and enhanced official state personal identification card fund..................... 90,800

Personal identification card fees................................................................................................................... 60,900

Reinstatement fees - operator licenses........................................................................................................ 716,300

Transportation administration collection fund........................................................................................... 3,362,300

Vehicle theft prevention fees......................................................................................................................... 465,300

State general fund/general purpose............................................................................................................. $ 12,200

(5) CUSTOMER DELIVERY SERVICES

Full-time equated classified positions..........................................................................................1,318.0

Branch operations—927.5 FTE positions.................................................................................................... $ 84,248,600

Central operations—371.5 FTE positions................................................................................................... 47,761,600

Commemorative license plates—14.0 FTE positions................................................................................ 1,897,300

Motorcycle safety education administration—2.0 FTE positions........................................................... 330,100

Motorcycle safety education grants............................................................................................................. 1,800,000

Credit and debit assessment services.......................................................................................................... 5,000,000

Specialty license plates—3.0 FTE positions............................................................................................... 750,000

Organ donor program..................................................................................................................................... 129,100

GROSS APPROPRIATION.......................................................................................................................... $ 141,916,700

Appropriated from:

Interdepartmental grant revenues:

IDG from MDOT, Michigan transportation fund....................................................................................... 20,000,000

Federal revenues:

Federal funds................................................................................................................................................... $ 1,460,000

Special revenue funds:

Private funds.................................................................................................................................................... 100

Abandoned vehicle fees.................................................................................................................................. 204,800

Auto repair facilities fees............................................................................................................................... 1,734,600

Child support clearance fees.......................................................................................................................... 364,100

Credit and debit assessment service fees................................................................................................... 5,000,000

Driver education provider and instructor fund.......................................................................................... 49,600

Driver fees........................................................................................................................................................ 25,852,100

Driver improvement course fund................................................................................................................. 1,248,400

Enhanced driver license and enhanced official state personal identification card fund..................... 7,691,800

Expedient service fees.................................................................................................................................... 2,608,200

Marine safety fund.......................................................................................................................................... 1,394,600

Michigan state police auto theft fund.......................................................................................................... 123,700

Mobile home commission fees........................................................................................................................ 508,200

Motorcycle safety fund................................................................................................................................... 1,830,100

Off-road vehicle title fees............................................................................................................................... 167,300

Parking ticket court fines............................................................................................................................... 1,632,600

Personal identification card fees................................................................................................................... 2,278,500

Recreation passport fee.................................................................................................................................. 1,000,000

Reinstatement fees - operator licenses........................................................................................................ 2,362,100

Snowmobile registration fee revenue.......................................................................................................... 390,600

Thomas Daley gift of life fund....................................................................................................................... 50,000

Transportation administration collection fund........................................................................................... 59,534,900

Vehicle theft prevention fees......................................................................................................................... 743,600

State general fund/general purpose............................................................................................................. $ 3,686,800

(6) ELECTION REGULATION

Full-time equated classified positions...............................................................................................45.0

Election administration and services—45.0 FTE positions..................................................................... $ 7,100,300

County clerk education and training fund.................................................................................................. 100,000

Fees to local units............................................................................................................................................ 109,800

GROSS APPROPRIATION.......................................................................................................................... $ 7,310,100

Appropriated from:

Special revenue funds:

Notary education and training fund............................................................................................................. 100,000

Notary fee fund................................................................................................................................................ 344,100

State general fund/general purpose............................................................................................................. $ 6,866,000

(7) DEPARTMENTWIDE APPROPRIATIONS

Building occupancy charges/rent.................................................................................................................. $ 9,540,700

Worker’s compensation................................................................................................................................... 264,600

GROSS APPROPRIATION.......................................................................................................................... $ 9,805,300

Appropriated from:

Special revenue funds:

Auto repair facilities fees............................................................................................................................... 134,300

Driver fees........................................................................................................................................................ 711,400

Enhanced driver license and enhanced official state personal identification card fund..................... 26,200

Parking ticket court fines............................................................................................................................... 445,000

Transportation administration collection fund........................................................................................... 5,909,700

State general fund/general purpose............................................................................................................. $ 2,578,700

(8) INFORMATION TECHNOLOGY

Information technology services and projects............................................................................................ $ 21,969,900

GROSS APPROPRIATION.......................................................................................................................... $ 21,969,900

Appropriated from:

Special revenue funds:

Administrative order processing fee............................................................................................................ 11,700

Auto repair facilities fees............................................................................................................................... 190,200

Driver fees........................................................................................................................................................ 788,300

Enhanced driver license and enhanced official state personal identification card fund..................... $ 269,800

Expedient service fees.................................................................................................................................... 1,086,300

Parking ticket court fines............................................................................................................................... 87,600

Personal identification card fees................................................................................................................... 171,900

Reinstatement fees - operator licenses........................................................................................................ 593,000

Transportation administration collection fund........................................................................................... 17,023,500

Vehicle theft prevention fees......................................................................................................................... 181,200

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

Sec. 107. DEPARTMENT OF TECHNOLOGY, MANAGEMENT, AND BUDGET

(1) APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions..........................................................................................2,817.0

GROSS APPROPRIATION.......................................................................................................................... $ 1,262,810,400

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 677,671,700

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 585,138,700

Federal revenues:

Total federal revenues.................................................................................................................................... 7,974,100

Special revenue funds:

Total local revenues......................................................................................................................................... 3,553,700

Total private revenues.................................................................................................................................... 190,400

Total other state restricted revenues.......................................................................................................... 94,322,000

State general fund/general purpose............................................................................................................. $ 479,098,500

State general fund/general purpose schedule:

Ongoing state general fund/general purpose......................................................................460,848,200

One-time state general fund/general purpose......................................................................18,250,300

(2) EXECUTIVE DIRECTION

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions...............................................................................................12.0

Unclassified positions—6.0 FTE positions.................................................................................................. $ 824,600

Executive operations—12.0 FTE positions................................................................................................ 2,269,800

GROSS APPROPRIATION.......................................................................................................................... $ 3,094,400

Appropriated from:

Interdepartmental grant revenues:

IDG from building occupancy and parking charges.................................................................................. 207,500

IDG from technology user fees..................................................................................................................... 1,918,700

Special revenue funds:

Special revenue, internal service, and pension trust funds..................................................................... 300,000

State general fund/general purpose............................................................................................................. $ 668,200

(3) DEPARTMENT SERVICES

Full-time equated classified positions.............................................................................................708.5

Administrative services—132.5 FTE positions.......................................................................................... $ 17,611,900

Budget and financial management—135.0 FTE positions....................................................................... 17,667,800

Office of the state employer—23.0 FTE positions.................................................................................... 3,374,400

Design and construction services—40.0 FTE positions........................................................................... 6,388,900

Business support services—91.0 FTE positions........................................................................................ 10,476,400

Building operation services—210.0 FTE positions.................................................................................... 91,352,000

Building occupancy charges, rent, and utilities.......................................................................................... 6,862,800

Motor vehicle fleet—35.0 FTE positions..................................................................................................... 67,669,300

Information technology services and projects............................................................................................ 29,574,700

Bureau of labor market information and strategies—42.0 FTE positions............................................ 5,387,200

GROSS APPROPRIATION.......................................................................................................................... $ 256,365,400

Appropriated from:

Interdepartmental grant revenues:

IDG from accounting service centers user charges.................................................................................. 2,690,800

IDG from building occupancy and parking charges.................................................................................. 93,505,200

IDG from MDLARA....................................................................................................................................... 100,000

IDG from motor transport fund.................................................................................................................... $ 67,669,300

IDG from MDCH............................................................................................................................................. 482,900

IDG from MDHS............................................................................................................................................. 213,500

IDG from user fees.......................................................................................................................................... 6,703,600

IDG from technology user fees..................................................................................................................... 7,949,100

Federal revenues:

Federal funds................................................................................................................................................... 4,905,000

Special revenue funds:

Local - MPSCS subscriber and maintenance fees..................................................................................... 20,800

Deferred compensation................................................................................................................................... 2,600

Health management funds............................................................................................................................. 2,176,900

MAIN user charges......................................................................................................................................... 4,434,600

Pension trust funds......................................................................................................................................... 7,427,000

Special revenue, internal service, and pension trust funds..................................................................... 16,845,100

State restricted indirect funds...................................................................................................................... 3,383,900

State general fund/general purpose............................................................................................................. $ 37,855,100

(4) TECHNOLOGY SERVICES

Full-time equated classified positions..........................................................................................1,474.5

Education services—29.0 FTE positions..................................................................................................... $ 4,108,700

Health and human services—617.5 FTE positions.................................................................................... 285,947,700

Public protection—154.5 FTE positions...................................................................................................... 50,407,600

Resources services—146.5 FTE positions.................................................................................................. 19,254,400

Transportation services—89.5 FTE positions............................................................................................ 30,446,000

General services—324.5 FTE positions....................................................................................................... 90,562,100

Enterprisewide information technology investment projects................................................................. 11,400,000

General government and public safety information technology investment projects........................ 28,600,000

Health and human services information technology investment projects............................................ 6,000,000

MAIN system replacement information technology investment projects............................................ 17,000,000

Homeland security initiative/cyber security—13.0 FTE positions......................................................... 9,068,200

Michigan public safety communications system—100.0 FTE positions................................................. 41,859,000

GROSS APPROPRIATION.......................................................................................................................... $ 594,653,700

Appropriated from:

Interdepartmental grant revenues:

IDG from technology user fees..................................................................................................................... 480,726,500

Special revenue funds:

Local - MPSCS subscriber and maintenance fees..................................................................................... 2,212,100

State general fund/general purpose............................................................................................................. $ 111,715,100

(5) STATEWIDE APPROPRIATIONS

Professional development fund - AFSCME............................................................................................... $ 50,000

Professional development fund - MPE, SEIU, scientific and engineering unit................................... 125,000

Professional development fund - NEREs................................................................................................... 200,000

Professional development fund - UAW....................................................................................................... 720,000

GROSS APPROPRIATION.......................................................................................................................... $ 1,095,000

Appropriated from:

Interdepartmental grant revenues:

IDG from employer contributions................................................................................................................ 1,095,000

State general fund/general purpose............................................................................................................. $ 0

(6) SPECIAL PROGRAMS

Full-time equated classified positions.............................................................................................176.0

Building occupancy charges - property management services for executive/legislative building

occupancy...................................................................................................................................................... $ 1,124,600

Retirement services—162.0 FTE positions................................................................................................ 25,983,700

Office of children’s ombudsman—14.0 FTE positions............................................................................... 1,771,800

Public private partnership............................................................................................................................. 1,500,000

Regional prosperity grants............................................................................................................................ 2,500,000

GROSS APPROPRIATION.......................................................................................................................... $ 32,880,100

Appropriated from:

Special revenue funds:

Deferred compensation................................................................................................................................... 1,542,400

Pension trust funds......................................................................................................................................... $ 19,196,500

Public private partnership investment fund............................................................................................... 1,500,000

State general fund/general purpose............................................................................................................. $ 10,641,200

(7) STATE BUILDING AUTHORITY RENT

State building authority rent - state agencies........................................................................................... $ 58,405,800

State building authority rent - department of corrections...................................................................... 44,879,900

State building authority rent - universities................................................................................................ 124,825,300

State building authority rent - community colleges.................................................................................. 26,459,600

GROSS APPROPRIATION.......................................................................................................................... $ 254,570,600

Appropriated from:

State general fund/general purpose............................................................................................................. $ 254,570,600

(8) CIVIL SERVICE COMMISSION

Full-time equated classified positions.............................................................................................446.0

Agency services—74.0 FTE positions......................................................................................................... $ 12,601,900

Executive direction—40.0 FTE positions................................................................................................... 9,403,400

Employee benefits—16.0 FTE positions..................................................................................................... 5,671,200

Training............................................................................................................................................................. 1,300,000

Human resources operations—316.0 FTE positions................................................................................. 35,766,900

Information technology services and projects............................................................................................ 4,385,800

GROSS APPROPRIATION.......................................................................................................................... $ 69,129,200

Appropriated from:

Interdepartmental grant revenues:

IDG, training charges..................................................................................................................................... 1,300,000

IDG, 1% special funds..................................................................................................................................... 3,337,900

Federal revenues:

Federal funds 1%............................................................................................................................................. 3,069,100

Special revenue funds:

Local funds 1%................................................................................................................................................. 1,320,800

Private funds 1%.............................................................................................................................................. 190,400

State restricted funds 1%............................................................................................................................... 21,244,900

State restricted indirect funds...................................................................................................................... 7,700,200

State sponsored group insurance.................................................................................................................. 2,743,100

State sponsored group insurance, flexible spending accounts and COBRA......................................... 5,824,800

State general fund/general purpose............................................................................................................. $ 22,398,000

(9) CAPITAL OUTLAY

Major special maintenance, remodeling, and additions for state agencies............................................ $ 2,000,000

Enterprisewide special maintenance for state facilities........................................................................... 23,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 25,000,000

Appropriated from:

Interdepartmental grant revenues:

IDG from building occupancy charges......................................................................................................... 2,000,000

State general fund/general purpose............................................................................................................. $ 23,000,000

(10) ONE-TIME BASIS ONLY APPROPRIATIONS

Regional prosperity grants............................................................................................................................ $ 1,000,000

Capital outlay - enterprisewide special maintenance for state facilities............................................... 7,000,000

Technology services funding.......................................................................................................................... 6,900,300

Litigation fund................................................................................................................................................. 4,000,000

Office of urban initiatives............................................................................................................................... 5,000,000

Michigan business one stop - depreciation.................................................................................................. 871,700

Special projects................................................................................................................................................ 1,250,000

GROSS APPROPRIATION.......................................................................................................................... $ 26,022,000

Appropriated from:

Interdepartmental grant revenues:

Interdepartmental grant revenues............................................................................................................... 7,771,700

Special revenue funds:

State general fund/general purpose............................................................................................................. $ 18,250,300

Sec. 108. DEPARTMENT OF TREASURY

(1) APPROPRIATION SUMMARY

Full-time equated unclassified positions..........................................................................................10.0

Full-time equated classified positions..........................................................................................2,619.5

GROSS APPROPRIATION.......................................................................................................................... $ 2,948,023,700

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 9,409,100

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 2,938,614,600

Federal revenues:

Total federal revenues.................................................................................................................................... 667,075,700

Special revenue funds:

Total local revenues......................................................................................................................................... 6,416,000

Total private revenues.................................................................................................................................... 5,678,000

Total other state restricted revenues.......................................................................................................... 1,745,389,100

State general fund/general purpose............................................................................................................. $ 514,055,800

State general fund/general purpose schedule:

Ongoing state general fund/general purpose......................................................................431,005,800

One-time state general fund/general purpose......................................................................83,050,000

(2) EXECUTIVE DIRECTION

Full-time equated unclassified positions..........................................................................................10.0

Full-time equated classified positions...............................................................................................16.0

Unclassified positions—10.0 FTE positions................................................................................................ $ 1,099,500

Executive direction and operations—16.0 FTE positions........................................................................ 3,008,400

GROSS APPROPRIATION.......................................................................................................................... $ 4,107,900

Appropriated from:

Federal revenues:

DED-OPSE, federal lenders allowance....................................................................................................... 20,000

DED-OPSE, higher education act of 1965, insured loans........................................................................ 45,000

Special revenue funds:

Delinquent tax collection revenue................................................................................................................ 1,330,600

Michigan state housing development authority fees and charges.......................................................... 258,100

State lottery fund............................................................................................................................................ 281,600

State services fee fund................................................................................................................................... 319,900

State general fund/general purpose............................................................................................................. $ 1,852,700

(3) DEPARTMENTWIDE APPROPRIATIONS

Rent and building occupancy charges - property management services.............................................. $ 5,948,800

Worker’s compensation insurance premium............................................................................................... 129,200

GROSS APPROPRIATION.......................................................................................................................... $ 6,078,000

Appropriated from:

Special revenue funds:

Delinquent tax collection revenue................................................................................................................ 2,945,200

State general fund/general purpose............................................................................................................. $ 3,132,800

(4) LOCAL GOVERNMENT PROGRAMS

Full-time equated classified positions.............................................................................................111.0

Supervision of the general property tax law—86.0 FTE positions........................................................ $ 18,817,500

Property tax assessor training—4.0 FTE positions.................................................................................. 1,031,900

Local finance—21.0 FTE positions............................................................................................................... 2,571,200

GROSS APPROPRIATION.......................................................................................................................... $ 22,420,600

Appropriated from:

Special revenue funds:

Local - assessor training fees........................................................................................................................ 1,031,900

Local - audit charges....................................................................................................................................... 810,600

Local - equalization study chargebacks....................................................................................................... 40,000

Local - revenue from local government....................................................................................................... 100,000

Delinquent tax collection revenue................................................................................................................ 1,494,300

Land reutilization fund................................................................................................................................... 5,304,500

Municipal finance fees..................................................................................................................................... 534,900

State general fund/general purpose............................................................................................................. $ 13,104,400

(5) TAX PROGRAMS

Full-time equated classified positions.............................................................................................811.0

Tax compliance—345.0 FTE positions......................................................................................................... $ 45,452,100

Tax and economic policy—93.0 FTE positions........................................................................................... 13,100,000

Tax processing—345.0 FTE positions.......................................................................................................... 36,932,300

Health insurance claims fund—15.0 FTE positions.................................................................................. 2,033,800

Home heating assistance................................................................................................................................ 3,023,400

Bottle act implementation.............................................................................................................................. 250,000

Tobacco tax enforcement—13.0 FTE positions.......................................................................................... 1,579,500

GROSS APPROPRIATION.......................................................................................................................... $ 102,371,100

Appropriated from:

Interdepartmental grant revenues:

IDG from MDOT, Michigan transportation fund....................................................................................... 2,300,000

IDG from MDOT, state aeronautics fund.................................................................................................... 71,000

Federal revenues:

HHS-SSA, low-income energy assistance................................................................................................... 3,023,400

Special revenue funds:

Bottle deposit fund.......................................................................................................................................... 250,000

Delinquent tax collection revenue................................................................................................................ 70,170,400

Emergency 911 fund....................................................................................................................................... 156,200

Health insurance claims assessment fund................................................................................................... 2,033,800

Tobacco tax revenue........................................................................................................................................ 4,027,700

Waterways fund............................................................................................................................................... 105,100

State general fund/general purpose............................................................................................................. $ 20,233,500

(6) FINANCIAL AND ADMINISTRATIVE SERVICES

Full-time equated classified positions.............................................................................................383.0

Department and budget services—88.0 FTE positions............................................................................ $ 9,001,700

Unclaimed property—29.0 FTE positions.................................................................................................. 4,772,800

Office of collections—203.0 FTE positions.................................................................................................. 26,303,200

Office of accounting services—24.0 FTE positions................................................................................... 2,441,900

Office of financial services—39.0 FTE positions........................................................................................ 4,396,900

GROSS APPROPRIATION.......................................................................................................................... $ 46,916,500

Appropriated from:

Interdepartmental grant revenues:

IDG from accounting service center user charges.................................................................................... 484,200

IDG from MDHS, title IV-D.......................................................................................................................... 764,700

IDG, levy/warrant cost assessment fees..................................................................................................... 2,000,000

IDG, state agency collection fees.................................................................................................................. 2,892,100

IDG, data/collection services fees................................................................................................................. 290,800

Special revenue funds:

Delinquent tax collection revenue................................................................................................................ 27,127,700

Escheats revenue............................................................................................................................................. 4,772,800

Garnishment fees............................................................................................................................................. 2,487,900

Justice system fund......................................................................................................................................... 479,400

State restricted indirect funds...................................................................................................................... 273,000

Treasury fees.................................................................................................................................................... 46,200

State general fund/general purpose............................................................................................................. $ 5,297,700

(7) FINANCIAL PROGRAMS

Full-time equated classified positions.............................................................................................211.5

Investments—82.0 FTE positions................................................................................................................ $ 20,321,700

John R. Justice grant program..................................................................................................................... 287,700

Common cash and debt management—22.5 FTE positions..................................................................... 1,633,600

Dual enrollment payments............................................................................................................................. 1,005,200

Student financial assistance programs—25.5 FTE positions................................................................... 2,695,000

Michigan finance authority - bond finance programs—72.5 FTE positions.......................................... 38,728,000

Financial independence team—9.0 FTE positions.................................................................................... 4,500,000

GROSS APPROPRIATION.......................................................................................................................... $ 69,171,200

Appropriated from:

Interdepartmental grant revenues:

IDG, fiscal agent service fees........................................................................................................................ $ 206,300

Federal revenues:

DED-OPSE, federal lenders allowance....................................................................................................... 10,626,700

DED-OPSE, higher education act of 1965, insured loans........................................................................ 25,082,800

Federal - John R. Justice grant.................................................................................................................... 287,700

Special revenue funds:

Defined contribution administrative fee revenue...................................................................................... 100,000

MFA, bond and loan program revenue........................................................................................................ 3,018,500

Michigan merit award trust fund................................................................................................................. 1,143,200

Retirement funds............................................................................................................................................. 18,814,400

School bond fees............................................................................................................................................... 837,600

Treasury fees.................................................................................................................................................... 1,619,500

State general fund/general purpose............................................................................................................. $ 7,434,500

(8) DEBT SERVICE

Quality of life bond.......................................................................................................................................... $ 81,360,000

Clean Michigan initiative................................................................................................................................ 57,224,000

Great Lakes water quality bond................................................................................................................... 13,811,000

GROSS APPROPRIATION.......................................................................................................................... $ 152,395,000

Appropriated from:

Special revenue funds:

State general fund/general purpose............................................................................................................. $ 152,395,000

(9) GRANTS

Convention facility development distribution............................................................................................ $ 90,950,000

Senior citizen cooperative housing tax exemption program.................................................................... 12,020,000

Emergency 911 payments.............................................................................................................................. 27,000,000

Facility for rare isotope beams debt service.............................................................................................. 7,300,000

Health and safety fund grants...................................................................................................................... 9,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 146,270,000

Appropriated from:

Special revenue funds:

Emergency 911 fund....................................................................................................................................... 27,000,000

Convention facility development fund......................................................................................................... 90,950,000

Health and safety fund................................................................................................................................... 9,000,000

State general fund/general purpose............................................................................................................. $ 19,320,000

(10) BUREAU OF STATE LOTTERY

Full-time equated classified positions.............................................................................................183.0

Lottery operations—183.0 FTE positions................................................................................................... $ 24,273,400

Promotion and advertising............................................................................................................................. 18,622,000

Lottery information technology services and projects............................................................................. 5,211,100

GROSS APPROPRIATION.......................................................................................................................... $ 48,106,500

Appropriated from:

Special revenue funds:

State lottery fund............................................................................................................................................ 48,106,500

State general fund/general purpose............................................................................................................. $ 0

(11) CASINO GAMING

Full-time equated classified positions.............................................................................................129.0

Michigan gaming control board..................................................................................................................... $ 50,000

Casino gaming control administration—119.0 FTE positions................................................................. 25,269,400

Casino gaming information technology services and projects................................................................. 1,984,400

Racing commission—10.0 FTE positions.................................................................................................... 2,352,400

GROSS APPROPRIATION.......................................................................................................................... $ 29,656,200

Appropriated from:

Special revenue funds:

Casino gambling agreements......................................................................................................................... 814,500

Equine development fund.............................................................................................................................. 2,475,400

Laboratory fees................................................................................................................................................ 700,000

State services fee fund................................................................................................................................... 25,666,300

State general fund/general purpose............................................................................................................. $ 0

(12) PAYMENTS IN LIEU OF TAXES

Commercial forest reserve............................................................................................................................. $ 3,207,700

Purchased lands............................................................................................................................................... 7,298,400

Swamp and tax reverted lands..................................................................................................................... 10,668,800

GROSS APPROPRIATION.......................................................................................................................... $ 21,174,900

Appropriated from:

Special revenue funds:

Private funds.................................................................................................................................................... 23,100

Game and fish protection fund...................................................................................................................... 2,527,900

Michigan natural resources trust fund........................................................................................................ 1,735,500

Michigan state waterways fund.................................................................................................................... 219,100

State general fund/general purpose............................................................................................................. $ 16,669,300

(13) MICHIGAN STRATEGIC FUND

Full-time equated classified positions.............................................................................................403.0

Administrative services—22.0 FTE positions............................................................................................ $ 3,131,700

Job creation services—139.0 FTE positions............................................................................................... 19,021,100

Pure Michigan.................................................................................................................................................. 29,000,000

Entrepreneurship eco-system....................................................................................................................... 25,000,000

Business attraction and community revitalization.................................................................................... 112,100,000

Community ventures—7.0 FTE positions................................................................................................... 9,800,000

Michigan film office—6.0 FTE positions..................................................................................................... 891,900

Film incentives................................................................................................................................................. 25,000,000

Energy programs............................................................................................................................................. 3,610,900

Community development block grants........................................................................................................ 47,000,000

Arts and cultural program............................................................................................................................. 10,150,000

GEAR-UP program grants............................................................................................................................ 4,730,700

Carl D. Perkins grants.................................................................................................................................... 19,000,000

Adult basic education...................................................................................................................................... 20,000,000

Adult education—16.0 FTE positions.......................................................................................................... 2,939,800

Postsecondary education—9.0 FTE positions............................................................................................ 2,064,300

Employment services—125.0 FTE positions.............................................................................................. 35,166,900

Workforce development agency administrative services—22.0 FTE positions................................... 1,740,400

Workforce program administration—57.0 FTE positions........................................................................ 13,404,400

Workforce development programs............................................................................................................... 250,819,100

Welfare-to-work programs............................................................................................................................. 75,357,200

Community college skilled trades equipment program............................................................................ 4,600,000

Workforce development agency rent and property management.......................................................... 870,500

Skilled trades training program.................................................................................................................... 10,000,000

Information technology services and projects............................................................................................ 925,000

GROSS APPROPRIATION.......................................................................................................................... $ 726,323,900

Appropriated from:

Federal revenues:

DAG, employment and training.................................................................................................................... 3,500,000

DED-OESE, GEAR-UP................................................................................................................................ 4,730,700

DED-OVAE, adult education........................................................................................................................ 20,000,000

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

DOE-OEERE, multiple grants..................................................................................................................... 3,796,800

DOL-ETA, workforce investment act.......................................................................................................... 174,003,300

DOL, federal funds.......................................................................................................................................... 112,800,000

Federal funds................................................................................................................................................... 5,950,000

Social security act, temporary assistance to needy families.................................................................... 64,898,800

NFAH-NEA, promotion of the arts, partnership agreements................................................................ 1,050,000

HUD-CPD, community development block grant..................................................................................... 49,780,700

Special revenue funds:

Local revenues................................................................................................................................................. 4,433,500

Private funds.................................................................................................................................................... 5,274,900

Private - oil overcharge.................................................................................................................................. 30,000

Private - special project advances................................................................................................................ $ 250,000

Private - Michigan council for the arts fund............................................................................................... 100,000

Industry support fees..................................................................................................................................... 5,500

Defaulted loan collection fees........................................................................................................................ 150,000

Michigan film promotion fund....................................................................................................................... 654,800

Public utility assessments.............................................................................................................................. 872,400

21st century jobs trust fund.......................................................................................................................... 75,000,000

State general fund/general purpose............................................................................................................. $ 180,042,500

(14) REVENUE SHARING

Constitutional state general revenue sharing grants............................................................................... $ 758,272,400

City, village, and township revenue sharing............................................................................................... 243,040,000

County incentive program............................................................................................................................. 42,240,000

County revenue sharing................................................................................................................................. 168,960,000

Financially distressed cities, villages, or townships.................................................................................. 5,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 1,217,512,400

Appropriated from:

Sales tax............................................................................................................................................................ 1,217,512,400

State general fund/general purpose............................................................................................................. $ 0

(15) MICHIGAN STRATEGIC FUND - MICHIGAN STATE HOUSING

DEVELOPMENT AUTHORITY

Full-time equated classified positions.............................................................................................353.0

Payments on behalf of tenants...................................................................................................................... $ 166,860,000

Housing and rental assistance—347.0 FTE positions............................................................................... 57,957,900

Land bank fast track authority—6.0 FTE positions................................................................................. 5,250,000

Lighthouse preservation program................................................................................................................ 307,500

Rent and administrative support.................................................................................................................. 3,870,700

Michigan state housing development authority technology services and projects............................. 3,559,900

