HB-5808, As Passed House, March 20, 2008
SUBSTITUTE FOR
HOUSE BILL NO. 5808
A bill to make appropriations for the state transportation
department and certain transportation purposes for the fiscal year
ending September 30, 2009; to provide for the imposition of fees;
to provide for reports; to create certain funds and programs; to
prescribe requirements for certain railroad and bus facilities; to
prescribe certain powers and duties of certain state departments
and officials and local units of government; and to provide for the
expenditure of the appropriations.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
PART 1
LINE-ITEM APPROPRIATIONS
Sec. 101. Subject to the conditions set forth in this act, the
amounts listed in this part are appropriated for the state
transportation department and certain state purposes designated in
this act for the fiscal year ending September 30, 2009, from the
funds indicated in this part. The following is a summary of the
appropriations in this part:
STATE TRANSPORTATION DEPARTMENT
APPROPRIATION SUMMARY
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions........ 3,008.3
GROSS APPROPRIATION.................................... $ 3,424,505,500
Total interdepartmental grants and intradepartmental
transfers............................................ 0
ADJUSTED GROSS APPROPRIATION........................... $ 3,424,505,500
Federal revenues:
DOT, federal transit act............................... 49,462,100
DOT-FHWA, highway research, planning, and construction. 1,266,209,100
DOT-FRA, local rail service assistance................. 100,000
DOT-FRA, rail passenger/HSGT........................... 1,000,000
Total federal revenues................................. 1,316,771,200
Special revenue funds:
Total local revenues................................... 40,950,000
Total private revenues................................. 0
Total local and private revenues....................... 40,950,000
Blue Water Bridge fund................................. 14,460,000
Comprehensive transportation fund...................... 240,163,000
Economic development fund.............................. 57,315,000
Intercity bus equipment fund........................... 1,000,000
Local bridge fund...................................... 31,336,800
Michigan transportation fund........................... 1,014,250,400
Rail freight fund...................................... 2,000,000
State aeronautics fund................................. 12,427,300
State trunkline fund................................... 693,831,800
Total other state restricted revenues.................. 2,066,784,300
State general fund/general purpose..................... $ 0
Sec. 102. DEBT SERVICE
State trunkline........................................ $ 139,253,700
Economic development................................... 14,450,000
Local bridge fund...................................... 3,000,000
Blue Water Bridge fund................................. 1,977,400
Airport safety and protection plan..................... 3,430,900
Comprehensive transportation........................... 29,891,600
GROSS APPROPRIATION.................................... $ 192,003,600
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 22,783,300
Special revenue funds:
Blue Water Bridge fund................................. 1,977,400
Comprehensive transportation fund...................... 29,891,600
Economic development fund.............................. 14,450,000
Local bridge fund...................................... 3,000,000
State aeronautics fund................................. 3,430,900
State trunkline fund................................... 116,470,400
State general fund/general purpose..................... $ 0
Sec. 103. COLLECTION, ENFORCEMENT, AND OTHER AGENCY
SUPPORT SERVICES
MTF grant to department of environmental quality....... $ 1,247,900
MTF grant to department of state for collection of
revenue and fees..................................... 20,000,000
MTF grant to department of treasury.................... 7,250,800
MTF grant to legislative auditor general............... 204,300
STF grant to department of attorney general............ 2,821,000
STF grant to civil service commission.................. 5,044,100
STF grant to department of history, arts, and
libraries............................................ 110,900
STF grant to department of management and budget....... 1,445,300
STF grant to department of state police................ 9,593,400
STF grant to department of treasury.................... 180,200
STF grant to legislative auditor general............... 474,600
SAF grant to department of attorney general............ 157,700
SAF grant to civil service commission.................. 56,000
SAF grant to department of history, arts, and
libraries............................................ 2,500
SAF grant to department of management and budget....... 32,300
SAF grant to department of treasury.................... 72,400
SAF grant to legislative auditor general............... 19,600
CTF grant to department of attorney general............ 159,800
CTF grant to civil service commission.................. 95,000
CTF grant to department of history, arts, and
libraries............................................ 3,900
CTF grant to department of management and budget....... 51,300
CTF grant to department of treasury.................... 1,600
CTF grant to legislative auditor general............... 25,200
GROSS APPROPRIATION.................................... $ 49,049,800
Appropriated from:
Special revenue funds:
Comprehensive transportation fund...................... 336,800
Michigan transportation fund........................... 28,703,000
State aeronautics fund................................. 340,500
State trunkline fund................................... 19,669,500
State general fund/general purpose..................... $ 0
Sec. 104. EXECUTIVE DIRECTION
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions........... 31.3
Unclassified salaries.................................. $ 602,800
Asset management council............................... 1,626,400
Commission audit--31.3 FTE positions................... 3,513,100
GROSS APPROPRIATION.................................... $ 5,742,300
Appropriated from:
Special revenue funds:
Michigan transportation fund........................... 1,626,400
State trunkline fund................................... 4,115,900
State general fund/general purpose..................... $ 0
Sec. 105. BUSINESS SUPPORT
Full-time equated classified positions........... 57.0
Business support services--48.0 FTE positions.......... $ 5,973,700
Economic development and enhancement programs--9.0 FTE
positions............................................ 1,155,300
Property management.................................... 7,972,400
Worker's compensation.................................. 2,064,000
GROSS APPROPRIATION.................................... $ 17,165,400
Appropriated from:
Special revenue funds:
Comprehensive transportation fund...................... 1,097,000
Economic development fund.............................. 495,700
Michigan transportation fund........................... 179,600
State aeronautics fund................................. 596,800
State trunkline fund................................... 14,796,300
State general fund/general purpose..................... $ 0
Sec. 106. INFORMATION TECHNOLOGY
Information technology services and projects........... $ 28,496,200
GROSS APPROPRIATION.................................... $ 28,496,200
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 500,300
Special revenue funds:
Blue Water Bridge fund................................. 46,800
Comprehensive transportation fund...................... 183,500
