ENERGY, LABOR,AND ECONOMIC GROWTH

Senate Bill 243 (H-1), as passed by the House

Analyst: Mark Wolf

Revised June 26, 2009

		FY 2009-10	FY 2009-10	FY 2009-10	*Difference: House* *From FY 2008-09 YTD*
	FY 2008-09 YTD	Revised Exec	Senate	House	*Amount*	%
IDG/IDT	$30,575,700	$29,117,100	$29,117,100	$29,117,100	($1,458,600))	(4.7)
Federal	881,329,500	918,286,200	917,336,200	916,466,300	35,136,800	4.0
Local	15,889,200	15,921,000	15,921,000	15,921,000	31,800	0.2
Private	5,314,300	5,314,300	5,314,300	5,214,400	(99,900)	(1.9)
Restricted	400,230,700	399,903,500	399,803,500	400,199,000	(31,700)	(0.0)
GF/GP	59,635,300	73,914,300	65,430,700	45,756,800	(13,878,500)	(18.9)
Gross	$1,392,974,700	$1,442,456,400	$1,432,922,800	$1,412,674,600	*$19,699,900*	*1.4*
FTEs	4,383.5	4,723.0	4,705.0	4,704.0	320.5	7.4

Note: FY 2008-09 figures reflect contingency transfers, supplementals, and Executive Order (EO) actions throughJune 25, 2009. This includes savings estimated from furlough days in EO 2009-22. (Previous summaries of the House versions did not). This does not include the $429.2 million in additional federal funding available through the American Recovery and Reinvestment Act, which is appropriated in 2009 PA 7 (HB 4258) and 2009 PA 38 (HB 4308), as it is "one-time" in nature. The Revised Executive Recommendation includes a revision, dated March 4, 2009, reducing the GF/GP appropriation to the SHPO and archaeology programs, included within MSHDA. Executive Order 2009-22 was issued before the Executive Recommendation and the Senate version were issued, so those bills do not incorporate reductions included in the EO.

Overview

The Department of Energy, Labor, and Economic Growth has primary responsibility for the regulatory functions that relate specifically to commercial, business, and workers’ issues. It also includes various employment training-related programs, as well as unemployment and workers compensation administration. Executive Order 2008-20 transferred certain energy-related functions from the Department of Environmental Quality in order to consolidate energy programs within the department. The EO also renamed the department, adding "Energy" to its name.

Highlights

The House substitute reduces the No Worker Left Behind GF/GP to $5.0 million; Michigan Nursing Corps to $1.5 million; Focus: HOPE GF/GP to $360,200, and takes the annualized EO 2009-22 administrative reduction ($5.8 million) through a budgetary savings unit, with the reductions made at the department's discretion, subject to the legislative transfer process. Placeholder appropriations are provided for the Housing and Community Development Fund, the Michigan Tax Tribunal, and grants for the Centers for independent Living, as well as the Agriculture Economic DevelopmentIDG added by the Senate. The substitute also includes a placeholder appropriation for the state historic preservation office and archaeology programs related to the proposed elimination of the Department of History, Arts, and Libraries. (An executive order eliminating the department is still pending.)

In addition to the GF/GP reductions there are two fund shifts that would result in additional GF/GP savings within the fiscal year. The substitute organizes the METRO Authority within the Public Service Commission, moving funding from re-directed liquor revenue (the surplus of which is credited to the General Fund) to public utility assessments. The House also replaces $3.1 million GF/GP support for the Bureau of Fire Services with part of the unexpended balance in the Emergency 911 Fund. The House does not concur with the increase in liquor license fees proposed by the Executive.

Boilerplate language is added directing the Bureau of Fire Services and the Michigan Tax Tribunal to review their current fee structures and provide a report to the Legislature outlining a proposed fee structure that would be in place (contingent on any statutory or administrative rule changes) beginning in FY 2010-11. Boilerplate changes also require the department to submit a report detailing the expenditures and revenues associated with licensing enforcement activities, and require local units receiving fire protection grant assistance to provide a report to the department detailing how FPG assistance is expended by the local unit and detailing the activities (and concomitant costs) of the local fire department as it relates to state property. Boilerplate also requires locals to report to the department on any liquor-related fees imposed by the local unit, as well as detailing how liquor law enforcement grants are expended by the local unit.

Major Budget Issues

Major Budget Changes From FY 2008-09 YTD Appropriations	FY 2008-09 YTD	Exec. Change From YTD	Senate Change From YTD	House Change From YTD
Items
NEW ITEMS INCLUDED IN THE HOUSE SUBCOMMITTEE RECOMMENDATION
1. Michigan *Nursing Corps* The House reduces funding from $4.5 million to $1.5 million, essentially eliminating the increase in funding provided in FY 2008-09. EO 2009-22 reduced funding by $454,400 (the unobligated balance after awards were made), so the reduction isn't included in the Executive or the Senate.	Gross GF/GP	$4,545,600 $4,545,600	$454,400 $454,400	$454,400 $454,400	($3,045,600) ($3,045,600)
2. Bureau of Fire Services The House replaces $3.0 million GF/GP with part of the unobligated balance in the Emergency 911 Fund. Previously, the Emergency 911 Service Enabling Act charged a $0.52 state 911 charge, and permitted suppliers to seek reimbursement from the fund for costs associated with implementing the FCC wireless order and the act and incurred beforeDecember 31, 2005. Suppliers that sought reimbursement charged $0.52, while those that did not charged $0.29. AfterDecember 31, 2005 the state 911 charge dropped to $0.29. The fund balance is the result of suppliers charging $0.52 but not seeking reimbursement for costs. The deadline to seek reimbursement ended more than two years ago, and the funds have remained in the 911 Fund. EO 2009-22 reduced funding by $545,000, which isn't included in any of the three budget recommendations. The House combines the Firefighter Training Council, Fire Marshal, and Fire Safety Program line items into one line item for entire Bureau.	Gross IDG Federal Restricted GF/GP	$5,929,700 809,800 788,000 1,816,700 $2,515,200	$608,200 0 0 38,200 $570,000	$608,200 0 0 38,200 $570,000	$608,200 0 0 3,123,400 ($2,515,200)
3. METRO Authority The House moves the METRO Authority, which regulates rights-of-way issues involving telecommunications and cable providers. The act did not establish a funding mechanism for the authority. The authority is funded through re-directed liquor funds, the surplus of which is credited to the General Fund. The House organizes (and provides funding for) the authority within the Public Service Commission, thereby resulting in a GF/GP savings of $560,500. The authority is rolled into the MPSC line.	Gross Restricted	$560,500 560,500	$0 0	$0 0	$0 0
4. Annualize EO 2009-22 Reductions The House annualizes the four percent administrative reductions made in EO 2009-22. Rather than detailing specific line item reductions, the House includes the reductions as a budgetary savings appropriation unit, which permits the department to use its discretion in making the required reductions. Boilerplate directs that these reductions would be subject to the legislative transfer process (requiring a legislative transfer request from the State Budget Office and approval from the legislative appropriations committees.) Those line items that took a reduction in EO 2009-22 are appropriated, under the House substitute, at the Executive Recommended level, unless otherwise amended.	Gross GF/GP	($2,908,200) ($2,908,200)	N/A N/A	N/A N/A	($2,908,200) ($2,908,200)

