June 8, 2006, Introduced by Reps. Spade, Polidori, Lemmons, Jr., Miller, Wojno, Clemente, Angerer, Jones, Mayes, Sheltrown, Bennett, Sak, Gonzales, Alma Smith, Tobocman, Condino, Gleason and Lemmons, III and referred to the Committee on Senior Health, Security, and Retirement.
A bill to amend 1984 PA 431, entitled
"The management and budget act,"
(MCL 18.1101 to 18.1594) by adding section 398.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 398. (1) The state police retirement reimbursement fund
is created within the state treasury. The department shall expend
money from the fund, upon appropriation, only to reimburse
individuals who received disability retirement allowances from the
department of state police between January 1, 1985 and December 31,
1995 and who had federal income taxes withheld by this state from
those disability retirement allowances.
(2) The state treasurer may receive money or other assets from
any source for deposit into the fund. The state treasurer shall
direct the investment of the fund. The state treasurer shall credit
to the fund interest and earnings from fund investments. Money in
the fund at the close of the fiscal year shall remain in the fund
and shall not lapse to the general fund.
(3) The amount that an individual may receive under this
section is limited to the federal income taxes withheld from the
individual's retirement allowance between January 1, 1985 and
December 31, 1995 and not previously refunded to the individual by
this state or the United States.
(4) In order for an individual to receive amounts under this
section, the individual shall demonstrate the following to the
satisfaction of the department:
(a) That the individual received disability retirement
allowances from the department of state police under 1 of the
following circumstances:
(i) A duty incurred disability under section 26 of the state
police retirement act of 1986, 1986 PA 182, MCL 38.1626.
(ii) A nonduty incurred disability under section 28 of the
state police retirement act of 1986, 1986 PA 182, MCL 38.1628.
(b) That the individual received the disability retirement
allowances between January 1, 1985 and December 31, 1995.
(c) The amount of federal income tax withheld by this state
from the disability retirement allowances.
(d) That the individual did not receive a refund of the
federal taxes withheld by this state from this state or the United
States.
(5) The department shall reimburse each individual who
complies with subsection (4) within 30 days after the individual
has complied with subsection (4).
(6) Payments from this fund shall not be made for claims
received by the department of treasury more than 2 years after the
effective date of the amendatory act that added this section.