Economic development fund.............................. 37,100
Michigan transportation fund........................... 242,600
State aeronautics fund................................. 143,200
State trunkline fund................................... 27,342,700
State general fund/general purpose..................... $ 0
Sec. 107. FINANCE, CONTRACTS, AND SUPPORT SERVICES
Full-time equated classified positions.......... 242.5
Financial operations--80.0 FTE positions............... $ 7,934,500
Contract services--52.6 FTE positions.................. 5,059,700
Department services--41.9 FTE positions................ 5,273,000
Performance excellence--13.0 FTE positions............. 1,522,800
Welcome center operations--55.0 FTE positions.......... 4,896,500
GROSS APPROPRIATION.................................... $ 24,686,500
Appropriated from:
Special revenue funds:
Michigan transportation fund........................... 1,804,000
State trunkline fund................................... 22,882,500
State general fund/general purpose..................... $ 0
Sec. 108. TRANSPORTATION PLANNING
Full-time equated classified positions.......... 177.0
Statewide planning services--125.0 FTE positions....... $ 13,253,300
Data collection services--52.0 FTE positions........... 5,716,100
Specialized planning services and local studies........ 16,698,200
Grants to regional planning councils................... 488,800
GROSS APPROPRIATION.................................... $ 36,156,400
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 22,000,000
Special revenue funds:
Comprehensive transportation fund...................... 960,300
Michigan transportation fund........................... 6,304,500
State aeronautics fund................................. 75,000
State trunkline fund................................... 6,816,600
State general fund/general purpose..................... $ 0
Sec. 109. DESIGN AND ENGINEERING SERVICES
Full-time equated classified positions........ 1,496.8
Engineering services--787.1 FTE positions.............. $ 58,736,800
Program services--698.7 FTE positions.................. 39,193,800
Intelligent transportation systems operations--11.0
FTE positions........................................ 10,097,900
GROSS APPROPRIATION.................................... $ 108,028,500
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 18,912,600
Special revenue funds:
Michigan transportation fund........................... 5,636,100
State trunkline fund................................... 83,479,800
State general fund/general purpose..................... $ 0
Sec. 110. HIGHWAY MAINTENANCE
Full-time equated classified positions.......... 832.7
State trunkline operations--832.7 FTE positions........ $ 134,867,900
Contract operations.................................... 149,860,300
GROSS APPROPRIATION.................................... $ 284,728,200
Appropriated from:
Special revenue funds:
State trunkline fund................................... 284,728,200
State general fund/general purpose..................... $ 0
Sec. 111. ROAD AND BRIDGE PROGRAMS
State trunkline federal aid and road and bridge
construction......................................... $ 1,043,058,100
Local federal aid and road and bridge construction..... 309,592,000
Grants to local programs............................... 33,000,000
Rail grade crossing.................................... 3,000,000
Local bridge program................................... 28,336,800
County road commissions................................ 598,102,100
Cities and villages.................................... 333,468,700
GROSS APPROPRIATION.................................... $ 2,348,557,700
Appropriated from:
Federal revenues:
DOT-FHWA, highway research, planning, and construction. 1,202,012,900
Special revenue funds:
Local funds............................................ 30,000,000
Blue Water Bridge fund................................. 7,107,300
Local bridge fund...................................... 28,336,800
Michigan transportation fund........................... 967,570,800
State trunkline fund................................... 113,529,900
State general fund/general purpose..................... $ 0
Sec. 112. BLUE WATER BRIDGE
Full-time equated classified positions........... 41.0
Blue Water Bridge operations--41.0 FTE positions....... $ 5,328,500
GROSS APPROPRIATION.................................... $ 5,328,500
Appropriated from:
Special revenue funds:
Blue Water Bridge fund................................. 5,328,500
State general fund/general purpose..................... $ 0
Sec. 113. TRANSPORTATION ECONOMIC DEVELOPMENT
Forest roads........................................... $ 5,040,000
Rural county urban system.............................. 2,500,000
Target industries/economic redevelopment............... 19,146,000
Urban county congestion................................ 7,823,100
Rural county primary................................... 7,823,100
GROSS APPROPRIATION.................................... $ 42,332,200
Appropriated from:
Special revenue funds:
Economic development fund.............................. 42,332,200
State general fund/general purpose..................... $ 0
Sec. 114. AERONAUTICS AND FREIGHT SERVICES
Full-time equated classified positions........... 84.0
Airport improvement services--30.0 FTE positions....... $ 2,865,900
Aviation services--26.0 FTE positions.................. 4,275,000
Freight and safety services--28.0 FTE positions........ 3,499,400
Air service program.................................... 700,000
GROSS APPROPRIATION.................................... $ 11,340,300
Appropriated from:
Special revenue funds:
Comprehensive transportation fund...................... 1,514,000
Michigan transportation fund........................... 1,985,400
State aeronautics fund................................. 7,840,900
State general fund/general purpose..................... $ 0
Sec. 115. PUBLIC TRANSPORTATION SERVICES
Full-time equated classified positions........... 46.0
Passenger transportation services--46.0 FTE positions.. $ 5,339,400
GROSS APPROPRIATION.................................... $ 5,339,400
Appropriated from:
Federal revenues:
DOT, federal transit act............................... 762,100
Special revenue funds:
Comprehensive transportation fund...................... 4,379,300
Michigan transportation fund........................... 198,000
State general fund/general purpose..................... $ 0
Sec. 116. BUS TRANSIT DIVISION: STATUTORY OPERATING
Local bus operating.................................... $ 166,624,000
Nonurban operating/capital............................. 19,300,000
GROSS APPROPRIATION.................................... $ 185,924,000
Appropriated from:
Federal revenues:
DOT, federal transit act............................... 18,500,000
Special revenue funds:
Comprehensive transportation fund...................... 166,624,000
Local funds............................................ 800,000
State general fund/general purpose..................... $ 0
Sec. 117. INTERCITY PASSENGER AND FREIGHT
Freight property management............................ $ 1,000,000
Detroit/Wayne County port authority.................... 500,000
Intercity services..................................... 7,425,000
Rail passenger service................................. 7,900,000
Freight preservation and development................... 5,092,900
Rail infrastructure loan program....................... 300,000
Marine passenger service............................... 400,000
Terminal development................................... 550,000
GROSS APPROPRIATION.................................... $ 23,167,900
Appropriated from:
Federal revenues:
DOT, federal transit act............................... 4,500,000
DOT-FRA, local rail service assistance................. 100,000
DOT-FRA, rail passenger/HSGT........................... 1,000,000
Special revenue funds:
Local funds............................................ 50,000
Comprehensive transportation fund...................... 14,517,900
Intercity bus equipment fund........................... 1,000,000
Rail freight fund...................................... 2,000,000
State general fund/general purpose..................... $ 0
Sec. 118. PUBLIC TRANSPORTATION DEVELOPMENT
Specialized services................................... $ 9,500,100
Municipal credit program............................... 2,000,000
Bus capital............................................ 34,403,000
Van pooling............................................ 195,000
Service initiatives.................................... 1,116,500
Transportation to work................................. 9,244,000
GROSS APPROPRIATION.................................... $ 56,458,600
Appropriated from:
Federal revenues:
DOT, federal transit act............................... 25,700,000
Special revenue funds:
Local funds............................................ 10,100,000
Comprehensive transportation fund...................... 20,658,600
State general fund/general purpose..................... $ 0
PART 2
PROVISIONS CONCERNING APPROPRIATIONS
GENERAL SECTIONS
Sec. 201. Pursuant to section 30 of article IX of the state
constitution of 1963, total state spending from state resources
under part 1 for fiscal year 2008-2009 is $2,066,784,300.00 and
state spending from state resources to be paid to local units of
government for fiscal year 2008-2009 is $1,195,050,700.00. The
itemized statement below identifies appropriations from which
spending to units of local government will occur:
DEPARTMENT OF TRANSPORTATION
Grants to local programs............................... $ 33,000,000
Economic development fund.............................. 23,186,200
Grants to cities and villages.......................... 333,468,700
Grants to county road commissions...................... 598,102,100
Local bridge fund...................................... 28,336,800
Grants to regional planning councils................... 488,800
Local bus operating.................................... 166,624,000
Bus capital............................................ 9,403,000
Marine passenger service............................... 400,000
Detroit/Wayne County port authority.................... 500,000
Municipal credit program............................... 2,000,000
Specialized services................................... 4,100,100
Transportation to work................................. 4,844,000
Total payments to local units of government............ $ 1,195,050,700
Sec. 202. The appropriations authorized under this act are
subject to the management and budget act, 1984 PA 431, MCL 18.1101
to 18.1594.
Sec. 203. As used in this act:
(a) "CTF" means comprehensive transportation fund.
(b) "Department" means the department of transportation.
(c) "DOT" means the United States department of
transportation.
(d) "DOT-FHWA" means DOT, federal highway administration.
(e) "DOT-FRA" means DOT, federal railroad administration.
(f) "DOT-FRA, rail passenger/HSGT" means DOT, federal railroad
administration, high-speed ground transportation.
(g) "EDF" means economic development fund.
(h) "FTE" means full-time equated.
(i) "MTF" means Michigan transportation fund.
(j) "RIF" means recreation improvement fund.
(k) "SAF" means state aeronautics fund.
(l) "STF" means state trunkline fund.
Sec. 204. The department of civil service shall bill the
departments and agencies at the end of the first fiscal quarter for
the 1% charge authorized by section 5 of article XI of the state
constitution of 1963. Payments shall be made for the total amount
of the billing by the end of the second fiscal quarter.
Sec. 205. (1) A hiring freeze is imposed on the state
classified civil service. State departments and agencies are
prohibited from hiring any new full-time state classified civil
service employees and prohibited from filling any vacant state
classified civil service positions. This hiring freeze does not
apply to internal transfers of classified employees from 1 position
to another within a department.
(2) The state budget director may grant exceptions to this
hiring freeze when the state budget director believes that the
hiring freeze will result in rendering a state department or agency
unable to deliver basic services, causes loss of revenue to the
state, would result in the inability of the state to receive
federal funds, or would necessitate additional expenditures that
exceed any savings from maintaining a vacancy. The state budget
director shall report quarterly to the chairpersons of the senate
and house of representatives standing committees on appropriations
the number of exceptions to the hiring freeze approved during the
previous quarter and the reasons to justify the exception.
Sec. 206. (1) In addition to the funds appropriated in part 1,
there is appropriated an amount not to exceed $200,000,000.00 for
federal contingency funds. These funds are not available for
expenditure until they have been transferred to another line item
in this act pursuant to section 393(2) of the management and budget
act, 1984 PA 431, MCL 18.1393.
(2) In addition to the funds appropriated in part 1, there is
appropriated an amount not to exceed $40,000,000.00 for state
restricted contingency funds. These funds are not available for
expenditure until they have been transferred to another line item
in this act pursuant to section 393(2) of the management and budget
act, 1984 PA 431, MCL 18.1393.
(3) In addition to the funds appropriated in part 1, there is
appropriated an amount not to exceed $1,000,000.00 for local
contingency funds. These funds are not available for expenditure
until they have been transferred to another line item in this act
pursuant to section 393(2) of the management and budget act, 1984
PA 431, MCL 18.1393.
(4) In addition to the funds appropriated in part 1, there is
appropriated an amount not to exceed $1,000,000.00 for private
contingency funds. These funds are not available for expenditure
until they have been transferred to another line item in this act
pursuant to section 393(2) of the management and budget act, 1984
PA 431, MCL 18.1393.
Sec. 207. At least 90 days before beginning any effort to
privatize, the department shall submit a complete project plan to
the appropriate senate and house of representatives appropriations
subcommittees and the senate and house fiscal agencies. The plan
shall include a cost-benefit analysis which demonstrates no less
than a 10% savings to the state for the work performed as well as
the criteria under which the privatization initiative will be
evaluated. The evaluation shall be completed and submitted to the
appropriate senate and house of representatives appropriations
subcommittees and the senate and house fiscal agencies within 6
months. As used in this section, "privatize" or "privatization"
means the transfer of state highway maintenance functions or
activities currently performed by department forces, or by boards
of county road commissioners, county boards of commissioners, or
local units of government under contract with the department, to
private contractors.
Sec. 208. Unless otherwise specified, the department shall use
the Internet to fulfill the reporting requirements of this act.
This requirement may include transmission of reports via electronic
mail to the recipients identified for each reporting requirement or
it may include placement of reports on an Internet or Intranet
site.