ITEMS OF DIFFERENCE
5. Centers for Independent Living EO 2009-22 reduced funding for the 15 CILs by $500,000, effectively eliminating the $500,000 (Corporations Fees) increase included in the FY 2009 enacted budget (2008 PA 251, HB 5809), and maintaining funding at prior-year levels. This reduction was not contemplated in either the Executive Recommendation or the Senate version. The Executive removes $500,000 (Corporations Fees) added in FY 2009 to support the CILs, and maintained the FY 2009 enacted GF/GP funding level of $2.1 million. The Senate concurs with the reduction in Corporations Fees, but adds $400,000 GF/GP, above the FY 2009 enacted level. The House includes a placeholder appropriation. Boilerplate directs that Corporations Fees appropriated for the CILs (for now, a $100 placeholder) would be allocated to the 5 CILs that do not receive core funding under TitleVII, Part C of the federal Rehabilitation Act. The YTD figure above does not include $290,700 in federal funds available under the American Recovery and Reinvestment Act appropriated under 2009 PA 7.	Gross Federal Private Restricted GF/GP	$3,079,700 870,200 100,000 500,000 $1,609,500	$0 0 0 (500,000) $500,000	$400,000 0 0 (500,000) $900,000	($3,079,200) (870,000) (99,900) (499,900) ($1,609,400)
6. Office of Administrative Hearings and Rules The Executive adds 11.0FTE positions and $1.3 million (IDG-DHS) to support increased hearing caseloads from the Department of Human Services; transfers 3.0FTE positions and $263,600 (L&R Fees) to the Bureau of Commercial Services, and aligns funding andFTE positions with support and activities from Corrections, Education, and Human Services. The Senate does not include a reduction of 2.0 FTEs related to Corrections administrative hearings, although it does concur with the Executive in reducing the CorrectionsIDG by $348,000. The House concurs with the Executive.	FTEs Gross IDG Federal Restricted	170.5 $23,051,200 11,254,200 6,978,800 4,818,200	5.5 $818,100 1,081,700 0 (263,600)	7.5 $818,100 1,081,700 0 (263,600)	5.5 $818,100 1,081,700 0 (263,600)
7. *HAL- Historic Preservation and Archaeology* The Executive proposes to eliminate the Department of History, Arts, and Libraries, and transfer programs throughout state government. Included in this, is the transfer of the State Historic Preservation Office and archaeology programs to MSHDA. The Senate continues to have a separate budget bill forHAL (SB 247). The House** leaves placeholders for each fund source, but also provides for a separate budget bill.	FTEs Gross Federal GF/GP	N/A N/A N/A N/A	20.0 $1,933,600 950,000 $983,900	0.0 $0 0 $0	1.0 $200 100 $100
*8. Liquor Revenue Fund Shift* The Executive replaces $17.0 million in Liquor Purchase Revolving Funds used in several LCC-related administrative lines with an anticipated increase in Liquor License Revenue generated from proposed doubling liquor license fees, providing a2am-4am license, and a Sunday morning license. Total estimated revenue from the fee changes is $24.2 million, with the excess ($7.2 million) credited to the General Fund. By replacing LPRF, the fee increases would increase the LPRF transfer to the General Fund by $17.0 million. (Fee increases are provided for in House Bill 5056.) The Senate does not concur with the Executive, supporting the LCC-related functions with Liquor License Revenue and the Liquor Purchase Revolving Fund. The House does not concur with the Executive, supporting the LCC-related functions with Liquor License Revenue and unspecified "State Restricted Funds".	Gross Federal Restricted GF/GP	N/A N/A N/A N/A	$0 0 0 $0	$0 0 0 $0	$0 0 0 $0
*9. No Worker Left Behind GF/GP* EO 2009-22 reduced GF/GP funding for NWLB by $7,163,400, by eliminating the allocation for community colleges ($2.5 million), which had not been awarded at the time, and by reducing funding available for training by $5.3 million. This reduction was not considered in either the Executive or the Senate. The Executive continued the FY 2009 enacted GF/GP appropriation of $15.0 million GF/GP. The Senate appropriated $6.6 million GF/GP, reducing the FY 2009 enacted appropriation by $8.4 million. The House reduces the FY 2009 YTD appropriation by an additional $2,163,400, which equates to a reduction of $10.0 million from the FY 2009 enacted appropriation.	Gross GF/GP	$7,163,400 $7,163,400	$7,836,600 $7,836,600	($563,400) ($563,400)	($2,163,400) ($2,163,400)
*10.Michigan* Occupational Safety and Health Administration (MIOSHA) The Senate reduced funding by a $100,000 placeholder. The intent is to explore the possibility of returning the program to the federal Department of Labor-Occupational Safety and Health Administration. The House** does not concur with the Senate.	FTEs Gross Federal Restricted	229.0 $26,264,300 12,227,400 14,036,900	0.0 $0 0 0	0.0 ($100,000) 0 (100,000)	0.0 $0 0 0
*11. Agricultural Economic Development* The Senate adds $500,000 GF/GP for anIDG to the Department of Agriculture "to foster and promote growth in the food and agriculture sector." The House includes a placeholder appropriation.	Gross GF/GP	N/A N/A	$500,000 $500,000	$500,000 $500,000	$100 $100
12. Michigan *Tax Tribunal* The Executive and Senate Increases the appropriation by $550,000 to work through backlog of cases. The House includes a placeholder appropriation for the MTT, which is partially funded by corporations and securities fees, in addition to MTT fees. Boilerplate language requires the MTT to provide a report to the legislature detailing a proposed fee schedule that would be in place beginning in FY 2011.	Gross Restricted	$2,028,300 2,028,300	$550,000 550,000	$550,000 550,000	($2,028,000) (2,028,000)

