Act No. 121

Public Acts of 2007

Approved by the Governor*

October 31, 2007

Filed with the Secretary of State

October 31, 2007

EFFECTIVE DATE: October 31, 2007

*Item Vetoes

Sec. 111. GRANTS

Real-time water quality monitoring $ 0250,000 (Page 7)

Sec. 1103.

Entire Section. (Page 18)

STATE OF MICHIGAN

94TH LEGISLATURE

REGULAR SESSION OF 2007

Introduced by Rep. Bennett

ENROLLED HOUSE BILL No. 4358

AN ACT to make appropriations for the department of environmental quality for the fiscal year ending September30, 2008; to provide for the expenditure of those appropriations; to create certain funds and accounts; to require certain reports; to prescribe the powers and duties of certain state agencies and officials; to authorize certain transfers by certain state agencies; and to provide for the disposition of fees and other income received by the various state agencies.

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 department of environmental quality for the fiscal year ending September 30, 2008, from the funds indicated in this part. The following is a summary of the appropriations in this part:

DEPARTMENT OF ENVIRONMENTAL QUALITY

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 1,561.7

GROSS APPROPRIATION $ 370,844,400

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 18,662,900

ADJUSTED GROSS APPROPRIATION $ 352,181,500

Federal revenues:

Total federal revenues 131,750,500

Special revenue funds:

Total local revenues 0

Total private revenues 455,100

Total other state restricted revenues 188,212,700

State general fund/general purpose $ 31,763,200

FUND SOURCE SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 1,561.7

GROSS APPROPRIATION $ 370,844,400

Interdepartmental grant revenues:

IDG-MDCH, local public health operations $ 10,472,500

IDG-MDSP 880,400

IDG, Michigan transportation fund 1,057,000

IDT, interdivisional charges 2,053,400

IDT, laboratory services 4,199,600

Total interdepartmental grants and intradepartmental transfers 18,662,900

ADJUSTED GROSS APPROPRIATION $ 352,181,500

Federal revenues:

DHHS, federal 6,200

DHS, federal 3,609,300

DOC-NOAA, federal 3,670,200

DOD, federal 1,202,600

DOI, federal 594,000

EPA, brownfield cleanup revolving loan fund 1,000,000

EPA, multiple 121,668,200

Total federal revenues 131,750,500

Special revenue funds:

Private funds 455,100

Total private revenues 455,100

Aboveground storage tank fees 760,400

Air emissions fees 13,654,900

Aquifer protection revolving fund 400,000

Campground fund 237,600

Clean Michigan initiative - administration 335,500

Clean Michigan initiative - clean water fund 3,372,000

Clean Michigan initiative - response activities 5,663,200

Cleanup and redevelopment fund 12,383,100

Community pollution prevention fund 250,000

Environmental pollution prevention fund 2,033,000

Environmental protection fund 3,907,100

Environmental response fund 6,299,700

Fees and collections 552,500

Financial instruments 5,000,000

Great Lakes protection fund 1,603,100

Groundwater discharge permit fees 2,826,000

Hazardous materials transportation permit fund 218,500

Infrastructure construction fund 400,000

Laboratory data quality recognition fund 16,200

Land and water permit fees 4,252,500

Landfill maintenance trust fund 55,900

Medical waste emergency response fund 240,300

Metallic mining surveillance fee revenue 93,500

Mineral well regulatory fee revenue 246,000

Nonferrous metallic mineral surveillance 218,600

NPDES fees 3,362,400

Oil and gas regulatory fund 7,829,100

On-site wastewater treatment program fund 592,500

Orphan well fund 2,051,900

Public swimming pool fund 541,300

Public utility assessments 786,100

Public water supply fees 3,949,600

Publication revenue 120,200

Refined petroleum fund 30,684,500

Restricted funds 18,448,500

Retired engineers technical assistance fund 1,474,300

Revitalization revolving loan fund 84,300

Revolving loan revenue bonds $ 11,400,000

Saginaw Bay and River restoration revenue 174,800

Sand extraction fee revenue 198,300

Scrap tire regulatory fund 5,846,300

Septage waste contingency fund 37,700

Septage waste program fund 720,200

Settlement funds 2,093,100

Sewage sludge land application fee 850,800

Small business pollution prevention revolving loan fund 107,700

Soil erosion and sedimentation control training fund 114,700

Solid waste program fees 4,493,500

Stormwater permit fees 2,799,400

Strategic water quality initiatives fund 10,000,000

Underground storage tank fees 3,125,500

Waste reduction fee revenue 4,479,600

Wastewater operator training fees 172,100

Water analysis fees 3,317,600

Water pollution control revolving fund 3,066,400

Water quality protection fund 25,000

Water use reporting fees 245,700

Total other state restricted revenues 188,212,700

State general fund/general purpose $ 31,763,200

Sec. 102. EXECUTIVE OPERATIONS AND DEPARTMENT SUPPORT

Full-time equated unclassified positions 6.0

Full-time equated classified positions 78.0

Unclassified salaries--6.0 FTE positions $ 587,600

Administrative hearings 441,800

Automated data processing 2,053,400

Central operations--62.0 FTE positions 6,757,100

Environmental support projects 5,000,000

Executive direction--9.0 FTE positions 2,306,100

Human resource optimization user charges 98,600

Office of the Great Lakes--7.0 FTE positions 1,048,900

Building occupancy charges 7,291,400

Rent - privately owned property 2,145,900


GROSS APPROPRIATION $ 27,730,800

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP 112,100

IDT, interdivisional charges 2,053,400

IDT, laboratory services 471,400

Federal revenues:

DOC-NOAA, federal 22,500

DOI, federal 160,300

EPA, multiple 265,100

Special revenue funds:

Financial instruments 5,000,000

Great Lakes protection fund 603,100

Restricted funds 13,248,100

Settlement funds 104,400

State general fund/general purpose $ 5,690,400

Sec. 103. AIR QUALITY

Full-time equated classified positions 241.5

Air quality programs--241.5 FTE positions $ 26,408,400


GROSS APPROPRIATION $ 26,408,400

Appropriated from:

Federal revenues:

DHS, federal $ 2,027,600

EPA, multiple 4,470,600

Special revenue funds:

Air emissions fees 12,889,300

Environmental response fund 106,200

Fees and collections 408,400

Oil and gas regulatory fund 107,500

Refined petroleum fund 2,850,700

State general fund/general purpose $ 3,548,100

Sec. 104. ENVIRONMENTAL SCIENCE AND SERVICES

Full-time equated classified positions 184.0

Program services and grant management--27.5 FTE positions $ 3,886,300

Laboratory services--68.0 FTE positions 6,822,900

Municipal assistance--35.5 FTE positions 5,305,100

Pollution prevention and technical assistance--53.0 FTE positions 5,085,800

Pollution prevention outreach 300,000

Retired engineers technical assistance program 1,474,300

Revitalization revolving loan program 1,000,000


GROSS APPROPRIATION $ 23,874,400

Appropriated from:

Interdepartmental grant revenues:

IDT, laboratory services 3,577,800

Federal revenues:

DOC-NOAA, federal 353,000

EPA, brownfield cleanup revolving loan fund 1,000,000

EPA, multiple 3,432,400

Special revenue funds:

Private funds 300,000

Air emissions fees 765,600

Environmental protection fund 68,500

Environmental response fund 662,500

Laboratory data quality recognition fund 16,200

Public water supply fees 252,100

Retired engineers technical assistance fund 1,474,300

Revitalization revolving loan fund 84,300

Settlement funds 234,400

Small business pollution prevention revolving loan fund 107,700

Stormwater permit fees 95,500

Strategic water quality initiatives fund 400,000

Waste reduction fee revenue 4,405,000

Wastewater operator training fees 172,100

Water analysis fees 3,317,600

Water pollution control revolving fund 2,398,300

State general fund/general purpose $ 757,100

Sec. 105. OFFICE OF GEOLOGICAL SURVEY

Full-time equated classified positions 68.0

Coal and sand dune management--3.0 FTE positions $ 626,000

Metallic mine reclamation--1.0 FTE position 93,500

Mineral wells management--3.0 FTE positions 246,000

Nonferrous metallic mining--2.0 FTE positions 218,600

Orphan well--2.0 FTE positions 2,051,900

Services to oil and gas--57.0 FTE positions 7,478,300


GROSS APPROPRIATION $ 10,714,300

Appropriated from:

Federal revenues:

DOI, federal $ 427,700

Special revenue funds:

Metallic mining surveillance fee revenue 93,500

Mineral well regulatory fee revenue 246,000

Nonferrous metallic mineral surveillance 218,600

Oil and gas regulatory fund 7,358,100

Orphan well fund 2,051,900

Publication revenue 120,200

Sand extraction fee revenue 198,300

State general fund/general purpose $ 0

Sec. 106. LAND AND WATER MANAGEMENT

Full-time equated classified positions 129.0

Program direction--8.0 FTE positions $ 938,700

Field permitting and project assistance--72.0 FTE positions 7,514,900

Great Lakes shorelands--28.0 FTE positions 2,662,700

Water management--21.0 FTE positions 2,688,600


GROSS APPROPRIATION $ 13,804,900

Appropriated from:

Interdepartmental grant revenues:

IDG, Michigan transportation fund 1,002,500

Federal revenues:

DHS, federal 999,700

DOC-NOAA, federal 1,508,800

EPA, multiple 1,047,400

Special revenue funds:

Land and water permit fees 3,653,300

State general fund/general purpose $ 5,593,200

Sec. 107. REMEDIATION AND REDEVELOPMENT

Full-time equated classified positions 297.5

Contaminated site investigation, cleanup, and revitalization--230.5 FTE positions $ 22,924,100

Federal cleanup project management--67.0 FTE positions 8,385,800

Emergency cleanup actions 4,000,000

Refined petroleum product cleanup program 20,000,000

Environmental cleanup and redevelopment program 5,663,200

Environmental cleanup support 2,340,000

Superfund cleanup 4,000,000


GROSS APPROPRIATION $ 67,313,100

Appropriated from:

Federal revenues:

DHHS, federal 6,200

DOD, federal 1,174,500

EPA, multiple 8,403,500

Special revenue funds:

Private funds 155,100

Clean Michigan initiative - response activities 5,663,200

Cleanup and redevelopment fund 12,383,100

Environmental protection fund 3,838,600

Environmental response fund 5,231,400

Landfill maintenance trust fund 55,900

Refined petroleum fund 26,790,900

Settlement funds 1,504,300

State general fund/general purpose $ 2,106,400

Sec. 108. WASTE AND HAZARDOUS MATERIALS

Full-time equated classified positions 183.5

Aboveground storage tank program--8.0 FTE positions $ 760,400

Hazardous waste management program--61.0 FTE positions 6,463,200

Low-level radioactive waste authority--2.0 FTE positions 786,100

Medical waste program--2.0 FTE positions 240,300

Radiological protection program--14.5 FTE positions 1,418,800

Scrap tire regulatory program--11.0 FTE positions 1,061,200

Solid waste management program--50.0 FTE positions 4,568,100

Underground storage tank program--35.0 FTE positions 3,394,600


GROSS APPROPRIATION $ 18,692,700

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP 740,400

Federal revenues:

EPA, multiple 4,006,600

Special revenue funds:

Aboveground storage tank fees 760,400

Environmental pollution prevention fund 2,033,000

Hazardous materials transportation permit fund 218,500

Medical waste emergency response fund 240,300

Public utility assessments 786,100

Scrap tire regulatory fund 1,061,200

Solid waste program fees 4,493,500

Underground storage tank fees 3,125,500

Waste reduction fee revenue 74,600

State general fund/general purpose $ 1,152,600

Sec. 109. WATER

Full-time equated classified positions 358.2

Aquifer protection program $ 350,000

Aquifer protection and dispute resolution - IDG to Michigan department of agriculture 50,000

Drinking water and environmental health--114.2 FTE positions 16,093,800

Expedited water/wastewater permits--3.0 FTE positions 400,000

Fish contaminant monitoring 316,100

Groundwater discharge--22.0 FTE positions 2,965,300

NPDES nonstormwater program--118.4 FTE positions 10,975,900

Sewage sludge land application program--6.5 FTE positions 850,800

Surface water--94.1 FTE positions 15,339,700


GROSS APPROPRIATION $ 47,341,600

Appropriated from:

Federal revenues:

EPA, multiple 18,070,000

Special revenue funds:

Aquifer protection revolving fund 400,000

Campground fund 237,600

Clean Michigan initiative - administration 335,500

Clean Michigan initiative - clean water fund 3,372,000

Environmental response fund 167,100

Fees and collections 144,100

Groundwater discharge permit fees 2,826,000

Infrastructure construction fund 400,000

Land and water permit fees 599,200

NPDES fees 3,362,400

On-site wastewater treatment program fund 592,500

Public swimming pool fund 541,300

Public water supply fees 2,297,500

Refined petroleum fund 959,200

Saginaw Bay and River restoration revenue $ 174,800

Septage waste contingency fund 37,700

Septage waste program fund 320,200

Sewage sludge land application fee 850,800

Soil erosion and sedimentation control training fund 114,700

Stormwater permit fees 2,703,900

Water pollution control revolving fund 668,100

Water use reporting fees 245,700

State general fund/general purpose $ 7,921,300

Sec. 110. CRIMINAL INVESTIGATIONS

Full-time equated classified positions 22.0

Environmental investigations--22.0 FTE positions $ 2,587,400


GROSS APPROPRIATION $ 2,587,400

Appropriated from:

Federal revenues:

DHS, federal 557,600

EPA, multiple 154,100

Special revenue funds:

Environmental response fund 132,500

Oil and gas regulatory fund 363,500

Scrap tire regulatory fund 285,100

State general fund/general purpose $ 1,094,600

Sec. 111. GRANTS

Coastal management grants $ 2,000,000

Federal - Great Lakes remedial action plan grants 700,000

Federal - nonpoint source water pollution grants 6,500,000

Grants to counties - air pollution 83,700

Radon grants 90,000

Water pollution control and drinking water revolving fund 86,309,300

Drinking water program grants 1,330,000

Great Lakes research and protection grants 1,000,000

Local health department operations 10,472,500

Noncommunity water grants 1,400,000

Pollution prevention local grants 250,000

Real-time water quality monitoring 250,000

Septage waste compliance grants 400,000

Scrap tire grants 4,500,000

Strategic water quality initiative loans 9,600,000

Volunteer river, stream, and creek cleanup 25,000


GROSS APPROPRIATION $ 124,910,500

Appropriated from:

Interdepartmental grant revenues:

IDG-MDCH, local public health operations 10,472,500

Federal revenues:

DOC-NOAA, federal 1,700,000

EPA, multiple 80,463,000

Special revenue funds:

Community pollution prevention fund 250,000

Great Lakes protection fund 1,000,000

Public water supply fees 1,400,000

Refined petroleum fund 83,700

Revolving loan revenue bonds 11,400,000

Scrap tire regulatory fund 4,500,000

Septage waste program fund 400,000

Settlement funds 250,000

Strategic water quality initiatives fund 9,600,000

Water quality protection fund 25,000

State general fund/general purpose $ 3,366,300

Sec. 112. INFORMATION TECHNOLOGY

Information technology services and projects $ 7,466,300


GROSS APPROPRIATION $ 7,466,300

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP 27,900

IDG, Michigan transportation fund 54,500

IDT, laboratory services 150,400

Federal revenues:

DHS, federal 24,400

DOC-NOAA, federal 85,900

DOD, federal 28,100

DOI, federal 6,000

EPA, multiple 1,355,500

Special revenue funds:

Restricted funds 5,200,400

State general fund/general purpose $ 533,200

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 2007-2008 is $219,975,900.00 and state spending from state resources to be paid to local units of government for fiscal year 2007-2008 is $4,300,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF ENVIRONMENTAL QUALITY

GRANTS

Noncommunity water grants $ 1,400,000

Real-time water quality monitoring 250,000

Scrap tire grants 2,250,000

Septage waste compliance program 400,000


TOTAL $ 4,300,000

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) "Department" means the department of environmental quality.

(b) "DHHS" means the United States department of health and human services.

(c) "DHS" means the United States department of homeland security.

(d) "DOC" means the United States department of commerce.

(e) "DOC-NOAA" means the DOC national oceanic and atmospheric administration.

(f) "DOD" means the United States department of defense.

(g) "DOI" means the United States department of interior.

(h) "EPA" means the United States environmental protection agency.

(i) "FTE" means full-time equated.

(j) "IDG" means interdepartmental grant.

(k) "IDT" means intradepartmental transfer.

(l) "MDCH" means the Michigan department of community health.

(m) "MDSP" means the Michigan department of state police.

(n) "MI" means Michigan.

(o) "NPDES" means national pollutant discharge elimination system.

Sec. 204. The department of civil service shall bill 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 shall grant exceptions to the hiring freeze described in subsection (1) when the state budget director believes that the hiring freeze will result in rendering a state department or agency unable to deliver basic services, cause a loss of revenue to the state, 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. 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. 207. 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. To the extent consistent with federal and state guidelines, the requirements of this section are satisfied if the reports funded from appropriations in part 1 are retained in electronic format.

Sec. 208. By February 15, 2008, the department shall provide the state budget director, the subcommittees on environmental quality of the senate and house appropriations committees, and the senate and house fiscal agencies with an annual report on restricted fund balances, projected revenues, and expenditures for the fiscal years ending September 30, 2007 and September 30, 2008.

Sec. 209. (1) From funds appropriated under part 1, the department shall prepare a report that lists all of the following regarding grant or loan or grant and loan programs administered by the department for the fiscal year ending September 30, 2008:

(a) The name of each program.

(b) The goals of the program, the criteria, eligibility, process, filing fees, nominating procedures, and deadlines for each program.

(c) The maximum and minimum grant and loan available and whether there is a match requirement for each program.

(d) The amount of any required match, and whether in-kind contributions may be used as part or all of a required match.

(e) Information pertaining to the application process, timeline for each program, and the contact people within the department.

(f) The source of funds for each program, including the citation of pertinent authorizing acts.

(g) Information regarding plans for the next fiscal year for the phaseout, expansion, or changes for each program.

(h) A listing of all recipients of grants or loans awarded by the department by type and amount of grant or loan.

(2) The reports required under this section shall be submitted to the state budget office, the senate and house appropriations committees, and the senate and house fiscal agencies by January 1, 2008.

Sec. 211. (1) The department shall report all of the following information relative to allocations made from appropriations for the environmental cleanup and redevelopment program, state cleanup, emergency actions, superfund cleanup, the revitalization revolving loan program, the brownfield grants and loans program, the leaking underground storage tank cleanup program, the contaminated lake and river sediments cleanup program, the refined petroleum product cleanup program, and the environmental protection bond projects under section 19508(7) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19508, to the state budget director, the senate and house appropriations subcommittees on environmental quality, and the senate and house fiscal agencies:

(a) The name and location of the site for which an allocation is made.

(b) The nature of the problem encountered at the site.

(c) A brief description of how the problem will be resolved if the allocation is made for a response activity.

(d) The estimated date that site closure activities will be completed.

(e) The amount of the allocation, or the anticipated financing for the site.

(f) A summary of the sites and the total amount of funds expended at the sites at the conclusion of the fiscal year.

(g) The number of sites that would qualify as brownfields that were redeveloped.

(2) The report prepared under subsection (1) shall also include all of the following:

(a) The status of all state-owned facilities that are on the list compiled under part 201 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.20101 to 324.20142.

(b) The report shall include the total amount of funds expended during the fiscal year and the total amount of funds awaiting expenditure.

(c) The total amount of bonds issued for the environmental protection bond program pursuant to part 193 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19301 to 324.19306, and bonds issued pursuant to the clean Michigan initiative act, 1998 PA 284, MCL 324.95101 to 324.95108.