Sec. 209. Funds appropriated in part 1 shall not be used for
the purchase of foreign goods or services, or both, if
competitively priced and of comparable quality American goods or
services, or both, are available. Preference should be given to
goods or services, or both, manufactured or provided by Michigan
businesses, if they are competitively priced and of comparable
quality. In addition, preference should be given to goods or
services, or both, that are manufactured or provided by Michigan
businesses owned and operated by veterans, if they are
competitively priced and of comparable quality.
Sec. 210. The director of each department receiving
appropriations in part 1 may take all reasonable steps to ensure
businesses in deprived and depressed communities compete for and
perform contracts to provide services or supplies, or both. The
director shall encourage firms with which the department contracts
to subcontract with certified businesses in deprived and depressed
communities for services, supplies, or both.
Sec. 211. The departments and state agencies receiving
appropriations under this act shall receive and retain copies of
all reports funded from appropriations in part 1. These departments
and state agencies shall follow federal and state guidelines for
short-term and long-term retention of these reports and records.
Sec. 258. Amounts appropriated in part 1 for information
technology may be designated as work projects and carried forward
to support technology projects under the direction of the
department of information technology. Funds designated in this
manner are not available for expenditure until approved as work
projects under section 451a of the management and budget act, 1984
PA 431, MCL 18.1451a.
Sec. 259. From the funds appropriated in part 1 for
information technology, the department shall pay user fees to the
department of information technology for technology-related
services and projects. The user fees shall be subject to provisions
of an interagency agreement between the department and the
department of information technology.
Sec. 260. (1) Due to the current budgetary problems in this
state, out-of-state travel shall be limited to situations in which
1 or more of the following conditions apply:
(a) The travel is required by legal mandate or court order or
for law enforcement purposes.
(b) The travel is necessary to protect the health or safety of
Michigan citizens or visitors or to assist other states in similar
circumstances.
(c) The travel is necessary to produce budgetary savings or to
increase state revenues, including protecting existing federal
funds or securing additional federal funds.
(d) The travel is necessary to comply with federal
requirements.
(e) The travel is necessary to secure specialized training for
staff that is not available within this state.
(f) The travel is financed entirely by federal or nonstate
funds.
(2) If out-of-state travel is necessary but does not meet 1 or
more of the conditions in subsection (1), the state budget director
may grant an exception to allow the travel. Any exceptions granted
by the state budget director shall be reported on a monthly basis
to the house and senate appropriations committees.
(3) Not later than January 1 of each year, each department
shall prepare a travel report listing all travel by classified and
unclassified employees outside this state in the immediately
preceding fiscal year that was funded in whole or in part with
funds appropriated in the department's budget. The report shall be
submitted to the chairs and members of the house and senate
appropriations committees, the fiscal agencies, and the state
budget director. The report shall include the following
information:
(a) The name of each person receiving reimbursement for travel
outside this state or whose travel costs were paid by this state.
(b) The destination of each travel occurrence.
(c) The dates of each travel occurrence.
(d) A brief statement of the reason for each travel
occurrence.
(e) The transportation and related costs of each travel
occurrence, including the proportion funded with state general
fund/general purpose revenues, the proportion funded with state
restricted revenues, the proportion funded with federal revenues,
and the proportion funded with other revenues.
(f) A total of all out-of-state travel funded for the
immediately preceding fiscal year.
Sec. 261. A department or state agency shall not take
disciplinary action against an employee for communicating with a
member of the legislature or their staff.
Sec. 262. Funds appropriated in part 1 shall not be used by a
principal executive department, state agency, or authority to hire
a person to provide legal services that are the responsibility of
the attorney general. This prohibition does not apply to legal
services for bonding activities and for those activities that the
attorney general authorizes.
Sec. 264. The department shall continue its efforts to
implement continuous process improvement programs. On or before
March 1, 2009, the department shall report to the state budget
director, the house and senate appropriations subcommittees on
transportation, and the house and senate fiscal agencies on
department activities to increase efficiency in the delivery of
core programs. The report shall include a description of activities
of the performance excellence section in identifying and
implementing business process improvements.
DEPARTMENTAL SECTIONS
Sec. 301. (1) The department may establish a fee schedule and
collect fees sufficient to cover the costs to issue the permits
that the department is authorized by law to issue upon request, and
for fees associated with freedom of information requests. Unless
otherwise authorized by statute, all fee revenue shall be credited
to the state trunkline fund to recover the direct and indirect
costs of receiving, reviewing, and processing the requests.
(2) A bridge authority shall hold 3 public hearings on an
increase in any toll charged by the authority at least 30 days
before the toll change will become effective. Two of the hearings
shall be held within 5 miles of the bridge over which the bridge
authority has jurisdiction. One hearing shall be held in Lansing.
Public hearings held under this section shall be conducted in
accordance with the open meetings act, 1976 PA 267, MCL 15.261 to
15.275, and shall be conducted so as to provide a reasonable
opportunity for public comment, including both spoken and written
comments.
Sec. 303. On request, the department shall provide to a
legislator, in writing, a report on the amount of money to be
received by each city and village and the county road commission of
each county, that is included in whole or in part within the
legislator's legislative district.
Sec. 304. If, as a requirement of bidding on a highway
project, the department requires a contractor to submit financial
or proprietary documentation as to how the bid was calculated, that
bid documentation shall be kept confidential and shall not be
disclosed other than to a department representative without the
contractor's written consent. The department may disclose the bid
documentation if necessary to address or defend a claim by a
contractor.
Sec. 305. The department shall permit space on public
passenger transportation properties to be occupied by public or
private tenants on a competitive market rate basis. The department
shall require that revenue from the tenants be placed in an account
to be used to pay the costs to maintain the property.
Sec. 306. (1) The amounts appropriated in section 103 to
support tax and fee collection, law enforcement, and other program
services provided to the department and to transportation funds by
other state departments shall be expended from transportation funds
pursuant to annual contracts between the department and those other
state departments. The contracts shall be executed prior to the
expenditure or obligation of those funds. The contracts shall
provide, but are not limited to, the following data applicable to
each state department.
(a) Estimated costs to be recovered from transportation funds.
