SENATE BILL NO. 629


   June 1, 1999, Introduced by Senator STEIL and referred to the
        Committee on Appropriations.



        A bill to amend 1977 PA 289, entitled

   "An act to provide for payments to municipalities for fire pro-
   tection services received by state facilities; to prescribe the
   powers and duties of certain state and local agencies and offi-
   cials; and to authorize the proration of certain appropriations,"

   by amending sections 1 and 4 (MCL 141.951 and 141.954).

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1         Sec. 1.  As used in this act:

 2         (a) "Director" means the director of the department of man-

 3    agement and budget.

 4         (b) "Estimated equalized value" means 50% of the final esti-

 5    mated value of a state facility as determined by the director.

 6         (c) "Municipality" means a city, village, or township.

 7         (d) "State facility" means state owned real property associ-

 8    ated with buildings primarily used for office purposes, state

 9    prisons, or hospitals, AND institutions of higher education.
              ,



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 1    and  STATE FACILITY DOES NOT INCLUDE state owned
              real and 

 2    inventory personal property associated with a state proprietary

 3    function.  , the inventory personal property of which shall
             be

 4     valued on the basis of the average monthly inventory for the
                       pre-

 5     ceding state fiscal year. 

 6         Sec. 4.  (1) The amount due the municipality shall be deter-

 7    mined by dividing  the estimated equalized value of the
             state

 8     facilities located in the municipality by the sum of the
                       state

 9     equalized valuation of the municipality and the estimated
                       equal-

10     ized value of the facilities, and multiplying the result by
                       the

11     fire protection expenditures of the municipality reported to
                       the

12     director pursuant to section 3(2)  THE SQUARE
                       FOOTAGE OF THE

13    STATE OWNED FACILITIES IN THAT MUNICIPALITY BY THE SQUARE FOOTAGE

14    OF ALL STATE FACILITIES IN THIS STATE AND MULTIPLYING THE RESULT

15    BY THE AMOUNT APPROPRIATED FOR THIS PURPOSE EACH FISCAL YEAR.

16         (2) EXCEPT AS PROVIDED IN SUBSECTION (4), THE AMOUNT DIS-

17    TRIBUTED TO EACH MUNICIPALITY UNDER SUBSECTION (1) SHALL NOT BE

18    LESS THAN THE AMOUNT DISTRIBUTED TO THAT MUNICIPALITY IN THE

19    IMMEDIATELY PRECEDING FISCAL YEAR, UNLESS THE AMOUNT TO BE DIS-

20    TRIBUTED TO THE MUNICIPALITY IS LESS THAN THE AMOUNT DISTRIBUTED

21    TO THAT MUNICIPALITY IN THE IMMEDIATELY PRECEDING FISCAL YEAR DUE

22    TO A REDUCTION IN THE SQUARE FOOTAGE OF STATE OWNED FACILITIES IN

23    THAT MUNICIPALITY.  IF ADDITIONAL FUNDS ARE NEEDED TO MAKE THE

24    DISTRIBUTIONS REQUIRED UNDER THIS SUBSECTION, THE ADDITIONAL

25    FUNDS SHALL BE APPROPRIATED IN A SEPARATE LINE-ITEM APPROPRIATION

26    FROM THE APPROPRIATION DESCRIBED IN SUBSECTION (1).





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 1         (3)  (2)  A payment shall not be made to a
             municipality  if

 2     the amount of the payment is less than $500.00, if the
                       estimated

 3     equalized value of the state facility in the municipality is
                       less

 4     than 1% of the amount of the state equalized valuation of
                       the

 5     municipality, or  if the state facility provides
                       its own fire

 6    protection.

 7         (4) IF THERE IS NO REDUCTION IN THE SQUARE FOOTAGE OF THE

 8    STATE OWNED FACILITIES IN THE MUNICIPALITY AND THE AMOUNT DUE TO

 9    THE MUNICIPALITY UNDER SUBSECTION (1) IS LESS THAN WHAT WAS DIS-

10    TRIBUTED TO THAT MUNICIPALITY IN THE YEAR IMMEDIATELY PRECEDING

11    THE EFFECTIVE DATE OF THE AMENDATORY ACT THAT ADDED THIS SUBSEC-

12    TION, THE AMOUNT REQUIRED TO BE PAID TO A MUNICIPALITY UNDER SUB-

13    SECTION (2) SHALL BE REDUCED BY THE FOLLOWING PERCENTAGES FOR THE

14    FOLLOWING SPECIFIC YEARS:

15         (A) IN 2000, 20%.

16         (B) IN 2001, 40%.

17         (C) IN 2002, 60%.

18         (D) IN 2003, 80%.

19         (E) IN 2004 AND EACH YEAR AFTER 2004, 100%.



















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