SUBSTITUTE FOR
SENATE BILL NO. 169
A bill to make appropriations for the department of
agriculture and rural development for the fiscal year ending
September 30, 2012; to provide for the expenditure of the
appropriations; to provide anticipated appropriations for the
fiscal year ending September 30, 2013; to create funds; to provide
for the imposition of fees; to require reports, audits, and plans;
to authorize certain transfers by certain state agencies; and to
provide for the disposition of fees and other income received by
certain state agencies.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
PART 1
LINE-ITEM APPROPRIATIONS
FOR FISCAL YEAR 2011-2012
Sec. 101. Subject to the conditions set forth in this act, the
amounts listed in this part are appropriated for the department of
agriculture and rural development for the fiscal year ending
September 30, 2012, from the funds indicated in this part. The
following is a summary of the appropriations in this part:
DEPARTMENT OF AGRICULTURE
APPROPRIATION SUMMARY
Full-time equated unclassified positions.......... 2.0
Full-time equated classified positions.......... 441.0
GROSS APPROPRIATION.................................... $ 72,219,300
Interdepartmental grant revenues:
IDG from LARA (LCC), liquor quality testing fees....... 197,600
IDG from MDNRE, biosolids.............................. 100,000
Total interdepartmental grants and intradepartmental
transfers............................................ 297,600
ADJUSTED GROSS APPROPRIATION........................... $ 71,921,700
Federal revenues:
USDA, multiple grants.................................. 10,873,300
EPA, multiple grants................................... 1,635,700
HHS-FDA................................................ 1,203,900
United States department of labor...................... 471,800
Total federal revenues................................. 14,184,700
Special revenue funds:
Total local revenues................................... 0
Private - slow-the-spread foundation................... 83,300
Private - commodity group revenue...................... 88,000
Total private revenues................................. 171,300
Agricultural preservation fund......................... 2,031,100
Agriculture equine industry development fund........... 3,773,300
Agriculture pollution prevention fund.................. 100
Animal welfare fund.................................... 144,500
Commodity inspection fees.............................. 832,400
Consumer and industry food safety education fund....... 290,200
Dairy and food safety fund............................. 3,006,600
Freshwater protection fund............................. 5,094,100
Gasoline inspection and testing fund................... 2,747,800
Grain dealer fee fund.................................. 222,500
Horticulture fund...................................... 72,800
Industry support funds................................. 535,300
Licensing and inspection fees.......................... 4,188,800
Migrant housing inspection fees........................ 114,200
Migratory labor housing fund........................... 29,000
Nonretail liquor fees.................................. 716,800
Refined petroleum fund................................. 3,870,900
Testing fees........................................... 447,500
Weights and measures regulation fees................... 745,100
Total other state restricted revenues.................. 28,863,000
State general fund/general purpose..................... $ 28,702,700
Sec. 102. EXECUTIVE
Full-time equated unclassified positions.......... 2.0
Full-time equated classified positions........... 26.0
Commissions and boards................................. $ 23,800
Unclassified positions--2.0 FTE positions.............. 213,300
Executive direction--8.0 FTE positions................. 1,050,600
Management services--15.0 FTE positions................ 981,100
Statistical reporting service--1.0 FTE positions....... 158,300
Emergency management--2.0 FTE positions................ 243,600
Accounting service center.............................. 878,300
GROSS APPROPRIATION.................................... $ 3,549,000
Appropriated from:
Special revenue funds:
Private - commodity group revenue...................... 88,000
Industry support funds................................. 40,500
Nonretail liquor fees.................................. 8,800
Refined petroleum fund................................. 57,800
State general fund/general purpose..................... $ 3,353,900
Sec. 103. DEPARTMENTWIDE
Rent and building occupancy charges.................... $ 991,900
GROSS APPROPRIATION.................................... $ 991,900
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 224,600
EPA, multiple grants................................... 174,100