ITEMS INCLUDED INALL 3 BUDGETS
13. Energy Program Consolidation (EO 2008-20) Adds 1.0FTE position and $1.9 million (Retired Engineers Technical Assistance Program Fund) for the consolidation of energy programs, transferred from DEQ, within DELEG.	FTEs Gross Restricted GF/GP	N/A N/A N/A N/A	1.0 $1,957,200 1,957,200 $0	1.0 $1,957,200 1,957,200 $0	1.0 $1,957,200 1,957,200 $0
14. Unemployment Insurance Agency Adds 300.0FTE positions and $18.0 million (Federal) to respond to the increased number of UI benefit claims. Also recognizes $4.6 million (Federal) for postage costs, which were previously paid directly byDOL but are now provided to states (including UIA) to pay postage costs.	FTEs Gross Federal Restricted	1,002.7 $103,928,000 90,870,300 13,057,700	300.0 $22,587,800 22,587,800 0	300.0 $22,587,800 22,587,800 0	300.0 $22,587,800 22,587,800 0
15. Office of Financial and Insurance Regulation Adds 1.0FTE position and $59,900 (Securities Fees) to implement increased responsibilities of 2008 PA 551 (updated Uniform Securities Act). [The Executive and the House combine OFIR's two regulatory line items, the Senate keeps them separate.]	FTEs Gross Federal Restricted	348.0 $52,670,200 50,400 52,169,800	1.0 $59,900 0 59,900	1.0 $59,900 0 59,900	1.0 $59,900 0 59,900
*16. Jobs, Education, and Training (JET) Program* Reduces $3.0 million in administrative costs, based on anticipated program efficiencies.	FTEs Gross IDG	57.0 $18,410,200 18,410,200	0.0 ($3,000,000) (3,000,000)	0.0 ($3,000,000) (3,000,000)	0.0 ($3,000,000) (3,000,000)
17. MSHDA Payments on Behalf of Tenants Increases funding for Section 8 Tenant-Based Rental Assistance based on anticipated revenue from the U.S. Department of Housing and Urban Development.	Gross Federal	$145,000,000 145,000,000	$11,000,000 11,000,000	$11,000,000 11,000,000	$11,000,000 11,000,000
18. Remonumentation Grants Decreases authorization for grants to counties based on estimated revenue.	Gross Restricted	$11,000,000 11,000,000	($5,700,000) (5,700,000)	($5,700,000) (5,700,000)	($5,700,000) (5,700,000)
19. Low Income Energy Efficiency Fund Reduces authorization by $3.2 million to align with annual revenue and provide sufficient authorization to re-appropriate prior-year awards not fully expended. From FY 2009 enacted, this represents an increase of $10.0 million. Annual revenue is $84.0 million.	Gross Restricted	$93,200,000 93,200,000	($3,200,000) (3,200,000)	($3,200,000) (3,200,000)	($3,200,000) (3,200,000)
20. Information Technology Increases funding ($618,900) to provide DELEG's share of the costs for the Michigan Business Services improvement initiative (MBSii) - a one-stop web portal designed to improve the business-state interface as it relates to starting and operating a business in the state; adds $655,600 for Microsoft license upgrade; includes $101,000 in efficiencies. IT-costs related to the transfer ofHAL programs are not included in the Senate. The House keeps a $100 GF placeholder related to theHAL transfer.	Gross Federal Restricted GF/GP	$42,853,200 27,479,400 15,373,800 $0	$1,173,500 301,200 872,300 $0	$1,173,500 301,200 872,300 $0	$1,173,600 301,200 872,300 $100
21. Commission for the Blind Increases authorization based on federal revenue available.	Gross Federal Local Private Restricted GF/GP	$19,684,900 14,246,100 521,000 110,300 545,200 $4,262,300	$4,575,000 4,575,000 0 0 0 $0	$4,575,000 4,575,000 0 0 0 $0	$4,575,000 4,575,000 0 0 0 $0
22. Annualize EO 2008-21 Reductions Annualizes GF/GP reductions from EO 2008-21 for Fire Marshal ($5,000), Fire Safety ($10,000), Fire Fighters Training Council ($10,000), Workers Compensation Agency ($200,000), Workers Compensation Board of Magistrates and Appellate Commission ($10,500), and Workforce Programs Administration ($50,000).	Gross GF/GP	N/A N/A	($285,500) ($285,500)	($285,500) ($285,500)	($285,500) ($285,500)
23. FY 2008-09 Economic Increases	Gross IDG Federal Local Restricted GF/GP	N/A N/A N/A N/A N/A N/A	$9,344,000 261,200 4,277,500 31,800 4,261,500 $512,000	$9,344,000 261,200 4,277,500 31,800 4,261,500 $512,000	$9,344,000 261,200 4,277,500 31,800 4,261,500 $512,000

Major Budget Changes From FY 2008-09 YTD Appropriations

FY 2008-09 YTD

Exec. Change

From YTD

Senate Change

From YTD

House Change From YTD

Items

NEW ITEMS INCLUDED IN THE HOUSE SUBCOMMITTEE RECOMMENDATION

1. Michigan Nursing Corps

The House reduces funding from $4.5 million to $1.5 million, essentially eliminating the increase in funding provided in FY 2008-09. EO 2009-22 reduced funding by $454,400 (the unobligated balance after awards were made), so the reduction isn't included in the Executive or the Senate.

Gross

GF/GP

$4,545,600

$4,545,600

$454,400

$454,400

$454,400

$454,400

($3,045,600)

($3,045,600)

2. Bureau of Fire Services

The House replaces $3.0 million GF/GP with part of the unobligated balance in the Emergency 911 Fund. Previously, the Emergency 911 Service Enabling Act charged a $0.52 state 911 charge, and permitted suppliers to seek reimbursement from the fund for costs associated with implementing the FCC wireless order and the act and incurred beforeDecember 31, 2005. Suppliers that sought reimbursement charged $0.52, while those that did not charged $0.29. AfterDecember 31, 2005 the state 911 charge dropped to $0.29. The fund balance is the result of suppliers charging $0.52 but not seeking reimbursement for costs. The deadline to seek reimbursement ended more than two years ago, and the funds have remained in the 911 Fund. EO 2009-22 reduced funding by $545,000, which isn't included in any of the three budget recommendations. The House combines the Firefighter Training Council, Fire Marshal, and Fire Safety Program line items into one line item for entire Bureau.

Gross

IDG

Federal

Restricted

GF/GP

$5,929,700

809,800

788,000

1,816,700

$2,515,200

$608,200

38,200

$570,000

$608,200

38,200

$570,000

$608,200

3,123,400

($2,515,200)

3. METRO Authority

The House moves the METRO Authority, which regulates rights-of-way issues involving telecommunications and cable providers. The act did not establish a funding mechanism for the authority. The authority is funded through re-directed liquor funds, the surplus of which is credited to the General Fund. The House organizes (and provides funding for) the authority within the Public Service Commission, thereby resulting in a GF/GP savings of $560,500. The authority is rolled into the MPSC line.

Gross

Restricted

$560,500

560,500

4. Annualize EO 2009-22 Reductions

The House annualizes the four percent administrative reductions made in EO 2009-22. Rather than detailing specific line item reductions, the House includes the reductions as a budgetary savings appropriation unit, which permits the department to use its discretion in making the required reductions. Boilerplate directs that these reductions would be subject to the legislative transfer process (requiring a legislative transfer request from the State Budget Office and approval from the legislative appropriations committees.) Those line items that took a reduction in EO 2009-22 are appropriated, under the House substitute, at the Executive Recommended level, unless otherwise amended.

Gross

GF/GP

($2,908,200)

($2,908,200)

N/A

N/A

N/A

N/A

($2,908,200)

($2,908,200)

ITEMS OF DIFFERENCE

5. Centers for Independent Living

EO 2009-22 reduced funding for the 15 CILs by $500,000, effectively eliminating the $500,000 (Corporations Fees) increase included in the FY 2009 enacted budget (2008 PA 251, HB 5809), and maintaining funding at prior-year levels. This reduction was not contemplated in either the Executive Recommendation or the Senate version.

The Executive removes $500,000 (Corporations Fees) added in FY 2009 to support the CILs, and maintained the FY 2009 enacted GF/GP funding level of $2.1 million.

The Senate concurs with the reduction in Corporations Fees, but adds $400,000 GF/GP, above the FY 2009 enacted level.

The House includes a placeholder appropriation. Boilerplate directs that Corporations Fees appropriated for the CILs (for now, a $100 placeholder) would be allocated to the 5 CILs that do not receive core funding under TitleVII, Part C of the federal Rehabilitation Act.

The YTD figure above does not include $290,700 in federal funds available under the American Recovery and Reinvestment Act appropriated under 2009 PA 7.

Gross

Federal

Private

Restricted

GF/GP

$3,079,700

870,200

100,000

500,000

$1,609,500

(500,000)

$500,000

$400,000

(500,000)

$900,000

($3,079,200)

(870,000)

(99,900)

(499,900)

($1,609,400)

6. Office of Administrative Hearings and Rules

The Executive adds 11.0FTE positions and $1.3 million (IDG-DHS) to support increased hearing caseloads from the Department of Human Services; transfers 3.0FTE positions and $263,600 (L&R Fees) to the Bureau of Commercial Services, and aligns funding andFTE positions with support and activities from Corrections, Education, and Human Services.

The Senate does not include a reduction of 2.0 FTEs related to Corrections administrative hearings, although it does concur with the Executive in reducing the CorrectionsIDG by $348,000.

The House concurs with the Executive.