(b) Description of services provided to the department and/or
transportation funds and financed with transportation funds.
(c) Detailed cost allocation methods appropriate to the type
of services being provided and the activities financed with
transportation funds.
(2) Not later than 2 months after publication of the state of
Michigan comprehensive annual financial report, each state
department receiving funding pursuant to an interdepartment
contract with the department shall submit a written report to the
department, the state budget director, and the house and senate
fiscal agencies stating by spending authorization account the
amount of estimated funds contracted with the department, the
amount of funds expended, the amount of funds returned to the
transportation funds, and any unreimbursed transportation-related
costs incurred but not billed to transportation funds. A copy of
the report shall be submitted to the auditor general, and the
report shall be subject to audit by the auditor general as provided
in subsection (4).
(3) In addition to the requirements of subsection (2), the
state treasurer shall develop a cost allocation plan to identify
the actual costs of work based on time and effort performed by the
Michigan department of treasury for state-restricted transportation
funds. The cost allocation plan shall specifically identify the
costs of collecting constitutionally restricted motor fuel taxes.
The cost allocation plan shall be submitted to the senate and house
of representatives standing committees on appropriations
subcommittees on general government, the senate and house fiscal
agencies, the auditor general, and the state budget director by
November 1. The cost allocation plan shall be subject to audit by
the auditor general.
(4) Biennially, in each even-numbered fiscal year, the auditor
general shall conduct an audit of charges to transportation funds
by state departments for the 2 preceding fiscal years. The audit
shall include both charges governed by interdepartmental contracts
as well as miscellaneous charges from other state departments not
governed by contracts. The auditor general shall prepare a detailed
report, with recommendations and conclusions, including a summary
of charges and related services to transportation funds by
department, the appropriateness of those charges, the cost
allocation methodologies used in determining the level of funding,
and any unreimbursed transportation-related costs, if any. The
report shall be provided to the senate and house of representatives
committees on appropriations, the senate and house fiscal agencies,
and the state budget director 9 months after publication of the
state of Michigan comprehensive annual financial report.
Sec. 307. Before March 1 of each year, the department will
provide to the legislature, the state budget office, and the house
and senate fiscal agencies its rolling 5-year plan listing by
county or by county road commission all highway construction
projects for the fiscal year and all expected projects for the
ensuing fiscal years.
Sec. 308. The department and local road agencies that receive
appropriations under this act shall pursue compliance with contract
specifications for construction and maintenance of state highways
and local roads and streets. Work shall not be accepted and paid
for until it complies with contract requirements. Contractors with
unsatisfactory performance ratings shall be restricted from future
bidding through the prequalification process established by the
department or a local road agency. The department, county road
commissions, and cities and villages shall report to the house of
representatives and senate appropriations subcommittees on
transportation, the senate and house fiscal agencies, and the state
budget director on their respective activities under this section.
Sec. 309. The department shall reduce administrative costs and
provide the maximum funding possible for construction projects.
Sec. 310. The department shall provide in a timely manner
copies of the agenda and approved minutes of monthly transportation
commission meetings to the members of the house and senate
appropriations subcommittees on transportation, the house and
senate fiscal agencies, and the state budget director.
Sec. 312. At the close of the fiscal year, any unencumbered
and unexpended balance in the state trunkline fund shall remain in
the state trunkline fund and shall carry forward and is
appropriated for federal aid road and bridge programs for projects
contained in the annual state transportation program.
Sec. 313. (1) From funds appropriated in part 1, the
department may increase a state infrastructure bank program and
grant or loan funds in accordance with regulations of the state
infrastructure bank program of the United States department of
transportation. The state infrastructure bank is to be administered
by the department for the purpose of providing a revolving, self-
sustaining resource for financing transportation infrastructure
projects.
(2) In addition to funds provided in subsection (1), money
received by the state as federal grants, repayment of state
infrastructure bank loans, or other reimbursement or revenue
received by the state as a result of projects funded by the program
and interest earned on that money shall be deposited in the
revolving state infrastructure bank fund and shall be available for
transportation infrastructure projects. At the close of the fiscal
year, any unencumbered funds remaining in the state infrastructure
bank fund shall remain in the fund and be carried forward into the
succeeding fiscal year.
Sec. 314. The department shall provide a report prepared by
the department's internal auditor on the activities of the internal
auditor for the previous fiscal year. The report shall be due on
February 1 of each year and shall be submitted to the senate and
house of representatives appropriations committees, the senate and
house fiscal agencies, the director of the state budget office, and
the auditor general. This report shall include a list of all of the
following:
(a) All work activities conducted by the internal auditor,
including a listing of all audits, reviews, and investigations.
(b) The time charged to each work activity, including time
charged to each audit, review, or investigation.
(c) A listing of which audits, reviews, and investigations
have been completed and which audits, reviews, and investigations
have had reports of the results issued.
Sec. 319. The department shall post signs at each rest area to
identify the agency or contractor responsible for maintenance of
the rest area. The signs shall include a department telephone
number and shall indicate that unsafe or unclean conditions at the
rest area may be reported to that telephone number.
Sec. 324. From the funds appropriated in part 1, $500,000.00
from the state trunkline fund shall be used for enhanced
construction zone traffic law enforcement and the "give 'em a
brake" campaign. The funding shall be used to reimburse law
enforcement agencies for costs associated with construction zone
traffic enforcement. The funding shall be provided based on
approved memoranda of understanding between the department and
participating law enforcement agencies.
Sec. 334. The department shall continue its program to
increase the use of women- and minority-owned businesses in state
and local road construction projects. This program shall comprise,
at a minimum, outreach and education efforts to inform women- and
minority-owned firms of department competitive bidding processes
and requirements, and an assessment of the availability of surety
for women- and minority-owned businesses. The department shall
report by September 30 of each year to the house and senate
appropriations subcommittees on transportation and the house and
senate fiscal agencies of its progress in complying with this
section.
Sec. 353. The department shall review its contractor payment
process and ensure that all prime contractors are paid promptly.
The department shall ensure that prime contractors are in
compliance with special provision 109.10 regarding the prompt
payment of subcontractors.