GROSS APPROPRIATION.......................................................................................................................... $ 237,806,000

Appropriated from:

Federal revenues:

Federal funds................................................................................................................................................... 1,000,000

HUD, lower income housing assistance....................................................................................................... 166,860,000

Special revenue funds:

Michigan state housing development authority fees and charges.......................................................... 65,388,500

Michigan lighthouse preservation fund....................................................................................................... 307,500

Land bank fast track fund............................................................................................................................. 300,000

State general fund/general purpose............................................................................................................. $ 3,950,000

(16) STATE BUILDING AUTHORITY

Full-time equated classified positions.................................................................................................4.0

State building authority—4.0 FTE positions............................................................................................. $ 712,400

GROSS APPROPRIATION.......................................................................................................................... $ 712,400

Appropriated from:

Special revenue funds:

State building authority revenue.................................................................................................................. 712,400

State general fund/general purpose............................................................................................................. $ 0

(17) INFORMATION TECHNOLOGY

Treasury operations information technology services and projects....................................................... $ 25,151,100

GROSS APPROPRIATION.......................................................................................................................... $ 25,151,100

Appropriated from:

Interdepartmental grant revenues:

IDG from MDOT, Michigan transportation fund....................................................................................... 400,000

Federal revenues:

DED-OPSE, federal lenders allowance....................................................................................................... 619,800

Special revenue funds:

Delinquent tax collection revenue................................................................................................................ 15,671,400

Tobacco tax revenue........................................................................................................................................ 127,700

Retirement funds............................................................................................................................................. 758,800

State general fund/general purpose............................................................................................................. $ 7,573,400

(18) ONE-TIME BASIS ONLY APPROPRIATIONS

Full-time equated classified positions...............................................................................................15.0

City, village, and township revenue sharing............................................................................................... $ 5,800,000

Financially distressed cities, villages, or townships.................................................................................. 3,000,000

MSF, film incentives........................................................................................................................................ 25,000,000

MSF, business attraction and community revitalization.......................................................................... 17,900,000

MSF, automotive, engineering and manufacturing technology fund...................................................... 2,000,000

MSF, special grants......................................................................................................................................... 15,750,000

Credit card payment service—6.0 FTE positions..................................................................................... 500,000

Personal property tax reform—9.0 FTE positions................................................................................... 20,800,000

Treasury, city of Flint police and fire safety grant................................................................................... 1,100,000

GROSS APPROPRIATION.......................................................................................................................... $ 91,850,000

Appropriated from:

Special revenue funds:

Sales tax............................................................................................................................................................ 8,800,000

State general fund/general purpose............................................................................................................. $ 83,050,000

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

FOR FISCAL YEAR 2014-2015

GENERAL SECTIONS

Sec. 201. (1) 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 2014-2015 is $3,259,556,300.00 and state spending from state resources to be paid to local units of government for fiscal year 2014-2015 is $1,434,623,200.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF STATE

Fees to local units............................................................................................................................................ $ 109,800

Motorcycle safety grants................................................................................................................................ 1,251,000

Subtotal............................................................................................................................................................. $ 1,360,800

DEPARTMENT OF TREASURY

Senior citizen cooperative housing tax exemption.................................................................................... $ 12,020,000

Health and safety fund grants...................................................................................................................... 9,000,000

Constitutional state general revenue sharing grants............................................................................... 758,272,400

City, village, and township revenue sharing............................................................................................... 248,840,000

Convention facility development fund distribution................................................................................... 90,950,000

Emergency 9-1-1 payments........................................................................................................................... 27,000,000

Financially distressed cities, villages, or townships.................................................................................. 8,000,000

County incentive program............................................................................................................................. 42,240,000

County revenue sharing payments............................................................................................................... 168,960,000

Airport parking distribution pursuant to section 909............................................................................... 16,280,300

Payments in lieu of taxes............................................................................................................................... 21,174,900

Personal property tax reform....................................................................................................................... 19,300,000

Welfare-to-work programs............................................................................................................................. 11,224,800

Subtotal............................................................................................................................................................. $ 1,433,262,400

TOTAL GENERAL GOVERNMENT....................................................................................................... $ 1,434,623,200

(2) Pursuant to section 30 of article IX of the state constitution of 1963, total state spending from state sources for fiscal year 2014-2015 is estimated at $30,123,412,800.00 in the 2014-2015 appropriations acts and total state spending from state sources paid to local units of government for fiscal year 2014-2015 is estimated at $16,428,104,600.00. The state-local proportion is estimated at 54.5% of total state spending from state resources.

(3) If payments to local units of government and state spending from state sources for fiscal year 2014-2015 are different than the amounts estimated in subsection (2), the state budget director shall report the payments to local units of government and state spending from state sources that were made for fiscal year 2014-2015 to the senate and house of representatives standing committees on appropriations within 30 days after the final book-closing for fiscal year 2014‑2015.

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

Sec. 203. As used in this part and part 1:

(a) “AFSCME” means American federation of state, county, and municipal employees.

(b) “ATM” means automated teller machine.

(c) “COBRA” means the consolidated omnibus budget reconciliation act of 1985, Public Law 99-272, 100 Stat. 82.

(d) “DAG” means the United States department of agriculture.

(e) “DED” means the United States department of education.

(f) “DED-OESE” means the DED office of elementary and secondary education.

(g) “DED-OPSE” means the DED office of postsecondary education.

(h) “DED-OVAE” means the DED office of vocational and adult education.

(i) “DOE-OEERE” means the United States department of energy, office of energy efficiency and renewable energy.

(j) “DOL-ETA” means the United States department of labor, employment and training administration.

(k) “EEOC” means the United States equal employment opportunity commission.

(l) “EPA” means the United States environmental protection agency.

(m) “FTE” means full-time equated.

(n) “Fund” means the Michigan strategic fund.

(o) “GEAR-UP” means gaining early awareness and readiness for undergraduate programs.

(p) “GED” means a general educational development certificate.

(q) “GF/GP” means general fund/general purpose.

(r) “HAVA” means help America vote act.

(s) “HHS” means the United States department of health and human services.

(t) “HHS-OS” means the HHS office of the secretary.

(u) “HHS-SSA” means the HHS social security administration.

(v) “HUD” means the United States department of housing and urban development.

(w) “HUD-CPD” means the United States department of housing and urban development - community planning and development.

(x) “IDG” means interdepartmental grant.

(y) “JCOS” means the joint capital outlay subcommittee.

(z) “MAIN” means the Michigan administrative information network.

(aa) “MCL” means the Michigan Compiled Laws.

(bb) “MDCH” means the Michigan department of community health.

(cc) “MDE” means the Michigan department of education.

(dd) “MDLARA” means the Michigan department of licensing and regulatory affairs.

(ee) “MDEQ” means the Michigan department of environmental quality.

(ff) “MDHS” means the Michigan department of human services.

(gg) “MDMVA” means the Michigan department of military and veterans affairs.

(hh) “MDOT” means the Michigan department of transportation.

(ii) “MDSP” means the Michigan department of state police.

(jj) “MDTMB” means the Michigan department of technology, management, and budget.

(kk) “MEDC” means the Michigan economic development corporation, which is the public body corporate created under section 28 of article VII of the state constitution of 1963 and the urban cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to 124.512, by contractual interlocal agreement effective April 5, 1999, between local participating economic development corporations formed under the economic development corporations act, 1974 PA 338, MCL 125.1601 to 125.1636, and the Michigan strategic fund.

(ll) “MFA” means the Michigan finance authority.

(mm) “MPE” means the Michigan public employees.

(nn) “MSF” means the Michigan strategic fund.

(oo) “MSHDA” means Michigan state housing development authority.

(pp) “NERE” means nonexclusively represented employees.

(qq) “NFAH-NEA” means the national foundation of the arts and the humanities - national endowment for the arts.

(rr) “PA” means public act.

(ss) “PATH” means partnership, accountability, training, and hope.

(tt) “RFI” means a request for information.

(uu) “RFP” means a request for a proposal.

(vv) “RFQ” means a request for qualifications.

(ww) “SEIU” means service employees international union.

(xx) “WDA” means the workforce development agency.

(yy) “WIC” means women, infants, and children.

Sec. 206. The departments and agencies receiving appropriations in part 1 shall cooperate with the department of technology, management, and budget to maintain a searchable website that is updated at least quarterly and that is accessible by the public at no cost that includes, but is not limited to, all of the following for each department or agency:

(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. 207. (1) For each new program or program expansion for which funds in excess of $500,000.00 are appropriated in part 1, the department shall identify specific benchmarks intended to measure the performance or return on taxpayer investment of the program and its associated expenditures. Not later than November 1, 2014, the department shall report the proposed benchmarks to the house and senate appropriations subcommittees for that department, the house and senate fiscal agencies, and the state budget director. The department shall provide an update on its progress in achieving those benchmarks at an appropriations subcommittee meeting called for the purpose of discussing benchmarks and their status.

(2) It is the intent of the legislature that, beginning with the budget for the fiscal year ending September 30, 2016, any proposal for a new program or an expansion of an existing program in excess of $500,000.00 initiated by the executive branch or the legislature shall include, as part of the original proposal or budget request, a list of benchmarks intended to measure the performance or return on taxpayer investment of the program or spending increase.

Sec. 208. The departments and agencies receiving appropriations in part 1 shall use the Internet to fulfill the reporting requirements of this part. 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 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 and agency receiving appropriations in part 1 shall take all reasonable steps to ensure businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. Each director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 211. (1) Pursuant to section 352 of the management and budget act, 1984 PA 431, MCL 18.1352, which provides for a transfer of state general fund revenue into or out of the countercyclical budget and economic stabilization fund, the calculations required by section 352 of the management and budget act, 1984 PA 431, MCL 18.1352, are determined as follows:

2013 2014 2015

Michigan personal income (millions).................................................................. $388,053 $400,859 $418,096

less: transfer payments.................................................................................... 85,163 88,825 94,510

Subtotal............................................................................................................... $302,890 $312,034 $323,586

Divided by: Detroit Consumer Price Index for 12 months ending June 30... 2.182 2.206 2.239

Equals: real adjusted Michigan personal income............................................. $138,813 $141,448 $144,517

Percentage change................................................................................................ N/A 1.9% 2.2%

Growth rate in excess of 2%?.............................................................................. N/A NO 0.2%

Equals: countercyclical budget and economic stabilization fund

pay-in calculation for the fiscal year ending September 30, 2015

(millions)............................................................................................................. N/A $0.0 N/A

Growth rate less than 0%?................................................................................... N/A N/A NO

Equals: countercyclical budget and economic stabilization fund

pay-out calculation for the fiscal year ending September 30, 2015

(millions)............................................................................................................. N/A N/A $0.0

(2) Notwithstanding subsection (1), there is appropriated for the fiscal year ending September 30, 2015, from general fund/general purpose revenue for deposit into the countercyclical budget and economic stabilization fund the sum of $94,000,000.00.

Sec. 212. The departments 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. 213. Funds appropriated in part 1 shall not be used by this state, a department, an agency, or an authority of this state to purchase an ownership interest in a casino enterprise or a gambling operation as those terms are defined in the Michigan gaming control and revenue act, 1996 IL 1, MCL 432.201 to 432.226.

Sec. 215. A department or state agency shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 216. 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. 217. General fund appropriations in part 1 shall not be expended for items in cases where federal funding is available for the same expenditures.

Sec. 219. The departments and agencies receiving appropriations in part 1 shall maintain, on a publicly accessible website, a department or agency scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the department’s or agency’s performance.

Sec. 221. Each department and agency shall report no later than April 1 on each specific policy change made to implement a public act affecting the department that took effect during the prior calendar year to the senate and house of representatives standing committees on appropriations subcommittees on general government, the joint committee on administrative rules, and the senate and house fiscal agencies.

Sec. 226. 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. 227. Within 14 days after the release of the executive budget recommendation, the departments and agencies receiving appropriations in part 1 shall cooperate with the state budget director to provide the chairs of the senate and house of representatives standing committees on appropriations, the chairs of the senate and house of representatives standing committees on appropriations subcommittees on general government, 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, 2014 and September 30, 2015.

Sec. 228. Not later than November 30, the state budget office shall prepare and transmit a report that provides for estimates of the total general fund/general purpose appropriation lapses at the close of the prior 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 chairpersons of the senate and house of representatives standing committees on appropriations and the senate and house fiscal agencies.

Sec. 229. If the office of the auditor general has identified an initiative or made a recommendation that is related to savings and efficiencies in an audit report for an executive branch department or agency, the department or agency shall report within 6 months of the release of the audit on their efforts and progress made toward achieving the savings and efficiencies identified in the audit report. The report shall be submitted to the chairs of the senate and house of representatives standing committees on appropriations, the chairs of the senate and house of representatives standing committees with jurisdiction over matters relating to the department that is audited, and the senate and house fiscal agencies.

Sec. 231. (1) It is the intent of the legislature that departments and agencies receiving appropriations in part 1 properly account for their spending and do not use FTE positions as placeholders for spending in other parts of their budgets.

(2) The departments and agencies receiving appropriations under part 1 shall provide a report to the legislature specifying the number of filled, FTE positions in pay status in the immediately preceding fiscal year by February 1. When reporting on the number of filled, FTE positions in pay status, the department or agency shall provide the maximum number of filled, FTE positions in pay status by appropriation line item in the last pay period of each quarter of the immediately preceding fiscal year. The report shall also include a listing of all funded, FTE positions by position title.

Sec. 233. In addition to the general fund/general purpose appropriations for special maintenance, remodeling, and addition - state facilities in part 1, there is also appropriated related federal and state restricted funds up to the amounts that will be earned based upon the initiatives undertaken with the funds in part 1. The state budget director shall determine and authorize the appropriate manner for implementing this section.

Sec. 234. In addition to the general fund/general purpose appropriations for enterprisewide information technology investments in part 1, there is also appropriated related federal and state restricted funds up to the amounts that will be earned based upon the initiatives undertaken with the funds in part 1. The state budget director shall determine and authorize the appropriate manner for implementing this section.

Sec. 235. No state department or agency shall issue an RFP for a contract in excess of $5,000,000.00 unless the department or agency has first considered issuing an RFI or an RFQ relative to that contract to better enable the department or the agency to learn more about the market for the products or services that are the subject of the future RFP. The department or agency shall notify MDTMB of the evaluation process used to determine if an RFI or RFQ was not necessary prior to issuing the RFP.

Sec. 239. The department of technology, management, and budget, with the assistance of the Michigan energy office as necessary, shall assess the energy performance of state-owned buildings so that state departments, agencies, and authorities are better able to identify priority projects for energy improvements that can be achieved with internal resources and energy savings performance contracts under the cost-effective governmental energy use act, 2012 PA 625, MCL 18.1711 to 18.1725.

DEPARTMENT OF ATTORNEY GENERAL

Sec. 301. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $1,500,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

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

Sec. 302. (1) The attorney general shall perform all legal services, including representation before courts and administrative agencies rendering legal opinions and providing legal advice to a principal executive department or state agency. A principal executive department or state agency shall not employ or enter into a contract with any other person for services described in this section.

(2) The attorney general shall defend judges of all state courts if a claim is made or a civil action is commenced for injuries to persons or property caused by the judge through the performance of the judge’s duties while acting within the scope of his or her authority as a judge.

(3) The attorney general shall perform the duties specified in 1846 RS 12, MCL 14.28 to 14.35, and 1919 PA 232, MCL 14.101 to 14.102, and as otherwise provided by law.

Sec. 303. The attorney general may sell copies of the biennial report in excess of the 350 copies that the attorney general may distribute on a gratis basis. Gratis copies shall not be provided to members of the legislature. Electronic copies of biennial reports shall be made available on the department of attorney general’s website. The attorney general shall sell copies of the report at not less than the actual cost of the report and shall deposit the money received into the general fund.

Sec. 304. The department of attorney general is responsible for the legal representation for state of Michigan state employee worker’s disability compensation cases. The risk management revolving fund revenue appropriation in part 1 is to be satisfied by billings from the department of attorney general for the actual costs of legal representation, including salaries and support costs.

Sec. 305. In addition to the funds appropriated in part 1, not more than $400,000.00 shall be reimbursed per fiscal year for food stamp fraud cases heard by the third circuit court of Wayne County that were initiated by the department of attorney general pursuant to the existing contract between the department of human services, the prosecuting attorneys association of Michigan, and the department of attorney general. The source of this funding is money earned by the department of attorney general under the agreement after the allowance for reimbursement to the department of attorney general for costs associated with the prosecution of food stamp fraud cases. It is recognized that the federal funds are earned by the department of attorney general for its documented progress on the prosecution of food stamp fraud cases according to the United States department of agriculture regulations and that, once earned by this state, the funds become state funds.

Sec. 306. Any proceeds from a lawsuit initiated by or settlement agreement entered into on behalf of this state against a manufacturer of tobacco products by the attorney general are state funds and are subject to appropriation as provided by law.

Sec. 307. (1) In addition to the antitrust revenues in part 1, antitrust, securities fraud, consumer protection or class action enforcement revenues, or attorney fees recovered by the department, not to exceed $250,000.00, are appropriated to the department for antitrust, securities fraud, and consumer protection or class action enforcement cases.

(2) Any unexpended funds from antitrust, securities fraud, or consumer protection or class action enforcement revenues at the end of the fiscal year, including antitrust funds in part 1, may be carried forward for expenditure in the following fiscal year up to the maximum authorization of $250,000.00.

Sec. 308. (1) In addition to the funds appropriated in part 1, there is appropriated up to $500,000.00 from litigation expense reimbursements awarded to the state.

(2) The funds may be expended for the payment of court judgments, settlements, arbitration awards or other administrative and litigation decisions, attorney fees, and litigation costs, assessed against the office of the governor, the department of the attorney general, the governor, or the attorney general when acting in an official capacity as the named party in litigation against the state. The funds may also be expended for the payment of state costs incurred under section 16 of chapter X of the code of criminal procedure, 1927 PA 175, MCL 770.16.

(3) Unexpended funds at the end of the fiscal year may be carried forward for expenditure in the following year, up to a maximum authorization of $500,000.00.

Sec. 309. From the prisoner reimbursement funds appropriated in part 1, the department may spend up to $614,400.00 on activities related to the state correctional facility reimbursement act, 1935 PA 253, MCL 800.401 to 800.406. In addition to the funds appropriated in part 1, if the department collects in excess of $1,131,000.00 in gross annual prisoner reimbursement receipts provided to the general fund, the excess, up to a maximum of $1,000,000.00, is appropriated to the department of attorney general and may be spent on the representation of the department of corrections and its officers, employees, and agents, including, but not limited to, the defense of litigation against the state, its departments, officers, employees, or agents in civil actions filed by prisoners.

Sec. 310. (1) For the purposes of providing title IV-D child support enforcement funding, the department of human services, as the state IV-D agency, shall maintain a cooperative agreement with the attorney general for federal IV-D funding to support the child support enforcement activities within the office of the attorney general.

(2) The attorney general or his or her designee shall, to the extent allowable under federal law, have access to any information used by the state to locate parents who fail to pay court-ordered child support.

Sec. 312. The department of attorney general shall not receive and expend funds in addition to those authorized in part 1 for legal services provided specifically to other state departments or agencies except for costs for expert witnesses, court costs, or other nonsalary litigation expenses associated with a pending legal action.

Sec. 315. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $17,694,100.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $9,790,800.00. Total agency appropriations for retiree health care legacy costs are estimated at $7,903,300.00.

Sec. 320. The department of attorney general shall provide a detailed work and spending plan for the appropriation in part 1 for sexual assault prosecutions outlining the anticipated litigation action and expenditures resulting from findings of the rape kit testing results discovered by Michigan state police upon the closure of the Detroit crime lab. The spending plan shall be transmitted to the state budget office, the senate and house fiscal agencies, and the senate and house of representatives standing committees on appropriations subcommittees on general government. The appropriation shall not be available for expenditure until the work plan is approved by the state budget director. The state budget office shall notify the senate and house of representatives standing committees on appropriations subcommittees on general government at least 15 days prior to release of the funds.

DEPARTMENT OF CIVIL RIGHTS

Sec. 401. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $2,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $750,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 402. (1) In addition to the appropriations contained in part 1, the department of civil rights may receive and expend funds from local or private sources for all of the following purposes:

(a) Developing and presenting training for employers on equal employment opportunity law and procedures.

(b) The publication and sale of civil rights related informational material.

(c) The provision of copy material made available under freedom of information requests.

(d) Other copy fees, subpoena fees, and witness fees.

(e) Developing, presenting, and participating in mediation processes for certain civil rights cases.

(f) Workshops, seminars, and recognition or award programs consistent with the programmatic mission of the individual unit sponsoring or coordinating the programs.

(g) Staffing costs for all activities included in this subsection.

(2) The department of civil rights shall annually report to the state budget director, the senate and house of representatives standing committees on appropriations, and the senate and house fiscal agencies the amount of funds received and expended for purposes authorized under this section.

Sec. 403. The department of civil rights may contract with local units of government to review equal employment opportunity compliance of potential contractors and may charge for and expend amounts received from local units of government for the purpose of developing and providing these contractual services.

Sec. 404. (1) The department of civil rights shall prepare and transmit a detailed report that includes, but is not limited to, the following information for the most recent fiscal year:

(a) A detailed description of the department operations.

(b) A detailed description of all subunits within the department, including FTE positions associated with each subunit, responsibilities of each subunit, and all revenues and expenditures for each subunit.

(c) The number of complaints by type of complaint.

(d) The average cost of, and time expended, investigating complaints.

(e) The percentage of complaints that are meritorious and worthy of investigation or settlement and the percentage of complaints that have no merit.

(f) A listing of amounts awarded to claimants.

(g) Expenditures associated with complaint investigation and enforcement.

(h) A listing of complaint investigations closed per FTE position for each of the past 5 years.

(i) A listing of complaint evaluations completed per FTE position for each of the past 5 years.

(j) Productivity projections for the current fiscal year, including investigations closed per FTE, complaint evaluations completed per FTE, and average time expended investigating complaints.

(2) The report required under subsection (1) shall be posted online and transmitted electronically not later than November 30 to the state budget director, the chairpersons of the senate and house of representatives standing committees on appropriations, the senate and house appropriations subcommittees on general government, and the senate and house fiscal agencies.

Sec. 405. The department of civil rights shall notify the office of the state budget, senate and house of representatives standing committees on appropriations, and senate and house fiscal agencies prior to submitting a report or complaint to the United States commission on civil rights or other federal departments.

Sec. 410. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $3,139,500.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $1,745,300.00. Total agency appropriations for retiree health care legacy costs are estimated at $1,394,200.00.

LEGISLATURE

Sec. 600. The senate, the house of representatives, or an agency within the legislative branch may receive, expend, and transfer funds in addition to those authorized in part 1.

Sec. 601. (1) Funds appropriated in part 1 to an entity within the legislative branch shall not be expended or transferred to another account without written approval of the authorized agent of the legislative entity. If the authorized agent of the legislative entity notifies the state budget director of its approval of an expenditure or transfer before the year-end book-closing date for that legislative entity, the state budget director shall immediately make the expenditure or transfer. The authorized legislative entity agency shall be designated by the speaker of the house of representatives for house entities, the senate majority leader for senate entities, and the legislative council for legislative council entities.

(2) Funds appropriated within the legislative branch, to a legislative council component, shall not be expended by any agency or other subgroup included in that component without the approval of the legislative council.

Sec. 602. The senate may charge rent and assess charges for utility costs. The amounts received for rent charges and utility assessments are appropriated to the senate for the renovation, operation, and maintenance of the Farnum building and other properties.

Sec. 603. The appropriation contained in part 1 for national association dues is to be distributed by the legislative council.

Sec. 604. (1) The appropriation in part 1 to the Michigan state capitol historic site includes funds to operate the legislative parking facilities in the capitol area. The Michigan state capitol commission shall establish rules regarding the operation of the legislative parking facilities.

(2) The Michigan state capitol commission shall collect a fee from state employees and the general public using certain legislative parking facilities. The revenues received from the parking fees shall be allocated by the Michigan state capitol commission.

Sec. 605. The appropriation in part 1 to the legislative council for publication of the Michigan manual is a work project account. The unexpended portion remaining on September 30 shall not lapse and shall be carried forward into the subsequent fiscal year for use in paying the associated biennial costs of publication of the Michigan manual.

Sec. 606. The appropriations in part 1 to the legislative branch, for property management, shall be used to purchase equipment and services for building maintenance in order to ensure a safe and productive work environment. These funds are designated as work project appropriations and shall not lapse at the end of the fiscal year, and shall continue to be available for expenditure until the project has been completed. The total cost is estimated at $500,000.00, and the tentative completion date is September 30, 2019.

Sec. 607. The appropriations in part 1 to the legislative branch, for automated data processing, shall be used to purchase equipment, software, and services in order to support and implement data processing requirements and technology improvements. These funds are designated as work project appropriations and shall not lapse at the end of the fiscal year, and shall continue to be available for expenditure until the project has been completed. The total cost is estimated at $500,000.00, and the tentative completion date is September 30, 2019.

Sec. 608. In addition to funds appropriated in part 1, the Michigan capitol committee publications save the flags fund account may accept contributions, gifts, bequests, devises, grants, and donations. Those funds that are not expended in the fiscal year ending September 30 shall not lapse at the close of the fiscal year, and shall be carried forward for expenditure in the following fiscal years.

Sec. 609. The appropriations in part 1 from the capitol historic site fund do not take effect unless Senate Bill No. 678 of the 97th Legislature is enacted into law.

Sec. 615. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $22,824,900.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $12,198,100.00. Total agency appropriations for retiree health care legacy costs are estimated at $10,626,800.00.

Sec. 618. It is the intent of the legislature that all administrative functions and associated funding for the Michigan legislative retirement system shall be transferred from the legislative council to the department of technology, management, and budget before the end of the 2014-2015 fiscal year.

LEGISLATIVE AUDITOR GENERAL

Sec. 620. Pursuant to section 53 of article IV of the state constitution of 1963, the auditor general shall conduct audits of the judicial branch. The audits may include the supreme court and its administrative units, the court of appeals, and trial courts.

Sec. 621. (1) The auditor general shall take all reasonable steps to ensure that certified minority- and women-owned and operated accounting firms, and accounting firms owned and operated by persons with disabilities participate in the audits of the books, accounts, and financial affairs of each principal executive department, branch, institution, agency, and office of this state.

(2) The auditor general shall strongly encourage firms with which the auditor general contracts to perform audits of the principal executive departments and state agencies to subcontract with certified minority- and women-owned and operated accounting firms, and accounting firms owned and operated by persons with disabilities.

(3) The auditor general shall compile an annual report regarding the number of contracts entered into with certified minority- and women-owned and operated accounting firms, and accounting firms owned and operated by persons with disabilities. The auditor general shall deliver the report to the state budget director and the senate and house of representatives standing committees on appropriations subcommittees on general government by November 1 of each year.

Sec. 622. From the funds appropriated in part 1 to the legislative auditor general, the auditor general’s salary and the salaries of the remaining 2.0 FTE unclassified positions shall be set by the speaker of the house of representatives, the senate majority leader, the house of representatives minority leader, and the senate minority leader.

Sec. 623. Any audits, reviews, or investigations requested of the auditor general by the legislature or by legislative leadership, legislative committees, or individual legislators shall include an estimate of the additional costs involved and, when those costs exceed $50,000.00, should provide supplemental funding. The auditor general shall determine whether to perform those activities in keeping with Audit Directive No. 29, which describes the office of the auditor general’s policy on responding to legislative requests.

Sec. 625. From the funds appropriated in part 1 to the legislative auditor general, an amount not to exceed $400,000.00 may be used for the hiring of up to 10 additional auditors for the specific purpose of providing audit support and oversight of this state’s most critical information technology systems and services. Funds appropriated for this purpose shall be expended for salaries and wages, fringe benefits, supplies, and equipment necessary to provide the appropriate audit support and oversight. Any unobligated balance of the funds received shall revert to the general fund of this state at the close of the fiscal year.

DEPARTMENT OF STATE

Sec. 701. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $2,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $7,500,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $50,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 703. From the funds appropriated in part 1, the department of state shall sell copies of records including, but not limited to, records of motor vehicles, off-road vehicles, snowmobiles, watercraft, mobile homes, personal identification cardholders, drivers, and boat operators and shall charge $8.00 per record sold only as authorized in section 208b of the Michigan vehicle code, 1949 PA 300, MCL 257.208b, section 7 of 1972 PA 222, MCL 28.297, and sections 80130, 80315, 81114, and 82156 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.80130, 324.80315, 324.81114, and 324.82156. The revenue received from the sale of records shall be credited to the transportation administration collection fund created under section 810b of the Michigan vehicle code, 1949 PA 300, MCL 257.810b.