FTEs

Gross

IDG

Federal

Restricted

170.5

$23,051,200

11,254,200

6,978,800

4,818,200

5.5

$818,100

1,081,700

(263,600)

7.5

$818,100

1,081,700

(263,600)

5.5

$818,100

1,081,700

(263,600)

7. HAL- Historic Preservation and Archaeology

The Executive proposes to eliminate the Department of History, Arts, and Libraries, and transfer programs throughout state government. Included in this, is the transfer of the State Historic Preservation Office and archaeology programs to MSHDA.

The Senate continues to have a separate budget bill forHAL (SB 247).

The House leaves placeholders for each fund source, but also provides for a separate budget bill.

FTEs

Gross

Federal

GF/GP

N/A

N/A

N/A

20.0

$1,933,600

950,000

$983,900

0.0

1.0

$200

100

$100

8. Liquor Revenue Fund Shift

The Executive replaces $17.0 million in Liquor Purchase Revolving Funds used in several LCC-related administrative lines with an anticipated increase in Liquor License Revenue generated from proposed doubling liquor license fees, providing a2am-4am license, and a Sunday morning license. Total estimated revenue from the fee changes is $24.2 million, with the excess ($7.2 million) credited to the General Fund. By replacing LPRF, the fee increases would increase the LPRF transfer to the General Fund by $17.0 million. (Fee increases are provided for in House Bill 5056.)

The Senate does not concur with the Executive, supporting the LCC-related functions with Liquor License Revenue and the Liquor Purchase Revolving Fund.

The House does not concur with the Executive, supporting the LCC-related functions with Liquor License Revenue and unspecified "State Restricted Funds".

Gross

Federal

Restricted

GF/GP

N/A

N/A

9. No Worker Left Behind GF/GP

EO 2009-22 reduced GF/GP funding for NWLB by $7,163,400, by eliminating the allocation for community colleges ($2.5 million), which had not been awarded at the time, and by reducing funding available for training by $5.3 million. This reduction was not considered in either the Executive or the Senate.

The Executive continued the FY 2009 enacted GF/GP appropriation of $15.0 million GF/GP.

The Senate appropriated $6.6 million GF/GP, reducing the FY 2009 enacted appropriation by $8.4 million.

The House reduces the FY 2009 YTD appropriation by an additional $2,163,400, which equates to a reduction of $10.0 million from the FY 2009 enacted appropriation.

Gross

GF/GP

$7,163,400

$7,163,400

$7,836,600

$7,836,600

($563,400)

($563,400)

($2,163,400)

($2,163,400)

10.Michigan Occupational Safety and Health Administration (MIOSHA)

The Senate reduced funding by a $100,000 placeholder. The intent is to explore the possibility of returning the program to the federal Department of Labor-Occupational Safety and Health Administration. The House does not concur with the Senate.

FTEs

Gross

Federal

Restricted

229.0

$26,264,300

12,227,400

14,036,900

0.0

($100,000)

(100,000)

0.0

11. Agricultural Economic Development

The Senate adds $500,000 GF/GP for anIDG to the Department of Agriculture "to foster and promote growth in the food and agriculture sector." The House includes a placeholder appropriation.

Gross

GF/GP

N/A

$500,000

$500,000

$500,000

$500,000

$100

$100

12. Michigan Tax Tribunal

The Executive and Senate Increases the appropriation by $550,000 to work through backlog of cases. The House includes a placeholder appropriation for the MTT, which is partially funded by corporations and securities fees, in addition to MTT fees. Boilerplate language requires the MTT to provide a report to the legislature detailing a proposed fee schedule that would be in place beginning in FY 2011.

Gross

Restricted

$2,028,300

2,028,300

$550,000

550,000

$550,000

550,000

($2,028,000)

(2,028,000)

ITEMS INCLUDED INALL 3 BUDGETS

13. Energy Program Consolidation (EO 2008-20)

Adds 1.0FTE position and $1.9 million (Retired Engineers Technical Assistance Program Fund) for the consolidation of energy programs, transferred from DEQ, within DELEG.

FTEs

Gross

Restricted

GF/GP

N/A

N/A

N/A

1.0

$1,957,200

1,957,200

1.0

$1,957,200

1,957,200

1.0

$1,957,200

1,957,200

14. Unemployment Insurance Agency

Adds 300.0FTE positions and $18.0 million (Federal) to respond to the increased number of UI benefit claims. Also recognizes $4.6 million (Federal) for postage costs, which were previously paid directly byDOL but are now provided to states (including UIA) to pay postage costs.

FTEs

Gross

Federal

Restricted

1,002.7

$103,928,000

90,870,300

13,057,700

300.0

$22,587,800

22,587,800

300.0

$22,587,800

22,587,800

300.0

$22,587,800

22,587,800

15. Office of Financial and Insurance Regulation

Adds 1.0FTE position and $59,900 (Securities Fees) to implement increased responsibilities of 2008 PA 551 (updated Uniform Securities Act). [The Executive and the House combine OFIR's two regulatory line items, the Senate keeps them separate.]

FTEs

Gross

Federal

Restricted

348.0

$52,670,200

50,400

52,169,800

1.0

$59,900

59,900

1.0

$59,900

59,900

1.0

$59,900

59,900

16. Jobs, Education, and Training (JET) Program

Reduces $3.0 million in administrative costs, based on anticipated program efficiencies.

FTEs

Gross

IDG

57.0

$18,410,200

18,410,200

0.0

($3,000,000)

(3,000,000)

0.0

($3,000,000)

(3,000,000)

0.0

($3,000,000)

(3,000,000)

17. MSHDA Payments on Behalf of Tenants

Increases funding for Section 8 Tenant-Based Rental Assistance based on anticipated revenue from the U.S. Department of Housing and Urban Development.

Gross

Federal

$145,000,000

145,000,000

$11,000,000

11,000,000

$11,000,000

11,000,000

$11,000,000

11,000,000

18. Remonumentation Grants

Decreases authorization for grants to counties based on estimated revenue.

Gross

Restricted

$11,000,000

11,000,000

($5,700,000)

(5,700,000)

($5,700,000)

(5,700,000)

($5,700,000)

(5,700,000)

19. Low Income Energy Efficiency Fund

Reduces authorization by $3.2 million to align with annual revenue and provide sufficient authorization to re-appropriate prior-year awards not fully expended. From FY 2009 enacted, this represents an increase of $10.0 million. Annual revenue is $84.0 million.

Gross

Restricted

$93,200,000

93,200,000

($3,200,000)

(3,200,000)

($3,200,000)

(3,200,000)

($3,200,000)

(3,200,000)

20. Information Technology

Increases funding ($618,900) to provide DELEG's share of the costs for the Michigan Business Services improvement initiative (MBSii) - a one-stop web portal designed to improve the business-state interface as it relates to starting and operating a business in the state; adds $655,600 for Microsoft license upgrade; includes $101,000 in efficiencies. IT-costs related to the transfer ofHAL programs are not included in the Senate. The House keeps a $100 GF placeholder related to theHAL transfer.

Gross

Federal

Restricted

GF/GP

$42,853,200

27,479,400

15,373,800

$1,173,500

301,200

872,300

$1,173,500

301,200

872,300

$1,173,600

301,200

872,300

$100

21. Commission for the Blind

Increases authorization based on federal revenue available.

Gross

Federal

Local

Private

Restricted

GF/GP

$19,684,900

14,246,100

521,000

110,300

545,200

$4,262,300

$4,575,000

4,575,000

$4,575,000

4,575,000

$4,575,000

4,575,000

22. Annualize EO 2008-21 Reductions

Annualizes GF/GP reductions from EO 2008-21 for Fire Marshal ($5,000), Fire Safety ($10,000), Fire Fighters Training Council ($10,000), Workers Compensation Agency ($200,000), Workers Compensation Board of Magistrates and Appellate Commission ($10,500), and Workforce Programs Administration ($50,000).