Sec. 357. When presented with complete local federal aid
project submittals, the department shall complete all necessary
reviews and inspections required to let local federal aid projects
within 120 days of receipt. The department shall implement a system
for monitoring the local federal aid project review process.
Sec. 361. The department will notify the senate and house
appropriations subcommittees on transportation, the senate and
house fiscal agencies, and the state budget director of any changes
to the services or function of the multi-modal transportation
services program as approved by the state transportation
commission.
Sec. 370. From the funds appropriated in part 1, the
department shall maintain a complaint process to enforce the
charter service prohibition contained in section 10e of 1951 PA 51,
MCL 247.660e. The complaint process shall be independent from the
charter service complaint process administered by the federal
department of transportation, federal transit administration under
49 CFR part 604. The process shall allow complainants to file
written complaints with the director, either through the United
States mail or through the department's Internet site. The process
shall allow complainants and respondents to provide evidence to the
director regarding the alleged complaint. The director shall
dispose of all complaints within 120 days after receipt.
Sec. 374. The department shall produce and distribute all
employee newsletters electronically.
Sec. 375. The department is prohibited from reimbursing
contractors or consultants for costs associated with groundbreaking
ceremonies, receptions, open houses, or press conferences related
to transportation projects funded, in whole or in part, by revenue
appropriated in part 1.
Sec. 376. No later than March 1 of each year, the department
shall report to the senate and house appropriations subcommittees
on transportation on the status of the 17 projects that were
initially deferred in the department's 5-year plan in 2003 and
subsequently restored.
Sec. 391. It is the intent of the legislature that there be
established within the department the position of deputy director
with responsibility for public transportation programs. The
position shall function as chief administrative officer for all
public transportation programs, as defined by section 10c of 1951
PA 51, MCL 247.600c, other than aeronautics programs.
House Bill No. 5808 (H-2) as amended March 20, 2008
Sec. 393. The department shall promote best practices for
public transportation services in this state, including, but not
limited to, the following:
(a) Transit vehicle rehabilitation to reduce life-cycle cost
of public transportation through mid-life rehabilitation of transit
buses.
(b) Coordination with the Michigan economic development
corporation to promote transition of bus fleets hybrid transit
vehicles with a view to promotion of fuel economy.
(c) Cooperation between entities using transit, including
school districts, cities, townships, and counties with a view to
promoting cost savings through joint purchasing of fuel and other
procurements.
(d) Coordination of transportation dollars among state
departments which provide transit-related services, including the
department of human services and the department of community
health. Priority should be given to use of public transportation
services where available.
(e) Promotion of intelligent transportation services for buses
which incorporate computer and navigation technology to make
transit systems more efficient, including stoplight coordinating,
vehicle tracking, data tracking, and computerized scheduling.
[
House Bill No. 5808 (H-2) as amended March 20, 2008
]
FEDERAL
Sec. 401. Within 30 days of receiving the applicable fiscal
year authorization from the federal government to commit
transportation funds, the department shall notify local agency
representatives, the senate and house of representatives
appropriations transportation subcommittees, the senate and house
fiscal agencies, and the state budget director regarding the amount
of federal aid for categorical allocations to state and local
agency programs not specifically allocated in either federal or
state law.
Sec. 402. A portion of the federal DOT-FHWA highway research,
planning, and construction funds made available to the state shall
be allocated to transportation programs administered by local
jurisdictions in accordance with section 10o of 1951 PA 51, MCL
247.660o. A local road agency, with respect to a project approved
for federal aid funding in a state transportation improvement
program, may enter into a voluntary buyout agreement with the
department or with another local road agency to exchange the
federal aid with state restricted transportation funds as agreed to
by the respective parties. The state-restricted transportation
funds received in exchange for federal aid funds shall be used for
the same purpose as the federal aid funds were originally intended.
MICHIGAN TRANSPORTATION FUND
Sec. 501. The money received under the motor carrier act, 1933
PA 254, MCL 475.1 to 479.43, and not appropriated to the department
of labor and economic growth or the department of state police is
deposited in the Michigan transportation fund.
Sec. 502. The department of treasury shall perform audits and
make investigations of the disposition of all state funds received
by county road commissions or county boards of commissioners, as
applicable, and cities and villages for transportation purposes to
determine compliance with the terms and conditions of 1951 PA 51,
MCL 247.651 to 247.675. County road commissions or county boards of
commissioners, as applicable, and cities and villages shall make
available to the department of treasury the pertinent records for
the audit.
Sec. 503. (1) The funds appropriated in part 1 for the
economic development and local bridge programs shall not lapse at
the end of the fiscal year but shall carry forward each fiscal year
for the purposes for which appropriated in accordance with 1987 PA
231, MCL 247.901 to 247.913, and section 10(5) of 1951 PA 51, MCL
247.660.
(2) Interest earned in the department of transportation
economic development fund and local bridge fund shall remain in the
respective funds and shall be allocated to the respective programs
based on actual interest earned at the end of each fiscal year.
(3) The department of transportation economic development fund
and local bridge fund may receive and expend federal, local, or
private funds or restricted source funds such as interest earnings
for projects that are consistent with the programmatic mission of
the respective funds in addition to funds appropriated in part 1.
(4) None of the funds statutorily dedicated to the
transportation economic development fund and local bridge fund
shall be diverted to other projects.
Sec. 504. Funds from the Michigan transportation fund (MTF)
shall be distributed to the comprehensive transportation fund
(CTF), the economic development fund (EDF), the recreation
improvement fund (RIF), and the state trunkline fund (STF), in
accordance with this act and part 711 of the natural resources and
environmental protection act, 1994 PA 451, MCL 324.71101 to
324.71108, and may only be used as specified in this act, 1951 PA
51, MCL 247.651 to 247.675, and part 711 of the natural resources
and environmental protection act, 1994 PA 451, MCL 324.71101 to
324.71108.
STATE TRUNKLINE FUND
Sec. 601. The department shall work with the road construction
industry and engineering consulting community to develop
performance and road construction warranties for construction
contracts. The development of warranties shall include warranties
on materials, workmanship, performance criteria, and design/build
projects. The department will report by September 30 of each
calendar year to the house of representatives and senate
appropriations subcommittees on transportation, the state budget
director, and the house and senate fiscal agencies on the status of
efforts to develop performance and road construction warranties.