Sec. 704. From the funds appropriated in part 1, the secretary of state may enter into agreements with the department of corrections for the manufacture of vehicle registration plates 15 months before the registration year in which the registration plates will be used.

Sec. 705. (1) The department of state may accept gifts, donations, contributions, and grants of money and other property from any private or public source to underwrite, in whole or in part, the cost of a departmental publication that is prepared and disseminated under the Michigan vehicle code, 1949 PA 300, MCL 257.1 to 257.923. A private or public funding source may receive written recognition in the publication and may furnish a traffic safety message, subject to departmental approval, for inclusion in the publication. The department may reject a gift, donation, contribution, or grant. The department may furnish copies of a publication underwritten, in whole or in part, by a private source to the underwriter at no charge.

(2) The department of state may sell and accept paid advertising for placement in a departmental publication that is prepared and disseminated under the Michigan vehicle code, 1949 PA 300, MCL 257.1 to 257.923. The department may charge and receive a fee for any advertisement appearing in a departmental publication and shall review and approve the content of each advertisement. The department may refuse to accept advertising from any person or organization. The department may furnish a reasonable number of copies of a publication to an advertiser at no charge.

(3) Pending expenditure, the funds received under this section shall be deposited in the Michigan department of state publications fund created by section 211 of the Michigan vehicle code, 1949 PA 300, MCL 257.211. Funds given, donated, or contributed to the department from a private source are appropriated and allocated for the purpose for which the revenue is furnished. Funds granted to the department from a public source are allocated and may be expended upon receipt. The department shall not accept a gift, donation, contribution, or grant if receipt is conditioned upon a commitment of state funding at a future date. Revenue received from the sale of advertising is appropriated and may be expended upon receipt.

(4) Any unexpended revenues received under this section shall be carried over into subsequent fiscal years and shall be available for appropriation for the purposes described in this section.

(5) On March 1 of each year, the department of state shall file a report with the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget director. The report shall include all of the following information:

(a) The amount of gifts, contributions, donations, and grants of money received by the department under this section for the prior fiscal year.

(b) A listing of the expenditures made from the amounts received by the department as reported in subdivision (a).

(c) A listing of any gift, donation, contribution, or grant of property other than funding received by the department under this section for the prior year.

(d) The total revenue received from the sale of paid advertising accepted under this section and a statement of the total number of advertising transactions.

(6) In addition to copies delivered without charge as the secretary of state considers necessary, the department of state may sell copies of manuals and other publications regarding the sale, ownership, or operation or regulation of motor vehicles, with amendments, at prices to be established by the secretary of state. As used in this subsection, the term “manuals and other publications” includes videos and proprietary electronic publications. All funds received from sales of these manuals and other publications shall be credited to the Michigan department of state publications fund.

Sec. 707. Funds collected by the department of state under section 211 of the Michigan vehicle code, 1949 PA 300, MCL 257.211, are appropriated for all expenses necessary to provide for the costs of the publication. Funds are allotted for expenditure when they are received by the department of treasury and shall not lapse to the general fund at the end of the fiscal year.

Sec. 708. From the funds appropriated in part 1, the department of state shall use available balances at the end of the state fiscal year to provide payment to the department of state police in the amount of $332,000.00 for the services provided by the traffic accident records program as first appropriated in 1990 PA 196 and 1990 PA 208.

Sec. 709. From the funds appropriated in part 1, the department of state may restrict funds from miscellaneous revenue to cover cash shortages created from normal branch office operations. This amount shall not exceed $50,000.00 of the total funds available in miscellaneous revenue.

Sec. 710. (1) Commemorative and specialty license plate fee revenue collected by the department of state and deposited into the transportation administration collection fund created in section 810b of the Michigan vehicle code, 1949 PA 300, MCL 257.810b, is authorized for expenditure up to the amount of revenue collected but not to exceed the amount appropriated to the department of state in part 1 to administer commemorative and specialty license plate programs.

(2) Commemorative and specialty license plate fee revenue collected by the department of state and deposited in the transportation administration collection fund created in section 810b of the Michigan vehicle code, 1949 PA 300, MCL 257.810b, in addition to the amount appropriated in part 1 to the department of state, shall remain in the transportation administration collection fund created in section 810b of the Michigan vehicle code, 1949 PA 300, MCL 257.810b, and be available for future appropriation.

Sec. 711. Collector plate and fund-raising registration plate revenues collected by the department of state are appropriated and allotted for distribution to the recipient university or public or private agency overseeing a state-sponsored goal when received. Distributions shall occur on a quarterly basis or as otherwise authorized by law. Any revenues remaining at the end of the fiscal year shall not lapse to the general fund but shall remain available for distribution to the university or agency in the next fiscal year.

Sec. 712. The department of state may produce and sell copies of a training video designed to inform registered automotive repair facilities of their obligations under Michigan law. The price shall not exceed the cost of production and distribution. The money received from the sale of training videos shall revert to the department of state and be placed in the auto repair facility account.

Sec. 713. (1) The department of state, in collaboration with the gift of life transplantation society or its successor federally designated organ procurement organization, may develop and administer a public information campaign concerning the Michigan organ donor program.

(2) The department may solicit funds from any private or public source to underwrite, in whole or in part, the public information campaign authorized by this section. The department may accept gifts, donations, contributions, and grants of money and other property from private and public sources for this purpose. A private or public funding source underwriting the public information campaign, in whole or in substantial part, shall receive sponsorship credit for its financial backing.

(3) Funds received under this section, including grants from state and federal agencies, shall not lapse to the general fund at the end of the fiscal year but shall remain available for expenditure for the purposes described in this section.

(4) Funding appropriated in part 1 for the organ donor program shall be used for producing a pamphlet to be distributed with driver licenses and personal identification cards regarding organ donations. The funds shall be used to update and print a pamphlet that will explain the organ donor program and encourage people to become donors by marking a checkoff on driver license and personal identification card applications.

(5) The pamphlet shall include a return reply form addressed to the gift of life organization. Funding appropriated in part 1 for the organ donor program shall be used to pay for return postage costs.

(6) In addition to the appropriations in part 1, the department of state may receive and expend funds from the organ and tissue donation education fund for administrative expenses.

Sec. 714. (1) Except as otherwise provided under subsection (2), at least 180 days before closing a branch office or consolidating a branch office and at least 60 days before relocating a branch office, the department of state shall inform members of the senate and house of representatives standing committees on appropriations and legislators who represent affected areas regarding the details of the proposal. The information provided shall be in written form and include all analyses done regarding criteria for changes in the location of branch offices, including, but not limited to, branch transactions, revenue, and the impact on citizens of the affected area. The impact on citizens shall include information regarding additional distance to branch office locations resulting from the plan. The written notice provided by the department of state shall also include detailed estimates of costs and savings that will result from the overall changes made to the branch office structure and the same level of detail regarding costs for new leased facilities and expansions of current leased space.

(2) If the consolidation of a branch office is with another branch office that is located within the same local unit of government or the relocation of a branch office is to another location that is located within the same local unit of government, the department of state is not required to provide the notification or written information described in subsection (1).

(3) As used in this section, “local unit of government” means a city, village, township, or county.

Sec. 715. (1) Any service assessment collected by the department of state from the user of a credit or debit card under section 3 of 1995 PA 144, MCL 11.23, may be used by the department for necessary expenses related to that service and may be remitted to a credit or debit card company, bank, or other financial institution.

(2) The service assessment imposed by the department of state for credit and debit card services may be based either on a percentage of each individual credit or debit card transaction, or on a flat rate per transaction, or both, scaled to the amount of the transaction. However, the department shall not charge any amount for a service assessment which exceeds the costs billable to the department for service assessments.

(3) If there is a balance of service assessments received from credit and debit card services remaining on September 30, the balance may be carried forward to the following fiscal year and appropriated for the same purpose.

(4) As used in this section, “service assessment” means and includes costs associated with service fees imposed by credit and debit card companies and processing fees imposed by banks and other financial institutions.

Sec. 716b. The department of state shall provide a report that calculates the total amount of funds expended for the business application modernization project to date from the inception of the program. The report shall contain information on the original start and completion dates for the project, the original cost to complete the project, and a listing of all revisions to project completion dates and costs. The report shall include the total amount of funds paid to the state by the contract provider for penalties. The report shall be submitted to the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget director by January 1.

Sec. 717. (1) The department of state may accept nonmonetary gifts, donations, or contributions of property from any private or public source to support, in whole or in part, the operation of a departmental function relating to licensing, regulation, or safety. The department may recognize a private or public contributor for making the contribution. The department may reject a gift, donation, or contribution.

(2) The department of state shall not accept a gift, donation, or contribution under subsection (1) if receipt of the gift, donation, or contribution is conditioned upon a commitment of future state funding.

(3) On March 1 of each year, the department of state shall file a report with the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget director. The report shall list any gift, donation, or contribution received by the department under subsection (1) for the prior calendar year.

Sec. 718. From the funds appropriated in part 1 to the department of state, branch operations, the department shall maintain a full service secretary of state branch office in Buena Vista Township.

Sec. 721. From the funds appropriated in part 1, the department of state may collect ATM commission fees from companies that have ATMs located in secretary of state branch offices. The commission received from the use of these ATMs shall be credited to the transportation administration collection fund created under section 810b of the Michigan vehicle code, 1949 PA 300, MCL 257.810b.

Sec. 725. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $32,541,800.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $18,188,200.00. Total agency appropriations for retiree health care legacy costs are estimated at $14,353,600.00.

DEPARTMENT OF TECHNOLOGY, MANAGEMENT, AND BUDGET

Sec. 801. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $4,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $8,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $150,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 802. Proceeds in excess of necessary costs incurred in the conduct of transfers or auctions of state surplus, salvage, or scrap property made pursuant to section 267 of the management and budget act, 1984 PA 431, MCL 18.1267, are appropriated to the department of technology, management, and budget to offset costs incurred in the acquisition and distribution of federal surplus property. The department of technology, management, and budget shall provide consolidated Internet auction services through the state’s contractors for all local units of government.

Sec. 803. (1) The department of technology, management, and budget may receive and expend funds in addition to those authorized by part 1 for maintenance and operation services provided specifically to other principal executive departments or state agencies, the legislative branch, the judicial branch, or private tenants, or provided in connection with facilities transferred to the operational jurisdiction of the department of technology, management, and budget.

(2) The department of technology, management, and budget may receive and expend funds in addition to those authorized by part 1 for real estate, architectural, design, and engineering services provided specifically to other principal executive departments or state agencies, the legislative branch, or the judicial branch.

(3) The department of technology, management, and budget may receive and expend funds in addition to those authorized in part 1 for mail pickup and delivery services provided specifically to other principal executive departments and state agencies, the legislative branch, or the judicial branch.

(4) The department of technology, management, and budget may receive and expend funds in addition to those authorized in part 1 for purchasing services provided specifically to other principal executive departments and state agencies, the legislative branch, or the judicial branch.

Sec. 804. (1) The source of financing in part 1 for statewide appropriations shall be funded by assessments against longevity and insurance appropriations throughout state government in a manner prescribed by the department of technology, management, and budget. Funds shall be used as specified in joint labor/management agreements or through the coordinated compensation hearings process. Any deposits made under this subsection and any unencumbered funds are restricted revenues, may be carried over into the succeeding fiscal years, and are appropriated.

(2) In addition to the funds appropriated in part 1 for statewide appropriations, the department of technology, management, and budget may receive and expend funds in such additional amounts as may be specified in joint labor/management agreements or through the coordinated compensation hearings process in the same manner and subject to the same conditions as prescribed in subsection (1).

Sec. 805. To the extent a specific appropriation is required for a detailed source of financing included in part 1 for the department of technology, management, and budget appropriations financed from special revenue and internal service and pension trust funds, or MAIN user charges, the specific amounts are appropriated within the special revenue internal service and pension trust funds in portions not to exceed the aggregate amount appropriated in part 1.

Sec. 806. In addition to the funds appropriated in part 1 to the department of technology, management, and budget, the department may receive and expend funds from other principal executive departments and state agencies to implement administrative leave bank transfer provisions as may be specified in joint labor/management agreements. The amounts may also be transferred to other principal executive departments and state agencies under the joint agreement and any amounts transferred under the joint agreement are authorized for receipt and expenditure by the receiving principal executive department or state agency. Any amounts received by the department of technology, management, and budget under this section and intended, under the joint labor/management agreements, to be available for use beyond the close of the fiscal year and any unencumbered funds may be carried over into the succeeding fiscal year.

Sec. 807. The source of financing in part 1 for the Michigan administrative information network shall be funded by proportionate charges assessed against the respective state funds benefiting from this project in the amounts determined by the department.

Sec. 808. (1) Deposits against the interdepartmental grant from building occupancy and parking charges appropriated in part 1 shall be collected, in part, from state agencies, the legislative branch, and the judicial branch based on estimated costs associated with maintenance and operation of buildings managed by the department of technology, management, and budget. To the extent excess revenues are collected due to estimates of building occupancy charges exceeding actual costs, the excess revenues may be carried forward into succeeding fiscal years for the purpose of returning funds to state agencies.

(2) Appropriations in part 1 to the department of technology, management, and budget, for management and budget services from building occupancy charges and parking charges, may be increased to return excess revenue collected to state agencies.

Sec. 808a. (1) The department of technology, management, and budget in conjunction with the state budget office shall not charge building occupancy rates to a state department or agency for unoccupied space if the department or agency has submitted a notice to the department of technology, management, and budget and the state budget office to vacate the property at least 12 months prior to the date to vacate. If the state department or agency does not vacate the property by the end of the notification date, the state department or agency shall be charged building occupancy rates for that space for time the space is occupied beyond the 12-month notice date to vacate.

(2) The department of technology, management, and budget in conjunction with the state budget office shall require state departments or agencies to pay building occupancy rates when moving into a building managed by the department of technology, management, and budget at the beginning of the start of the fiscal year immediately following building occupancy.

Sec. 809. The department of technology, management, and budget shall notify the chairpersons of the senate and house of representatives standing committees on appropriations and the chairpersons of the senate and house of representatives standing committees on appropriations subcommittees on general government on any revisions that increase or decrease current contracts by more than $500,000.00 for computer software development, hardware acquisition, or quality assurance at least 14 days before the department of technology, management, and budget finalizes the revisions.

Sec. 810. The department of technology, management, and budget shall maintain an Internet website that contains notice of all invitations for bids and requests for proposals over $50,000.00 issued by the department or by any state agency operating under delegated authority. The department shall not accept an invitation for bid or request for proposal in less than 14 days after the notice is made available on the Internet website, except in situations where it would be in the best interest of the state and documented by the department. In addition to the requirements of this section, the department may advertise the invitations for bids and requests for proposals in any manner the department determines appropriate, in order to give the greatest number of individuals and businesses the opportunity to make bids or requests for proposals.

Sec. 811. The department of technology, management, and budget may receive and expend funds from the Vietnam veterans memorial monument fund as provided in the Michigan Vietnam veterans memorial act, 1988 PA 234, MCL 35.1051 to 35.1057. Funds are appropriated and allocated when received and may be expended upon receipt.

Sec. 812. The Michigan veterans’ memorial park commission may receive and expend money from any source, public or private, including, but not limited to, gifts, grants, donations of money, and government appropriations, for the purposes described in Executive Order No. 2001-10. Funds are appropriated and allocated when received and may be expended upon receipt. Any deposits made under this section and unencumbered funds are restricted revenues and may be carried over into succeeding fiscal years.

Sec. 813. (1) Funds in part 1 for motor vehicle fleet are appropriated to the department of technology, management, and budget for administration and for the acquisition, lease, operation, maintenance, repair, replacement, and disposal of state motor vehicles.

(2) The appropriation in part 1 for motor vehicle fleet shall be funded by revenue from rates charged to principal executive departments and agencies for utilizing vehicle travel services provided by the department. Revenue in excess of the amount appropriated in part 1 from the motor transport fund and any unencumbered funds are restricted revenues and may be carried over into the succeeding fiscal year.

(3) Pursuant to the department of technology, management, and budget’s authority under sections 213 and 215 of the management and budget act, 1984 PA 431, MCL 18.1213 and 18.1215, the department shall maintain a plan regarding the operation of the motor vehicle fleet. The plan shall include the number of vehicles assigned to, or authorized for use by, state departments and agencies, efforts to reduce travel expenditures, the number of cars in the motor vehicle fleet, the number of miles driven by fleet vehicles, and the number of gallons of fuel consumed by fleet vehicles. The plan shall include a calculation of the amount of state motor vehicle fuel taxes that would have been incurred by fleet vehicles if fleet vehicles were required by law to pay motor fuel taxes. The plan shall include a description of fleet garage operations, the goods sold and services provided by the fleet garage, the cost to operate the fleet garage, the number of fleet garage locations, and the number of employees assigned to each fleet garage. The plan may be adjusted during the fiscal year based on needs and cost savings to achieve the maximum value and efficiency from the state motor fleet. Within 60 days after the close of the fiscal year, the department shall provide a report to the senate and house of representatives standing committees on appropriations and the senate and house fiscal agencies detailing the current plan and changes made to the plan during the fiscal year.

(4) The department of technology, management, and budget may charge state agencies for fuel cost increases that exceed $3.04 per gallon of unleaded gasoline. The department shall notify state agencies, in writing or by electronic mail, at least 30 days before implementing additional charges for fuel cost increases. Revenues received from these charges are appropriated upon receipt.

(5) In order to reduce costs and maintain quality, it is the intent of the legislature that, excluding the fleet of motor vehicles for the department of state police, when economically feasible, the department of technology, management, and budget will prioritize the utilization of remanufactured parts as the primary means of maintenance and repair for the state of Michigan’s fleet of motor vehicles.

(6) The state budget director, upon notification to the senate and house of representatives standing committees on appropriations, may adjust spending authorization and the IDG from motor transport fund in the department of technology, management, and budget in order to ensure that the appropriations for motor vehicle fleet in the department budget equal the expenditures for motor vehicle fleet in the budgets for all executive branch agencies.

Sec. 814. The department of technology, management, and budget shall develop a plan regarding the use of the funds appropriated in part 1 for the enterprisewide information technology investment projects. The plan shall include, but not be limited to, a description of proposed information technology investment projects, the time frame for completion of the information technology investment projects, the proposed cost of the information technology investment projects, the number of employees assigned to implement each information technology investment project, the contracts entered into for each information technology investment project, and any other information the department deems necessary. The plan shall be distributed to the senate and house of representatives standing committees on appropriations subcommittees on general government, as well as the senate and house fiscal agencies on a quarterly basis. The submitted plan shall also include anticipated spending reductions or overages for each of the proposed information technology investment projects. The department of technology, management, and budget shall notify the senate and house of representatives standing committees on appropriations subcommittees on general government and the senate and house fiscal agencies when a project funded under an information technology investment project line item in part 1 is expected to require a transfer of dollars from another project in excess of $500,000.00.

Sec. 815. (1) The department of technology, management, and budget shall review all existing and proposed capital improvement projects over $500,000.00 for inclusion in an energy savings performance contract under the cost-effective governmental energy use act, 2012 PA 625, MCL 18.1711 to 18.1725.

(2) By February 15, 2015, the department of technology, management, and budget shall report to the senate and house appropriations subcommittees on general government and the senate and house fiscal agencies on the use of energy savings performance contracts. At a minimum, the report shall identify each capital improvement project over $500,000.00 and for each project listed, include the following information:

(a) A brief project description.

(b) Whether the project was included in an energy savings performance contract, and if not, a brief explanation of why the project was not included in an energy savings performance contract.

(c) If applicable, identification of the energy savings performance contract and the qualified energy service provider under the contract.

(d) If included in an energy savings performance contract, an estimate of the energy savings to be achieved.

(e) If included in an energy savings performance contract, the cost of inclusion in the contract.

Sec. 816. An RFP issued for the purpose of privatization shall include all factors used in evaluating and determining price.

Sec. 817. The department of technology, management, and budget may require that any vendor or subcontractor providing call or contact center services to the state of Michigan disclose to inbound callers the location from which the call or contact center services are being provided.

Sec. 818. In addition to the funds appropriated in part 1, the department of technology, management, and budget may receive and expend money from the Michigan law enforcement officers memorial monument fund as provided in the Michigan law enforcement officers memorial act, 2004 PA 177, MCL 28.781 to 28.787.

Sec. 819. In addition to the funds appropriated in part 1, the department of technology, management, and budget may receive and expend money from the Ronald Wilson Reagan memorial monument fund as provided in the Ronald Wilson Reagan memorial monument fund commission act, 2004 PA 489, MCL 399.261 to 399.266.

Sec. 820. The department shall make available to the public a list of all parcels of real property owned by the state that are available for purchase. The list shall be posted on the Internet through the department’s website.

Sec. 821. The department of technology, management, and budget shall annually update the office space consolidation project plan, including the use of the funds appropriated pursuant to 2012 PA 200 for the space consolidation fund. By February 15, the department shall report to the senate and house of representatives committees on appropriations subcommittees on general government and the senate and house fiscal agencies on the revised plan and plan implementation. The report shall include, but is not limited to, the description of the proposed office space to be consolidated, the time frame for completion of the office space consolidation, the proposed itemized cost of the office space consolidation, the number of employees assigned to implement the office space consolidation, the contracts entered into for the office space consolidation, information on completed projects, anticipated savings, savings achieved, and any other information the department deems necessary.

Sec. 822. The department of technology, management, and budget shall compile a report by January 1 pertaining to the salaries of unclassified employees, as well as gubernatorial appointees, within all state departments and agencies. The report shall enumerate each unclassified employee and gubernatorial appointee and his or her annual salary individually. The report shall be distributed to the chairs of the senate and house of representatives standing committees on appropriations subcommittees on general government, as well as the senate and house fiscal agencies.

Sec. 822d. (1) A public-private partnership investment fund is created in MDTMB. Subject to subsections (2) and (3), public-private partnership investments shall include, but are not limited to, all of the following:

(a) Capital asset improvements including buildings, land, or structures.

(b) Energy resource exploration, extraction, generation, and sales.

(c) Financial and investment incentive opportunities.

(d) Infrastructure construction, maintenance, and operation.

(e) Public-private sector joint ventures that provide economic benefit to an area or to the state.

(2) Public-private investments shall not include projects, consultant expenses, staff effort, or any other activity related to the development, financing, construction, operation, or implementation of the Detroit River International Crossing or any successor project unless the project is approved by the legislature and signed into law.

(3) The state budget director shall determine whether or not a specific public-private partnership investment opportunity qualifies for funding under subsection (1).

(4) Investment development revenue, including a portion of the proceeds from the sale of any public-private partnership investment designated in subsection (1), shall be deposited into the fund created in subsection (1) and shall be available for administration, development, financing, marketing, and operating expenditures associated with public-private partnerships, unless otherwise provided by law. Public-private partnership investments authorized in subsection (1) are authorized for public or private operation or sale consistent with state law. Expenditures from the fund are authorized for investment purposes as designated in subsection (1) to enhance the marketable value of each investment. The unencumbered balance remaining in the fund at the end of the fiscal year may be carried forward for appropriation in future years.

(5) An annual report shall be transmitted to the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget office not later than December 31 of each year. This report shall detail both of the following:

(a) The revenue and expenditure activity in the fund for the preceding fiscal year.

(b) Public-private partnership investments as identified under subsection (1).

(6) MDTMB shall monitor the revenue deposited in the public-private partnership investment fund created in subsection (1). If the revenue in the fund is insufficient to pay the amount appropriated in part 1 for public-private partnership investment, then MDTMB shall propose a legislative transfer to fund the line from the appropriations in part 1.

Sec. 822e. The funds appropriated in part 1 shall not be used to support any staff effort, projects, consultant expenses, or any other activity related to the development, financing, construction, operation, or implementation of the Detroit River International Crossing or any successor project unless the project is approved by the legislature and signed into law.

Sec. 822f. By December 31, 2014, the department shall provide a report to the senate and house appropriations subcommittees on general government and the senate and house fiscal agencies that identifies fee and rate schedules to be used by state departments and agencies for services, including information technology, provided by the department during fiscal year 2015-2016. The report shall also identify changes from fees and rates charged in fiscal year 2014-2015 and include an explanation of the factors that justify each fee and rate increase.

Sec. 822g. The department of technology, management, and budget shall provide assistance as necessary to the department of state police regarding discussions with the city of Wayland on a potential partnership between the city and the department of state police for a joint public safety building located in that city.

Sec. 822h. The department of technology, management, and budget, working jointly with the department of state police, shall review and evaluate the feasibility of repurposing the one division building in Grand Rapids for a new state police crime laboratory. By January 1, 2015, the department of technology, management, and budget shall report to the senate and house appropriations subcommittees on general government and the senate and house fiscal agencies on the results of that review, including matters considered, any recommendations, and the reasons for those recommendations.

Sec. 822i. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $81,943,200.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $45,810,900.00. Total agency appropriations for retiree health care legacy costs are estimated at $36,132,300.00.

INFORMATION TECHNOLOGY

Sec. 823. (1) The department of technology, management, and budget may sell and accept paid advertising for placement on any state website under its jurisdiction. The department shall review and approve the content of each advertisement. The department may refuse to accept advertising from any person or organization or require modification to advertisements based upon criteria determined by the department. Revenue received under this subsection shall be used for operating costs of the department and for future technology enhancements to state of Michigan e-government initiatives. Funds received under this subsection shall be limited to $250,000.00. Any funds in excess of $250,000.00 shall be deposited in the state general fund.

(2) The department of technology, management, and budget may accept gifts, donations, contributions, bequests, and grants of money from any public or private source to assist with the underwriting or sponsorship of state webpages or services offered on those webpages. A private or public funding source may receive recognition in the webpage. The department of technology, management, and budget may reject any gift, donation, contribution, bequest, or grant.

(3) Funds accepted by the department of technology, management, and budget under subsection (1) are appropriated and allotted when received and may be expended upon approval of the state budget director. The state budget office shall notify the senate and house of representatives standing committees on appropriations subcommittees on general government and the senate and house fiscal agencies within 10 days after the approval is given.

Sec. 824. The department of technology, management, and budget may enter into agreements to supply spatial information and technical services to other principal executive departments, state agencies, local units of government, and other organizations. The department of technology, management, and budget may receive and expend funds in addition to those authorized in part 1 for providing information and technical services, publications, maps, and other products. The department of technology, management, and budget may expend amounts received for salaries, supplies, and equipment necessary to provide informational products and technical services. Prior to December 1 of each year, the department shall provide a report to the senate and house of representatives standing committees on appropriations subcommittees on general government, detailing the sources of funding and expenditures made under this section.

Sec. 825. The legislature shall have access to all historical and current data contained within MAIN pertaining to state departments. State departments shall have access to all historical and current data contained within MAIN.

Sec. 826. When used in this part and part 1, “information technology services” means services involving all aspects of managing and processing information, including, but not limited to, all of the following:

(a) Application and mobile development and maintenance.

(b) Desktop computer support and management.

(c) Cyber security.

(d) Social media.

(e) Mainframe computer support and management.

(f) Server support and management.

(g) Local area network support and management, including, but not limited to, wired and wireless network build‑out, support, and management.

(h) Information technology project management.

(i) Information technology planning and budget management.

(j) Telecommunication services, infrastructure, and support.

Sec. 827. (1) Funds appropriated in part 1 for the Michigan public safety communications system shall be expended upon approval of an expenditure plan by the state budget director.

(2) The department of technology, management, and budget shall assess all subscribers of the Michigan public safety communications system reasonable access and maintenance fees.

(3) All money received by the department of technology, management, and budget under this section shall be expended for the support and maintenance of the Michigan public safety communications system.

(4) The department of technology, management, and budget shall provide a report to the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget director on April 15 and on October 15, indicating the amount of revenue collected under this section and expended for support and maintenance of the Michigan public safety communications system for the immediately preceding 6-month period. Any deposits made under this section and unencumbered funds are restricted revenues and shall be carried forward into succeeding fiscal years.