(3) The report shall be made available by March 31 of each year.

Sec. 212. (1) The department of environmental quality is authorized to expend amounts remaining from the current and prior fiscal year appropriations to meet funding needs of legislatively approved sites for the environmental cleanup and redevelopment program, the leaking underground storage tank cleanup program, and the refined petroleum product cleanup program.

(2) Unexpended and unencumbered amounts remaining from appropriations from the environmental protection bond fund contained in 2003 PA 173 and 2006 PA 343 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(3) Unexpended and unencumbered amounts remaining from appropriations from the cleanup and redevelopment fund and unclaimed bottle deposits fund contained in 2003 PA 171, 2003 PA 173, 2003 PA 237, and 2004 PA 350 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(4) Unexpended and unencumbered amounts remaining from appropriations from the clean Michigan initiative fund - response activities contained in 2000 PA 506, 2001 PA 120, 2003 PA 173, 2003 PA 237, 2004 PA 309, 2004 PA 350, 2005 PA 11, and 2006 PA 343 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(5) Unexpended and unencumbered amounts remaining from appropriations from the environmental protection fund contained in 2001 PA 43, 2002 PA 520, 2003 PA 171, and 2004 PA 350 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(6) Unexpended and unencumbered amounts remaining from appropriations from the refined petroleum fund activities contained in 2005 PA 154 and 2006 PA 343 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

Sec. 213. Of the money appropriated from the environmental education fund in part 1, $5,000.00 shall be allocated to Michigan State University Extension Service - 4-H Youth Programs to fund the Michigan Youth Conservation Council.

Sec. 214. From the funds appropriated in part 1 for information technology, departments and agencies shall pay user fees to the department of information technology for technology-related services and projects. These user fees shall be subject to provisions of an interagency agreement between the department and the department of information technology.

Sec. 215. 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. 216. (1) Due to the current budgetary problems in this state, out-of-state travel for the fiscal year ending September 30, 2008 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 house and senate 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. 217. Funds appropriated in part 1 shall not be used for the purchase of foreign goods or services, or both, if competitively priced and 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 or operated by veterans, if they are competitively priced and of comparable quality.

Sec. 218. Unexpended settlement revenues at the end of the fiscal year may be carried forward into the settlement fund in the succeeding fiscal year up to a maximum carryforward of $2,500,000.00.

Sec. 219. The director shall 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 strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 220. (1) The appropriation in section 102 includes $11,165,800.00 from restricted funds. This funding source shall support the restricted fund requirements, pursuant to subsection (3), for selected line items in the executive operations and administrative support appropriation unit.

(2) The appropriation in section 112 includes $4,214,000.00 from restricted funds. This funding source shall support the restricted fund requirements, pursuant to subsection (3), for the information technology appropriation.

(3) The department shall adopt a cost allocation plan for revenue sources supporting line items listed in sections 102 and 112. This cost allocation plan may be phased in over 2 fiscal years, beginning with the fiscal year ending September30, 2008.

(4) The department shall provide a report on or before October 31, 2007 to the house and senate appropriations subcommittees on environmental quality and the house and senate fiscal agencies of the line item amounts and detailed revenue sources which support the restricted fund appropriations in sections 102 and 112.

Sec. 221. The department shall not take disciplinary action against an employee for communicating truthfully and factually with a member of the legislature or his or her staff.

Sec. 222. The department shall annually report and post on its website by December 31 to the state budget director, the senate and house appropriations committees, and the senate and house fiscal agencies an accounting of all civil and criminal fine revenue collected during the previous fiscal year.

Sec. 223. From the funds appropriated in part 1, the department shall assist the legislative commission on government efficiency, established in section 752 of the legislative council act, 1986 PA 268, MCL 4.1752, in its benchmarking evaluation of department programs, including, at a minimum, the air quality renewable operating permit program, the groundwater discharge program, land and water management programs, and the hazardous waste management program.

Sec. 224. (1) The department shall report no later than April 1, 2008 on each specific policy change made to implement a public act affecting the department that took effect during the prior calendar year to the house and senate appropriations subcommittees on the budget for the department, the joint committee on administrative rules, and the senate and house fiscal agencies.

(2) Funds appropriated in part 1 shall not be used by the department to adopt a rule that will apply to a small business and that will have a disproportionate economic impact on small businesses because of the size of those businesses if the department fails to reduce the disproportionate economic impact of the rule on small businesses as provided under section 40 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.240.

(3) As used in this section:

(a) "Rule" means that term as defined under section 7 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207.

(b) "Small business" means that term as defined under section 7a of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207a.

Sec. 225. 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. 226. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $30,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL18.1393.

(2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $5,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under 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 $100,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under 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 $100,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 227. It is the intent of the legislature that revenue shortfalls in state restricted funds appropriated in part 1 shall be addressed by January 15, 2008.

AIR QUALITY


Sec. 301. The department shall report quarterly, via the department's Internet website, on air quality program expenditures and revenues. The report shall include expenditures and revenues by fund source and by program function.