Sec. 602. If the department uses manufactured pipe for road
construction drainage, the department shall require that pipe used
under certain load-bearing conditions beneath the roadway meets the
standards established by the American society for testing and
materials (ASTM) or American association of state highway and
transportation officials (AASHTO). The department may also use the
mandrel test for manufactured pipe 60 days after installation and
provide a summary of the results of these inspections to the house
of representatives and senate appropriations subcommittees on
transportation and house and senate fiscal agencies.
Sec. 603. The department shall use traffic congestion as 1 of
the criteria in determining the priorities for designating which
roads shall be remediated in its 5-year road plan, which must be
submitted on or before March 1 of each year. Criteria for
evaluating traffic congestion shall include, but not be limited to,
coordination with local, county, and regional planning, improvement
in traffic operations, improvement in physical roadway conditions,
accident reduction, and coordination with area public
transportation planning.
Sec. 607. It is the intent of the legislature that the
Michigan department of transportation work to add a southbound
entrance ramp at the interchange of I-75 at Corunna Road in the
charter township of Flint.
Sec. 608. From the amounts appropriated in part 1 for forest
roads from the transportation economic development fund, $40,000.00
shall be used for the purpose of establishing 2 additional truck
inspection stations. The department shall work directly with
representatives of the timber industry to educate truck drivers on
the use of the stations. The department shall report on the status
of this program.
Sec. 610. It is the intent of the legislature that the
department have as a priority the removal of dead deer and other
large animal remains from the traveled portion and shoulder of
state highways. The department, and counties that perform state
highway maintenance under contract, shall remove animal remains,
wherever practicable, away from the traveled portion and shoulder
of state highways.
Sec. 612. The department shall establish guidelines governing
incentives and disincentives provided under contracts for state
trunkline projects. The guidelines shall include specific financial
information concerning incentives and disincentives. On or before
January 1 of each year, the department shall prepare a report for
the immediately preceding fiscal year regarding contract incentives
and disincentives. This report shall include a list, by project, of
the contractors that received contract incentives and/or
disincentives, the amount of the incentives and/or disincentives,
and the number of days that each project was completed either ahead
or past the contracted completion date. This report shall be
provided to the senate and house appropriations subcommittees on
transportation, the senate and house standing committees on
transportation, and the senate and house fiscal agencies.
Sec. 615. It is the intent of the legislature that the
department shall proceed with the construction of a full
interchange at the intersection of M-48 and I-75 in Chippewa
County. It is the intent of the legislature that the department
develop design plans and award the construction contract for this
project during the fiscal year ending September 30, 2008.
Sec. 617. It is the intent of the legislature to reconstruct
the I-75 service drive from the underpass at I-696 to 9 Mile Road
in Hazel Park.
Sec. 654. It is the intent of the legislature that the
Mackinac Bridge Authority work to protect the long-term viability
of the Mackinac Bridge.
Sec. 659. For pavement projects for which there are no
Michigan actual historic project maintenance, repair, and
resurfacing schedules and costs as recorded by the pavement
management system, the department may use actual historical and
comparable data for equivalent designs from states with similar
climates, soil structures, and vehicle traffic.
COMPREHENSIVE TRANSPORTATION FUND
Sec. 701. Money that is received by the state as a lease
payment for state-owned intercity bus equipment is not money to be
deposited in the comprehensive transportation fund under section
10b of 1951 PA 51, MCL 247.660b, but is money that is deposited in
an intercity bus equipment fund for appropriation for the purchase
and repair of intercity bus equipment. Proceeds received by the
state from the sale of intercity bus equipment are deposited in an
intercity bus equipment fund for appropriation for the purchase and
repair of intercity bus equipment. Security deposits from the lease
of state-owned intercity bus equipment not returned to the lessee
of the equipment under terms of the lease agreement are deposited
in an intercity bus equipment fund for appropriation for the repair
of intercity bus equipment. At the close of the fiscal year, any
funds remaining in the intercity bus equipment fund shall remain in
the fund and be carried forward into the succeeding fiscal year.
Sec. 702. Money that is received by the state as repayment for
loans made for rail or water freight capital projects, and as a
result of the sale of property or equipment used or projected to be
used for rail or water freight projects shall be deposited in the
fund created by section 17 of the state transportation preservation
act of 1976, 1976 PA 295, MCL 474.67. At the close of the fiscal
year, any funds remaining in the rail freight fund shall remain in
the fund and be carried forward into the succeeding fiscal year.
Sec. 703. After receiving notification from a railroad company
pursuant to section 8 of the state transportation preservation act
of 1976, 1976 PA 295, MCL 474.58, the department shall immediately
notify the house of representatives and senate appropriations
subcommittees on transportation and the state budget office that
the railroad company has filed with the appropriate governmental
agencies for abandonment of a line.
Sec. 705. Funds appropriated in part 1 for the rail
infrastructure loan program shall be credited to the rail
infrastructure loan fund established in section 15a of the state
transportation preservation act of 1976, 1976 PA 295, MCL 474.65a.
Sec. 706. The Detroit/Wayne County port authority shall issue
a complete operations assessment and a financial disclosure
statement. The operations assessment shall include operational
goals for the next 5 years and recommendations to improve land
acquisition and development efficiency. The report shall be
completed and submitted to the house of representatives and senate
appropriations subcommittees on transportation, the state budget
director, and the house and senate fiscal agencies by February 15
of each fiscal year for the prior fiscal year.
Sec. 708. If funds appropriated in part 1 are used to provide
state-owned or state-leased buses to private intercity bus
carriers, the department shall charge not less than $1,000.00 per
bus per year for their use.