Sec. 828. The department of technology, management, and budget shall submit a report for the immediately preceding fiscal year ending September 30 to the senate and house of representatives standing committees on appropriations subcommittees on general government and the senate and house fiscal agencies by March 1. The report shall include the following:

(a) The total amount of funding appropriated for information technology services and projects, by funding source, for all principal executive departments and agencies.

(b) A listing of the expenditures made from the amounts received by the department of technology, management, and budget as reported in subdivision (a).

Sec. 829. The department of technology, management, and budget shall provide a report that analyzes and makes recommendations on the life-cycle of information technology hardware and software. The report shall be submitted to the senate and house of representatives standing committees on appropriations subcommittees on general government and the senate and house fiscal agencies by March 1.

Sec. 830. By December 31, the department shall provide a report that lists all information technology-related change orders and follow-on contracts, greater than $50,000.00, whether they are bid, exercise options, or no-bid, and the amount of each change order or contract extension contract entered into by the department to the senate and house of representatives standing committees on appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget director.

Sec. 831. (1) The information, communications, and technology innovation fund, established pursuant to 2011 PA 63, 2012 PA 200, and 2013 PA 59, shall be administered by the department of technology, management, and budget for the purpose of providing a revolving, self-sustaining resource for financing information, communications, and technology innovation projects. From the funds appropriated to the information, communications, and technology innovation fund by 2011 PA 63, 2012 PA 200, and 2013 PA 59, or received by the information, communications, and technology innovation fund under subsections (2) and (3), the department of technology, management, and budget may issue loans to state agencies, local units of government, colleges and universities in this state, school districts, other public entities that provide public sector services, and nonprofit organizations that provide public sector services, as determined by the department of technology, management, and budget in support of information, communications, and technology innovation projects.

(2) In addition to funds appropriated by 2011 PA 63, 2012 PA 200, and 2013 PA 59, the information, communications, and technology innovation fund may accept contributions, gifts, bequests, devises, grants, and donations.

(3) In addition to the funds appropriated by 2011 PA 63, 2012 PA 200, and 2013 PA 59, money received by the department of technology, management, and budget as repayment of information, communications, and technology innovation project loans, or other reimbursement or revenue received by the department of technology, management, and budget as a result of information, communications, and technology innovation project loans, interest earned on that money, or subsection (2) revenue, shall be deposited in the information, communications, and technology innovation fund and is appropriated for information, communications, and technology innovation fund projects described in subsection (1). At the close of the fiscal year, any unencumbered funds remaining in the information, communications, and technology innovation fund shall remain in the fund and be carried forward into the succeeding fiscal year.

(4) This section is not effective if legislation is enacted that creates and provides for the administration and use of the information, communications, and technology innovation fund.

Sec. 832. (1) The department of technology, management, and budget shall inform the senate and house appropriations subcommittees on general government and the senate and house fiscal agencies within 30 days of any potential or actual penalties assessed by the federal government for failure of the Michigan child support enforcement system to achieve certification by the federal government.

(2) If potential penalties are assessed by the federal government, the department of technology, management, and budget shall submit a report to the senate and house appropriations subcommittees on general government and the senate and house fiscal agencies within 90 days specifying the department’s plans to avoid actual penalties and ensure federal certification of the Michigan child support enforcement system.

Sec. 833. (1) The state budget director, upon notification to the senate and house of representatives standing committees on appropriations, may adjust spending authorization and user fees in the department of technology, management, and budget in order to ensure that the appropriations for information technology in the department budget equal the appropriations for information technology in the budgets for all executive branch agencies.

(2) If during the course of the fiscal year a transfer or supplemental to or from the information technology line item within an agency budget is made under section 393 of the management and budget act, 1984 PA 431, MCL 18.1393, there is appropriated an equal amount of user fees in the department of technology, management, and budget budget to accommodate an increase or decrease in spending authorization.

Sec. 834. (1) Revenue collected from licenses issued under the antenna site management project shall be deposited into the antenna site management revolving fund created for this purpose in the department of technology, management, and budget. The department may receive and expend money from the fund for costs associated with the antenna site management project, including the cost of a third-party site manager. Any excess revenue remaining in the fund at the close of the fiscal year shall be proportionately transferred to the appropriate state restricted funds as designated in statute or by constitution.

(2) An antenna shall not be placed on any site pursuant to this section without complying with the respective local zoning codes and local unit of government processes.

Sec. 835. In addition to the funds appropriated in part 1, the funds collected by the department for supplying census-related information and technical services, publications, statistical studies, population projections and estimates, and other demographic products are appropriated for all expenses necessary to provide the required services. These funds are available for expenditure when they are received and may be carried forward into the next succeeding fiscal year.

Sec. 836. (1) From the funds appropriated in part 1 for information technology investment projects, the department shall conduct an analysis of public or private cloud computing technologies for new projects. The analysis shall include, but is not limited to, potential cost savings, data security, complexity, and improved information technology flexibility for the state. The department shall give preference to cloud computing technologies that present the highest opportunity for information technology savings and that have a proven track record.

(2) For existing projects or system upgrades, the department shall conduct an analysis of migrating the project to a cloud-based platform. The analysis shall include, but is not limited to, potential cost savings, data security, complexity, and improved information technology flexibility for the state. The department shall give preference to cloud computing technologies that present the highest opportunity for information technology savings.

Sec. 840. From the funds appropriated in part 1, the department, in consultation with the department of treasury, shall issue an RFP for a publicly accessible statewide online citizens guide and dashboard web service that offers access to state of Michigan reports and data from municipalities, local, and intermediate school districts as a common transparency solution and that has a fiscal stress warning system as a component. The RFP shall meet the requirements listed in section 958. For local and intermediate school districts, the web service shall provide access to revenue and expenditure data, statements of financial position, fiscal distress indicators, and miscellaneous reports such as enrollment, retirement rates, and long-term debt.

STATE BUILDING AUTHORITY RENT

Sec. 842. (1) The state building authority rent appropriations in part 1 may also be expended for the payment of required premiums for insurance on facilities owned by the state building authority or payment of costs that may be incurred as the result of any deductible provisions in such insurance policies.

(2) If the amount appropriated in part 1 for state building authority rent is not sufficient to pay the rent obligations and insurance premiums and deductibles identified in subsection (1) for state building authority projects, there is appropriated from the general fund of the state the amount necessary to pay such obligations.

CIVIL SERVICE COMMISSION

Sec. 850. (1) In accordance with section 5 of article XI of the state constitution of 1963, all restricted funds shall be assessed a sum not less than 1% of the total aggregate payroll paid from those funds for financing the civil service commission on the basis of actual 1% restricted sources total aggregate payroll of the classified service for the preceding fiscal year. This includes, but is not limited to, restricted funds appropriated in part 1 of any appropriations act. Unexpended 1% appropriated funds shall be returned to each 1% fund source at the end of the fiscal year.

(2) The appropriations in part 1 are estimates of actual charges based on payroll appropriations. With the approval of the state budget director, the commission is authorized to adjust financing sources for civil service charges based on actual payroll expenditures, provided that such adjustments do not increase the total appropriation for the civil service commission.

(3) The financing from restricted sources shall be credited to the civil service commission by the end of the second fiscal quarter.

Sec. 851. Except where specifically appropriated for this purpose, financing from restricted sources shall be credited to the civil service commission. For restricted sources of funding within the general fund that have the legislative authority for carryover, if current spending authorization or revenues are insufficient to accept the charge, the shortage shall be taken from carryforward balances of that funding source. Restricted revenue sources that do not have carryforward authority shall be utilized to satisfy commission operating deducts first and civil service obligations second. General fund dollars are appropriated for any shortfall, pursuant to approval by the state budget director.

Sec. 852. The appropriation in part 1 to the civil service commission, for state-sponsored group insurance, flexible spending accounts, and COBRA, represents amounts, in part, included within the various appropriations throughout state government for the current fiscal year to fund the flexible spending account program included within the civil service commission. Deposits against state-sponsored group insurance, flexible spending accounts, and COBRA for the flexible spending account program shall be made from assessments levied during the current fiscal year in a manner prescribed by the civil service commission. Unspent employee contributions to the flexible spending accounts may be used to offset administrative costs for the flexible spending account program, with any remaining balance of unspent employee contributions to be lapsed to the general fund.

CAPITAL OUTLAY

Sec. 860. As used in sections 861 through 865:

(a) “Board” means the state administrative board.

(b) “Community college” does not include a state agency or university.

(c) “Department” means the department of technology, management, and budget.

(d) “Director” means the director of the department of technology, management, and budget.

(e) “Fiscal agencies” means the senate fiscal agency and the house fiscal agency.

(f) “State agency” means an agency of state government. State agency does not include a community college or university.

(g) “State building authority” means the authority created under 1964 PA 183, MCL 830.411 to 830.425.

(h) “University” means a 4-year university supported by the state. University does not include a community college or a state agency.

Sec. 861. Each capital outlay project authorized in this part and part 1 or any previous capital outlay act shall comply with the procedures required by the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 862. (1) The department shall provide the JCOS, state budget director, and the senate and house fiscal agencies with reports as considered necessary relative to the status of each planning or construction project financed by the state building authority, by this part and part 1, or by previous acts.

(2) Before the end of each fiscal year, the department shall report to the JCOS, state budget director, and the senate and house fiscal agencies for each capital outlay project other than lump sums all of the following:

(a) The account number and name of each construction project.

(b) The balance remaining in each account.

(c) The date of the last expenditure from the account.

(d) The anticipated date of occupancy if the project is under construction.

(e) The appropriations history for the project.

(f) The professional service contractor.

(g) The amount of the project financed with federal funds.

(h) The amount of the project financed through the state building authority.

(i) The total authorized cost for the project and the state authorized share if different than the total.

(3) Before the end of each fiscal year, the department shall report the following for each project by a state agency, university, or community college that is authorized for planning but is not yet authorized for construction:

(a) The name of the project and account number.

(b) Whether a program statement is approved.

(c) Whether schematics are approved by the department.

(d) Whether preliminary plans are approved by the department.

(e) The name of the professional service contractor.

(4) As used in this section, “project” includes appropriation line items made for purchase of real estate.

Sec. 864. 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.

Sec. 865. (1) A site preparation economic development fund is created in the department. As used in this section, “economic development sites” means those state-owned sites declared as surplus property pursuant to section 251 of the management and budget act, 1984 PA 431, MCL 18.1251, that would provide economic benefit to the area or to the state. The Michigan economic development corporation board and the state budget director shall determine whether or not a specific state-owned site qualifies for inclusion in the fund created under this subsection.

(2) Proceeds from the sale of any sites designated in subsection (1) shall be deposited into the fund created in subsection (1) and shall be available for site preparation expenditures, unless otherwise provided by law. The economic development sites authorized in subsection (1) are authorized for sale consistent with state law. Expenditures from the fund are authorized for site preparation activities that enhance the marketable sale value of the sites. Site preparation activities include, but are not limited to, demolition, environmental studies and abatement, utility enhancement, and site excavation.

(3) A cash advance in an amount of not more than $25,000,000.00 is authorized from the general fund to the site preparation economic development fund.

(4) An annual report shall be transmitted to the senate and house of representatives standing committees on appropriations not later than December 31 of each year. This report shall detail both of the following:

(a) The revenue and expenditure activity in the fund for the preceding fiscal year.

(b) The sites identified as economic development sites under subsection (1).

Sec. 866. For the state building authority financed construction authorization in part 1, the legislature hereby determines that the leasing of the facility from the authority is for a public purpose as authorized under 1964 PA 183, MCL 830.411 to 830.425. The legislature approves and authorizes the lease and conveyance of property to the state building authority, the state building authority acquiring the facility and leasing it to the state and the educational institution, as applicable, and the governor and secretary of state executing the lease for and on behalf of the state pursuant to the requirements of 1964 PA 183, MCL 830.411 to 830.425. Per the requirements of the lease, the legislature also agrees to appropriate annually sufficient amounts to pay the rent as obligated pursuant to the lease.

CAPITAL OUTLAY - UNIVERSITIES AND COMMUNITY COLLEGES

Sec. 873. (1) This section applies only to projects for community colleges.

(2) State support is directed towards the remodeling and additions, special maintenance, or construction of certain community college buildings. The community college shall obtain or provide for site acquisition and initial main utility installation to operate the facility. Funding shall be composed of local and state shares and not more than 50% of a capital outlay project, not including a lump-sum special maintenance project or remodeling and addition project, for a community college shall be appropriated from state and federal funds, unless otherwise appropriated by the legislature.

(3) An expenditure under this part and part 1 is authorized when the release of the appropriation is approved by the board upon the recommendation of the director. The director may recommend to the board the release of any appropriation in part 1 only after the director is assured that the legal entity operating the community college to which the appropriation is made has complied with this part and part 1 and has matched the amounts appropriated as required by this part and part 1. A release of funds in part 1 shall not exceed 50% of the total cost of planning and construction of any project, not including lump-sum remodeling and additions and special maintenance, unless otherwise appropriated by the legislature. Further planning and construction of a project authorized by this part and part 1 or applicable sections of the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594, shall be in accordance with the purpose and scope as defined and delineated in the approved program statements and planning documents. This part and part 1 are applicable to all projects for which planning appropriations were made in previous acts.

(4) The community college shall take the steps necessary to secure available federal construction and equipment money for projects funded for construction in this part and part 1 if an application was not previously made. If there is a reasonable expectation that a prior year unfunded application may receive federal money in a subsequent year, the college shall take whatever action necessary to keep the application active.

Sec. 874. If university and community college matching revenues are received in an amount less than the appropriations for capital projects contained in this part and part 1, the state funds shall be reduced in proportion to the amount of matching revenue received.

Sec. 875. (1) The director may require that community colleges and universities that have an authorized project listed in part 1 submit documentation regarding the project match and governing board approval of the authorized project not more than 60 days after the beginning of the fiscal year.

(2) If the documentation required by the director under subsection (1) is not submitted, or does not adequately authenticate the availability of the project match or board approval of the authorized project, the authorization may terminate. The authorization terminates 30 days after the director notifies the JCOS of the intent to terminate the project unless the JCOS convenes to extend the authorization.

ONE-TIME APPROPRIATIONS

Sec. 890. (1) The funds appropriated in part 1 for the regional prosperity initiative are to be used as grants to eligible regional planning organizations qualifying for funding as a regional prosperity collaborative, a regional prosperity council, or a regional prosperity board. A regional planning organization may not qualify for funding under more than 1 category in the same state fiscal year. An eligible regional planning organization is defined under any of the following:

(a) An existing regional planning commission pursuant to 1945 PA 281, MCL 125.11 to 125.25.

(b) An existing regional economic development commission pursuant to 1966 PA 46, MCL 125.1231 to 125.1237.

(c) An existing metropolitan area council pursuant to 1989 PA 292, MCL 124.651 to 124.729.

(d) A Michigan metropolitan planning organization pursuant to the moving ahead for progress in the 21st century act, Public Law 112-141.

(2) Regional planning organizations may qualify to receive not more than $250,000.00 of incentive based funding as a regional prosperity collaborative subject to meeting all of the following requirements:

(a) The existence or formation of a regional prosperity collaborative, defined as any committee developed by a regional planning organization which serves to bring organizational representation together from private, public, and nonprofit entities within a region for the purpose of creating a phase one: regional prosperity plan, as follows:

(i) The collaborative must include regional representatives from adult education, workforce development, economic development, transportation, and higher education organizations.

(ii) The phase one: regional prosperity plan is required, at a minimum, to include a 5-year economic development blueprint for the region, a performance dashboard and measurable annual goals.

(iii) The 5-year economic development blueprint must include plans related to regional planning of adult education, workforce development, economic development, transportation, and higher education.

(iv) The regional prosperity collaborative shall adopt its phase one: regional prosperity plan by a 2/3 majority vote of its members.

(b) Accountability and transparency, which requires the regional prosperity collaborative to meet the following requirements:

(i) Convene monthly meetings to consider and discuss issues leading to a common vision of economic prosperity for the region, including, but not limited to, economic development, talent, and infrastructure opportunities.

(ii) Make available on a publicly accessible Internet site by 1 or all of the regional prosperity collaborative member organizations, pertinent documents, including, but not limited to, monthly meeting agendas, minutes of monthly meetings, and the regional prosperity plan and performance dashboard.

(c) The existence of a status report detailing the spending associated with previous regional prosperity initiative grants. Organizations that have successfully received grant awards in previous fiscal years shall be required to make available to the department and on a publicly accessible Internet site information regarding the use of those grant dollars.

(3) Regional planning organizations eligible to receive a payment as a regional prosperity collaborative under subsection (2) may qualify to receive a 1-time grant of not more than $75,000.00 for feasibility and process mapping to produce a plan to transform the regional prosperity collaborative into a regional prosperity council or regional prosperity board, including necessary local formal agreements, to make recommendations that eliminate duplicative efforts and administrative functions, and to leverage resources through cooperation, collaboration, and consolidations of structures throughout the region. Plans produced to transform the regional prosperity collaborative into a regional prosperity council or regional prosperity board shall be made available on a publicly accessible Internet site by at least 1 of the regional prosperity collaborative member organizations.

(4) Regional planning organizations may qualify to receive not more than $375,000.00 of incentive based funding as a regional prosperity council subject to meeting all of the following requirements:

(a) The formation of a regional prosperity council, defined as a regional body with representation from private, public, and nonprofit entities with shared administrative services and an executive governing entity, as demonstrated by a formal local agreement or agreements for the purpose of creating a phase two: regional prosperity plan, as follows:

(i) The council must include regional representatives from adult education, workforce development, economic development, transportation, and higher education organizations.

(ii) The council shall identify additional opportunities for shared administrative services and decision-making among the private, public, and nonprofit entities within the region and continue collaboration among regional prosperity council members, including, but not limited to, representatives from adult education providers, workforce development agencies, economic development agencies, transportation service providers, and higher education institutions.

(iii) The phase two: regional prosperity plan is required to include a status report of the approved 5-year plan and the addition of a 10-year economic development blueprint for the region, including a performance dashboard with measurable annual goals, and a prioritized list of regional projects.

(iv) The regional prosperity council shall adopt its phase two: regional prosperity plan by a 2/3 vote.

(b) Accountability and transparency, which requires the regional prosperity council to meet the following requirements:

(i) Convene monthly meetings to consider, discuss, and make business decisions on issues leading to a common vision of economic prosperity for the region, including, but not limited to, economic development, talent, and infrastructure opportunities.

(ii) Make available on a publicly accessible Internet site by 1 or all of the regional prosperity council member organizations, pertinent documents, including, but not limited to, monthly meeting agendas, minutes of monthly meetings, local agreements pertinent to the organization and operations of the council, feasibility studies, the regional prosperity plan, and performance dashboard.

(c) The existence of a status report detailing the spending associated with previous regional prosperity initiative grants. Organizations that have successfully received grant awards in previous fiscal years shall be required to make available to the department and on a publicly accessible Internet site information regarding the use of those grant dollars.

(5) Regional planning organizations eligible to receive a payment as a regional prosperity council under subsection (4) may qualify to receive a 1-time grant of not more than $75,000.00 for feasibility and process mapping to produce a plan to transform the regional prosperity council into a regional prosperity board, including a singular private/public governance structure that comports with federal guidelines for governance under the workforce investment act, Public Law 105-220, the moving ahead for progress in the 21st century act, Public Law 112-141, the economic development administration and Appalachian regional development reform act of 1998, Public Law 105-393, and recommendations to eliminate duplicative efforts, administrative functions, and leverage resources through cooperation, collaboration, and consolidations of structures throughout the region.

(6) Regional planning organizations may qualify to receive not more than $500,000.00 of incentive based funding as a regional prosperity board subject to meeting all of the following requirements:

(a) The formation of a regional prosperity board, defined as a regional body with representation from private, public, and nonprofit entities engaged in joint decision-making practices for the purpose of creating a phase three: regional prosperity plan, as follows:

(i) The board, at a minimum, must demonstrate the consolidation of regional metropolitan planning organization board or boards, state designated regional planning agency board or boards, workforce development board or boards, and federally designated economic development district or districts.

(ii) The board shall create a regional services recommendations report outlining the prioritized list of state funded services and programs provided to the region, and recommendations for state-regional partnerships to support the adopted regional prosperity plan.

(iii) The phase three: regional prosperity plan is required to include a status report of the approved 10-year plan.

(iv) The regional prosperity board shall adopt its phase three: regional prosperity plan by a 2/3 vote of its members.

(b) Accountability and transparency, which requires the regional prosperity board to meet the following requirements:

(i) Convene monthly meetings to consider, discuss, and make business decisions on issues leading to a common vision of economic prosperity for the region, including, but not limited to, economic development, talent, and infrastructure opportunities.

(ii) Make available on a publicly accessible Internet site by 1 or all of the regional prosperity board member organizations, pertinent documents, including, but not limited to, monthly meeting agendas, minutes of monthly meetings, local agreements pertinent to the organization and operations of the council, feasibility studies, the regional prosperity plan, performance dashboard, and the regional services recommendation report.

(7) Regional planning organizations eligible to receive a payment as a regional prosperity board under subsection (6) may qualify to receive not more than $125,000.00, to build or enhance infrastructure or tools necessary to facilitate greater collaboration among regional prosperity board members, and to implement the regional prosperity plan projects.

(8) Regional planning organizations eligible to receive a payment as a regional prosperity collaborative, board, or council may partner with other eligible regional planning organizations as defined in this section to submit joint applications. In the instance of a joint application, 1 regional planning organization must be utilized as the overall applicant. The department may award a joint application award of no greater than the sum of potential application dollars which would have otherwise been available through individual applications.

(9) The department shall develop an application process and method of grant distribution for the regional prosperity initiative. Funding applications from regional planning organizations shall be due to the department by November 1, 2014. The department shall notify regional planning organizations of grant application status by January 1, 2015. The department shall ensure that processes are established to verify that qualifying regional planning organizations meet the requirements under subsections (2), (3), (4), (5), (6), and (7), as applicable.

(10) Unexpended funds appropriated in part 1 for the regional prosperity initiative are designated as work project appropriations, and any unencumbered or unallotted funds shall not lapse at the end of the fiscal year and shall be available for expenditure for regional prosperity initiative projects under this section until the projects have been completed. The following is in compliance with section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the projects is to provide incentive-based grants to recipients under this section.

(b) The projects will be accomplished by grants to qualified regional planning organizations.

(c) The total estimated cost of all projects is $2,500,000.00.

(d) The estimated completion date is September 30, 2019.

Sec. 891. The department of technology, management, and budget shall report quarterly to the senate and house appropriations subcommittees on general government and the senate and house fiscal agencies on litigation fund expenditures. The report shall itemize expenditures by case, purpose, and department involved.

Sec. 895. (1) The amount appropriated in part 1 for Michigan business one stop - depreciation expenses shall be expended solely to pay the remaining capitalized development cost of the Michigan business one stop.

(2) Notwithstanding subsection (1), the department shall not charge state departments or agencies for, nor expend state resources on, the continued development of the Michigan business one stop. The department shall not charge state departments or agencies for maintenance or operation of the Michigan business one stop. To the extent necessary to minimize disruptions while transitioning to elimination of the Michigan business one stop, the department may expend up to $1,500,000.00 on continued maintenance and operation of the Michigan business one stop. Funds expended on continued maintenance and operation of the Michigan business one stop shall not be derived from interdepartmental grant revenues or other sources of funds deriving from fees or rates charged to other state departments and agencies.

(3) The state budget director shall reduce user fees charged to state departments by amounts equivalent to the reduction in appropriation for the Michigan business one stop.

Sec. 896. (1) From the appropriations in part 1, up to $7,000,000.00 shall be made available to the senate for future lease, purchase, and transition costs related to relocation from the Farnum building. Funds shall be disbursed to the senate upon executing a contract, lease, letter of intent, or other binding agreement issued by the senate following a competitive bid process conducted by the senate. Funds will be released upon submittal of a purchase order or other documentation of expenses for transition costs.

(2) Proceeds from the sale of the Farnum building shall be subsequently appropriated to the department in accordance with any legislation enacted that authorizes the sale of that property and an amount equal to that which was disbursed to the senate pursuant to subsection (1) shall also be appropriated to the department.

Sec. 897. (1) From the funds appropriated for special projects in part 1, $250,000.00 is appropriated for the Catholic charities center for hope to restore and renovate the building where the center for hope is located and for any other necessary expenses.

(2) From the funds appropriated for special projects in part 1, $500,000.00 is appropriated for payments to individuals and surviving spouses receiving retirement pay under section 411 of the Michigan military act, 1967 PA 150, MCL 32.811. Payments shall be in the amount of $120.00 for each qualifying individual. If legislation is enacted that would otherwise duplicate payments made under this subsection, the $500,000.00 appropriated under this subsection shall be used to fund the costs of any statutorily required payments to affected military retirees.

DEPARTMENT OF TREASURY

OPERATIONS

Sec. 901. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $1,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $10,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $200,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $40,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 902. (1) Amounts needed to pay for interest, fees, principal, mandatory and optional redemptions, arbitrage rebates as required by federal law, and costs associated with the payment, registration, trustee services, credit enhancements, and issuing costs in excess of the amount appropriated to the department of treasury in part 1 for debt service on notes and bonds that are issued by the state under sections 14, 15, and 16 of article IX of the state constitution of 1963 as implemented by 1967 PA 266, MCL 17.451 to 17.455, are appropriated.

(2) In addition to the amount appropriated to the department of treasury for debt service in part 1, there is appropriated an amount for fiscal year cash-flow borrowing costs to pay for interest on interfund borrowing made under 1967 PA 55, MCL 12.51 to 12.53.

(3) In addition to the amount appropriated to the department of treasury for debt service in part 1, there is appropriated all repayments received by the state on loans made from the school bond loan fund not required to be deposited in the school loan revolving fund by or pursuant to section 4 of 1961 PA 112, MCL 388.984, to the extent determined by the state treasurer, for the payment of debt service, including, without limitation, optional and mandatory redemptions, on bonds, notes or commercial paper issued by the state pursuant to 1961 PA 112, MCL 388.981 to 388.985.

Sec. 902a. The department of treasury shall notify the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget office not more than 30 days after a refunding or restructuring bond issue is sold. The notification shall compare the annual debt service prior to the refinancing or restructuring, the annual debt service after the refinancing or restructuring, the change in the principal and interest over the duration of the debt, and the projected change in the present value of the debt service due to the refinancing and restructuring.

Sec. 903. (1) From the funds appropriated in part 1, the department of treasury may contract with private collection agencies and law firms to collect taxes and other accounts due this state. In addition to the amounts appropriated in part 1 to the department of treasury, there are appropriated amounts necessary to fund collection costs and fees not to exceed 25% of the collections or 2.5% plus operating costs, whichever amount is prescribed by each contract. The appropriation to fund collection costs and fees for the collection of taxes or other accounts due this state are from the fund or account to which the revenues being collected are recorded or dedicated. However, if the taxes collected are constitutionally dedicated for a specific purpose, the appropriation of collection costs and fees are from the general purpose account of the general fund.

(2) From the funds appropriated in part 1, the department of treasury may contract with private collections agencies and law firms to collect defaulted student loans and other accounts due the Michigan guaranty agency. In addition to the amounts appropriated in part 1 to the department of treasury, there are appropriated amounts necessary to fund collection costs and fees not to exceed 24.34% of the collection or a lesser amount as prescribed by the contract. The appropriation to fund collection costs and fees for the auditing and collection of defaulted student loans due the Michigan guaranty agency is from the fund or account to which the revenues being collected are recorded or dedicated.

(3) The department of treasury shall submit a report for the immediately preceding fiscal year ending September 30 to the state budget director and the senate and house of representatives standing committees on appropriations not later than November 30 stating the agencies or law firms employed, the amount of collections for each, the costs of collection, and other pertinent information relating to determining whether this authority should be continued.

Sec. 904. (1) The department of treasury, through its bureau of investments, may charge an investment service fee against the applicable retirement funds. The fees may be expended for necessary salaries, wages, contractual services, supplies, materials, equipment, travel, worker’s compensation insurance premiums, and grants to the civil service commission and state employees’ retirement funds. Service fees shall not exceed the aggregate amount appropriated in part 1. The department of treasury shall maintain accounting records in sufficient detail to enable the retirement funds to be reimbursed periodically for fee revenue that is determined by the department of treasury to be surplus.