Sec. 302. From the funds appropriated in part 1, the department shall continue to work with individuals, organizations, and businesses to reach ozone attainment status in the 8 counties in southeast Michigan that are currently in nonattainment. To the fullest extent permitted by law and federal regulations, the department shall develop an attainment strategy that balances the public health, environmental, and economic interests of the residents, organizations, and businesses in that area.

ENVIRONMENTAL SCIENCE AND SERVICES


Sec. 401. Revenues remaining in the interdepartmental transfers, laboratory services at the end of the fiscal year shall carry forward into the succeeding fiscal year.

Sec. 402. By July 1, 2008, the department shall prepare and submit a report to the state budget director, the legislature, the chairs of the standing committees of the senate and house of representatives with primary responsibility for issues related to natural resources and the environment, and the chairs of the subcommittees of the senate and house appropriations committees with primary responsibility for appropriations for the department of environmental quality, outlining the implementation of the Great Lakes water quality bond provided for in part 197 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19701 to 324.19708, including, but not limited to, the amount of bonds issued and the date they were issued, the number of applications received for loans from the state water pollution control revolving fund created in section 16a of the shared credit rating act, 1985 PA 227, MCL 141.1066a, the total amount of loans requested, a listing of the applicants receiving loans and the total amount of loans provided to those applicants, a listing of applicants whose loan applications were not approved and the reasons why those applications were not approved, the amount of the loans granted that were leveraged from bond proceeds, and the remaining bond proceeds and bond authorization.

OFFICE OF GEOLOGICAL SURVEY


Sec. 501. It is the intent of the legislature that the office of geological survey continue its work with Western Michigan University's department of geosciences to maintain core samples at the Michigan basin core research laboratory as part of the Michigan geological repository for research and education at Western Michigan University and it is encouraged to explore new opportunities for mutually beneficial research and collaboration between the department and the university.

LAND AND WATER MANAGEMENT


Sec. 601. The department may waive permit fees for nonprofit organizations conducting approved stream habitat improvement projects.

Sec. 602. The department shall continue to make refinements to the wetland mapping information as additional information becomes available in an effort to provide a level of detail such that a person can determine from the map with a reasonable amount of certainty whether or not a parcel or substantial portion of a parcel in question is in fact a wetland subject to regulation by the department.

REMEDIATION AND REDEVELOPMENT


Sec. 701. The unexpended funds appropriated in part 1 for emergency cleanup actions, the refined petroleum product cleanup program, and the environmental cleanup and redevelopment program are considered work project appropriations and any unencumbered or unallotted funds are carried forward into the succeeding fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the projects to be carried forward is to provide contaminated site cleanup.

(b) The projects will be accomplished by contract.

(c) The total estimated cost of all projects is identified in each line-item appropriation.

(d) The tentative completion date is September 30, 2012.

Sec. 702. From funds appropriated in part 1 for activities related to cleanup sites under part 201 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.20101 to 324.20142, the department shall incorporate into remedial action plans area-wide or site-specific cleanup criteria derived from peer-reviewed risk assessment based on bioavailability studies, site-specific human exposure data, and any other scientifically based risk assessment studies that are available and relevant. The department shall submit a report listing efforts made by the department to comply with this section. This report shall be provided to the house and senate appropriations subcommittees on environmental quality on or before January 1, 2008.

Sec. 703. The funds appropriated in part 1 for the refined petroleum product cleanup program shall be used to fund cleanup activities on the following sites:

Site Name County

Alcona Oil Co, Inc. Alcona

Somers Service Inc. Alcona

State Park Grocery Alcona

Laughing Whitefish Trading Post Alger

Midway Resort Inc. Alger

Fennville Feed Supply Allegan

Butch's Tackle & Marine Antrim

Pickup Capital of the North (former) Antrim

L'Anse Marathon Baraga

Res Wells Woodland Barry

Pfanne's Grocery Bay

B & M Party Store Benzie

Village of Honor Res. Wells Benzie

Frank's Pro Station Berrien

Dave's Repair Cass

Indian Lake Mini Super Cass

Rigg's Corner Store Cass

Dockside Market Charlevoix

Mr. Mug's Donut Shop Chippewa

Park Shell Service Chippewa

Ackels Car Care Clinton

Bob's Marathon Eaton

Central Distributing Genesee

Ackett's Country Corners Gladwin

Gazey & Aleck Station Gladwin

Evans Wallpaper & Paint Grand Traverse

Hoefflin's Service Grand Traverse

Universal Car Wash Grand Traverse

Venture Investments Grand Traverse

Former Union 76 Hillsdale

Dunk's Garage Huron

Port Austin Shell Huron

Action Auto #23 Ingham

Former Clark #531 Ingham

DNR - RED - Whittemore (Tax Reverted) Iosco

Firstbank Winn Branch Isabella

Former Gulf (Napolean) Jackson

Alamo General Store Kalamazoo

Liberty Gas Kalamazoo

McDonald's Crosstown Service Kalamazoo

Moore's Milwood Service Kalamazoo

Davis Country Corners Kalkaska

Taffletown Tavern Kalkaska

Kountry Korners Kent

Rockford Market Kent

Uncle Lee's Trading Post Kent

B & T Properties Lapeer

Lakeland Montessori School Livingston

Millie's Market Livingston

Bob's Standard Service Luce

C & V Grocery Luce

D&D Jefferson Inc Macomb

Montgomery Ward Macomb

Red Barn Market Manistee

Greenwood Self Serve Marquette

Harvey Oil Co. Marquette

Joe & Son's Service Marquette

Paton's Country Store Marquette

Custer Abandoned Station Mason

Altona General Store Mecosta

Joe's Tire/Ridderman Oil Mecosta

RLJ Realty Midland

Kreagers Missaukee

The Landing Missaukee

Luna Pier Fuel Stop Monroe

Amble Oil Co. Montcalm

Coral General Store Montcalm

Edmore Mobil Montcalm

Marvin Jensen Montcalm

Joey's Service Montmorency

Wyson's General Store Montmorency

James J. Caradine Muskegon

415 E. Hudson Oakland

Don & Stan's/Joe's Towing Oakland

Emma Milner Property Oakland

Farmer's Petroleum Corporation Oakland

Little Caesar's Oakland

Franklin Forge Ogemaw

Rose City Feed & Tack Ogemaw

Ontonagon Mobil Mart Ontonagon

Andy's Standard Service Osceola

Pete's Place Osceola

Family Book Shelve Oscoda

Big Mac's Market Roscommon

Charlie's Place Roscommon

Chapin General Store Saginaw

Former Gas Station-104 W. Grand River Shiawassee

Save-U Station (former) Shiawassee

Payless SuperAmerica St. Joseph

Salmo Property Tuscola

Evellyn Gibbons Washtenaw

Fred's Country Sunoco Washtenaw

Lloyd Cochran Washtenaw

S & S Auto Washtenaw

Sunshine Oil Washtenaw

Cal's Car Care, Inc. Wayne

Mercury Manufacturing Wayne

Reclamation Co. Wayne

Auto Parts Center Wexford

Mar-Lyn's Lakeside Resort Wexford

Village of Harrietta Wexford

Sec. 704. The funds appropriated in part 1 for the environmental cleanup and redevelopment program shall be used to fund cleanup activities on the following sites:

Site Name County

Osceola Refinery (former) Osceola

Former Petoskey Petrolane Emmet

Bay Harbor Emmet

Former Autostyle Plastics, Inc. Kent

Harbor Plating Berrien

Americhem Corporation Ingham

House of Imports Oakland

Packaging Corporation of America Manistee

Manistique Industrial Park Schoolcraft

Sec. 705. It is the intent of the legislature to repay the refined petroleum fund for the $70,000,000.00 that was transferred to the environmental protection fund as part of the resolution for the fiscal year 2006-2007 budget.

Sec. 706. It is the intent of the legislature that the office of the auditor general conduct a performance audit of the leaking underground storage tank program. The performance audit shall include an investigation of the effectiveness of the program, including the adequacy of program funding, the use of draft and final operational memoranda, and consistency in the enforcement of regulations. The department shall fully cooperate with the auditor general during the performance audit.

Sec. 707. The department shall not expend funds appropriated in part 1 if using operational memoranda or other similar documents that are in draft form to impose regulations on individuals or businesses conducting environmental cleanup projects, except as provided in part 213 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.21301 to 324.21331, or when there is written consent between the department and the individual or business.

WASTE AND HAZARDOUS MATERIALS


Sec. 801. It is the intent of the legislature that the recommendations of the site review board, as established in section 11117 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11117, are the final approval for each site construction permit application that is referred to the board by the department.

Sec. 802. The department shall annually provide a report to the city of Romulus, city of Taylor, and Wayne County with respect to the activity of a multisource commercial hazardous waste disposal well, as defined in part 625 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.62501 to 324.62518, containing all of the following:

(a) Information concerning the release or discharge of any hazardous waste or hazardous waste constituent that may endanger public drinking water supplies or the environment.

(b) Information concerning the fire, explosion, or other release or discharge of any hazardous waste or hazardous waste constituent that could threaten human health or the environment or a spill that has reached surface water or groundwater.

(c) A summary of groundwater quality data, data graphs, data tables, statistical analyses to date, and identification of any statistically significant increases.

(d) With respect to the information described in subdivisions (a) to (c), a description of any noncompliance and its cause; the periods of noncompliance, including exact dates and times; whether the noncompliance has been corrected and, if not, the anticipated time it is expected to continue; and steps taken or planned to reduce, eliminate, and prevent recurrence of the noncompliance and when those activities occurred or will occur.

WATER


Sec. 901. By February 1, 2008, the department shall submit a report on the department's use of the national pollutant discharge elimination system fund created in MCL 324.3121 for the previous fiscal year, to the senate and house appropriations subcommittees on environmental quality, the standing committees of the legislature with jurisdiction over issues primarily related to natural resources and the environment, and the senate and house fiscal agencies. The report shall include a summary of how the appropriations in part 1 for NPDES nonstormwater program were used for the various permissible uses of the fund and shall include specific information on all of the following:

(a) The number of compliance and complaint inspections completed, by category, the number of on-site compliance inspections conducted, and the number of compliance inspections that were not announced in advance to the permittee or licensee.

