November 30, 2016, Introduced by Reps. Somerville and Poleski and referred to the Committee on Local Government.
A bill to amend 1973 PA 139, entitled
"An act to provide forms of county government; to provide for
county managers and county executives and to prescribe their powers
and duties; to abolish certain departments, boards, commissions,
and authorities; to provide for transfer of certain powers and
functions; to prescribe powers of a board of county commissioners
and elected officials; to provide organization of administrative
functions; to transfer property; to retain ordinances and laws not
inconsistent with this act; to provide methods for abolition of a
unified form of county government; and to prescribe penalties and
provide remedies,"
by amending sections 4a, 17, and 22 (MCL 45.554a, 45.567, and
45.572), section 4a as added by 2012 PA 507, and by adding section
22a.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4a. (1) Beginning September 30, 2014, each county road
agency shall annually certify to the department that it satisfies 1
of the following conditions with respect to transportation
employees:
(a) The county road agency has developed and publicized a
transportation employee compensation plan that the county road
agency intends to implement with any new, modified, or extended
contract or employment agreements for transportation employees not
covered under contract or employment agreement. The transportation
employee compensation plan that each county road agency plans to
achieve
shall must be posted on a publicly accessible internet site
and
shall must be submitted to the department. At Subject to
section 22a, at a minimum, the transportation employee compensation
plan
shall must include all of the following:
(i) New transportation employee hires who are eligible for
retirement plans are placed on retirement plans that cap annual
employer contributions at 10% of base salary for transportation
employees who are eligible for social security benefits. For
transportation employees who are not eligible for social security
benefits, the annual employer contribution is capped at 16.2% of
base salary.
(ii) For defined benefit pension plans, a maximum multiplier
of 1.5% for all transportation employees who are eligible for
social security benefits, except, if postemployment health care is
not
provided, the maximum multiplier shall be is 2.25%. For all
transportation employees who are not eligible for social security
benefits, a maximum multiplier of 2.25%, except, if postemployment
health
care is not provided, the maximum multiplier shall be is
3.0%. This subparagraph does not apply to years of service accrued
prior
to before September 30, 2013, or to contracts entered into
prior
to before September 30, 2013.
(iii) For defined benefit pension plans, final average
compensation for all transportation employees is calculated using a
minimum
of 3 years of compensation and shall must not include more
than
a total of 240 hours of paid leave. Overtime hours shall must
not be used in computing the final average compensation for a
transportation employee. This subparagraph does not apply to years
of
service accrued prior to before
September 30, 2013, or to
contracts
entered into prior to before
September 30, 2013.
(iv) Health care premium costs for new transportation employee
hires
shall must include a minimum transportation employee share of
20%; or, an employer's share of the local health care plan costs
shall
must be cost competitive with the new state preferred
provider organization health plan, on a per-transportation-employee
basis.
(b) The county road agency complies with 1 of the following:
(i) A county road agency that offers medical benefits to its
transportation employees or elected public officials shall certify
to the department by September 30, 2014 that it is in compliance
with the publicly funded health insurance contribution act, 2011 PA
152, MCL 15.561 to 15.569. For purposes of this subparagraph,
dental and vision coverages are not considered medical benefits.
The department shall develop a certification process and method for
county road agencies to follow.
(ii) A county road agency that does not offer medical benefits
to its transportation employees or elected public officials shall
certify to the department by September 30, 2014 that it does not
offer medical benefits to its transportation employees or elected
public officials. For purposes of this subparagraph, dental and
vision coverages are not considered medical benefits. The
department shall develop a certification process and method for
county road agencies to follow.
(2) If a county road agency does not make the certification
required under subsection (1), the department may withhold all or a
part of the distributions to the county road agency from the
Michigan transportation fund under 1951 PA 51, MCL 247.651 to
247.675.
A withholding under this subsection shall must continue
for the period of noncompliance with subsection (1) by the county
road agency.
(3) A county road agency shall maintain a searchable website
accessible by the public at no cost that includes, but is not
limited to, all of the following:
(a) Current fiscal year budget.
(b) The number of active transportation employees of the
county road agency by job classification and wage rate.
(c) A financial performance dashboard that contains
information on revenues, expenditures, and unfunded liabilities.
The county road agency may link to financial information provided
by the Michigan transportation asset management council.
(d) The names and contact information for the governing body
of the county road agency.
(e) A copy of the certification required by subsection (1).
(4) A county road agency may develop and operate its own
website to provide the information required under subsection (3),
or the county road agency may reference this state's central
transparency website as the source for the information required
under subsection (3). If a county road agency does not have a
website, the county road agency may post the information required
under subsection (3) on the website for the county within which the
county road agency is located or on the website of a statewide road
association of which the county road agency is a member.
(5) As used in this section:
(a) "County road agency" means a county road commission in a
county that adopts an optional unified form of county government
under this act. In addition, if a board of county road
commissioners of a county is dissolved as provided in section 6 of
chapter IV of 1909 PA 283, MCL 224.6, county road commission
includes the county board of commissioners of that county.
(b) "Department" means the state transportation department.
(c) "Transportation employee" means an employee paid in whole
or in part through revenues distributed under sections 12 to 13 of
1951 PA 51, MCL 247.662 to 247.663, or an employee who is engaged
primarily in work funded through revenues distributed under
sections 12 to 13 of 1951 PA 51, MCL 247.662 to 247.663.
Sec.
17. The Subject to the
local unit of government
retirement act, the board of county commissioners shall continue,
without diminution of function or authority, any board previously
established to administer employee retirement and pension programs
or may create a retirement board if none exists. A retirement board
may
invest or reinvest the moneys thereof.money of the employee
retirement and pension programs.
Sec.
22. Under Subject to the
local unit of government
retirement act, under an optional unified form of county government
all retirement and pension rights of employees provided by existing
law remain in full force and effect.
Sec. 22a. For a county that has adopted an optional unified
form of county government and that provides a retirement system for
the county's employees, the retirement system is subject to the
local unit of government retirement act. As used in this section,
"retirement system" means that term as defined in section 3 of the
local unit of government retirement act.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No. ____ or House Bill No. 6074 request no.
06264'16 *) of the 98th Legislature is enacted into law.