(2) In addition to the funds appropriated in part 1 from the retirement funds to the department of treasury, there is appropriated from retirement funds an amount sufficient to pay for the services of money managers, investment advisors, investment consultants, custodians, and other outside professionals, the state treasurer considers necessary to prudently manage the retirement funds’ investment portfolios. The state treasurer shall report annually to the senate and house of representatives standing committees on appropriations and the state budget office concerning the performance of each portfolio by investment advisor.

Sec. 904a. (1) There is appropriated an amount sufficient to recognize and pay expenditures for financial services provided by financial institutions as provided under section 1 of 1861 PA 111, MCL 21.181.

(2) The appropriations under subsection (1) shall be funded by restricting revenues from common cash interest earnings and investment earnings in an amount sufficient to record these expenditures.

Sec. 905. A revolving fund known as the municipal finance fee fund is created in the department of treasury. Fees are established under the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821, and the fees collected shall be credited to the municipal finance fee fund and may be carried forward for future appropriation.

Sec. 906. (1) The department of treasury shall charge for audits as permitted by state or federal law or under contractual arrangements with local units of government, other principal executive departments, or state agencies. A report detailing audits performed and audit charges for the immediately preceding fiscal year shall be submitted to the state budget director and the senate and house fiscal agencies not later than November 30.

(2) A revolving fund known as the audit charges fund is created in the department of treasury. The contractual charges collected shall be credited to the audit charges fund and may be carried forward for future appropriation.

Sec. 907. A revolving fund known as the assessor certification and training fund is created in the department of treasury. The assessor certification and training fund shall be used to organize and operate a property assessor certification and training program. Each participant certified and trained shall pay to the department of treasury examination fees not to exceed $50.00 per examination and certification fees not to exceed $175.00. Training courses shall be offered in assessment administration. Each participant shall pay a fee to cover the expenses incurred in offering the optional programs to certified assessing personnel and other individuals interested in an assessment career opportunity. The fees collected shall be credited to the assessor certification and training fund.

Sec. 908. The amount appropriated in part 1 to the department of treasury, home heating assistance program, is to cover the costs, including data processing, of administering federal home heating credits to eligible claimants and to administer the supplemental fuel cost payment program for eligible tax credit and welfare recipients.

Sec. 909. Revenue from the airport parking tax act, 1987 PA 248, MCL 207.371 to 207.383, is appropriated and shall be distributed under section 7a of the airport parking tax act, 1987 PA 248, MCL 207.377a.

Sec. 910. The disbursement by the department of treasury from the bottle deposit fund to dealers as required by section 3c(2) of 1976 IL 1, MCL 445.573c, is appropriated.

Sec. 911. (1) There is appropriated an amount sufficient to recognize and pay refundable income tax credits as provided by the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

(2) The appropriations under subsection (1) shall be funded by restricting income tax revenue in an amount sufficient to record these expenditures.

Sec. 912. A plaintiff in a garnishment action involving this state shall pay to the state treasurer 1 of the following:

(a) A fee of $6.00 at the time a writ of garnishment of periodic payments is served upon the state treasurer, as provided in section 4012 of the revised judicature act of 1961, 1961 PA 236, MCL 600.4012.

(b) A fee of $6.00 at the time any other writ of garnishment is served upon the state treasurer, except that the fee shall be reduced to $5.00 for each writ of garnishment for individual income tax refunds or credits filed by magnetic media.

Sec. 913. (1) The department of treasury may contract with private firms to appraise and, if necessary, appeal the assessments of senior citizen cooperative housing units. Payment for this service shall be from savings resulting from the appraisal or appeal process.

(2) Of the funds appropriated in part 1 to the department of treasury for the senior citizens’ cooperative housing tax exemption program, a portion may be utilized for a program audit of the program. The department of treasury shall forward copies of any audit report completed to the senate and house of representatives standing committees on appropriations subcommittees on general government and to the state budget office. The department of treasury may utilize up to 1% of the funds for program administration and auditing.

Sec. 914. The department of treasury may provide a $200.00 annual prize from the Ehlers internship award account in the gifts, bequests, and deposit fund to the runner-up of the Rosenthal prize for interns. The Ehlers internship award account is interest bearing.

Sec. 915. Pursuant to section 61 of the Michigan campaign finance act, 1976 PA 388, MCL 169.261, there is appropriated from the general fund to the state campaign fund an amount equal to the amounts designated for tax year 2013. Except as otherwise provided in this section, the amount appropriated shall not revert to the general fund and shall remain in the state campaign fund. Any amounts remaining in the state campaign fund in excess of $10,000,000.00 on December 31 shall revert to the general fund.

Sec. 916. The department of treasury may make available to interested entities otherwise unavailable customized unclaimed property listings of nonconfidential information in its possession. The charge for this information is as follows: 1 to 100,000 records at 2.5 cents per record and 100,001 or more records at .5 cents per record. The revenue received from this service shall be deposited to the appropriate revenue account or fund. The department shall submit an annual report on or before June 1 to the state budget director and the senate and house of representatives standing committees on appropriations that states the amount of revenue received from the sale of information.

Sec. 917. (1) There is appropriated for write-offs and advances an amount equal to total write-offs and advances for departmental programs, but not to exceed current year authorizations that would otherwise lapse to the general fund.

(2) The department of treasury shall submit a report for the immediately preceding fiscal year to the state budget director and the senate and house fiscal agencies not later than November 30 stating the amounts appropriated for write-offs and advances under subsection (1).

Sec. 918. In addition to funds appropriated in part 1, the department of treasury may receive and expend funds for conducting tax orientation workshops and seminars. Funds received may not exceed costs incurred in conducting the workshops and seminars.

Sec. 919. (1) From funds appropriated in part 1, the department of treasury may contract with private auditing firms to audit for and collect unclaimed property due this state in accordance with the uniform unclaimed property act, 1995 PA 29, MCL 567.221 to 567.265. In addition to the amounts appropriated in part 1 to the department of treasury, there are appropriated amounts necessary to fund auditing and collection costs and fees not to exceed 12% of the collections, or a lesser amount as prescribed by the contract. The appropriation to fund collection costs and fees for the auditing and collection of unclaimed property due this state is from the fund or account to which the revenues being collected are recorded or dedicated.

(2) The department of treasury shall submit a report for the immediately preceding fiscal year ending September 30 to the state budget director and the senate and house of representatives standing committees on appropriations not later than November 30 stating the auditing firms employed, the amount of collections for each, the costs of collection, and other pertinent information relating to determining whether this authority should be continued.

Sec. 924. (1) In addition to the funds appropriated in part 1, the department of treasury may receive and expend principal residence audit fund revenue for administration of principal residence audits under the general property tax act, 1893 PA 206, MCL 211.1 to 211.155.

(2) The department of treasury shall submit a report for the immediately preceding fiscal year to the state budget director and the senate and house fiscal agencies not later than December 31 stating the amount of exemptions denied and the revenue received under the program.

Sec. 926. Unexpended appropriations of the John R. Justice grant program are designated as work project appropriations and shall not lapse at the end of the fiscal year and shall continue to be available for expenditure until the project has been completed. The following is in compliance with section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the project is to provide student loan forgiveness to qualified public defenders and prosecutors.

(b) The project will be accomplished by utilizing state employees or contracts with private vendors, or both.

(c) The total estimated cost of the project is $287,700.00.

(d) The tentative completion date is September 30, 2016.

Sec. 927. The department of treasury shall submit annual progress reports to the senate and house of representatives standing committees on appropriations subcommittees on general government and the senate and house fiscal agencies, regarding personal property tax audits. The report shall include the number of audits, revenue generated, and number of complaints received by the department related to the audits.

Sec. 928. The department of treasury may provide receipt, warrant and cash processing, data, collection, investment, fiscal agent, levy and warrant cost assessment, writ of garnishment, and other user services on a contractual basis for other principal executive departments and state agencies. Funds for the services provided are appropriated and shall be expended for salaries and wages, fees, supplies, and equipment necessary to provide the services. Any unobligated balance of the funds received shall revert to the general fund of this state as of September 30.

Sec. 930. (1) The department of treasury shall provide accounts receivable collections services to other principal executive departments and state agencies under 1927 PA 375, MCL 14.131 to 14.134. The department of treasury shall deduct a fee equal to the cost of collections from all receipts except unrestricted general fund collections. Fees shall be credited to a restricted revenue account and appropriated to the department of treasury to pay for the cost of collections. The department of treasury shall maintain accounting records in sufficient detail to enable the respective accounts to be reimbursed periodically for fees deducted that are determined by the department of treasury to be surplus to the actual cost of collections.

(2) The department of treasury shall submit a report for the immediately preceding fiscal year to the state budget director and the senate and house fiscal agencies not later than November 30 stating the principal executive departments and state agencies served, funds collected, and costs of collection under subsection (1).

Sec. 931. (1) The appropriation in part 1 to the department of treasury for treasury fees shall be assessed against all restricted funds that receive common cash earnings or other investment income. Treasury fees include all costs, including administrative overhead, relating to the investment of each restricted fund. The fee assessed against each restricted fund will be based on the size of the restricted fund (the absolute value of the average daily cash balance plus the market value of investments in the prior fiscal year) and the level of effort necessary to maintain the restricted fund as required by each department. The department of treasury shall provide a report to the state budget director, the senate and house of representatives standing committees on appropriations subcommittees on general government, and the senate and house fiscal agencies by November 30 of each year identifying the fees assessed against each restricted fund and the methodology used for assessment.

(2) In addition to the funds appropriated in part 1, the department of treasury may receive and expend investment fees relating to new restricted funding sources that participate in common cash earnings or other investment income during the current fiscal year. When a new restricted fund is created starting on or after October 1, that restricted fund shall be assessed a fee using the same criteria identified in subsection (1).

Sec. 932. Revenue received under the Michigan education trust act, 1986 PA 316, MCL 390.1421 to 390.1442, may be expended by the board of directors of the Michigan education trust for necessary salaries, wages, supplies, contractual services, equipment, worker’s compensation insurance premiums, and grants to the civil service commission and state employees’ retirement fund.

Sec. 934. (1) The department of treasury may expend revenues received under the hospital finance authority act, 1969 PA 38, MCL 331.31 to 331.84, the shared credit rating act, 1985 PA 227, MCL 141.1051 to 141.1076, the higher education facilities authority act, 1969 PA 295, MCL 390.921 to 390.934, the Michigan public educational facilities authority, Executive Reorganization Order No. 2002-3, MCL 12.192, the Michigan tobacco settlement finance authority act, 2005 PA 226, MCL 129.261 to 129.279, the land bank fast track act, 2003 PA 258, MCL 124.751 to 124.774, part 505 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.50501 to 324.50522, the state housing development authority act of 1966, 1966 PA 346, MCL 125.1401 to 125.1499c, and the Michigan finance authority, Executive Reorganization Order No. 2010-2, MCL 12.194, for necessary salaries, wages, supplies, contractual services, equipment, worker’s compensation insurance premiums, grants to the civil service commission and state employees’ retirement fund, and other expenses as allowed under those acts.

(2) The department of treasury shall report by January 31 to the senate and house appropriations subcommittees, the senate and house fiscal agencies, and the state budget director on the amount and purpose of expenditures made under subsection (1) from funds received in addition to those appropriated in part 1. The report shall also include a listing of reimbursement of revenue, if any. The report shall cover the 2013-2014 fiscal year.

Sec. 935. The funds appropriated in part 1 for dual enrollment payments for an eligible student enrolled in a state-approved nonpublic school shall be distributed as provided under the postsecondary enrollment options act, 1996 PA 160, MCL 388.511 to 388.524, and the career and technical preparation act, 2000 PA 258, MCL 388.1901 to 388.1913, in a form and manner as determined by the department of treasury.

Sec. 944. If the department hires a pension plan consultant using any of the funds appropriated in part 1, the department shall annually forward any report provided to the department by that consultant to the senate and house of representatives standing committees on appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget director.

Sec. 945. The assessment and certification division of the department of treasury shall conduct a review of local unit assessment administration practices, procedures, and records, also known as the 14-point review, in at least 1 assessment jurisdiction per county.

Sec. 946. Revenue collected in the convention facility development fund is appropriated and shall be distributed under sections 8 and 9 of the state convention facility development act, 1985 PA 106, MCL 207.628 and 207.629.

Sec. 947. Financial independence teams shall cooperate with the office of fiscal responsibility to coordinate and streamline efforts in identifying and addressing fiscal emergencies in school districts and intermediate school districts.

Sec. 949. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $48,636,500.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $26,860,700.00. Total agency appropriations for retiree health care legacy costs are estimated at $21,775,800.00.

Sec. 949a. The appropriation of $1,100,000.00 in part 1 for the city of Flint shall be allocated to support city police and firefighters. The emergency manager shall determine which public safety personnel are to be funded from this award. If the city has an appointed receivership transition advisory board, then that board is vested with the authority to make the determination of which personnel are funded from this award.

REVENUE SHARING

Sec. 950. The funds appropriated in part 1 for constitutional revenue sharing shall be distributed by the department to cities, villages, and townships, as required under section 10 of article IX of the state constitution of 1963. Revenue collected in accordance with section 10 of article IX of the state constitution of 1963 in excess of the amount appropriated in part 1 for constitutional revenue sharing is appropriated for distribution to cities, villages, and townships, on a population basis as required under section 10 of article IX of the state constitution of 1963.

Sec. 952. (1) The funds appropriated in part 1 for city, village, and township revenue sharing are for grants to cities, villages, and townships such that, subject to fulfilling the requirements under subsection (3), each city, village, or township that received a payment under section 950(2) of 2009 PA 128 greater than $4,500.00 is eligible to receive a payment equal to 78.51044% of its total payment received under section 950(2) of 2009 PA 128 or for each city, village, or township with a population in excess of 7,500, notwithstanding whether it received a payment greater than $4,500.00 under section 950(2) of 2009 PA 128, a payment equal to the population of the city, village, or township multiplied by $2.64659, whichever is greater, rounded to the nearest dollar. Payments under this section to cities, villages, or townships that did not receive a payment under section 950(2) of 2009 PA 128 greater than $4,500.00 are 1-time payments for which eligibility is based on a presumed level of local services provided. For purposes of this subsection, any city, village, or township that completely merges with another city, village, or township will be treated as a single entity, such that when determining the payment received under section 950(2) of 2009 PA 128 for the combined single entity, the amount each of the merging local units received under section 950(2) of 2009 PA 128 is summed. For purposes of this subsection, population is determined in the same manner as under section 3 of the Glenn Steil state revenue sharing act of 1971, 1971 PA 140, MCL 141.903. In addition, any city or village that according to the 2010 federal decennial census is determined to have population in more than 1 county shall be treated as a single entity when determining the payment received under section 950(2) of 2009 PA 128.

(2) The funds appropriated in part 1 for the county incentive program are to be used for grants to counties such that each county is eligible to receive an amount equal to the amount by which the balance in its revenue sharing reserve fund under section 44a of the general property tax act, 1893 PA 206, MCL 211.44a, for the county’s most recent fiscal year that ends prior to the January 1 of the state’s fiscal year is less than the amount calculated under section 44a(13) of the general property tax act, 1893 PA 206, MCL 211.44a, for the county fiscal year that begins in the state’s fiscal year. The amount calculated under this subsection shall be adjusted as necessary to reflect partial county fiscal years and prorated based on the total amount appropriated for distribution to all eligible counties. Except as otherwise provided under this subsection, payments under this subsection will be distributed to an eligible county subject to the county’s fulfilling the requirements under subsection (3).

(3) For purposes of accountability and transparency, each eligible city, village, township, or county shall certify by December 1, or the first day of a payment month, that it has produced a citizen’s guide of its most recent local finances, including a recognition of its unfunded liabilities; a performance dashboard; a debt service report containing a detailed listing of its debt service requirements, including, at a minimum, the issuance date, issuance amount, type of debt instrument, a listing of all revenues pledged to finance debt service by debt instrument, and a listing of the annual payment amounts; and a projected budget report, including, at a minimum, the current fiscal year and a projection for the immediately following fiscal year. The projected budget report shall include revenues and expenditures and an explanation of the assumptions used for the projections. The citizen’s guide, performance dashboard, debt service report, and projected budget report shall be made available for public viewing in the city, village, township, or county clerk’s office or posted on a publicly accessible Internet site. Each city, village, township, and county applying for a payment under this subsection shall submit a copy of the citizen’s guide, a copy of the performance dashboard, a copy of the debt service report, and a copy of the projected budget report to the department of treasury. The department of treasury shall develop detailed guidance for a city, village, township, or county to follow to meet the requirements of this subsection. The detailed guidance shall be posted on the department of treasury website and distributed to cities, villages, townships, and counties by October 1.

(4) City, village, and township revenue sharing payments and county incentive program payments are subject to the following conditions:

(a) The city, village, township, or county shall certify to the department that it has met the required criteria for subsection (3) and submitted the required citizen’s guide, performance dashboard, debt service report, and projected budget report as required by subsection (3). A department of treasury review of the citizen’s guide, dashboard, or reports is not required in order for a city, village, township, or county to receive a payment under subsection (1) or (2). The department shall develop a certification process and method for cities, villages, townships, and counties to follow.

(b) Subject to subdivisions (c), (d), and (e), if a city, village, township, or county meets the requirements of subsection (3), the city, village, township, or county shall receive its full potential payment under this section.

(c) Cities, villages, and townships eligible to receive a payment under subsection (1) shall receive 1/6 of their eligible payment on the last business day of October, December, February, April, June, and August. After the specified due date for subsection (3), payments shall be made to a city, village, or township only if that city, village, or township has complied with subdivision (a).

(d) After the specified due date for subsection (3), payments shall be made to a county only if that county has complied with subdivision (a).

(e) If a county does not provide the required certification or fails to submit the required citizen’s guide, performance dashboard, debt service report, and projected budget report by the first day of a payment month, the county shall forfeit the payment in that payment month.

(f) Any city, village, township, or county that falsifies certification documents shall forfeit any future city, village, and township revenue sharing payments or county incentive program payments and shall repay to this state all payments it has received under this section.

(g) City, village, and township revenue sharing payments and county incentive program payments under this section shall be distributed on the last business day of October, December, February, April, June, and August.

(h) Payments distributed under this section may be withheld pursuant to sections 17a and 21 of the Glenn Steil state revenue sharing act of 1971, 1971 PA 140, MCL 141.917a and 141.921.

(5) The unexpended funds appropriated in part 1 for city, village, and township revenue sharing and the county incentive program shall be available for expenditure under the program for financially distressed cities, villages, or townships after the approval of transfers by the legislature pursuant to section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 955. (1) The funds appropriated in part 1 for county revenue sharing shall be distributed by the department to eligible counties pursuant to the Glenn Steil state revenue sharing act of 1971, 1971 PA 140, MCL 141.901 to 141.921.

(2) The department of treasury shall annually certify to the state budget director the amount each county is authorized to expend from its revenue sharing reserve fund.

Sec. 956. (1) The funds appropriated in part 1 for financially distressed cities, villages, and townships shall be granted by the department of treasury to cities, villages, and townships that have 1 or more conditions that indicate probable financial distress, as determined by the department of treasury. A city, village, or township with 1 or more conditions that indicate probable financial distress may apply in a manner determined by the department of treasury for a grant to pay for specific projects or services that move the city, village, or township toward financial stability. The city, village, or township may use, but is not limited to using, the grants under this section to make payments to reduce unfunded accrued liability; to repair critical infrastructure owned and maintained by the city, village, or township; to reduce general fund debt; or for costs associated with a transition to shared services. The plan for use of the grant shall be developed by the city, village, or township in conjunction with the department of treasury. The department of treasury shall award no more than $2,000,000.00 to any city, village, or township under this section.

(2) The department of treasury shall provide a report to the senate and house of representatives appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office by March 15. The report shall include a list by grant recipient of the date each grant was approved, the amount of the grant, the schedule for disbursement, and a description of the project or projects that will be paid by the grant.

(3) The unexpended funds appropriated in part 1 for financially distressed cities, villages, and townships are designated as a work project appropriation, and any unencumbered or unallotted funds shall not lapse at the end of the fiscal year and shall be available for expenditure for projects under this section until the projects have been completed. The following is in compliance with section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the project is to provide assistance to financially distressed cities, villages, and townships under this section.

(b) The projects will be accomplished by grants to cities, villages, and townships approved by the department of treasury.

(c) The total estimated cost of all projects is $8,000,000.00.

(d) The tentative completion date is September 30, 2019.

Sec. 958. (1) From the funds appropriated in part 1, the department shall work with the department of technology, management, and budget to issue an RFP pursuant to section 840 for a statewide online financial accountability reporting system accessible to the general public that displays local government audit data submitted pursuant to section 4 of the uniform budgetary and accounting act, 1968 PA 2, MCL 141.424, and any other data. The online financial accountability reporting system shall include reports of fiscal distress indicators, revenue and expenditures, unfunded liabilities, statements of financial position, crime statistics, public safety, shared services, revenues and expenses per full-time employee, and other indicators as determined by the department. The online financial accountability reporting system shall allow the comparison of the financial statistics between local units of government and access to the audit data submitted by each local unit of government. The reporting system shall include the capability to generate the citizens’ guide to local finances required of recipients of funding under section 952.

(2) The department shall report to the house and senate appropriations subcommittees on general government, the house and senate fiscal agencies, and the state budget director by March 15 on the status of the RFP for the online system described in subsection (1).

LOTTERY

Sec. 960. In addition to the funds appropriated in part 1 to the bureau of state lottery, there is appropriated from state lottery fund revenues the amount necessary for, and directly related to, implementing and operating lottery games under the McCauley-Traxler-Law-Bowman-McNeely lottery act, 1972 PA 239, MCL 432.1 to 432.47, and activities under the Traxler-McCauley-Law-Bowman bingo act, 1972 PA 382, MCL 432.101 to 432.120, including expenditures for contractually mandated payments for vendor commissions, contractually mandated payments for instant tickets intended for resale, the contractual costs of providing and maintaining the online system communications network, and incentive and bonus payments to lottery retailers.

Sec. 963. The bureau of state lottery shall inform all lottery retailers that the cash side of department of human services bridge cards cannot be used to purchase lottery tickets.

CASINO GAMING

Sec. 971. From the revenue collected by the Michigan gaming control board regarding the total annual assessment of each casino licensee, $2,000,000.00 is appropriated and shall be deposited in the compulsive gaming prevention fund as described in section 12a(5) of the Michigan gaming control and revenue act, 1996 IL 1, MCL 432.212a.

Sec. 973. (1) Funds appropriated in part 1 for local government programs may be used to provide assistance to a local revenue sharing board referenced in an agreement authorized by the Indian gaming regulatory act, Public Law 100‑497.

(2) A local revenue sharing board described in subsection (1) shall comply with the open meetings act, 1976 PA 267, MCL 15.261 to 15.275, and the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.

(3) A county treasurer is authorized to receive and administer funds received for and on behalf of a local revenue sharing board. Funds appropriated in part 1 for local government programs may be used to audit local revenue sharing board funds held by a county treasurer. This section does not limit the ability of local units of government to enter into agreements with federally recognized Indian tribes to provide financial assistance to local units of government or to jointly provide public services.

(4) A local revenue sharing board described in subsection (1) shall comply with all applicable provisions of any agreement authorized by the Indian gaming regulatory act, Public Law 100-497, in which the local revenue sharing board is referenced, including, but not limited to, the disbursal of tribal casino payments received under applicable provisions of the tribal-state class III gaming compact in which those funds are received.

(5) The director of the department of state police and the executive director of the Michigan gaming control board are authorized to assist the local revenue sharing boards in determining allocations to be made to local public safety organizations.

(6) The Michigan gaming control board shall submit a report by September 30 to the senate and house of representatives standing committees on appropriations and the state budget director on the receipts and distribution of revenues by local revenue sharing boards.

Sec. 974. If revenues collected in the state services fee fund are less than the amounts appropriated from the fund, available revenues shall be used to fully fund the appropriation in part 1 for casino gaming regulation activities before distributions are made to other state departments and agencies. If the remaining revenue in the fund is insufficient to fully fund appropriations to other state departments or agencies, the shortfall shall be distributed proportionally among those departments and agencies.

Sec. 976. The executive director of the Michigan gaming control board may pay rewards of not more than $5,000.00 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 appropriation in part 1 for the racing commission.

Sec. 977. All appropriations from the Michigan agriculture equine industry development fund, except for the racing commission and laboratory analysis program appropriations, shall be reduced proportionately if revenues to the Michigan agriculture equine industry development fund decline during the fiscal year ending September 30, 2015 to a level lower than the amount appropriated in part 1.

Sec. 978. 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 appropriations subcommittees on agriculture 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. 979. In addition to the funds appropriated in part 1, the Michigan gaming control board may receive and expend state lottery fund revenue in an amount not to exceed $4,000,000.00 for necessary expenses incurred in the licensing and regulation of millionaire parties pursuant to Executive Order No. 2012-4. In accordance with section 8 of the Traxler-McCauley-Law-Bowman bingo act, 1972 PA 382, MCL 432.108, the amount of necessary expenses shall not exceed the amount of revenue received under that act. The Michigan gaming control board shall provide a report to the senate and house of representatives appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office by April 15. The report shall include, but not be limited to, total expenditures related to the licensing and regulating of millionaire parties, steps taken to ensure charities are receiving revenue due to them, progress on promulgating rules to ensure compliance with the Traxler-McCauley-Law-Bowman bingo act, 1972 PA 382, MCL 432.101 to 432.120, and any enforcement actions taken.

MICHIGAN STRATEGIC FUND - HOUSING AND COMMUNITY DEVELOPMENT

Sec. 980. MSHDA shall annually present a report to the state budget office and the subcommittees on the status of the authority’s housing production goals under all financing programs established or administered by the authority. The report shall give special attention to efforts to raise affordable multifamily housing production goals.

Sec. 981. MSHDA shall report to the subcommittees, the state budget director, and the fiscal agencies by December 1 on the status of the loans entered into by the Michigan broadband development authority.

Sec. 984. In addition to the funds appropriated in part 1, the funds collected by state historic preservation programs for document reproduction and services and application fees are appropriated for all expenses necessary to provide the required services. These funds are available for expenditure when they are received and may be carried forward into the succeeding fiscal year.

Sec. 985. In addition to the amounts appropriated in part 1, the land bank fast track authority may expend revenues received under the land bank fast track act, 2003 PA 258, MCL 124.751 to 124.774, for the purposes authorized by the act, including, but not limited to, the acquisition, lease, management, demolition, maintenance, or rehabilitation of real or personal property, payment of debt service for notes or bonds issued by the authority, and other expenses to clear or quiet title property held by the authority.

Sec. 986. As a condition for receiving funds in part 1, the land bank fast track authority shall provide a report, not later than February 15, to the chairpersons of the senate and house of representatives standing committees on appropriations, the chairpersons of the senate and house of representatives standing committees on appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office that shall include, but is not limited to, all the following:

(a) A detailed listing of revenue generating activities that would mitigate or eliminate the need for state GF/GP appropriations to support operations.

(b) A listing of any identified barriers to implementation of the revenue generating activities listed in subdivision (a).

(c) A timeline for implementing the revenue generating activities listed in subdivision (a).

Sec. 990. (1) By November 1, 2014, the Michigan state housing development authority shall work in conjunction with the department of community health and the department of human services to appoint members as provided in this section to a joint task force to review housing rehabilitation, energy and weatherization, and hazard abatement program policies and to make recommendations for integrating and coordinating project delivery with the goals of serving more families and achieving better outcomes by maximizing state and federal resources. The joint task force workgroup shall consist of the following members:

(a) A representative of the healthy homes section.

(b) A representative of the lead safe home program.

(c) A representative from the department of community health.

(d) A construction management specialist.

(e) A representative from the community development division.

(f) A representative of the Michigan state housing development authority.

(g) An energy and weatherization staff representative from the department of human services.

(h) A local weatherization operator.

(i) A certified lead professional or a certified lead contractor.

(j) At least 2 representatives from community organizations that address harmful housing conditions.

(2) The department of community health and the Michigan state housing development authority shall organize the initial meeting of the task force and shall provide administrative support for the task force.

(3) By March 1, 2015, the task force described in subsection (1) shall provide to the house and senate chairs of the appropriations subcommittee for the departments in this section, the senate and house fiscal agencies, and the senate and house policy offices a report of its findings and recommendations.

