HOUSE BILL No. 6405

 

September 9, 2008, Introduced by Rep. Farrah and referred to the Committee on Regulatory Reform.

 

     A bill to amend 1987 PA 264, entitled

 

"Health and safety fund act,"

 

by amending sections 5 and 8 (MCL 141.475 and 141.478), section 5

 

as amended by 1998 PA 529.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 5. The state treasurer shall cause to be distributed from

 

the health and safety fund the following amounts in the 1988-89

 

fiscal year and in each following fiscal year: after that:

 

     (a) One-fourth Twenty-five percent of the collections

 

deposited in the fund under section 3(2) shall be used for indigent

 

volume adjusters for hospitals within the medicaid program.

 

     (b) After the distribution in subdivision (a), $16,000,000.00

 

of the amount deposited in the fund under section 3(2) shall be

 

distributed as follows:


 

     (i) To a county that received a loan authorized under section

 

3(2) or (3) of the emergency municipal loan act, 1980 PA 243, MCL

 

141.933, to pay outstanding obligations of the county; for the

 

repayment of principal and interest on any loans made to the county

 

under the emergency municipal loan act, 1980 PA 243, MCL 141.931 to

 

141.942; and for the payment of principal, premium, if any, and

 

interest due during a fiscal year on bonds issued by that county

 

under the fiscal stabilization act, 1981 PA 80, MCL 141.1001 to

 

141.1011. The distributions under this subparagraph shall be made

 

as necessary and only to the extent necessary to satisfy the

 

obligations of the county.

 

     (ii) To the extent that $16,000,000.00 is no longer necessary

 

to satisfy the obligations under subparagraph (i), a portion of the

 

amount not required for satisfaction of obligations shall be

 

distributed to each county that receives or has received a loan

 

authorized under section 3(2) or (3) of the emergency municipal

 

loan act, 1980 PA 243, MCL 141.933, in an amount determined by

 

multiplying the amount available for distribution under this

 

subparagraph by a fraction, the numerator of which is the

 

population of the county receiving the distribution and the

 

denominator of which is the total population of the state according

 

to the most recent decennial census. The distribution under this

 

subparagraph shall be made at the same times and shall be used,

 

subject to section 6, for the same purposes described in

 

subdivision (c). The remaining amount available for distribution

 

under this subparagraph shall be used on a per capita basis to

 

offset the cost to the state of the assumption of the financing of


 

the state court system in the counties not receiving a distribution

 

under this subparagraph.

 

     (c) The remaining amount deposited in the fund under section

 

3(2) not distributed under subdivisions (a) and (b) shall be

 

distributed to each county that does not receive and has never

 

received a loan authorized under section 3(2) or (3) of the

 

emergency municipal loan act, 1980 PA 243, MCL 141.933, on a per

 

capita basis according to the ratio that the population of the

 

county receiving the distribution under this subdivision, according

 

to the most recent decennial census, bears to the total population

 

of all counties receiving distribution under this subdivision,

 

according to the most recent decennial census. A distribution under

 

this subdivision shall be made each February, May, August, and

 

November from the collections that were deposited in the fund under

 

section 3(2) in the immediately preceding calendar quarter. Subject

 

to section 6, 12/17 of the distribution under this subdivision

 

shall be distributed to each local health department as defined in

 

section 1105 of the public health code, 1978 PA 368, MCL 333.1105,

 

in the county receiving the distribution on a per capita basis,

 

based on the most recent decennial census, to be used only for

 

public health prevention programs and services. This distribution

 

is in addition to and is not intended as a replacement for any

 

other state or county payments to these health departments. This

 

distribution satisfies the requirements of former section 7a(3) of

 

1947 PA 265. The remaining 5/17 of the distribution shall be used

 

only for 1 or more of the following:

 

     (i) The operation, maintenance, or expansion of an existing


 

county jail facility or juvenile facility.

 

     (ii) The acquisition, construction, and equipping of a new jail

 

facility or juvenile facility.

 

     (iii) Court operations.

 

     Sec. 8. (1) There is hereby appropriated from the health and

 

safety fund an amount necessary to make the distributions under

 

section 4.

 

     (2) Beginning in the 1988-89 fiscal year and for For each

 

fiscal year, thereafter, the legislative legislature shall

 

appropriate an amount necessary to make the distributions under

 

this act.