Gross

GF/GP

N/A

N/A

($285,500)

($285,500)

($285,500)

($285,500)

($285,500)

($285,500)

23. FY 2008-09 Economic Increases

Gross

IDG

Federal

Local

Restricted

GF/GP

N/A

N/A

$9,344,000

261,200

4,277,500

31,800

4,261,500

$512,000

$9,344,000

261,200

4,277,500

31,800

4,261,500

$512,000

$9,344,000

261,200

4,277,500

31,800

4,261,500

$512,000

Major Boilerplate Changes From FY 2008-09
The boilerplate sections are re-organized into 8 categories to improve readability: (1) General Sections; (2) Regulatory; (3) Office of Financial and Insurance Regulation; (4) Housing and Community Development; (5)*Michigan* *Rehabilitation Services andMichigan* Commission for the Blind; (7) Career Education; (8) Workforce Development.**
**Sec. 205. Hiring Freeze -DELETED Prohibits DELEG from hiring new full-time classified civil service employees and from filling vacant state classified civil service positions unless exceptions to the freeze is granted by the state budget director. The Executive deletes this section; the Senate retains it. The House** deletes this section.
**Sec. 214. IT Projects -DELETED Designates IT services and projects appropriation as a work project. The Executive deletes this section; the Senate retains it; the House** deletes it.
**Sec. 215. Policy Changes -RETAINED Requires DELEG to report on policy changes made to implement public acts; prohibits adopt of rules that have a disproportionate impact on small businesses. The Executive deletes this section; the Senate retains it; the House** retains it.
**Sec. 216. Appropriated Funds De-Aggregation -DELETED States intent that all part 1 funds sources not be aggregated into general categories, but be specifically identified as much as possible. The Executive deletes this section; the Senate retains it; the House** deletes it.
**Sec. 219. Executive Branch Employee Communications with Legislature -DELETED Prohibits disciplinary action against Executive employees that communicate with a legislator or legislative staff. The Executive deletes this section; the Senate retains it; the House** deletes it.
**Sec. 222. Government Efficiency Commission Recommendations- RETAINED Requires DELEG to review recommendations of the Commission on Governmental Efficiency. The Executive deletes this section; the Senate retains it; the House** retains it.
**Sec. 223. Contingency Appropriations -MODIFIED The Executive increases authorization for contingency appropriations. Total contingency appropriations are $31.0 million Federal, $26.2 million Restricted; $8.2 million Local; and $600,000 Private. The Senate deletes the federal contingency appropriation, and maintains the current-year authorization of $13.2 million for state restricted funds. The House** concurs with the Executive.
**Sec. 224. Restrictions on Out-of-State Travel to Training Seminars -DELETED Prohibits more than one DELEG employee traveling out-of-state for training conferences unless funded by federal or private funds. The Executive deletes this section; the Senate retains it; the House** deletes it.
**Sec. 226. General Fund/General Purpose Lapse Report -RETAINED The Senate added a section requiring the department to submit a report, not later thanOctober 15, 2010, providing estimates of GF/GP lapses for departmental programs. The House** concurred with the Senate.
**Sec. 229. Budgetary Savings -NEW The House** adds a budgetary savings unit ($5.8 million). The corresponding boilerplate section provides that the reductions are subject to the legislative transfer process.
**Sec. 230. Transparency Website -NEW The House** adds a section requiring the department to post on a publicly accessible website a listing of all expenditures made by the department in the fiscal year, and a description of the purpose of each expenditure. Limits the amount expended by the department for this purpose to $10,000, and provides that the department is not required to hire additional staff to comply with the section.
**Sec. 301a. Fire Protection Grant Report -NEW The House** adds a section requiring local units of government receiving fire protection grant assistance to submit a report to the department detailing how grant assistance is expended by the local unit, and also detailing the fire-related activities of the local unit on state property, and the cost of those activities.
**Sec. 302a. Fire Service Fees -NEW The House** adds a section requiring the Bureau of Fire Services to develop a proposed schedule of fees to fund the bureau's activities, with the intent of having the fee schedule incorporated into the FY 2010-11 Executive Budget Recommendation.
**Sec. 311. Transfer to Construction Code Fund -DELETED Transfers $3.0 million in surplus corporation fees (copy and certification fees) to the State Construction Code Fund. The Executive, Senate, and House** delete this section. (Intended to be a one-time transfer.)
**Sec. 322 (Former Sec. 358). Real Estate Education Fund -RETAINED Allows real estate pre- and post-licensure education to be delivered through on-line courses by a community college, university, or private school; allows Real Estate Education Fund to be used for grants to educational providers to establish on-line courses available to students. The Executive deletes this section; the Senate retains it; the House** retains it.
**Sec. 332. UI Computer System -NEW The Senate adds a provision requiring the department to complete the RFP process for upgrading the state's UI computer system. The House** concurs with the Senate.
**Sec. 333. UI Internet Claims -NEW The Senate adds a provision requiring the department to work to increase the number of Internet-filed unemployment benefit claims (with a goal of 50% of UI claims being filed via the Internet byJuly 1, 2010), and requiring a quarterly report on the number of claims filed via the Internet. The House** concurs with the Senate.
**Sec. 337 (FY 2009). OFIR Credit Scoring -DELETED Prohibits expending funds to implement a ban on credit scoring in insurance rate setting until the Legislature has authorized such a prohibition. The Executive deletes this section. The Senate (Section 406) retains this section, and provides that the prohibition is in accordance with Attorney General Opinion No. 7225 (February 27, 2009). The House** deletes this section.
**Sec. 340 (FY 2009). Health Maintenance Organization (HMO) Financial Filings -DELETED Requires that OFIR provide copies of HMO quarterly and annual financial filings to the fiscal agencies. The Executive deletes this section; the Senate (Section 407) retains it; the House** deletes it.
**Sec. 342 (FY 2009 Sec. 365). Training Grant to Aggregate industry -RETAINED Requires allocation not less than $40,000 for training grants to non-profit organizations representing the aggregate industry inMichigan. The Executive deletes this section; the Senate retains it; the House** retains it.
**Sec. 345 (Senate). Federal Enforcement of OSHA Standards -NOT INCLUDED The Senate adds a provision stating the Legislature's intent to return the occupational safety and health program back to the federal government and to explore the option of entering an agreement with the federal government to continue the safety and training program for employers. The House** does not concur with the Senate.
**Sec. 351 (FY 2009 Sec. 378). SOAHR Decisions in Public Assistance Cases -RETAINED States legislative intent that the State Office of Administrative Hearings and Rules (SOAHR) develop a system to post administrative hearing decisions regarding public assistance on the Internet. The Executive deletes this section; the Senate retains it; the House** retains it.
**Sec. 352 (FY 2009). Board of Magistrates and Appellate Commission -DELETED Requires expenditures in part 1 be used so that cases are decided in a timely manner; funds from unclassified salaries appropriation line to support five appellate commissioners and 26 magistrates. The Executive deletes this section; the Senate retains it; the House** deletes this section.
**Sec. 352. (FY 2009 Sec. 379). Teacher Tenure Cases -RETAINED Requires SOAHR to report on the status of pending teacher tenure cases. The Executive deletes this section; the Senate retains it; the House** retains it.
*Sec. 355 (FY 2009). Ergonomics Rules Prohibited -* DELETED Prohibits promulgate of ergonomics rules that are more stringent than voluntary federal guidelines. The Executive deletes this section. The Senate retains this section, and provides that the prohibition is in accordance with Attorney General Opinion No. 7225 (February 27, 2009). The House deletes this section.
**Sec. 361 (Former Sec. 335). Low-Income Energy Efficiency Assistance Program -RETAINED Establishes deadlines for application and award announcements; requires the Public Service Commission to report to the Legislature and state budget office on the distribution of funds. The Executive deletes this section; the Senate retains it; the House** retains it.
*Sec. 364.* Agriculture Economic Development -NEW The Senate adds a section directing that the $500,000 GF/GP appropriated in Part 1 for agricultural economic development be expended by DELEG as anIDG to the Department of Agriculture foster the promote growth in the food and agriculture sector. The House concurs with the Senate, but leaves a $100 placeholder appropriation.