MICHIGAN STRATEGIC FUND

Sec. 1001. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $20,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

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

Sec. 1005. In addition to the appropriations in part 1, Travel Michigan may receive and expend private revenue related to the use of “Pure Michigan” and all other copyrighted slogans and images. This revenue may come from the direct licensing of the name and image or from the royalty payments from various merchandise sales. Revenue collected is appropriated for the marketing of the state as a travel destination. The funds are available for expenditure when they are received by the department of treasury. The fund shall provide a report that lists the revenues by source received from the use of “Pure Michigan” and all other copyrighted slogans and images. The report shall provide a detailed list of expenditures of revenues received under this section. The report shall be provided to the appropriations subcommittees on general government, the fiscal agencies, and the state budget office by June 1.

Sec. 1007. (1) The fund shall provide reports to the relevant subcommittees, the state budget director, and the fiscal agencies concerning the activities of the MEDC grants and investment programs financed from the fund using investment, Indian gaming revenues, or other revenues. The report shall provide a list of individual grants, loans, and investments made from the fund or by the MEDC from the funds appropriated in part 1 and shall include the name of the recipient, the amount awarded to the recipient, and the purpose of the grant. The activities report shall also include, but not be limited to, the following programs funded in part 1:

(a) Travel Michigan, including any expenditures authorized under section 89b of the Michigan strategic fund act, 1984 PA 270, MCL 125.2089b, to supplement the Michigan promotion program. The report shall include the number of commercials produced, the markets in which media buys have been made, any web-based products that were created with these funds and identify the geographical market locations and recreational activities used in Michigan tourism promotion material.

(b) Business attraction, retention, and growth, including any expenditures authorized under section 89b of the Michigan strategic fund act, 1984 PA 270, MCL 125.2089b, to supplement the Michigan business marketing program. The report shall include the number of commercials produced, the markets in which media buys have been made, and any web-based products that were created as a result of this appropriation.

(c) Business services.

(d) Community development block grants.

(e) Strategic fund administration.

(f) Renaissance zones.

(g) 21st century investment program.

(h) Business and clean air ombudsman.

(i) Michigan business development program.

(j) Community revitalization program.

(k) Film incentives.

(l) Any other programs of the fund.

(2) As a condition of the expenditure of funds appropriated in part 1 for business attraction and community revitalization and film incentives, the fund shall submit a report to the chairpersons of the senate and house of representatives standing committees on appropriations, the chairpersons of the senate and house of representatives standing committees on appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office that provides performance metrics for the Michigan business development program, community revitalization program, and film incentives. The report shall include, but is not limited to, all of the following for funds appropriated in 2011 PA 63, 2012 PA 200, and 2013 PA 59:

(a) Total verified jobs created compared to total committed jobs.

(b) Total actual private investment compared to total projected private investment.

(c) An estimate of the return on investment to the state as a result of the incentives.

(d) A listing of projects previously awarded incentives that were revoked and the reason for revocation.

(e) A listing of projects that had incentive contracts amended by the fund or MEDC. The listing shall include a detailed listing of the amendments made to the contract.

(3) The reports in subsections (1) and (2) shall be submitted by February 15. The report for each program in subsection (1)(a) through (l) shall include details on all revenue sources, actual expenditures, and number of FTEs for that program for the previous fiscal year.

Sec. 1008. As a condition of receiving funds under part 1, any interlocal agreement entered into by the fund shall include language which states that if a local unit of government has a contract or memorandum of understanding with a private economic development agency, the MEDC will work cooperatively with that private organization in that local area.

Sec. 1009. (1) Of the funds appropriated to the fund or through grants to the MEDC, no funds shall be expended for the purchase of options on land or the purchase of land unless at least 1 of the following conditions applies:

(a) The land is located in an economically distressed area.

(b) The land is obtained through a purchase or exercise of an option at the invitation of the local unit of government and local economic development agency.

(2) Consideration may be given to purchases where the proposed use of the land is consistent with a regional land use plan, will result in the redevelopment of an economically distressed area, can be supported by existing infrastructure, and will not cause shifts in population away from the area’s population centers.

(3) As used in this section, “economically distressed area” means an area in a city, village, or township that has been designated as blighted; a city, village, or township that shows negative population change from 1970 and a poverty rate and unemployment rate greater than the statewide average; or an area certified as a neighborhood enterprise zone under the neighborhood enterprise zone act, 1992 PA 147, MCL 207.771 to 207.786.

Sec. 1010. As a condition for receiving funds in part 1, not later than February 15, the fund shall provide a report for the immediately preceding fiscal year on the jobs for Michigan investment fund, created in section 88h of the Michigan strategic fund act, 1984 PA 270, MCL 125.2088h. The report shall be submitted to the chairpersons of the senate and house of representatives standing committees on appropriations, the chairpersons of the senate and house of representatives standing committees on appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office. The report shall include, but is not limited to, all of the following:

(a) A detailed listing of revenues, by fund source, to the jobs for Michigan investment fund. The listing shall include the manner and reason for which the funds were appropriated to the jobs for Michigan investment fund.

(b) A detailed listing of expenditures, by project, from the jobs for Michigan investment fund.

(c) A fiscal year-end balance of the jobs for Michigan investment fund.

Sec. 1011. (1) From the appropriations in part 1 to the fund and granted or transferred to the MEDC, any unexpended or unencumbered balance shall be disposed of in accordance with the requirements in the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594, unless carryforward authorization has been otherwise provided for.

(2) Any encumbered funds shall be used for the same purposes for which funding was originally appropriated in this part and part 1.

Sec. 1012. (1) As a condition of receiving funds under part 1, the fund shall ensure that the MEDC and the fund comply with all of the following:

(a) The freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.

(b) The open meetings act, 1976 PA 267, MCL 15.261 to 15.275.

(c) Annual audits of all financial records by the auditor general or his or her designee.

(d) All reports required by law to be submitted to the legislature.

(2) If the MEDC is unable for any reason to perform duties under this part, the fund may exercise those duties.

Sec. 1013. As a condition for receiving the appropriations in part 1, any staff of the MEDC involved in private fund-raising activities shall not be party to any decisions regarding the awarding of grants, incentives, or tax abatements from the fund, the MEDC, or the Michigan economic growth authority.

Sec. 1014. (1) All funds received from repayment of loans, unused grants, revenues received from sales or cash flow participation agreements, guarantees, or any combination of these or accrued interest originally distributed as part of the core communities fund, created by 2000 PA 291, shall be received, held, and applied by the fund for the purposes described in 2000 PA 291.

(2) The fund shall provide an annual report on the status of this fund which includes information that details the awards made. The report shall be provided to the appropriations subcommittees on general government, the fiscal agencies, and the state budget office by February 15.

Sec. 1020. Federal pass-through funds to local institutions and governments that are received in amounts in addition to those included in part 1 and that do not require additional state matching funds are appropriated for the purposes intended. The fund may carry forward into the succeeding fiscal year unexpended federal pass-through funds to local institutions and governments that do not require additional state matching funds. The fund shall report the amount and source of the funds to the senate appropriation subcommittee on economic development, the house appropriation subcommittee on general government, the senate and house fiscal agencies, and the state budget office within 10 business days after receiving any additional pass-through funds.

Sec. 1024. From the funds appropriated in part 1 for business attraction and community revitalization, not less than $20,000,000.00 shall be granted by the fund board for brownfield redevelopment and historic preservation projects under the community revitalization program authorized by chapter 8C of the Michigan strategic fund act, 1984 PA 270, MCL 125.2090 to 125.2090d.

Sec. 1031. The fund shall report to the senate and house of representatives appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office by April 15 on the spending plan for the line items for entrepreneurship eco-system and business attraction and community revitalization. If the spending plan for the fiscal year is changed after that date, the fund shall notify the report recipients listed previously within 10 business days.

Sec. 1032. (1) The Michigan film office shall report to the subcommittees and the fiscal agencies on the status of the film incentives at the same time as it submits the annual report required under section 455 of the Michigan business tax act, 2007 PA 36, MCL 208.1455. The department of treasury and the fund shall provide the Michigan film office with the data necessary to prepare the report. Incentives included in the report shall include all of the following:

(a) The tax credit provided under section 455 of the Michigan business tax act, 2007 PA 36, MCL 208.1455.

(b) The tax credit provided under section 457 of the Michigan business tax act, 2007 PA 36, MCL 208.1457.

(c) The tax credit provided under section 459 of the Michigan business tax act, 2007 PA 36, MCL 208.1459.

(d) The amount of any tax credit claimed under former section 367 of the income tax act of 1967, 1967 PA 281.

(e) Any tax credits provided for film and digital media production under the Michigan economic growth authority act, 1995 PA 24, MCL 207.801 to 207.810.

(f) Loans to an eligible production company or film and digital media private equity fund authorized under section 88d(3), (4), and (5) of the Michigan strategic fund act, 2005 PA 225, MCL 125.2088d.

(g) Any spending or activities supported by the appropriations in part 1 for film incentives.

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

(a) For each tax credit, the number of contracts signed, the projected expenditures qualifying for the credit, and the estimated value of the credits. For loans, the number of loans made under each section, the interest rate of those loans, the loan amount, the percent of the projected budget of each production financed by those loans, and the estimated interest earnings from the loan. For each film incentive awarded, including any program to support and promote a qualified facility and other film infrastructure as defined in section 29h of the Michigan strategic fund act, 1984 PA 270, MCL 125.2029h, the total funding awarded for each of the following:

(i) Direct production expenditures.

(ii) Michigan personnel expenditures.

(iii) Crew personnel expenditures.

(iv) Qualified personnel expenditures.

(v) Postproduction expenditures.

(vi) Qualified facility or infrastructure expenditures.

(vii) Spending for program administration.

(b) For credits authorized under section 455 of the Michigan business tax act, 2007 PA 36, MCL 208.1455, for productions completed by December 31, the expenditures of each production eligible for the credit that has filed a request for certificate of completion with the film office, broken down into expenditures for goods, services, or salaries and wages and showing separately expenditures in each local unit of government, including expenditures for personnel, whether or not they were made to a Michigan entity, and whether or not they were taxable under the laws of this state. For loans, the report shall include the number of loans that have been fully repaid, with principal and interest shown separately, and the number of loans that are delinquent or in default, and the amount of principal that is delinquent or is in default.

(c) For each of the tax credit incentives, loan incentives, and film incentives listed in subsection (1), a breakdown for each project or production showing each of the following:

(i) The number of temporary jobs created.

(ii) The number of permanent jobs created.

(iii) The number of persons employed in Michigan as a result of the incentive, on a full-time equated basis.

(3) For any information not included in the report due to the provisions of section 455(6), 457(6), or 459(6) of the Michigan business tax act, 2007 PA 36, MCL 208.1455, 208.1457, and 208.1459, the report shall do all of the following:

(a) Indicate how the information would describe the commercial and financial operations or intellectual property of the company.

(b) Attest that the information has not been publicly disseminated at any time.

(c) Describe how disclosure of the information may put the company at a competitive disadvantage.

(4) Any information not disclosed due to the provisions of section 455(6), 457(6), or 459(6) of the Michigan business tax act, 2007 PA 36, MCL 208.1455, 208.1457, and 208.1459, shall be presented at the lowest level of aggregation that would no longer describe the commercial and financial operations or intellectual property of the company.

Sec. 1033. The Michigan film office shall report to the chairpersons of the senate and house of representatives standing committees on appropriations subcommittees on general government and the senate and house fiscal agencies on the status of the film incentives approved under section 29h of the Michigan strategic fund act, 1984 PA 270, MCL 125.2029h, not later than 30 days following the end of each quarter of the fiscal year. The report shall include all of the following:

(a) Direct and indirect economic impacts in this state attributable to the assistance.

(b) Direct and indirect job creation in this state attributable to the assistance.

(c) Direct and indirect private investment in this state attributable to the assistance.

(d) The name of each eligible production company and the amount of each incentive disbursed for each state certified qualified production.

Sec. 1033b. For funds appropriated in part 1 from the general fund/general purpose revenue and used for the purpose of the Michigan strategic fund - film incentive program, the applicable percentage of the state certified qualified production expenditures provided in section 29h(3)(d) of the Michigan strategic fund act, 1984 PA 270, MCL 125.2029h, shall be determined based on the date of the agreement.

Sec. 1034. (1) Each business incubator or accelerator that received an award pursuant to section 1034 of article VIII of 2012 PA 200 shall maintain and update a dashboard of indicators to measure the effectiveness of the business incubator and accelerator programs. Indicators shall include the direct jobs created, new companies launched as a direct result of business incubator or accelerator involvement, businesses expanded as a direct result of business incubator or accelerator involvement, direct investment in client companies, private equity financing obtained by client companies, grant funding obtained by client companies, and other measures developed by the recipient business incubators and accelerators in conjunction with the MEDC. Dashboard indicators shall be reported for the prior fiscal year and cumulatively, if available. Each recipient shall submit a copy of their dashboard indicators to the fund by March 1. The fund shall transmit the local reports to the senate and house of representatives appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office by March 15.

(2) It is the intent of the legislature that any additional funding awarded for business incubators or accelerators shall be based on the performance of the program as a whole and the results of each incubator or accelerator as reported in the dashboard indicators.

Sec. 1035. (1) From the appropriation in part 1, the Michigan council for arts and cultural affairs shall administer an arts and cultural grant program that maintains an equitable geographic distribution of funding and utilizes past arts and cultural grant programs as a guideline for administering this program. The council shall do all of the following:

(a) On or before October 1, the fund shall publish proposed application criteria, instructions, and forms for use by eligible applicants. The fund shall provide at least a 2-week period for public comment before finalizing the application criteria, instructions, and forms.

(b) A nonrefundable application fee may be assessed for each application. Application fees shall be deposited in the council for the arts fund and are appropriated for expenses necessary to administer the programs. These funds are available for expenditure when they are received and may be carried forward to the following fiscal year.

(c) Grants are to be made to public and private arts and cultural entities.

(d) Within 1 business day after the award announcements, the council shall provide to each member of the legislature and the fiscal agencies a list of all grant recipients and the total award given to each recipient, sorted by county.

(2) The appropriation in part 1 for arts and cultural program shall not be used for the administration of the grant program.

Sec. 1036. (1) The general fund/general purpose funds appropriated in part 1 to the fund for the programs listed below shall be transferred to the specific funds designated by statute for those programs as follows:

(a) The business attraction and community revitalization funds shall be transferred to the 21st century jobs trust fund per section 90b(3) of the Michigan strategic fund act, 1984 PA 270, MCL 125.2090b.

(b) The film incentives program funds shall be transferred to the Michigan film promotion fund established in the Michigan strategic fund act, 1984 PA 270, MCL 125.2029d.

(2) Funds transferred to the 21st century jobs trust fund or Michigan film promotion fund under subsection (1) are appropriated and available for allocation as authorized in the Michigan strategic fund act, 1984 PA 270, MCL 125.2001 to 125.2094.

Sec. 1037. (1) No long-term indebtedness shall be issued by the fund or funds expended from the appropriations in part 1 for facility for rare isotope beams debt service until Michigan State University provides certification to the fund and the state budget director that all necessary approvals have been secured and federal funds are available to commence construction of the facility for rare isotope beams project from the United States department of energy.

(2) Bond proceeds may only be spent to reimburse costs incurred by Michigan State University in the construction of the facility for rare isotope beams project up to an amount not to exceed $90,960,100.00. All construction costs for the project in excess of this amount are the responsibility of Michigan State University. The fund is not responsible for operating costs of the project facility. Prior to reimbursement, the fund and Michigan State University shall enter into an agreement providing for the terms of reimbursement, allowable costs, financial reporting, and any other requirements necessary to complete the transaction.

(3) The state budget director retains the authority and fiduciary responsibility normally associated with the maintenance of the public’s financial and policy interests relative to state-financed construction projects. The state budget director may take appropriate action to protect the public’s financial and policy interests, including, but not limited to, rescinding subsection (2) reimbursement payments for construction of the facility for rare isotope beams project should Michigan State University or the United States department of energy not provide the necessary resources to complete the project. The state budget director shall provide notification to the senate and house appropriations committees, senate fiscal agency, house fiscal agency, and the fund within 10 days of exercising the authority under this subsection.

(4) The department of technology, management, and budget may assist the fund with implementation of this program for purposes of administrative efficiency.

Sec. 1039. The fund shall provide a report by February 15 to the senate and house of representatives standing committees on appropriations subcommittees on general government, the state budget director, and the fiscal agencies on the status of the skilled trades training program funded in part 1. The report shall include the following:

(a) The number of awardees participating in the program and the names of those awardees organized by major industry group.

(b) The amount of funding received by each awardee under the program.

(c) Amount of funding leveraged from each awardee or other funding source for each awardee project.

(d) Training models established by each awardee.

(e) The number of individuals enrolled in a skilled trades training program by awardee.

(f) The number of individuals who completed the program and were hired by awardee.

(g) The number of applications received and the number of applications approved for each region.

Sec. 1039b. As a condition of receiving funds in part 1 for the skilled trades training program, the fund shall administer the program as follows:

(a) The fund shall work cooperatively with grantees to maximize the amount of funds from part 1 that are available for direct training.

(b) The fund and regional Michigan Works! agencies shall collaborate and work cooperatively to prioritize and streamline the expenditure of the funds appropriated in part 1. The fund shall ensure that the skilled trades training program provides a collaborative statewide network of workforce and employee skill development partners that addresses the employee talent needs throughout the state.

(c) The fund shall ensure that grants are distributed for individual skill enhancement for employees of Michigan businesses. Funds shall not be distributed to program and process centered training organization employers.

(d) The fund shall develop program goals and detailed guidance for prospective participants to follow to qualify under the program. The program goals and detailed guidance shall be posted on the fund website and distributed to local Michigan Works! agencies by October 1. Periodic assessments of employer and employee needs shall be evaluated on a regional basis, and the fund shall identify solutions and goals to be implemented to satisfy those needs. The fund shall notify the senate and house of representatives standing committees on appropriations, the senate and house of representatives standing committees on appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office on any program goal, solution, or guidance changes not fewer than 14 days prior to the finalization and publication of the changes. The fund may receive and expend revenues related to the skilled trades training program. The funds shall be available for expenditure upon receipt by the department of treasury.

Sec. 1040. As a condition of receiving funds in part 1, the fund shall utilize MAIN, or a successor MDTMB-administered administrative information system used across state government, as an appropriation and expenditure reporting system to track all financial transactions with individual vendors, contractual partners, grantees, recipients of business incentives, and recipients of other economic assistance. Encumbrances and expenditures shall be reported in a timely manner.

Sec. 1041. From the funds appropriated in part 1 for business attraction and community revitalization, the fund shall request the transfer by the state treasurer of not more than 60% of the funds prior to April 1.

Sec. 1042. For the funds appropriated in part 1 for business attraction and community revitalization, the fund shall report quarterly on the amount of funds considered appropriated, pre-encumbered, encumbered, and expended. The report shall also include a listing of appropriations for business attraction and community revitalization, or a predecessor, in 2011 PA 63, 2012 PA 200, and 2013 PA 59, that were considered appropriated, pre-encumbered, encumbered, or expended that have lapsed back to the fund for any purpose. The report shall be submitted to the chairpersons of the senate and house of representatives standing committees on appropriations, the chairpersons of the senate and house of representatives standing committees on appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget office.

Sec. 1043. Not less than $250,000.00 of the funds appropriated in part 1 for film incentives shall be granted to the west Michigan film office.

Sec. 1044. From the funds appropriated in part 1 for special grants, the fund shall establish a competitive grant program to fund restoration and preservation projects in historically designated neighborhoods throughout the state of Michigan. The program shall have the following characteristics:

(a) The fund shall designate $600,000.00 for neighborhood organizations registered as a 501(c)(3) organization that provide preservation or restoration services to projects within historically designated neighborhoods.

(b) Grants shall not exceed $250,000.00 for any project.

(c) Grant funds shall be used solely for historic restoration and preservation purposes.

(d) The fund shall develop detailed guidance for applicants to follow to qualify for a grant under the Michigan heritage restoration program. The detailed guidance shall be posted on the fund website by October 1.

Sec. 1045. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 are $18,801,300.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $10,508,300.00. Total agency appropriations for retiree health care legacy costs are estimated at $8,293,000.00.

Sec. 1049. For every $1.00 raised from sources other than the funds appropriated in part 1 for construction of the monument by the Michigan law enforcement officers memorial monument fund created in section 3 of the Michigan law enforcement officers memorial act, 2004 PA 177, MCL 28.783, the fund shall distribute $2.00 from the funds appropriated in part 1 as matching funds to the Michigan law enforcement officers memorial monument fund up to a maximum of $2,000,000.00 from state resources.

Sec. 1050. (1) The fund shall publish the “activities classification structure data book” for Michigan community colleges on or before March 1.

(2) The fund shall compile information received from community colleges on North American Indian tuition waivers granted pursuant to 1976 PA 174, MCL 390.1251 to 390.1253, and shall submit this compilation to the house and senate appropriations subcommittees on community colleges, the fiscal agencies, and the state budget director by March 1.

(3) The fund shall compile information received from community colleges on the number and types of associate degrees and other certificates awarded during the previous fiscal year and shall submit this compilation to the house and senate appropriations subcommittees on community colleges, the fiscal agencies, and the state budget director by March 1.

(4) The fund shall place the reports required in this section on a publicly available website.

Sec. 1052. (1) No long-term indebtedness shall be issued by the fund or funds expended from the appropriations for the annual debt service in part 1 until the Michigan strategic fund board approves the request for proposals and guidelines for the community colleges skilled trades equipment program.

(2) Up to $50,000,000.00 for the community colleges skilled trades equipment program shall be made available for equipment and related investments that ensure that Michigan community colleges can deliver educational programs in high-wage, high-skill, and high-demand occupations, as identified by regional labor market conditions and that build and retain a talented workforce in Michigan. Awards shall be made through a competitive process and will require a cash match. Program awards shall be made by the Michigan strategic fund board no later than April 1, 2015. Proposal requirements shall include at least the following:

(a) Description of the equipment to be purchased and a detailed cost estimate.

(b) A plan that directly addresses demonstrated employer demand in the prosperity region in which the community college is located. A plan that demonstrates collaboration between postsecondary and school districts or intermediate school districts in the prosperity region in meeting demonstrated employer demand shall receive extra consideration in the competitive process.

(c) Demonstrated alignment with a prosperity region annual talent needs plan addressing the needs of Michigan companies.

(d) Demonstration that funded equipment and related improvements address the identified talent needs and will support training that provides industry-recognized credentials or degrees in high-skill, high-demand occupations in the prosperity region.

(e) Source of cash and other cost share that will be provided as match for the award. The community college shall provide, at a minimum, 25% of the total project cost in excess of any donated equipment. Additional cash match may be provided from Michigan businesses on behalf of the community college but shall not be the amount paid to students for internships or employment of graduates from the programs.

(3) Bond proceeds may only be spent to reimburse eligible costs incurred by Michigan community colleges. Eligible costs include the costs of equipment, renovations related to installation of the equipment, installation costs of the equipment, and training for instructors that will be providing instruction using the equipment. The fund and the community colleges shall enter into an agreement providing for the terms of reimbursement, the project budget, amount of the cash match provided by the community college, allowable costs, financial reporting, reporting requirements of annual progress to talent needs plan goals that are due by October 15 each year, and any other requirements necessary to complete the transaction. Approved award activity shall commence by April 1, 2016 or the award may be terminated by the Michigan strategic fund board for noncompliance with the award agreement.

(4) All awards shall contain a provision that the fund and the auditor general have access to the books and records, including financial records and all other information and data relevant to the terms of the award, related to the use of the grant funds and goals included in the award document.

(5) The fund may receive and expend bond proceeds and other revenues relating to these programs including administrative expenses that shall not exceed 1% of the awards. The MEDC may provide administration for these programs.

(6) The state budget director retains the authority and fiduciary responsibility normally associated with the maintenance of the public’s financial and policy interests relative to state-financed construction projects. The state budget director may take appropriate action to protect the public’s financial and policy interests, including, but not limited to, rescinding subsection (2) reimbursement payments for any award involving construction of a facility. The state budget director shall provide notification to the senate and house of representatives standing committees on appropriations, senate and house fiscal agencies, and the fund within 10 days of exercising the authority under this subsection.

(7) The department of technology, management, and budget may assist the fund and the MEDC with implementation of this program for purposes of administrative efficiency.

(8) The fund shall provide a report to the senate and house of representatives appropriations general government subcommittees, senate and house fiscal agencies, and the state budget director program no later than April 15, 2015 that includes a brief description of each of the fund awards, the evaluation criteria used to award funding, and the amount of funding awarded to each recipient. Annual status reports from the fund and award recipients will be included in the fund annual report to the legislature as required in the Michigan strategic fund act, 1984 PA 270, MCL 125.2001 to 125.2094, through substantial completion of the awarded projects.

Sec. 1054. From the funds appropriated in part 1 for workforce programs subgrantees, the fund may allocate funding for grants to nonprofit organizations that offer programs to workforce investment act - eligible youth focusing on entrepreneurship, work-readiness skills, job shadowing, and financial literacy. Organizations eligible for funding under this section must have the capacity to provide similar programs in urban areas, as determined by the United States bureau of the census according to the most recent federal decennial census. Additionally, programs eligible for funding under this section must include the participation of local business partners. The fund shall develop other appropriate eligibility requirements to ensure compliance with applicable federal rules and regulations.

Sec. 1057. From the appropriations in part 1 for entrepreneurship eco-system, the fund board may allocate funding for the aerospace supplier development program. Any funds allocated by the fund board to the aerospace supplier development program managed by the Michigan aerospace manufacturer’s association shall be used to support the following business development services:

(a) Develop robust supplier-OEM networks using an innovative aggregate demand model (ADM).

(b) Facilitate the adoption of digital manufacturing and modeling, simulation and analysis (MSA) for aerospace suppliers.

(c) Advance aerospace workforce development.

(d) Host funding and investment strategy meetings for aerospace suppliers.

(e) Mentor disadvantaged suppliers.

(f) Provide internship programs to retain Michigan trained engineers for Michigan located aerospace companies.

Sec. 1058. (1) The fund shall conduct a workgroup in conjunction with the department of community health, the department of transportation, the department of corrections, the department of human services, and members from both the senate and house of representatives to determine how the state can maximize its services and funding for transportation for low-income, elderly, and disabled individuals through consolidating all of the current transportation services for these populations under 1 department.

(2) The department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year a report on the findings of the workgroup on the items described in subsection (1).

Sec. 1059. The funds appropriated in part 1 for pre-college engineering shall be allocated to a K-12 educational program focused on the development of a diverse future Michigan workforce which serves multiple communities within southeast Michigan and which enrolls students from multiple school districts. Programs eligible to apply for these dollars shall be measured by the program’s ability to expose, motivate, and prepare students for science-, technology-, engineering-, and mathematics-based careers and postsecondary education with special attention given to at-risk and underrepresented student groups in technical professions and careers. Recipients of this funding shall provide information to measure program success in such form and at such time as requested by the fund.

MICHIGAN STRATEGIC FUND - WORKFORCE DEVELOPMENT

Sec. 1060. The fund shall administer the PATH training program in accordance with the requirements of section 407(d) of title IV of the social security act, 42 USC 607, the state social welfare act, 1939 PA 280, MCL 400.1 to 400.119b, and all other applicable laws and regulations.

Sec. 1062. The fund shall make available, in person or by telephone, 1 disabled veterans outreach program specialist or local veterans employment representative to Michigan Works! service centers, as resources permit, during hours of operation, and shall continue to make the appropriate placement of veterans and disabled veterans a priority.

Sec. 1063. (1) In addition to the funds appropriated in part 1, any unencumbered and unrestricted federal workforce investment act or trade adjustment assistance funds available from prior fiscal years are appropriated for the purposes originally intended.

(2) The fund shall report by February 1 to the subcommittees, the fiscal agencies, and the state budget office on the amount by fiscal year of federal workforce investment act funds appropriated under this section.

Sec. 1068. (1) Of the funds appropriated in part 1 for the workforce training programs, the fund shall provide a report by February 1 to the senate and house of representatives standing committees on appropriations subcommittees on general government, the state budget director, and the fiscal agencies on the status of the workforce training programs. The report shall include the following:

(a) The amount of funding allocated to each Michigan Works! agency and the total funding allocated to the workforce training programs statewide by fund source.

(b) The number of participants enrolled in education or training programs by each Michigan Works! agency.

(c) The average duration of training for training program participants by each Michigan Works! agency.

