Analysts: Steve Stauff

Richard Child

Phone: 373-8080

Date: February 17, 2005

Summary of FY 2004-05 Supplemental Items

HB 4308 (H-1)

	Executive Agreements		House Committee
DEPARTMENT/BUDGET	GF/GP	GROSS	GF/GP	GROSS
Department of Community Health	$39,814,900	$85,631,400	$39,814,900	$85,631,400
Higher Education	0	0	0	0
Department of Labor & Economic Growth	0	12,300,000	0	12,300,000
TOTAL	$39,814,900	$97,931,400	$39,814,900	$97,931,400

Budgetary Issues:	Executive	House
DEPARTMENT OF COMMUNITY HEALTH 1. *Children's Special Health Care Services & Medicaid Base Adjustments* Provides an additional $19.3 million Gross ($11.1 million GF/GP) for the Children's Special Health Care Services Medical Care and Treatment line along with $66.3 million ($28.7 million GF/GP) for Medicaid appropriation lines within the Medical Services unit. These authorization increases reflect continued Medicaid caseload growth above the appropriated level. There are further adjustments between the top ten Medicaid appropriation lines to align funding with anticipated spending.	Gross Federal GF/GP	$85,631,400 45,816,500 $39,814,900	$85,631,400 45,816,500 $39,814,900
DEPARTMENT OF LABOR AND ECONOMIC GROWTH 1. Low-income/Energy Efficiency Fund Sufficient fund balance exists to provide an additional round of grants in FY 2005 to meet increased demand for energy assistance from low-income residents.	Gross Restr. GF/GP	10,000,000 10,000,000 $0	10,000,000 10,000,000 $0
2. *Motor Carrier Fund* A protracted law suit over a change in assessing the $10 per vehicle registration fee for out-off-state trucks was settled in favor of the plaintiffs, Yellow Transportation, Inc. and Schneider National Carriers, Inc. As a result, the Department is ordered by the Michigan Court of Claims to refund the excess fees paid plus interest.	Gross Restr. GF/GP	$2,300,000 2,300,000 $0	$2,300,000 2,300,000 $0

Budgetary Issues:

Executive

House

DEPARTMENT OF COMMUNITY HEALTH

1. Children's Special Health Care Services & Medicaid Base Adjustments

Provides an additional $19.3 million Gross ($11.1 million GF/GP) for the Children's Special Health Care Services Medical Care and Treatment line along with $66.3 million ($28.7 million GF/GP) for Medicaid appropriation lines within the Medical Services unit. These authorization increases reflect continued Medicaid caseload growth above the appropriated level. There are further adjustments between the top ten Medicaid appropriation lines to align funding with anticipated spending.

Gross

Federal

GF/GP

$85,631,400

45,816,500

$39,814,900

$85,631,400

45,816,500

$39,814,900

DEPARTMENT OF LABOR AND ECONOMIC GROWTH

1. Low-income/Energy Efficiency Fund

Sufficient fund balance exists to provide an additional round of grants in FY 2005 to meet increased demand for energy assistance from low-income residents.

Gross

Restr.

GF/GP

10,000,000

10,000,000

10,000,000

10,000,000

2. Motor Carrier Fund

A protracted law suit over a change in assessing the $10 per vehicle registration fee for out-off-state trucks was settled in favor of the plaintiffs, Yellow Transportation, Inc. and Schneider National Carriers, Inc. As a result, the Department is ordered by the Michigan Court of Claims to refund the excess fees paid plus interest.

Gross

Restr.

GF/GP

$2,300,000

2,300,000

$2,300,000

2,300,000

Boilerplate Issues:

HIGHER EDUCATION

1. Sec. 301. Restoration of Executive Order Reductions

Language would provide that the impact of the $30.0 million GF/GP reductions in EO 2005-3 not be applied to state university and community college operations appropriations prior toAugust 1, 2005. Also, up to $30.0 million would be appropriated to restore those reductions contingent on either (1) an increase in the May consensus conference GF/GP revenue estimate from the January consensus conference estimate or (2) an unreserved GF/GP fund balance at the close of FY 2004-05. If less than $30.0 million is available from those sources, the available funds would be paid to each university/college in direct proportion to the EO reduction amounts.