**Sec. 366. METRO Authority -NEW The House** adds a section providing intent language moving the METRO Authority to the Public Service Commission.
**Sec. 368. Regulatory Costs Report -NEW The House** adds a section requiring the department to provide a report to the legislature on the regulatory costs and activities of the Bureau of Commercial Service and the Bureau of Construction Codes.
**Sec. 370. Liquor Law Enforcement Grant Report -NEW The House** adds a section requiring local units of government receiving liquor law enforcement grant assistance (55% of retail liquor license revenue collected by the LCC returned to locals) to provide a report to the LCC on how those funds are spent, and also a report showing the liquor-related fees imposed and the amount of revenue generated from such fees.
*Sec. 372.* *Michigan* *Tax Tribunal Fees Report -* NEW The House adds a section requiring the Michigan Tax Tribunal to develop a proposed schedule of fees to fund the MTT's activities, with the intent of having the fee schedule incorporated into the FY 2010-11 Executive Budget Recommendation.
**Sec. 405 (Former Sec. 336). OFIR Expenditures -RETAINED Requires report of actual expenditures for last completed fiscal year for each division within OFIR. The Executive deletes this section; the Senate retains it; the House** retains it.
**Sec. 415. Private Occupational School License Fees -DELETED Requires that these appropriated fees be applied to administrative cost of Proprietary Schools Oversight Unit. The Executive, Senate, and House** delete this section.
**Sec. 418. Employment Outcomes for Future Faculty Program Participants -DELETED Requires participating universities to provide DELEG with information on employment outcomes of program participants; requires report on this data. The Executive, Senate, and House** delete this section.
**Sec. 421. Marketing of King-Chavez-Parks Program -DELETED Directs DELEG to mark the program to parents and students, and report to the Legislature electronically on these marketing efforts; requires program be administered as it was when in the Department of Education. The Executive, Senate, and House** delete this section.
**Sec. 440 (FY 2009). Gang Diversion -DELETED States legislative intent to set aside some Workforce Investment Act (statewide activities) funds to support gang diversion activities and support services of local law enforcement and MWAs inWyoming,Detroit, andBentonHarbor. The Executive deletes this section. The Senate (Section 815) retains this section, and also includesSaginaw as an eligible area to receive funds. The House** deletes this section.
**Sec. 442. Temporary Assistance for Needy Families (TANF) Contingency Funds -DELETED Appropriates up to $30.0 million in TANF funds, upon receipt of TANF Contingency Funds in FY 2007-08, and subsequent carryforward of TANF block grant funds in FY 2008-09. The Executive, Senate, and House** delete this section.
**Sec. 501 (FY 2009 Sec. 438). Housing and Community Development Fund -MODIFIED Appropriates the $2.1 million GF/GP appropriation to the Housing and Community Development Fund. The Executive maintained current=year language. The Senate adds intent language providing that at least $2,163,400 in funding available from the American Recovery and Reinvestment Act and/or the National Affordable Housing Trust Fund be allocated for eligible purposes of the HCDF. The House** concurs with the Senate, but leaves $100 placeholders.
**Sec. 503 (Executive). State Historic Preservation -NOT INCLUDED Incorporated from theHAL appropriations act, this section appropriates funds received by the State Historic Preservation Office (MSHDA) from document reproduction and services, and application fees. The Executive includes this section. The Senate continues theHAL appropriation as a separate budget bill (SB 247). The House** does not include this section. [To date, the Executive has not yet issued an Executive Order eliminatingHAL.]
**Sec. 603 (FY 2009 Sec. 403). Local Match Requirements for Facilities Establishment Grants -RETAINED Requires that local match for vocational rehabilitation facilities establishment grants not exceed 21.3% for the fiscal year ending September 30. The Executive deletes this section; the Senate retains it; the House** retains it.
**Sec. 604a. Centers for Independent Living -NEW The House** adds a section providing that Corporations Fees appropriated for CIL grants are to be allocated to the 5 CILs (in Benton Harbor, Muskegon, Jackson, Traverse City, and Detroit), that do not receive core funding under TitleVII, Part C, of the federal Rehabilitation Act of 1973. Each CIL is to receive the same amount as the received in Corporations Fees as they received in FY 2008-09.
**Sec. 813 (FY 2009 Sec. 437). Welfare-to-Work Funds Allocation -MODIFIED Allocates $200,000 to public-private welfare-to-work partnership involving an imbedded DHS caseworker at the job site of an employer to work with employees receiving public assistance. The Executive deletes this section. The Senate retains this section, but allocates the funds from the Workforce Training Program Subgrantees line item. The House** concurs with the Senate.
*Sec. 814 (FY 2009 Sec. 439). Focus: HOPE Career Prep Pilot Program -* RETAINED Establishes legislative intent that DELEG work with Career Alliance (Genesee-Shiawassee Michigan Works! Agency) and other interested MWAs in implementing the career prep pilot program developed by Focus: HOPE. The Executive deletes this section; the Senate retains it; the House retains it.
**Sec. 815. Workforce Funds for Libraries -NEW The House** adds a section that provides that portion of the funds distributed to local Michigan Works! Agencies for redistribution to local libraries that serve asMichigan works! access points, service centers, local partners and local libraries serving high demand service areas or underserved areas
**Sec. 816 (FY 2009 Sec. 429). Focus: HOPE Reporting -RETAINED Requires Focus: HOPE to report on its use of funds appropriated in the budget act. The Executive deletes this section. The Senate retains this section, and provides that the from funds appropriated in Part 1 for Workforce Programs Subgrantees at least $5.0 million in Federal funds and $860,200 GF/GP shall be allocated to Focus: HOPE. [Previously these funds were a separate line item. The funds are rolled into the workforce subgrantees line item.] The House** concurs with the Senate, but reduces the GF/GP allocation to not more than $360,200.
**Sec. 817 (Senate). Job Training Allocation -NOT INCLUDED The Senate adds a provision allocating $300,000 from the funds appropriated in the Workforce Training Program Subgrantees line item to an organization (1) involves prospective employers as community partners; (2) trains displaced workers in health care jobs; (3) provides training at no cost or low-cost to students; and (4) demonstrates a placement rate of at least 80%. The House** does not include this section.
**Sec. 820 (Executive Sec. 907). - Nursing Education Report -NEW Incorporated from the Higher Education appropriations act, this section requires DELEG to report on the status of nursing education programs in the state. The Executive, Senate, and House** include this section.
**Sec. 830. (FY 2009 Sec. 432) No Worker Left Behind (NWLB) Report -RETAINED The Executive removes fund source detail from the required NWLB report, and adds to the reporting requirements, the number of participants securing employment within one year, the number securing employment in an occupation related to the training, and average wage of those securing employment within one year. The Senate maintains current language concerning fund source detail, and concurs with the Executive in requiring additional information to be reported. The House** concurs with the Senate.
*Sec. 831. (FY 2009 Sec. 432) No Worker Left Behind* GF/GP Funding - MODIFIED Directs the $15.0 million GF/GP appropriation for No Worker Left Behind to adult education, community colleges, and worker training. The Executive deletes a requirement that $2.5 million-$5.0 million of the $15.0 million GF/GP appropriated for NWLB be expended for capacity building at community colleges. The Senate provides that up to $2.5 million shall be expended for adult education, and up to $2.5 million shall be expended for community colleges, with the remaining balance expended for worker training in in-demand occupations. The Senate also reduces the GF/GP appropriation for NWLB to $6.6 million. The House directs that the appropriation be used for worker training, adult education, and community colleges, but does not specifically allocate funds ($5.0 million) among those purposes.