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

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

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

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

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

(i) The number of participants who secured employment in Michigan within 1 year of completing a training program.

(j) The number of participants who completed a training program and secured employment in a field related to their training.

(k) The average wage earned by participants who completed a training program and secured employment within 1 year.

(2) Data collection for the report shall be for the period October 1, 2013 through September 30, 2014.

Sec. 1069. (1) From the funds appropriated in part 1 for special grants, the fund shall allocate $500,000.00 for the purpose of funding the cost of GED testing and certification as provided by this section. The workforce development agency shall administer a Michigan GED-to-school program, which shall cover the cost of providing the GED test free of charge to individuals who meet all of the following requirements:

(a) The GED test is taken and passed on or after June 1, 2015.

(b) The individual has not previously been administered a GED test free of charge under this section.

(c) The individual meets at least 1 of the following requirements:

(i) The individual enrolls in postsecondary academic or vocational coursework at a public Michigan college or university within 2 years after passing the GED test.

(ii) Prior to taking the GED test, the individual successfully completed a WDA-approved GED preparation program.

(2) A WDA-approved GED preparation program shall include all of the following:

(a) Instructional and tutorial assistance.

(b) GED test practice.

(c) Required attendance at program instructional sessions.

(d) A curriculum that prepares students for opportunities in postsecondary education and the job market.

(e) Information on potential postsecondary and career pathways.

(f) Counseling on preparing for and applying to college.

(g) Personal and job readiness skills development.

(h) Comprehensive information on college costs and financial aid.

(i) College and career assessments.

(j) Computer-based instruction, practice, or remediation.

(3) By January 1, 2015, the workforce development agency shall post online an announcement of the Michigan GED-to-school program, minimum standards for GED preparation program approval, and approval procedures.

(4) By April 1, 2015, the workforce development agency shall do all of the following:

(a) Develop procedures consistent with this section under which individuals can take the GED test without charge.

(b) Develop procedures for collecting payment from individuals who received the GED test under this section without charge but who failed to meet the requirements specified by subsection (1).

(c) Provide program information for educators and students on the workforce development agency website, including explanations of the procedures developed under subdivisions (a) and (b), and contact information for questions about the program.

(d) Provide an estimate of the full-year cost of the program to the senate and house appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget director.

(5) By September 30, 2015, the workforce development agency shall report to the senate and house appropriations subcommittees on general government, the senate and house fiscal agencies, and the state budget director on utilization of the GED incentive program, including numbers of GED certifications issued by location, year-to-date expenditures, and numbers of participants qualifying under subsection (1)(c)(i) or (ii), or both.

Sec. 1070. (1) The department shall conduct a workgroup with the department of human services and members from both the senate and house of representatives to determine how the state can align the spending on Michigan Works! job readiness programs with the declining family assistance program caseload. The workgroup shall investigate possible reductions in the amount of temporary assistance for needy families funding that is provided to Michigan Works!

(2) The department shall collaborate with the department of human services to submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year a report on the recommendations of the workgroup on the items described in subsection (1).

STATE BUILDING AUTHORITY

Sec. 1101. (1) Subject to section 242 of the management and budget act, 1984 PA 431, MCL 18.1242, and upon the approval of the state building authority, the department may expend from the general fund of the state during the fiscal year an amount to meet the cash flow requirements of those state building authority projects solely for lease to a state agency identified in both part 1 and this section, and for which state building authority bonds or notes have not been issued, and for the sole acquisition by the state building authority of equipment and furnishings for lease to a state agency as permitted by 1964 PA 183, MCL 830.411 to 830.425, for which the issuance of bonds or notes is authorized by a legislative appropriation act that is effective for the fiscal year ending September 30, 2014. Any general fund advances for which state building authority bonds have not been issued shall bear an interest cost to the state building authority at a rate not to exceed that earned by the state treasurer’s common cash fund during the period in which the advances are outstanding and are repaid to the general fund of the state.

(2) Upon sale of bonds or notes for the projects identified in part 1 or for equipment as authorized by a legislative appropriation act and in this section, the state building authority shall credit the general fund of the state an amount equal to that expended from the general fund plus interest, if any, as defined in this section.

(3) For state building authority projects for which bonds or notes have been issued and upon the request of the state building authority, the state treasurer shall make advances without interest from the general fund as necessary to meet cash flow requirements for the projects, which advances shall be reimbursed by the state building authority when the investments earmarked for the financing of the projects mature.

(4) In the event that a project identified in part 1 is terminated after final design is complete, advances made on behalf of the state building authority for the costs of final design shall be repaid to the general fund in a manner recommended by the director.

Sec. 1102. (1) State building authority funding to finance construction or renovation of a facility that collects revenue in excess of money required for the operation of that facility shall not be released to a university or community college unless the institution agrees to reimburse that excess revenue to the state building authority. The excess revenue shall be credited to the general fund to offset rent obligations associated with the retirement of bonds issued for that facility. The auditor general shall annually identify and present an audit of those facilities that are subject to this section. Costs associated with the administration of the audit shall be charged against money recovered pursuant to this section.

(2) As used in this section, “revenue” includes state appropriations, facility opening money, other state aid, indirect cost reimbursement, and other revenue generated by the activities of the facility.

Sec. 1103. The state building authority shall provide to the JCOS and senate and house fiscal agencies a report relative to the status of construction projects associated with state building authority bonds as of September 30 of each year, on or before October 15, or not more than 30 days after a refinancing or restructuring bond issue is sold. The report shall include, but is not limited to, the following:

(a) A list of all completed construction projects for which state building authority bonds have been sold, and which bonds are currently active.

(b) A list of all projects under construction for which sale of state building authority bonds is pending.

(c) A list of all projects authorized for construction or identified in an appropriations act for which approval of schematic/preliminary plans or total authorized cost is pending that have state building authority bonds identified as a source of financing.

REVENUE STATEMENT

Sec. 1201. Pursuant to section 18 of article V of the state constitution of 1963, fund balances and estimates are presented in the following statement:

BUDGET RECOMMENDATIONS BY OPERATING FUNDS

(Amounts in millions)

Fiscal Year 2014-2015

Beginning

Available Estimated Ending

Fund Balance Revenue Balance

OPERATING FUNDS

General fund/general purpose......................................................... 0110 438.2 9,745.7 2.7

General fund/special purpose........................................................... 1,154.0 24,305.3 3.2

Special Revenue Funds:

Countercyclical budget and economic stabilization...................... 0111 587.5 5.1 591.6

Game and fish protection.................................................................. 0112 6.2 84.7 3.1

Michigan employment security act administration...................... 0113 0.0 18.0 0.0

State aeronautics............................................................................... 0114 2.6 103.4 0.0

Michigan veterans’ benefit trust..................................................... 0115 3.5 2.6 3.5

State trunkline................................................................................... 0116 0.0 1,865.5 0.0

Michigan state waterways............................................................... 0117 5.7 26.3 4.7

Blue Water Bridge............................................................................. 0118 0.0 23.5 0.0

Michigan transportation................................................................... 0119 0.0 1,929.6 0.0

Comprehensive transportation....................................................... 0120 13.8 329.0 0.0

School aid............................................................................................ 0122 0.0 13,740.0 0.0

Game and fish protection trust........................................................ 0124 0.0 15.7 0.0

State park improvement.................................................................. 0125 2.9 54.0 4.5

Forest development.......................................................................... 0126 2.9 32.3 1.3

Michigan natural resources trust.................................................... 0129 34.7 31.9 39.4

Michigan state parks endowment................................................... 0130 6.8 46.2 5.5

Safety education and training.......................................................... 0131 7.2 10.7 7.7

Bottle deposit..................................................................................... 0136 16.5 14.6 7.9

State construction code..................................................................... 0138 2.1 8.2 1.6

Children’s trust.................................................................................. 0139 0.7 1.1 0.6

State casino gaming.......................................................................... 0140 1.0 36.4 0.7

Michigan nongame fish and wildlife................................................ 0143 0.3 0.5 0.3

Michigan merit award trust............................................................. 0154 53.3 75.5 27.9

Outdoor recreation legacy................................................................ 0162 0.3 2.6 0.3

Off-road vehicle account................................................................... 0163 2.6 6.3 2.8

Snowmobile account.......................................................................... 0164 5.9 10.0 5.3

Silicosis dust disease and logging.................................................... 0870 1.2 1.4 1.2

Utility consumer representation..................................................... 0893 1.9 1.2 1.4

TOTALS.............................................................................................. $2,351.8 $52,527.3 $717.2

PART 2A

PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS

FOR FISCAL YEAR 2015-2016

GENERAL SECTIONS

Sec. 1301. It is the intent of the legislature to provide appropriations for the fiscal year ending on September 30, 2016 for the line items listed in part 1. The fiscal year 2015-2016 appropriations are anticipated to be the same as those for fiscal year 2014-2015, 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 2015 consensus revenue estimating conference.

ARTICLE X

DEPARTMENT OF HUMAN SERVICES

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the department of human services for the fiscal year ending September 30, 2015, from the following funds:

DEPARTMENT OF HUMAN SERVICES

APPROPRIATION SUMMARY

Full-time equated classified positions........................................................................................12,221.5

Unclassified positions.............................................................................................................................6.0

Total full-time equated positions.................................................................................................12,227.5

GROSS APPROPRIATION.......................................................................................................................... $ 5,755,174,700

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 21,545,900

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 5,733,628,800

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 530,006,000

Capped federal revenues................................................................................................................................ 611,479,900

Federal supplemental security income........................................................................................................ 8,594,600

Total other federal revenues......................................................................................................................... 3,401,194,700

Special revenue funds:

Total private revenues.................................................................................................................................... 20,299,300

Total local revenues......................................................................................................................................... 40,364,300

Total other state restricted revenues.......................................................................................................... 126,237,400

State general fund/general purpose............................................................................................................. $ 995,452,600

State general fund/general purpose schedule:

Ongoing state general fund/general purpose......................................................................990,302,600

One-time state general fund/general purpose........................................................................5,150,000

Sec. 102. EXECUTIVE OPERATIONS

Total full-time equated positions......................................................................................................681.7

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................675.7

Unclassified salaries—6.0 FTE positions.................................................................................................... $ 724,600

Salaries and wages—285.7 FTE positions.................................................................................................. 17,469,700

Contractual services, supplies, and materials............................................................................................ 13,453,600

Demonstration projects—7.0 FTE positions.............................................................................................. 6,805,100

Inspector general salaries and wages—131.0 FTE positions.................................................................. 7,540,200

Electronic benefit transfer EBT................................................................................................................... 8,509,000

Michigan community service commission—15.0 FTE positions.............................................................. 11,597,800

AFC, children’s welfare and day care licensure—237.0 FTE positions................................................ 28,907,100

State office of administrative hearings and rules...................................................................................... 7,535,900

GROSS APPROPRIATION.......................................................................................................................... $ 102,543,000

Appropriated from:

Interdepartmental grant revenues:

IDG from department of education.............................................................................................................. 8,222,600

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 94,320,400

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 10,155,700

Capped federal revenues................................................................................................................................ 29,722,900

Total other federal revenues......................................................................................................................... 20,804,500

Special revenue funds:

Total private revenues.................................................................................................................................... 3,850,900

Total local revenues......................................................................................................................................... 16,400

Total other state restricted revenues.......................................................................................................... 5,400

State general fund/general purpose............................................................................................................. $ 29,764,600

Sec. 103. CHILD SUPPORT ENFORCEMENT

Full-time equated classified positions.............................................................................................190.7

Child support enforcement operations—184.7 FTE positions................................................................. $ 22,254,500

Legal support contracts.................................................................................................................................. 113,359,100

Child support incentive payments................................................................................................................ 24,409,600

State disbursement unit—6.0 FTE positions............................................................................................. 9,028,300

GROSS APPROPRIATION.......................................................................................................................... $ 169,051,500

Appropriated from:

Federal revenues:

Capped federal revenues................................................................................................................................ 1,700,000

Total other federal revenues......................................................................................................................... 144,366,200

State general fund/general purpose............................................................................................................. $ 22,985,300

Sec. 104. COMMUNITY ACTION AND ECONOMIC OPPORTUNITY

Full-time equated classified positions...............................................................................................16.0

Bureau of community action and economic opportunity—16.0 FTE positions.................................... $ 2,068,700

Community services block grant.................................................................................................................. 25,840,000

Weatherization assistance.............................................................................................................................. 16,340,000

School success partnership program............................................................................................................ 300,000

GROSS APPROPRIATION.......................................................................................................................... $ 44,548,700

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 500

Capped federal revenues................................................................................................................................ 44,248,200

State general fund/general purpose............................................................................................................. $ 300,000

Sec. 105. ADULT AND FAMILY SERVICES

Full-time equated classified positions.............................................................................................564.7

Guardian contract............................................................................................................................................ $ 490,200

Adult services policy and administration—8.0 FTE positions................................................................ 925,000

Office of program policy—28.7 FTE positions........................................................................................... 3,652,900

Employment and training support services............................................................................................... 4,219,100

Wage employment verification reporting.................................................................................................... 547,300

Nutrition education—2.0 FTE positions..................................................................................................... 23,038,000

Elder law of Michigan MiCAFE contract................................................................................................... 350,000

Elder abuse prosecuting attorney................................................................................................................ 300,000

Michigan rehabilitation services—526.0 FTE positions........................................................................... 150,589,700

Independent living........................................................................................................................................... 6,488,600

GROSS APPROPRIATION.......................................................................................................................... $ 190,600,800

Appropriated from:

Interdepartmental grant revenues:

IDG from department of corrections........................................................................................................... 3,000,000

IDG from department of education.............................................................................................................. 13,300

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 187,587,500

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 4,667,900

Capped federal revenues................................................................................................................................ 115,450,000

Federal supplemental security income........................................................................................................ 8,594,600

Total other federal revenues......................................................................................................................... 27,570,900

Special revenue funds:

Private - gifts, bequests, and donations...................................................................................................... 1,946,000

Local vocational rehabilitation match.......................................................................................................... 6,539,100

Second injury fund.......................................................................................................................................... 149,400

Rehabilitation service fees............................................................................................................................. 1,442,900

State general fund/general purpose............................................................................................................. $ 21,226,700

Sec. 106. CHILDREN’S SERVICES

Full-time equated classified positions.............................................................................................116.3

Salaries and wages—53.7 FTE positions.................................................................................................... $ 2,461,900

Contractual services, supplies, and materials............................................................................................ 1,129,000

Interstate compact.......................................................................................................................................... 179,600

Families first.................................................................................................................................................... 16,944,500

Strong families/safe children......................................................................................................................... 12,350,100

Child protection and permanency—23.0 FTE positions........................................................................... 12,892,500

Family reunification program........................................................................................................................ 3,977,100

Family preservation and prevention services administration—11.0 FTE positions........................... 1,426,800

Children’s trust fund administration—12.0 FTE positions...................................................................... 978,300

Children’s trust fund grants.......................................................................................................................... 2,325,100

Attorney general contract.............................................................................................................................. 4,226,400

Prosecuting attorney contracts..................................................................................................................... 2,561,700

Child protection............................................................................................................................................... 873,900

Domestic violence prevention and treatment—14.6 FTE positions....................................................... 15,730,000

Rape prevention and services—0.5 FTE position..................................................................................... 5,072,300

Child advocacy centers—0.5 FTE position................................................................................................. 2,000,000

Child abuse and neglect - children’s justice act—1.0 FTE position....................................................... 619,000

Family preservation and prevention services programs.......................................................................... 2,500,000

GROSS APPROPRIATION.......................................................................................................................... $ 88,248,200

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 43,924,200

Capped federal revenues................................................................................................................................ 24,762,800

Total other federal revenues......................................................................................................................... 6,274,300

Special revenue funds:

Compulsive gambling prevention fund........................................................................................................ 1,040,700

Children’s trust fund....................................................................................................................................... 2,078,000

Sexual assault victims’ prevention and treatment fund........................................................................... 3,000,000

Child advocacy centers fund.......................................................................................................................... 2,000,000

State general fund/general purpose............................................................................................................. $ 5,168,200

Sec. 107. CHILD WELFARE SERVICES

Full-time equated classified positions..........................................................................................3,992.2

Children’s services administration—95.0 FTE positions.......................................................................... $ 6,756,900

Title IV-E compliance and accountability office—4.0 FTE positions..................................................... 413,500

Child welfare institute—45.0 FTE positions.............................................................................................. 8,142,900

Child welfare field staff - caseload compliance—2,511.0 FTE positions................................................ 121,626,500

Child welfare field staff - noncaseload compliance—330.0 FTE positions............................................ 17,561,000

Education planners—15.0 FTE positions.................................................................................................... 822,200

Peer coaches—56.0 FTE positions............................................................................................................... 3,427,200

Child welfare first line supervisors—585.0 FTE positions...................................................................... 40,493,500

Administrative support workers—243.0 FTE positions.......................................................................... 8,303,800

Second line supervisors and technical staff—55.0 FTE positions.......................................................... 4,346,800

Permanency resource managers—28.5 FTE positions............................................................................. 1,736,900

Contractual services, supplies, and materials............................................................................................ 8,145,000

Settlement monitor......................................................................................................................................... 1,625,800

Foster care payments..................................................................................................................................... 192,240,200

Serious emotional disturbance - waiver program...................................................................................... 3,351,600

Serious emotional disturbance - nonwaiver program............................................................................... 2,999,900

Guardianship assistance program................................................................................................................. 7,846,000

Child care fund................................................................................................................................................. 182,206,400

Child care fund administration—6.2 FTE positions.................................................................................. 790,100

Adoption subsidies........................................................................................................................................... 247,723,200

Adoption support services—10.0 FTE positions....................................................................................... 27,396,600

Youth in transition—5.5 FTE positions....................................................................................................... 15,053,500

Child welfare medical/psychiatric evaluations........................................................................................... 8,735,500

Psychotropic oversight................................................................................................................................... $ 618,200

Performance based funding implementation—3.0 FTE positions.......................................................... 1,272,100

GROSS APPROPRIATION.......................................................................................................................... $ 913,635,300

Appropriated from:

Interdepartmental grant revenues:

IDG from department of education.............................................................................................................. 140,200

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 913,495,100

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 217,273,400

Capped federal revenues................................................................................................................................ 65,848,400

Total other federal revenues......................................................................................................................... 233,815,500

Special revenue funds:

Private - collections......................................................................................................................................... 3,244,100

Local funds - county chargeback.................................................................................................................. 14,689,700

State general fund/general purpose............................................................................................................. $ 378,624,000

Sec. 108. JUVENILE JUSTICE SERVICES

Full-time equated classified positions.............................................................................................182.0

W.J. Maxey training school—69.0 FTE positions...................................................................................... $ 10,324,500

Bay pines center—42.0 FTE positions........................................................................................................ 4,836,500

Shawono center—42.0 FTE positions.......................................................................................................... 4,920,900

County juvenile officers.................................................................................................................................. 3,904,300

Community support services—3.0 FTE positions..................................................................................... 2,098,500

Juvenile justice, administration and maintenance—23.0 FTE positions............................................... 3,951,500

Juvenile accountability block grant—0.5 FTE position............................................................................ 1,281,300

Committee on juvenile justice administration—2.5 FTE positions........................................................ 343,900

Committee on juvenile justice grants.......................................................................................................... 3,000,000

In-home community care................................................................................................................................ 1,000,000

Juvenile justice vision 20/20........................................................................................................................... 1,000,000

GROSS APPROPRIATION.......................................................................................................................... $ 36,661,400

Appropriated from:

Federal revenues:

Capped federal revenues................................................................................................................................ 5,142,900

Total other federal revenues......................................................................................................................... 601,900

Special revenue funds:

Local funds - state share education funds................................................................................................... 2,195,500

Local funds - county chargeback.................................................................................................................. 9,279,300

State general fund/general purpose............................................................................................................. $ 19,441,800

Sec. 109. LOCAL OFFICE STAFF AND OPERATIONS

Full-time equated classified positions..........................................................................................5,904.5

Field staff, salaries and wages—5,535.5 FTE positions........................................................................... $ 297,934,600

Contractual services, supplies, and materials............................................................................................ 17,386,300

Healthy Michigan plan administration......................................................................................................... 19,536,300

Medical/psychiatric evaluations..................................................................................................................... 1,420,100

Donated funds positions—338.0 FTE positions......................................................................................... 39,690,800

Training and program support—23.0 FTE positions................................................................................ 2,310,300

Volunteer services and reimbursement....................................................................................................... 942,400

SSI advocates—8.0 FTE positions............................................................................................................... 797,400

GROSS APPROPRIATION.......................................................................................................................... $ 380,018,200

Appropriated from:

Interdepartmental grant revenues:

IDG from department of corrections........................................................................................................... 100,000

IDG from department of education.............................................................................................................. 4,654,100

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 375,264,100

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 66,135,100

Capped federal revenues................................................................................................................................ $ 32,252,800

Total other federal revenues......................................................................................................................... 115,614,100

Special revenue funds:

Local funds........................................................................................................................................................ 7,644,300

Private funds - donated funds....................................................................................................................... 11,258,300

Supplemental security income recoveries................................................................................................... 797,400

State general fund/general purpose............................................................................................................. $ 141,562,100

Sec. 110. DISABILITY DETERMINATION SERVICES

Full-time equated classified positions.............................................................................................571.4

Disability determination operations—545.9 FTE positions..................................................................... $ 107,284,100

Medical consultation program—21.4 FTE positions................................................................................. 2,542,200

Retirement disability determination—4.1 FTE positions........................................................................ 506,100

GROSS APPROPRIATION.......................................................................................................................... $ 110,332,400

Appropriated from:

Interdepartmental grant revenues:

IDG from DTMB - office of retirement services....................................................................................... 679,400

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 109,653,000

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 105,988,900

State general fund/general purpose............................................................................................................. $ 3,664,100

Sec. 111. CENTRAL SUPPORT ACCOUNTS

Rent.................................................................................................................................................................... $ 41,006,400

Occupancy charge............................................................................................................................................ 10,582,400

Travel................................................................................................................................................................. 9,281,600

Equipment........................................................................................................................................................ 62,600

Worker’s compensation................................................................................................................................... 2,497,600

Payroll taxes and fringe benefits.................................................................................................................. 434,135,600

GROSS APPROPRIATION.......................................................................................................................... $ 497,566,200

Appropriated from:

Interdepartmental grant revenues:

IDG from department of education.............................................................................................................. 3,601,500

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 493,964,700

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 116,475,800

Capped federal revenues................................................................................................................................ 65,425,400

Total other federal revenues......................................................................................................................... 133,710,900

State general fund/general purpose............................................................................................................. $ 178,352,600

Sec. 112. PUBLIC ASSISTANCE

Full-time equated classified positions.................................................................................................8.0

Family independence program...................................................................................................................... $ 146,603,000

State disability assistance payments........................................................................................................... 14,373,000

Food assistance program benefits................................................................................................................ 2,547,185,600

State supplementation.................................................................................................................................... 62,504,100

State supplementation administration......................................................................................................... 2,381,100

Low-income home energy assistance program.......................................................................................... 174,951,600

Food bank funding........................................................................................................................................... 1,795,000

Homeless programs......................................................................................................................................... 15,721,900

Multicultural integration funding................................................................................................................. 3,015,500

Indigent burial................................................................................................................................................. 4,300,000

Emergency services local office allocations................................................................................................ 11,508,500

Michigan energy assistance program—1.0 FTE position......................................................................... 50,000,000

Refugee assistance program—7.0 FTE positions...................................................................................... 27,969,000

GROSS APPROPRIATION.......................................................................................................................... $ 3,062,308,300

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. $ 55,029,200

Capped federal revenues................................................................................................................................ 205,543,000

Total other federal revenues......................................................................................................................... 2,541,695,600

Special revenue funds:

Child support collections................................................................................................................................ 17,996,000

Supplemental security income recoveries................................................................................................... 10,617,600

Public assistance recoupment revenue........................................................................................................ 7,010,000

Low-income energy assistance fund............................................................................................................. 50,000,000

Michigan merit award trust fund................................................................................................................. 30,100,000

State general fund/general purpose............................................................................................................. $ 144,316,900

Sec. 113. INFORMATION TECHNOLOGY

Data center operations................................................................................................................................... $ 8,426,000

Telecommunications......................................................................................................................................... 8,530,100

Support services.............................................................................................................................................. 13,523,300

Staff support..................................................................................................................................................... 34,328,100

Direct agency charges.................................................................................................................................... 48,891,600

Administration and Internet......................................................................................................................... 6,398,500

Child support automation............................................................................................................................... 41,913,100

GROSS APPROPRIATION.......................................................................................................................... $ 162,010,700

Appropriated from:

Interdepartmental grant revenues:

IDG from department of education.............................................................................................................. 1,134,800

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 160,875,900

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 16,344,200

Capped federal revenues................................................................................................................................ 21,383,500

Total other federal revenues......................................................................................................................... 70,751,900

State general fund/general purpose............................................................................................................. $ 52,396,300

Sec. 114. ONE-TIME BASIS ONLY APPROPRIATIONS

Child support enforcement operations......................................................................................................... $ 394,500

Legal support contracts.................................................................................................................................. 105,500

Michigan rehabilitation services................................................................................................................... 2,600,000

Flint Catholic charities: center for hope..................................................................................................... 250,000

Performance based funding implementation.............................................................................................. 100,000

Private child welfare information technology services............................................................................. 300,000

Fostering futures endowment fund.............................................................................................................. 500,000

Juvenile justice in-home community care grants...................................................................................... 250,000

Food bank funding........................................................................................................................................... 100,000

Michigan reading corps................................................................................................................................... 350,000

Parent-to-parent adoption support services............................................................................................... 200,000

GROSS APPROPRIATION.......................................................................................................................... $ 5,150,000

Appropriated from:

State general fund/general purpose............................................................................................................. $ 5,150,000

Sec. 115. BUDGETARY SAVINGS

Staffing reductions.......................................................................................................................................... $ (7,500,000)

GROSS APPROPRIATION.......................................................................................................................... $ (7,500,000)

Appropriated from:

State general fund/general purpose............................................................................................................. $ (7,500,000)

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

FOR FISCAL YEAR 2014-2015

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 2014-2015 is $1,121,690,000.00 and state spending from state resources to be paid to local units of government for fiscal year 2014-2015 is $97,343,300.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF HUMAN SERVICES

Child care fund................................................................................................................................................. $ 92,937,300

County juvenile officers.................................................................................................................................. 3,656,500

State disability assistance payments........................................................................................................... 726,700

Family independence program...................................................................................................................... 22,800

TOTAL............................................................................................................................................................... $ 97,343,300

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

Sec. 203. As used in this part and part 1:

(a) “AFC” means adult foster care.

(b) “Current fiscal year” means the fiscal year ending September 30, 2015.

(c) “Department” means the department of human services.

(d) “Director” means the director of the department of human services.

(e) “FTE” means full-time equated.

(f) “IDG” means interdepartmental grant.

(g) “MiCAFE” means Michigan’s coordinated access to food for the elderly.

(h) “Previous fiscal year” means the fiscal year ending September 30, 2014.

(i) “Settlement” means the settlement agreement entered in the case of Dwayne B. v Snyder, docket no. 2:06‑cv‑13548 in the United States district court for the eastern district of Michigan.

(j) “SSI” means supplemental security income.

(k) “Temporary assistance for needy families” or “TANF” or “title IV-A” means part A of title IV of the social security act, 42 USC 601 to 619.

(l) “Title IV-D” means part D of title IV of the social security act, 42 USC 651 to 669b.

(m) “Title IV-E” means part E of title IV of the social security act, 42 USC 670 to 679c.

Sec. 204. The civil service commission 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. Pursuant to section 1b of the social welfare act, 1939 PA 280, MCL 400.1b, the department shall treat part 1 and this part as a time-limited addendum to the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b.

Sec. 206. (1) For each new program or program expansion for which funds in excess of $500,000.00 are appropriated in part 1, the department shall identify specific benchmarks intended to measure the performance or return on taxpayer investment of the program and its associated expenditures. Both of the following apply to the benchmarks:

(a) By November 1, 2014, the department shall report the proposed benchmarks to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget director.

(b) The department shall provide an update on its progress in achieving the benchmarks at an appropriations subcommittee meeting called for the purpose of discussing benchmarks and their status.