(b) The number and percent of permit and license inspections that were found to be in significant noncompliance, by category.

(c) The number of administrative enforcement actions taken for permit or license violations and the results of the enforcement actions, including the amount of fines and penalties collected.

(d) The number of judicial enforcement actions taken for permit or license violations and the results of the enforcement actions, including the amount of fines and penalties collected.

(e) A listing of the supplemental environmental projects agreed to as a result of a consent agreement including all of the following: the case name, the monetary value of the supplemental environmental project, and a description of the project.

Sec. 902. From the funds appropriated in part 1, the department shall conduct a comparative analysis of the NPDES permit program for large confined animal feeding operations with the Michigan agriculture environmental assurance program (MAEAP). The analysis shall include a comparison of standards in effect at the time of MAEAP verification of a farm. The collection of data, evaluation, and final report shall be conducted in collaboration with the department of agriculture. The analysis shall be submitted to the state budget director, the senate and house appropriations subcommittees on environmental quality and agriculture, the senate and house standing committees on issues primarily related to environmental quality and agriculture, and the senate and house fiscal agencies by April 1, 2008.

Sec. 903. From the funds appropriated in part 1 for the surface water program, the department, in conjunction with the department of agriculture, shall submit a report to the state budget director, the senate and house appropriations subcommittees on environmental quality, and the senate and house fiscal agencies by September 30, 2008 that documents all of the following information:

(a) The number of concentrated animal feeding operations (CAFOs) in the state, and the number of those which have permits under the national pollution discharge elimination system (NPDES).

(b) The number and nature of inspections of CAFOs undertaken by the department and the department of agriculture, including whether the inspections included testing of the water, soil, or air, and a summary of the results of those inspections.

(c) An estimate of the number of CAFOs that utilize sewage lagoons, the capacity of those lagoons, and whether those lagoons are lined.

(d) An estimate of the funding dedicated toward permitting, inspection, and enforcement of current laws regulating CAFOs.

Sec. 904. From the funds appropriated in part 1 for the surface water program, the department shall prepare a plan by September 30, 2008 for the virtual elimination of sewage discharges into waters of the state by 2015. The plan shall be submitted to the state budget director, the senate and house appropriations subcommittees on environmental quality, and the senate and house fiscal agencies. The plan shall include all of the following information:

(a) A discussion of the major infrastructure projects undertaken and planned over the next 5 to 10 years to increase the capacity of public wastewater treatment facilities to better handle sewage waste and stormwater runoff.

(b) Trends over the last 5 years on the amount of untreated or undertreated sewage that was discharged into waters of the state from wastewater treatment facilities or their connected systems, and estimates on the amount of discharge that the department expects will occur in the next 5 to 10 years, assuming infrastructure upgrades.

(c) A discussion of the role of nonpoint discharges of sewage waste either through failing on-site septic systems or the land application of sewage and the impact on waters of the state.

(d) A discussion of the regulatory program designed to limit adverse impacts on waters of the state from sewage discharges and the sufficiency of funding allocated to those programs.

(e) A discussion of the funding available to local units of government to upgrade public wastewater treatment facilities or on-site systems.

(f) Recommendations for program changes or funding that would be required to achieve the virtual elimination of sewage discharges into the waters of the state by 2015.

Sec. 905. From the funds appropriated in part 1, the department shall assess municipal separate storm sewer system permit fees pursuant to section 3118(1)(d) of the natural resources and environmental protection act, 1994 PA 451, MCL324.3118, only on the owners and operators of municipal separate storm sewer systems.

GRANTS


Sec. 1101. If a certified health department does not exist in a city, county, or district or does not fulfill its responsibilities under part 117 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11701 to 324.11720, then the department may spend funds appropriated in part 1 under the septage waste compliance program in accordance with section 11716 of the natural resources and environmental protection act, 1994 PA 451, MCL324.11716.

Sec. 1102. Of the funds appropriated in part 1 for scrap tire grants, $100,000.00 shall be available for grants to communities to cover scrap tire fire suppression costs, provided owner liability bonds and other available funding sources have been exhausted.

Sec. 1103. The appropriation in part 1 for real-time water quality monitoring is a grant to Macomb County and St.Clair County to support a real-time water quality monitoring program in the St. Clair watershed. By September 30, 2008, grant recipients shall report to the department on the plan's implementation and the status of the project. The department shall forward the report to the state budget director, the senate and house appropriations subcommittees on environmental quality, the senate and house standing committees on natural resources and environmental issues, and the senate and house fiscal agencies. Funding is contingent upon development of a department-approved plan for long-term funding of operation and maintenance of the real-time monitoring system for the Huron-Erie corridor.

This act is ordered to take immediate effect.

Clerk of the House of Representatives

Secretary of the Senate

Approved

Governor