Major Boilerplate Changes From FY 2008-09

The boilerplate sections are re-organized into 8 categories to improve readability: (1) General Sections; (2) Regulatory; (3) Office of Financial and Insurance Regulation; (4) Housing and Community Development; (5)Michigan Rehabilitation Services andMichigan Commission for the Blind; (7) Career Education; (8) Workforce Development.

Sec. 205. Hiring Freeze -DELETED

Prohibits DELEG from hiring new full-time classified civil service employees and from filling vacant state classified civil service positions unless exceptions to the freeze is granted by the state budget director. The Executive deletes this section; the Senate retains it. The House deletes this section.

Sec. 214. IT Projects -DELETED

Designates IT services and projects appropriation as a work project. The Executive deletes this section; the Senate retains it; the House deletes it.

Sec. 215. Policy Changes -RETAINED

Requires DELEG to report on policy changes made to implement public acts; prohibits adopt of rules that have a disproportionate impact on small businesses. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 216. Appropriated Funds De-Aggregation -DELETED

States intent that all part 1 funds sources not be aggregated into general categories, but be specifically identified as much as possible. The Executive deletes this section; the Senate retains it; the House deletes it.

Sec. 219. Executive Branch Employee Communications with Legislature -DELETED

Prohibits disciplinary action against Executive employees that communicate with a legislator or legislative staff. The Executive deletes this section; the Senate retains it; the House deletes it.

Sec. 222. Government Efficiency Commission Recommendations- RETAINED

Requires DELEG to review recommendations of the Commission on Governmental Efficiency. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 223. Contingency Appropriations -MODIFIED

The Executive increases authorization for contingency appropriations. Total contingency appropriations are $31.0 million Federal, $26.2 million Restricted; $8.2 million Local; and $600,000 Private. The Senate deletes the federal contingency appropriation, and maintains the current-year authorization of $13.2 million for state restricted funds. The House concurs with the Executive.

Sec. 224. Restrictions on Out-of-State Travel to Training Seminars -DELETED

Prohibits more than one DELEG employee traveling out-of-state for training conferences unless funded by federal or private funds. The Executive deletes this section; the Senate retains it; the House deletes it.

Sec. 226. General Fund/General Purpose Lapse Report -RETAINED

The Senate added a section requiring the department to submit a report, not later thanOctober 15, 2010, providing estimates of GF/GP lapses for departmental programs. The House concurred with the Senate.

Sec. 229. Budgetary Savings -NEW

The House adds a budgetary savings unit ($5.8 million). The corresponding boilerplate section provides that the reductions are subject to the legislative transfer process.

Sec. 230. Transparency Website -NEW

The House adds a section requiring the department to post on a publicly accessible website a listing of all expenditures made by the department in the fiscal year, and a description of the purpose of each expenditure. Limits the amount expended by the department for this purpose to $10,000, and provides that the department is not required to hire additional staff to comply with the section.

Sec. 301a. Fire Protection Grant Report -NEW

The House adds a section requiring local units of government receiving fire protection grant assistance to submit a report to the department detailing how grant assistance is expended by the local unit, and also detailing the fire-related activities of the local unit on state property, and the cost of those activities.

Sec. 302a. Fire Service Fees -NEW

The House adds a section requiring the Bureau of Fire Services to develop a proposed schedule of fees to fund the bureau's activities, with the intent of having the fee schedule incorporated into the FY 2010-11 Executive Budget Recommendation.

Sec. 311. Transfer to Construction Code Fund -DELETED

Transfers $3.0 million in surplus corporation fees (copy and certification fees) to the State Construction Code Fund. The Executive, Senate, and House delete this section. (Intended to be a one-time transfer.)

Sec. 322 (Former Sec. 358). Real Estate Education Fund -RETAINED

Allows real estate pre- and post-licensure education to be delivered through on-line courses by a community college, university, or private school; allows Real Estate Education Fund to be used for grants to educational providers to establish on-line courses available to students. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 332. UI Computer System -NEW

The Senate adds a provision requiring the department to complete the RFP process for upgrading the state's UI computer system. The House concurs with the Senate.

Sec. 333. UI Internet Claims -NEW

The Senate adds a provision requiring the department to work to increase the number of Internet-filed unemployment benefit claims (with a goal of 50% of UI claims being filed via the Internet byJuly 1, 2010), and requiring a quarterly report on the number of claims filed via the Internet. The House concurs with the Senate.

Sec. 337 (FY 2009). OFIR Credit Scoring -DELETED

Prohibits expending funds to implement a ban on credit scoring in insurance rate setting until the Legislature has authorized such a prohibition. The Executive deletes this section. The Senate (Section 406) retains this section, and provides that the prohibition is in accordance with Attorney General Opinion No. 7225 (February 27, 2009). The House deletes this section.

Sec. 340 (FY 2009). Health Maintenance Organization (HMO) Financial Filings -DELETED

Requires that OFIR provide copies of HMO quarterly and annual financial filings to the fiscal agencies. The Executive deletes this section; the Senate (Section 407) retains it; the House deletes it.

Sec. 342 (FY 2009 Sec. 365). Training Grant to Aggregate industry -RETAINED

Requires allocation not less than $40,000 for training grants to non-profit organizations representing the aggregate industry inMichigan. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 345 (Senate). Federal Enforcement of OSHA Standards -NOT INCLUDED

The Senate adds a provision stating the Legislature's intent to return the occupational safety and health program back to the federal government and to explore the option of entering an agreement with the federal government to continue the safety and training program for employers. The House does not concur with the Senate.

Sec. 351 (FY 2009 Sec. 378). SOAHR Decisions in Public Assistance Cases -RETAINED

States legislative intent that the State Office of Administrative Hearings and Rules (SOAHR) develop a system to post administrative hearing decisions regarding public assistance on the Internet. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 352 (FY 2009). Board of Magistrates and Appellate Commission -DELETED

Requires expenditures in part 1 be used so that cases are decided in a timely manner; funds from unclassified salaries appropriation line to support five appellate commissioners and 26 magistrates. The Executive deletes this section; the Senate retains it; the House deletes this section.

Sec. 352. (FY 2009 Sec. 379). Teacher Tenure Cases -RETAINED

Requires SOAHR to report on the status of pending teacher tenure cases. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 355 (FY 2009). Ergonomics Rules Prohibited - DELETED

Prohibits promulgate of ergonomics rules that are more stringent than voluntary federal guidelines. The Executive deletes this section. The Senate retains this section, and provides that the prohibition is in accordance with Attorney General Opinion No. 7225 (February 27, 2009). The House deletes this section.

Sec. 361 (Former Sec. 335). Low-Income Energy Efficiency Assistance Program -RETAINED

Establishes deadlines for application and award announcements; requires the Public Service Commission to report to the Legislature and state budget office on the distribution of funds. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 364. Agriculture Economic Development -NEW

The Senate adds a section directing that the $500,000 GF/GP appropriated in Part 1 for agricultural economic development be expended by DELEG as anIDG to the Department of Agriculture foster the promote growth in the food and agriculture sector. The House concurs with the Senate, but leaves a $100 placeholder appropriation.