(2) It is the intent of the legislature that, beginning with the budget for the fiscal year ending September 30, 2016, any proposal for a new program or an expansion of an existing program in excess of $500,000.00 initiated by the executive branch or the legislature will include, as part of the original proposal or budget request, a list of benchmarks intended to measure the performance or return on taxpayer investment of the program or spending increase.

Sec. 207. (1) Sanctions, suspensions, conditions for provisional license status, and other penalties shall not be more stringent for private service providers than for public entities performing equivalent or similar services.

(2) Neither the department nor private service providers or licensees shall be granted preferential treatment or considered automatically to be in compliance with administrative rules based on whether they have collective bargaining agreements with direct care workers. Private service providers or licensees without collective bargaining agreements shall not be subjected to additional requirements or conditions of licensure based on their lack of collective bargaining agreements.

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

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

Sec. 211. 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. 212. (1) In addition to funds appropriated in part 1 for all programs and services, there is appropriated for write-offs of accounts receivable, deferrals, and for prior year obligations in excess of applicable prior year appropriations, an amount equal to total write-offs and prior year obligations, but not to exceed amounts available in prior year revenues or current year revenues that are in excess of the authorized amount.

(2) The department’s ability to satisfy appropriation fund sources in part 1 shall not be limited to collections and accruals pertaining to services provided in the current fiscal year, but shall also include reimbursements, refunds, adjustments, and settlements from prior years.

Sec. 213. The department may retain all of the state’s share of food assistance overissuance collections as an offset to general fund/general purpose costs. Retained collections shall be applied against federal funds deductions in all appropriation units where department costs related to the investigation and recoupment of food assistance overissuances are incurred. Retained collections in excess of such costs shall be applied against the federal funds deducted in the executive operations appropriation unit.

Sec. 214. On a bimonthly basis, the department shall report on the number of FTEs in pay status by type of staff.

Sec. 215. If a legislative objective of this part or of a bill or amendment to a bill to amend the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b, cannot be implemented because implementation would conflict with or violate federal regulations, the department shall notify the state budget director, the house and senate appropriations committees, and the house and senate fiscal agencies and policy offices of that fact.

Sec. 217. 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 appropriations committees, 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 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. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is not limited to, all of the following for each department or agency:

(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. 220. The department shall ensure that faith-based organizations are able to apply and compete for services, programs, or contracts that they are qualified and suitable to fulfill. The department shall not disqualify faith-based organizations solely on the basis of the religious nature of their organization or their guiding principles or statements of faith.

Sec. 221. (1) If the revenue collected by the department from private and local sources exceeds the amount spent from amounts appropriated in part 1, the revenue may be carried forward, with approval from the state budget director, into the subsequent fiscal year.

(2) The department shall provide a report on the amount of each revenue stream to be carried forward, as well as the cumulative amount, for the closing fiscal year by October 30 of the current fiscal year to the senate and house appropriations subcommittees on the department budget, the senate and house standing committees on families and human services, and the senate and house fiscal agencies and policy offices.

Sec. 222. (1) The department shall provide written notification to the chairpersons of the senate and house appropriations subcommittees on the budget for the department of any policy changes at least 30 days before the implementation date.

(2) The department shall make the entire policy and procedures manual available and accessible to the public via the department website.

(3) The department shall report no later than April 1 of the current fiscal year 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. The department shall attach each policy bulletin issued during the prior calendar year to this report.

Sec. 225. The department may hire physicians to be part of the medical review team (MRT) on a temporary basis if Medicaid applications are backlogged more than 2,000. The temporary physicians shall be retained until the backlog has dropped below 2,000 for 2 consecutive months. The role of the physicians will be to obtain medical evidence from and grant medical determinations to applicants.

Sec. 226. The department shall not approve any contract for new services, programs, or concepts in excess of $1,000,000.00 unless both of the following requirements have been met:

(a) The department has issued and received a request for information (RFI) or a request for qualification (RFQ) before issuing a request for proposal for the contract. The request for information or request for qualification will enable the department to learn more about the market for the products or services that are the subject of the future request for proposal.

(b) The department has provided the legislature with the results of the request for information or request for qualification and posted a summary of the results of the request for information or request for qualification on the department’s webpage.

Sec. 227. (1) The department shall conduct a workgroup in conjunction with the department of community health, the state transportation department, the department of corrections, the strategic fund in the department of treasury, and members from both the senate and house of representatives to determine how the state can maximize its services and funding for transportation for low-income, elderly, and disabled individuals through consolidating all of the current transportation services for these populations under 1 department.

(2) The department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year a report on the findings of the workgroup on the items described in subsection (1).

Sec. 228. The department shall submit to the department of technology, management, and budget all of the information that is required from the department to finalize the request for information process for all bids that are included in the current fiscal year enacted budget for the department by October 1 of the current fiscal year. The department shall submit to the department of technology, management, and budget all of the information required from the department to finalize the request for proposal process by January 1 of the current fiscal year. Requests for proposals shall remain open on the state website and available for bids for at least 30 days.

Sec. 229. (1) The department shall conduct a workgroup with the department of treasury and members from both the senate and house of representatives to determine how the state can align the spending on Michigan Works! job readiness programs with the declining family independence program caseload. The workgroup shall investigate possible reductions in the amount of TANF funding that is provided to Michigan Works!

(2) The department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year a report on the recommendations of the workgroup on the items described in subsection (1), including, but not limited to, the proposed amount of TANF funding provided to Michigan Works!

Sec. 230. The department shall issue a request for proposal for the income verification contract for public assistance eligibility determination. The request for proposal process shall be completed no later than February 1, 2015.

Sec. 234. The department shall include specific outcome and performance reporting requirements in the interagency agreement with the Michigan strategic fund for TANF funding to provide job readiness and welfare-to-work programming. TANF funding provided to the Michigan strategic fund in the current fiscal year is contingent on compliance with the data and reporting requirements described in this section. The interagency agreement must require the Michigan strategic fund to provide all of the following items by December 1 of the current fiscal year for the previous year:

(a) An itemized spending report on TANF funding, including all of the following:

(i) Direct services to clients.

(ii) Administrative expenditures.

(b) The number of family independence program (FIP) clients served through the TANF funding, including all of the following:

(i) The number and percentage who obtained employment through Michigan Works!

(ii) The number and percentage who fulfilled their TANF work requirement through other job readiness programming.

(iii) Average TANF spending per client.

(iv) The number and percentage of clients who were referred to Michigan Works! but did not receive a job or job readiness placement and the reasons why.

Sec. 240. The department shall notify the house and senate appropriations committees and the house and senate fiscal agencies of any changes to a child welfare master contract not less than 30 days before the change takes effect.

Sec. 250. 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. 251. 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. 264. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 265. Within 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide the senate and house appropriations chairs, the senate and house appropriations subcommittees chairs, 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, 2014 and September 30, 2015.

Sec. 274. (1) The department, in collaboration with the state budget office, shall submit to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices on the day the governor submits to the legislature the budget for the ensuing fiscal year a report on spending and revenue projections for each of the capped federal funds listed below. The report shall contain actual spending and revenue in the previous fiscal year, spending and revenue projections for the current fiscal year as enacted, and spending and revenue projections within the executive budget proposal for the fiscal year beginning October 1, 2015 for each individual line item for the department budget. The report shall also include federal funds transferred to other departments. The capped federal funds shall include, but not be limited to, all of the following:

(a) TANF.

(b) Title XX social services block grant.

(c) Title IV-B part I child welfare services block grant.

(d) Title IV-B part II promoting safe and stable families funds.

(e) Low-income home energy assistance program.

(2) By February 15 of the current fiscal year, the department shall prepare an annual report of its efforts to identify additional TANF maintenance of effort sources and rationale for any increases or decreases from all of the following, but not limited to:

(a) Other departments.

(b) Local units of government.

(c) Private sources.

Sec. 275. (1) The negative appropriation in the staffing reductions line in part 1 shall be offset only through FTE reductions. The line item shall not be offset through cuts to programs, benefits, caseload savings, or policy changes. The department may use TANF funds to offset general fund/general purpose funds in order to realize these savings.

(2) The department shall provide monthly reports on the savings realized under subsection (1) to the chairpersons of the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices.

(3) The staffing reductions line shall achieve a zero balance by the close of the current fiscal year.

(4) Funds to offset the staffing reductions line shall be made available through the legislative transfer process provided by section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 279. (1) All master contracts relating to human services shall be performance-based contracts that employ a client-centered results-oriented process that is based on measurable performance indicators and desired outcomes and includes the annual assessment of the quality of services provided.

(2) By February 1 of the current fiscal year, the department shall provide the senate and house appropriations subcommittees on the department budget and the senate and house fiscal agencies and policy offices a report detailing measurable performance indicators, desired outcomes, and an assessment of the quality of services provided by the department during the previous fiscal year.

Sec. 284. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $200,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393. These funds shall not be made available to increase TANF authorization.

(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 part 1 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 $20,000,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 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 $20,000,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 290. Any public advertisement for state assistance shall also inform the public of the welfare fraud hotline operated by the department.

Sec. 291. (1) The department shall verify, using the e-verify system, that all new department employees, and new hire employees of contractors and subcontractors paid from funds appropriated in part 1, are legally present in the United States. The department may verify this information directly or may require contractors and subcontractors to verify the information and submit a certification to the department.

(2) By February 15 of the current fiscal year, the department shall submit to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices a report on the number of new department employees and new hire employees of contractors and subcontractors that were found to not be legally present in the United States.

Sec. 293. The department may use funds from the funds appropriated in part 1 to strengthen marriage and family relations through the practice of marriage and family therapy for individuals, families, couples, or groups. The goal of the therapy shall be strengthening families by helping them avoid, eliminate, relieve, manage, or resolve marital or family conflict or discord.

Sec. 295. If the department fails to provide to the legislature reports and other data required by this part or other statute within 30 days after the date the information is due, the state money appropriated in part 1 for salaries and wages responsible for preparing and submitting the report shall be reduced by $150,000.00.

Sec. 296. Not later than November 30, the state budget office shall prepare and transmit a report that provides for estimates of the total general fund/general purpose appropriation lapses at the close of the prior 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 chairpersons of the senate and house appropriations committees and the senate and house fiscal agencies.

Sec. 297. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2015 is $283,394,300.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $159,146,200.00. Total agency appropriations for retiree health care legacy costs are estimated at $124,248,100.00.

Sec. 298. By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices an annual report on the supervisor-to-staff ratio by department divisions and subdivisions.

Sec. 299. The department shall maintain, on a publicly accessible website, a department scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the department’s performance.

EXECUTIVE OPERATIONS

Sec. 307. (1) From the funds appropriated in part 1 for demonstration projects, $400,000.00 shall be distributed as provided in subsection (2). The amount distributed under this subsection shall not exceed 50% of the total operating expenses of the program described in subsection (2), with the remaining 50% paid by local United Way organizations and other nonprofit organizations and foundations.

(2) Funds distributed under subsection (1) shall be distributed to Michigan 2-1-1, a nonprofit corporation organized under the laws of this state that is exempt from federal income tax under section 501(c)(3) of the internal revenue code, 26 USC 501(c)(3), and whose mission is to coordinate and support a statewide 2-1-1 system. Michigan 2-1-1 shall use the funds only to fulfill the Michigan 2-1-1 business plan adopted by Michigan 2-1-1 in January 2005.

(3) Michigan 2-1-1 shall refer to the department any calls received reporting fraud, waste, or abuse of state-administered public assistance.

(4) Michigan 2-1-1 shall report annually to the department and the house and senate standing committees with primary jurisdiction over matters relating to human services and telecommunications on 2-1-1 system performance, including, but not limited to, call volume by community health and human service needs and unmet needs identified through caller data and customer satisfaction metrics.

Sec. 310. It is the intent of the legislature that the department shall work with youth-oriented nonprofit organizations to provide mentoring programming for children of incarcerated parents and other at-risk children.

Sec. 315. The department, in conjunction with the department of community health, organizations representing disabled and elderly adults, representatives of assisted living facilities, and the legislature, shall conduct a workgroup that explores licensing standards and practices and performance measures for facilities providing adult assisted living services in order to ensure safe, adequately supervised, and protective environments for those individuals and families seeking assisted living services.

ADULT AND FAMILY SERVICES

Sec. 401. (1) All funds appropriated in part 1 for independent living shall be used to support centers for independent living in delivering mandated independent living core services in compliance with federal rules and regulations for the centers, by existing centers for independent living to serve underserved areas, and for projects to build the capacity of centers for independent living to deliver independent living services. Applications for the funds shall be reviewed in accordance with criteria and procedures established by the department. Funds shall be used in a manner consistent with the state plan for independent living. Services provided should assist people with disabilities to move toward self-sufficiency, including support for accessing transportation and health care, obtaining employment, community living, nursing home transition, information and referral services, education, youth transition services, veterans, and stigma reduction activities.

(2) The Michigan centers for independent living shall provide a report by March 1 of the current fiscal year to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on direct customer and system outcomes and performance measures.

Sec. 402. The Michigan rehabilitation services shall work collaboratively with the bureau of services for blind persons, service organizations, and government entities to identify qualified match dollars to maximize use of available federal vocational rehabilitation funds.

Sec. 403. (1) It is the intent of the legislature that the funds appropriated in part 1 for Michigan rehabilitation services, and any future funds appropriated for that purpose, shall not be spent unless Michigan rehabilitation services addresses, works to remedy, and accounts for the deficiencies found in Michigan rehabilitation services as detailed in the most recent auditor general report of Michigan rehabilitation services.

(2) The department shall provide quarterly status reports by February 1, May 1, August 1, and November 1 to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and house and senate policy offices on Michigan rehabilitation services that include all of the following items:

(a) Reductions and changes in administration costs and staffing.

(b) Service delivery plans and implementation steps achieved.

(c) Reorganization plans and implementation steps achieved.

(d) Plans to integrate Michigan rehabilitative services programs into other services provided by the department.

(e) Quarterly expenditures by major spending category.

(f) Employment and job retention rates from both Michigan rehabilitation services and its nonprofit partners.

(g) Success rate of each district in achieving the program goals.

Sec. 404. From the funds appropriated in part 1 for independent living, the department shall allocate $1,500,000.00 to Michigan’s centers for independent living to continue to pilot guide services to develop accessible, comprehensive, and integrated services for persons with disabilities. The guide services shall also assist persons with disabilities and their families in navigating state systems when accessing public assistance to become financially self-sufficient.

Sec. 405. It is the intent of the legislature that Michigan rehabilitation services shall not implement an order of selection for vocational and rehabilitative services.

Sec. 407. From the funds appropriated in part 1 to Michigan rehabilitation services, the department shall use the interdepartmental grant from the department of corrections to expand the swift and sure sanctions probation program through Michigan rehabilitation services. The department shall allocate up to $3,000,000.00 as a match for $11,084,500.00, pending the availability of federal vocational rehabilitation funds, for the purpose described in this section. The department shall establish an interagency agreement with the department of corrections and judicial branch to carry out this purpose. These funds shall be used to assist individuals who have a history of probation or parole violations and exceptional mental health needs and shall not be used for individuals who are currently incarcerated. In order to implement the program described in this section, the department shall contract with accredited, community-based rehabilitation organizations for job placement and other support services for eligible probationers referred from that program. If the amount of available federal funding is less than $11,084,500.00, the department shall notify the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office within 30 days of this determination and the reasons for the lower match.

Sec. 415. (1) If funds become available in part 1, the department may contract with independent contractors from various counties, including, but not limited to, faith-based and nonprofit organizations. Preference shall be given to independent contractors that provide at least 10% in matching funds, through any combination of local, state, or federal funds or in-kind or other donations. However, an independent contractor that cannot secure matching funds shall not be excluded from consideration for the fatherhood program.

(2) The department may choose providers that will work with counties to help eligible fathers under TANF guidelines to acquire skills that will enable them to increase their responsible behavior toward their children and the mothers of their children. An increase of financial support for their children should be a very high priority as well as emotional support.

(3) A fatherhood initiative program established under this section shall minimally include at least 3 of the following components: promoting responsible, caring, and effective parenting through counseling; mentoring and parental education; enhancing the abilities and commitment of unemployed or low-income fathers to provide material support for their families and to avoid or leave welfare programs by assisting them to take advantage of job search programs, job training, and education to improve their work habits and work skills; improving fathers’ ability to effectively manage family business affairs by means such as education, counseling, and mentoring in household matters; infant care; effective communication and respect; anger management; children’s financial support; and drug-free lifestyle.

(4) The department is authorized to make allocations of TANF funds, of not more than 20% per county, under this section only to agencies that report necessary data to the department for the purpose of meeting TANF eligibility reporting requirements.

(5) Upon receipt of the promotion of responsible fatherhood funds from the United States department of health and human services, the department shall use the program criteria set forth in subsection (3) to implement the program with the federal funds.

Sec. 416. (1) If funds become available in part 1, the department may contract with independent contractors from various counties, including, but not limited to, faith-based and nonprofit organizations. Preference shall be given to independent contractors that provide at least 10% in matching funds, through any combination of local, state, or federal funds or in-kind or other donations. However, an independent contractor that cannot secure matching funds shall not be excluded from consideration for a marriage initiative program.

(2) The department may choose providers to work with counties that will work to support and strengthen marriages of those eligible under the TANF guidelines. The areas of work may include, but are not limited to, marital counseling, domestic violence counseling, family counseling, effective communication, and anger management as well as parenting skills to improve the family structure.

(3) A marriage initiative program established under this section may include, but is not limited to, 1 or more of the following: public advertising campaigns on the value of marriage and the skills needed to increase marital stability and health; education in high schools on the value of marriage, relationship skills, and budgeting; premarital, marital, family, and domestic violence counseling; effective communication; marriage mentoring programs which use married couples as role models and mentors in at-risk communities; anger management; and parenting skills to improve the family structure.

(4) The department is authorized to make allocations of TANF funds, of not more than 20% per county, under this section only to agencies that report necessary data to the department for the purpose of meeting TANF eligibility reporting requirements.

(5) Upon receipt of the healthy marriage promotion grant from the United States department of health and human services, the department shall use the program criteria set forth in subsection (3) to implement the program with the federal funds.

Sec. 420. (1) From the funds appropriated in part 1, the department shall contract with the prosecuting attorneys association of Michigan for 2 elder abuse resource prosecuting attorneys positions to provide the support and services necessary to increase the capability of the state’s prosecutors, adult protective service system, and criminal justice system to effectively identify, investigate, and prosecute elder abuse and financial exploitation.

(2) By March 1 of the current fiscal year, the prosecuting attorneys association shall provide a report on the efficacy of the contract to the state budget office, the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices.

Sec. 423. From the funds appropriated in part 1 for elder law of Michigan MiCAFE contract, the department shall allocate not less than $350,000.00 to the elder law of Michigan MiCAFE to assist this state’s elderly population to participate in the food assistance program. Of the $350,000.00 allocated under this section, the department shall use $175,000.00, which are general fund/general purpose funds, as state matching funds for not less than $175,000.00 in United States department of agriculture funding to provide outreach program activities, such as eligibility screen and information services, as part of a statewide food assistance hotline.

Sec. 424. The department may contract with a competitively selected contractor whose service area includes region 2 of the prosperity regions identified and defined by the department of technology, management, and budget. The competitively selected contractor shall be a nonprofit organized and operated exclusively for the tax-exempt purposes set forth in section 501(c)(3) of the United States internal revenue code. Allocated funds shall only be used to defray the operational and capital costs for the workers on wheels program. By January 1 of the current fiscal year, the selected contractor shall provide a report on the number of households served, impact of the recipient’s household income, employment status of the recipient, and the number of vehicles awarded through purchase and donation to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices.

Sec. 425. (1) From the funds appropriated in part 1, the department shall provide individuals not more than $500.00 for vehicle repairs, including any repairs done in the previous 12 months. However, the department may in its discretion pay for repairs up to $900.00. Payments under this section shall include the combined total of payments made by the department and work participation program.

(2) By November 30 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices a report detailing the total number of payments for repairs, the number of payments for repairs that exceeded $500.00, the number of payments for repairs that cost exactly $500.00, and the number of payments for repairs that cost exactly $900.00 in the previous fiscal year.

CHILDREN’S SERVICES

Sec. 501. (1) A goal is established that not more than 27% of all children in foster care at any given time during the current fiscal year will have been in foster care for 24 months or more.

(2) By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a report describing the steps that will be taken to achieve the specific goal established in this section and on the percentage of children who currently are in foster care and who have been in foster care a total of 24 or more months.

Sec. 502. From the funds appropriated in part 1 for foster care, the department shall provide 50% reimbursement to Indian tribal governments for foster care expenditures for children who are under the jurisdiction of Indian tribal courts and who are not otherwise eligible for federal foster care cost sharing.

Sec. 503. (1) In accordance with the final report of the Michigan child welfare performance-based funding task force issued in response to section 503 of article X of 2013 PA 59, the department shall issue a request for proposal not later than October 1, 2014 for an independent actuary designated as a fellow of the society of actuaries to recommend actuarially sound case rates for necessary out-of-home child welfare services that achieve permanency by the department and private child placing agencies in a prospective payment system under a performance-based funding model.

(2) A prospective rate payment system for private agencies that includes funding for adoption incentive payments is the recommended funding model. The full cost prospective rate payment system will identify and cover contractual costs, paid through the case rate developed by an actuary.

(3) By September 30, 2015, the department shall complete a full cost analysis of the performance-based funding model with respect to the current fiscal year, including relevant information on the actuarial rate-setting process and provide a report on the analysis to the senate and house appropriations subcommittees on the department budget.

(4) In accordance with the final report of the Michigan child welfare performance-based funding task force issued in response to section 503 of article X of 2013 PA 59, the department shall implement a 5-year independent, third-party evaluation of the performance-based funding model. The evaluator shall be selected through a competitive process by a rating committee that includes, but is not limited to, representatives from the department and private child placing agencies.

(5) The department shall create a readiness model with input from private child welfare agencies, counties, and courts that gives direction to self-identified counties and the department regarding county participation before any further expansion of the performance-based funding model.

(6) For phase II, the department shall only phase the implementation of the performance-based funding model into additional counties where the department, private child welfare agencies, the county, and the court operating within that county have agreed to implement the performance-based funding model.

(7) The department, in conjunction with members from both the house of representatives and senate, private child placing agencies, the courts, and counties shall implement the fiscal year 2014-2015 recommendations that are described in the workgroup report that was provided in section 503 of article X of 2013 PA 59 to establish a performance-based funding for public and private child welfare services providers. The department shall provide a quarterly report on the status of the performance-based contracting model to the senate and house appropriations subcommittees on the department budget, the senate and house standing committees on families and human services, and the senate and house fiscal agencies and policy offices.

Sec. 505. By March 1 of the current fiscal year, the department and Wayne County shall provide to the senate and house appropriations committees on the department budget and the senate and house fiscal agencies and policy offices a report for youth served in the previous fiscal year and in the first quarter of the current fiscal year outlining the number of youth served within each juvenile justice system, the type of setting for each youth, performance outcomes, and financial costs or savings.

Sec. 506. The department shall submit a report by February 15 of the current fiscal year on the number of foster children under department supervision who did not receive Medicaid coverage and the number of foster children under department supervision that experienced a break in Medicaid coverage during the previous fiscal year to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices.

Sec. 507. The department’s ability to satisfy appropriation deducts in part 1 for foster care private collections shall not be limited to collections and accruals pertaining to services provided only in the current fiscal year but may include revenues collected during the current fiscal year for services provided in prior fiscal years.

Sec. 508. (1) In addition to the amount appropriated in part 1 for children’s trust fund grants, money granted or money received as gifts or donations to the children’s trust fund created by 1982 PA 249, MCL 21.171 to 21.172, is appropriated for expenditure.

(2) The department and the child abuse neglect and prevention board shall collaborate to ensure that administrative delays are avoided and the local grant recipients and direct service providers receive money in an expeditious manner. The department and board shall make available the children’s trust fund contract funds to grantees within 31 days of the start date of the funded project.

Sec. 509. (1) From the funds appropriated in part 1 for the child welfare institute, the department shall use up to $100,000.00 to enter into a contract to provide pilot training for public and contracted child welfare staff to address secondary trauma.

(2) The department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year on the results of the pilot program, including the number of participants, actual costs of the pilot program, and a cost estimate to expand the program statewide.

Sec. 511. The department shall provide quarterly reports to the senate and house appropriations subcommittees on the department budget, the senate and house standing committees on families and human services, and the senate and house fiscal agencies and policy offices on the number and percentage of children who received timely health examinations after entry into foster care and the number and percentage of children entering foster care who received a required mental health examination after entry into foster care.

Sec. 513. (1) The department shall not expend funds appropriated in part 1 to pay for the direct placement by the department of a child in an out-of-state facility unless all of the following conditions are met:

(a) There is no appropriate placement available in this state as determined by the department interstate compact office.

(b) An out-of-state placement exists that is nearer to the child’s home than the closest appropriate in-state placement as determined by the department interstate compact office.

(c) The out-of-state facility meets all of the licensing standards of this state for a comparable facility.

(d) The out-of-state facility meets all of the applicable licensing standards of the state in which it is located.

(e) The department has done an on-site visit to the out-of-state facility, reviewed the facility records, reviewed licensing records and reports on the facility, and believes that the facility is an appropriate placement for the child.

(2) The department shall not expend money for a child placed in an out-of-state facility without approval of the deputy director for children’s services. The department shall notify the appropriate state agency in that state including the name of the out-of-state provider who accepted the placement.

(3) The department shall submit quarterly reports to the state court administrative office, the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices on the number of Michigan children residing in out-of-state facilities at the time of the report, the total cost and average per diem cost of these out-of-state placements to this state, and a list of each such placement arranged by the Michigan county of residence for each child.

(4) The department shall submit an annual report by February 15 of the current fiscal year on per diem costs of each residential care provider that has an established state rate and is located or doing business in this state.

(5) It is the intent of the legislature that the department shall work in conjunction with the courts and the state court administrative office to identify data needed to calculate statewide recidivism rates for adjudicated youth placed in either residential secure or nonsecure facilities, defined at 6 months after a youth is released from placement.

(6) By March 1 of the current fiscal year, the department shall notify the legislature on the status of efforts to accomplish the intent of subsection (5).

Sec. 514. The department shall make a comprehensive report concerning children’s protective services (CPS) to the legislature, including the senate and house policy offices and the state budget director, by January 1 of the current fiscal year, that shall include all of the following:

(a) Statistical information including, at a minimum, all of the following:

(i) The total number of reports of child abuse or neglect investigated under the child protection law, 1975 PA 238, MCL 722.621 to 722.638, and the number of cases classified under category I or category II and the number of cases classified under category III, category IV, or category V.

(ii) Characteristics of perpetrators of child abuse or neglect and the child victims, such as age, relationship, race, and ethnicity and whether the perpetrator exposed the child victim to drug activity, including the manufacture of illicit drugs, that exposed the child victim to substance abuse, a drug house, or methamphetamine.

(iii) The mandatory reporter category in which the individual who made the report fits, or other categorization if the individual is not within a group required to report under the child protection law, 1975 PA 238, MCL 722.621 to 722.638.

(iv) The number of cases that resulted in the separation of the child from the parent or guardian and the period of time of that separation, up to and including termination of parental rights.

(v) For the reported complaints of child abuse or neglect by teachers, school administrators, and school counselors, the number of cases classified under category I or category II and the number of cases classified under category III, category IV, or category V.

(vi) For the reported complaints of child abuse or neglect by teachers, school administrators, and school counselors, the number of cases that resulted in separation of the child from the parent or guardian and the period of time of that separation, up to and including termination of parental rights.

(b) New policies related to children’s protective services including, but not limited to, major policy changes and court decisions affecting the children’s protective services system during the immediately preceding 12-month period.

(c) The information contained in the report required under section 8d(5) of the child protection law, 1975 PA 238, MCL 722.628d, on cases classified under category III.

(d) The department policy, or changes to the department policy, regarding children who have been exposed to the production or manufacture of methamphetamines.

Sec. 515. (1) By October 1, 2014, the department, in conjunction with court and county personnel and representatives of the private child welfare agencies operating in Kent County, shall transfer all existing foster care cases and pending foster family home licensing applications in Kent County to private child welfare agencies. Beginning on or before October 1, 2014, the department, in conjunction with court and county personnel and representatives of the private child welfare agencies operating in Kent County, shall assign all new foster care cases and new foster family home licensing applications or recertifications in Kent County to private child welfare agencies