Sec. 709. (1) The following bus routes are designated as an
essential corridor in Michigan:
Between St. Ignace and Escanaba US-2
Between Escanaba and Duluth US-2 through Ironwood to the
state line
Between Calumet and Escanaba US-41
Between Escanaba and Milwaukee US-41 through Menominee to
the state line
Between St. Ignace and
Sault Ste. Marie I-75
Between Detroit and Chicago I-94 from Detroit to the
state line
Between Detroit and Muskegon I-96
Between Grand Rapids, Holland,
and Benton Harbor I-196 to I-94
Between Muskegon and Grand
Rapids US-31, I-96
Between Detroit and Bay City I-75
Between Bay City and Mount
Pleasant US-10, M-20
Between Jackson and Traverse US-127, US-27, I-75,
City Grayling,
Gaylord, M-72 to Traverse
City
Between Jackson and I-69, I-94 to the state line
Indianapolis through Albion, Marshall,
and Coldwater
Between Houghton Lake and
Cadillac M-55 and M-66
Between Detroit and Toledo I-75 to the state line
Between the Indiana state line
and Traverse City US-31 and I-196
Between Detroit and Port Huron I-375 and I-94
Between Toledo and Bay City US-23, I-75, and I-675, I-75
Between Bay City and Chicago I-75, Flint, I-69, I-94,
Battle Creek, I-94 to the
state line
Between Flint and Lansing I-69, M-21, Owosso, M-52,
I-69
Between Bay City and St. Ignace I-75, US-23
Between Grand Rapids and US-131, Cadillac, M-115,
St. Ignace Mesick, M-37 to Traverse
City, US-31, Acme, M-72,
Kalkaska, US-131, Boyne
Falls, M-75, Walloon Lake,
US-131, Petoskey, US-31,
I-75, St. Ignace
Between Kalamazoo and Grand
Rapids US-131
(2) Any changes to the essential corridor list in subsection
(1) shall be approved by the house and senate appropriations
subcommittees on transportation.
(3) No entity shall receive operating assistance for a
scheduled regular route service which is competing with another
private or public carrier over the same route.
Sec. 711. (1) From the funds appropriated in part 1 from the
comprehensive transportation fund for rail passenger service, the
department shall negotiate with a rail carrier to provide rail
service between Grand Rapids and Chicago and between Port Huron and
Chicago on a 7-day basis, consistent with the other provisions of
this section.
(2) Any state subsidy for rail passenger service between Grand
Rapids and Chicago and between Port Huron and Chicago shall not
exceed $7,100,000.00.
(3) The rail carrier shall, as a condition to receiving a
state operating subsidy, maintain a system to monitor, collect, and
resolve customer complaints and shall make the information
available to the department, the house and senate appropriations
subcommittees on transportation, and the house and senate fiscal
agencies.
(4) Future state support for the service between Grand Rapids
and Chicago and Port Huron and Chicago is dependent on the
department's ability to provide a plan and a contract for services
that increase ridership and revenue, reduce operating costs, and
improve on-time performance.
(5) No state subsidy shall be provided from the funds
appropriated in part 1 if the chosen rail carrier is Amtrak and
Amtrak discontinued service or any portion of the service between
Port Huron and Chicago or Grand Rapids and Chicago during the
preceding fiscal year, unless the discontinuance of service was for
track maintenance or was caused by acts of God.
Sec. 714. (1) The department, in cooperation with local
transit agencies, shall work to ensure that demand-response
services are provided throughout Michigan. The department shall
continue to work with local units of government to address the
unmet transit needs in Michigan.
(2) The department shall report by March 1 of each year on its
efforts to implement this section over the past 2 years.
Sec. 721. For federal transit administration bus acquisition
capital grants matched with CTF funds appropriated in part 1,
transit agencies shall have 4 years from the federal approval date
to carry out their projects. Contract line items unobligated 4
years after the federal approval date may be matched with CTF funds
only up to 15% in the fifth and subsequent years. "Unobligated"
means any line item in the contract that is not committed to a
third party or purchase order. A waiver shall be granted by the
department for an additional year with documented justification
from the transit agency accompanied by a resolution from the board
or authority seeking a waiver. If a transit agency does not carry
out a line item activity in a specific authorization and the
transit agency requests funds in a new authorization for that same
activity, the line item shall be matched at up to 15%. This section
applies only to bus acquisition capital grants. Lapsed funds under
this section shall remain in the CTF.
Sec. 722. From the funds appropriated in part 1 for
transportation to work from the CTF, sufficient funds shall be used
as a match for job access reverse commute grants for local transit
agencies.
Sec. 729. From the funds appropriated in part 1 for intercity
services, $100,000.00 shall be used for lost ridership support
and/or marketing efforts to increase awareness of intercity bus
service, increase ridership on intercity bus carriers, and improve
coordination of intercity bus service in Michigan.
Sec. 730. The department shall sell all state-owned intercity
bus equipment within 6 months of termination of lease agreements
with intercity bus carriers. The proceeds from the sale of state-
owned intercity bus equipment under this section shall be deposited
in the intercity bus equipment fund, consistent with section 701.
Sec. 731. The department shall charge public transit agencies
and intercity bus carriers equal rates per square foot for leasing
space in state-owned intermodal facilities.
Sec. 734. (1) The department shall ensure that all public
transit agencies provide the highest quality public transit service
by moving people in a cost-effective, safe, and user-friendly
manner that maintains and attracts residents and businesses.
(2) Public transit agencies receiving funds under part 1 shall
do all of the following:
(a) Provide efficient, cost-effective, safe, well-maintained,
reliable, customer-driven transportation services.
(b) Provide a quality work environment that has and fulfills
employee performance, productivity, and development standards.
(c) Identify and capture all available funding or create cost-
effective programs to eliminate debt and have a balanced budget.
(d) Maintain sufficient local and community funding.
(e) Support business development by providing transportation
to areas of employment and commerce, emerging or established
businesses, and health care facilities.
Sec. 736. From the funds appropriated in part 1, the
department shall work with intercity rail and bus passenger
carriers to coordinate intercity passenger transportation in
Michigan. The department shall assist in the coordination of
intercity routes, schedules, and facilities.
Sec. 740. The department shall report by March 1 of each year
to the house of representatives and senate appropriations
subcommittees on transportation, the house and senate fiscal
agencies, and the state budget director the encumbered and
unencumbered balances of the comprehensive transportation fund.
AERONAUTICS FUND
Sec. 801. At the close of the fiscal year, any unobligated and
unexpended balance in the state aeronautics fund created in the
aeronautics code of the state of Michigan, 1945 PA 327, MCL 259.1
to 259.208, shall lapse to the state aeronautics fund and be
appropriated by the legislature in the immediately succeeding
fiscal year.