Sec. 366. METRO Authority -NEW

The House adds a section providing intent language moving the METRO Authority to the Public Service Commission.

Sec. 368. Regulatory Costs Report -NEW

The House adds a section requiring the department to provide a report to the legislature on the regulatory costs and activities of the Bureau of Commercial Service and the Bureau of Construction Codes.

Sec. 370. Liquor Law Enforcement Grant Report -NEW

The House adds a section requiring local units of government receiving liquor law enforcement grant assistance (55% of retail liquor license revenue collected by the LCC returned to locals) to provide a report to the LCC on how those funds are spent, and also a report showing the liquor-related fees imposed and the amount of revenue generated from such fees.

Sec. 372. Michigan Tax Tribunal Fees Report - NEW

The House adds a section requiring the Michigan Tax Tribunal to develop a proposed schedule of fees to fund the MTT's activities, with the intent of having the fee schedule incorporated into the FY 2010-11 Executive Budget Recommendation.

Sec. 405 (Former Sec. 336). OFIR Expenditures -RETAINED

Requires report of actual expenditures for last completed fiscal year for each division within OFIR. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 415. Private Occupational School License Fees -DELETED

Requires that these appropriated fees be applied to administrative cost of Proprietary Schools Oversight Unit. The Executive, Senate, and House delete this section.

Sec. 418. Employment Outcomes for Future Faculty Program Participants -DELETED

Requires participating universities to provide DELEG with information on employment outcomes of program participants; requires report on this data. The Executive, Senate, and House delete this section.

Sec. 421. Marketing of King-Chavez-Parks Program -DELETED

Directs DELEG to mark the program to parents and students, and report to the Legislature electronically on these marketing efforts; requires program be administered as it was when in the Department of Education. The Executive, Senate, and House delete this section.

Sec. 440 (FY 2009). Gang Diversion -DELETED

States legislative intent to set aside some Workforce Investment Act (statewide activities) funds to support gang diversion activities and support services of local law enforcement and MWAs inWyoming,Detroit, andBentonHarbor. The Executive deletes this section. The Senate (Section 815) retains this section, and also includesSaginaw as an eligible area to receive funds. The House deletes this section.

Sec. 442. Temporary Assistance for Needy Families (TANF) Contingency Funds -DELETED

Appropriates up to $30.0 million in TANF funds, upon receipt of TANF Contingency Funds in FY 2007-08, and subsequent carryforward of TANF block grant funds in FY 2008-09. The Executive, Senate, and House delete this section.

Sec. 501 (FY 2009 Sec. 438). Housing and Community Development Fund -MODIFIED

Appropriates the $2.1 million GF/GP appropriation to the Housing and Community Development Fund. The Executive maintained current=year language. The Senate adds intent language providing that at least $2,163,400 in funding available from the American Recovery and Reinvestment Act and/or the National Affordable Housing Trust Fund be allocated for eligible purposes of the HCDF. The House concurs with the Senate, but leaves $100 placeholders.

Sec. 503 (Executive). State Historic Preservation -NOT INCLUDED

Incorporated from theHAL appropriations act, this section appropriates funds received by the State Historic Preservation Office (MSHDA) from document reproduction and services, and application fees. The Executive includes this section. The Senate continues theHAL appropriation as a separate budget bill (SB 247). The House does not include this section. [To date, the Executive has not yet issued an Executive Order eliminatingHAL.]

Sec. 603 (FY 2009 Sec. 403). Local Match Requirements for Facilities Establishment Grants -RETAINED

Requires that local match for vocational rehabilitation facilities establishment grants not exceed 21.3% for the fiscal year ending September 30. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 604a. Centers for Independent Living -NEW

The House adds a section providing that Corporations Fees appropriated for CIL grants are to be allocated to the 5 CILs (in Benton Harbor, Muskegon, Jackson, Traverse City, and Detroit), that do not receive core funding under TitleVII, Part C, of the federal Rehabilitation Act of 1973. Each CIL is to receive the same amount as the received in Corporations Fees as they received in FY 2008-09.

Sec. 813 (FY 2009 Sec. 437). Welfare-to-Work Funds Allocation -MODIFIED

Allocates $200,000 to public-private welfare-to-work partnership involving an imbedded DHS caseworker at the job site of an employer to work with employees receiving public assistance. The Executive deletes this section. The Senate retains this section, but allocates the funds from the Workforce Training Program Subgrantees line item. The House concurs with the Senate.

Sec. 814 (FY 2009 Sec. 439). Focus: HOPE Career Prep Pilot Program - RETAINED

Establishes legislative intent that DELEG work with Career Alliance (Genesee-Shiawassee Michigan Works! Agency) and other interested MWAs in implementing the career prep pilot program developed by Focus: HOPE. The Executive deletes this section; the Senate retains it; the House retains it.

Sec. 815. Workforce Funds for Libraries -NEW

The House adds a section that provides that portion of the funds distributed to local Michigan Works! Agencies for redistribution to local libraries that serve asMichigan works! access points, service centers, local partners and local libraries serving high demand service areas or underserved areas

Sec. 816 (FY 2009 Sec. 429). Focus: HOPE Reporting -RETAINED

Requires Focus: HOPE to report on its use of funds appropriated in the budget act. The Executive deletes this section. The Senate retains this section, and provides that the from funds appropriated in Part 1 for Workforce Programs Subgrantees at least $5.0 million in Federal funds and $860,200 GF/GP shall be allocated to Focus: HOPE. [Previously these funds were a separate line item. The funds are rolled into the workforce subgrantees line item.] The House concurs with the Senate, but reduces the GF/GP allocation to not more than $360,200.

Sec. 817 (Senate). Job Training Allocation -NOT INCLUDED

The Senate adds a provision allocating $300,000 from the funds appropriated in the Workforce Training Program Subgrantees line item to an organization (1) involves prospective employers as community partners; (2) trains displaced workers in health care jobs; (3) provides training at no cost or low-cost to students; and (4) demonstrates a placement rate of at least 80%. The House does not include this section.

Sec. 820 (Executive Sec. 907). - Nursing Education Report -NEW

Incorporated from the Higher Education appropriations act, this section requires DELEG to report on the status of nursing education programs in the state. The Executive, Senate, and House include this section.

Sec. 830. (FY 2009 Sec. 432) No Worker Left Behind (NWLB) Report -RETAINED

The Executive removes fund source detail from the required NWLB report, and adds to the reporting requirements, the number of participants securing employment within one year, the number securing employment in an occupation related to the training, and average wage of those securing employment within one year. The Senate maintains current language concerning fund source detail, and concurs with the Executive in requiring additional information to be reported. The House concurs with the Senate.

Sec. 831. (FY 2009 Sec. 432) No Worker Left Behind GF/GP Funding - MODIFIED

Directs the $15.0 million GF/GP appropriation for No Worker Left Behind to adult education, community colleges, and worker training. The Executive deletes a requirement that $2.5 million-$5.0 million of the $15.0 million GF/GP appropriated for NWLB be expended for capacity building at community colleges. The Senate provides that up to $2.5 million shall be expended for adult education, and up to $2.5 million shall be expended for community colleges, with the remaining balance expended for worker training in in-demand occupations. The Senate also reduces the GF/GP appropriation for NWLB to $6.6 million. The House directs that the appropriation be used for worker training, adult education, and community colleges, but does not specifically allocate funds ($5.0 million) among those purposes.