HHS-FDA................................................ 43,300
Special revenue funds:
Agricultural preservation fund......................... 22,700
Freshwater protection fund............................. 33,500
Licensing and inspection fees.......................... 156,800
Nonretail liquor fees.................................. 28,800
Refined petroleum fund................................. 257,200
State general fund/general purpose..................... $ 50,900
Sec. 104. INFORMATION AND TECHNOLOGY
Information technology services and projects........... $ 1,303,400
GROSS APPROPRIATION.................................... $ 1,303,400
Appropriated from:
Interdepartmental grant revenues:
IDG from LARA (LCC), liquor quality testing fees....... 2,800
Special revenue funds:
Agricultural preservation fund......................... 200
Agriculture equine industry development fund........... 93,600
Freshwater protection fund............................. 100
Gasoline inspection testing fund....................... 27,400
Licensing and inspection fees.......................... 28,300
Nonretail liquor fees.................................. 500
State general fund/general purpose..................... $ 1,150,500
Sec. 105. FOOD AND DAIRY
Full-time equated classified positions.......... 104.0
Food safety and quality assurance--81.0 FTE positions.. $ 9,931,600
Milk safety and quality assurance--23.0 FTE positions.. 3,037,900
GROSS APPROPRIATION.................................... $ 12,969,500
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 234,900
HHS-FDA................................................ 451,600
Special revenue funds:
Consumer and industry food safety education fund....... 290,200
Dairy and food safety fund............................. 3,006,600
State general fund/general purpose..................... $ 8,986,200
Sec. 106. ANIMAL INDUSTRY
Full-time equated classified positions........... 64.0
Animal disease prevention and response--64.0 FTE
positions............................................ $ 8,889,400
GROSS APPROPRIATION.................................... $ 8,889,400
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 1,233,500
HHS-FDA................................................ 40,600
Special revenue funds:
Animal welfare fund.................................... 144,500
Licensing and inspection fees.......................... 113,100
State general fund/general purpose..................... $ 7,357,700
Sec. 107. PESTICIDE AND PLANT PEST MANAGEMENT
Full-time equated classified positions........... 99.0
Pesticide and plant pest management--88.0 FTE
positions............................................ $ 10,612,700
Emerald ash borer control program--7.0 FTE positions... 1,822,600
Producer security/grain dealers--4.0 FTE positions..... 543,400
GROSS APPROPRIATION.................................... $ 12,978,700
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 2,942,100
EPA, multiple grants................................... 738,800
HHS-FDA................................................ 109,200
Special revenue funds:
Private - slow-the-spread foundation................... 83,300
Commodity inspection fees.............................. 832,400
Grain dealers fee fund................................. 222,500
Horticulture fund...................................... 72,800
Industry support funds................................. 336,300
Licensing and inspection fees.......................... 3,808,700
State general fund/general purpose..................... $ 3,832,600
Sec. 108. ENVIRONMENTAL STEWARDSHIP
Full-time equated classified positions........... 43.0
Environmental stewardship--18.0 FTE positions.......... $ 6,133,800
Michigan agriculture environmental assurance program--
3.0 FTE positions.................................... 552,600
Farmland and open space preservation--9.0 FTE
positions............................................ 958,200
Local conservation districts........................... 100
Migrant labor housing--6.0 FTE positions............... 1,162,300
Right-to-farm--3.0 FTE positions....................... 519,000
Intercounty drain--4.0 FTE positions................... 425,000
GROSS APPROPRIATION.................................... $ 9,751,000
Appropriated from:
Interdepartmental grant revenues:
IDG from MDNRE, biosolids.............................. 100,000
Federal revenues:
USDA, multiple grants.................................. 1,000,000
EPA, multiple grants................................... 361,200
United States department of labor...................... 471,800
Special revenue funds:
Agricultural preservation fund......................... 958,200
Agriculture pollution prevention fund.................. 100
Freshwater protection fund............................. 5,060,500
Migrant housing inspection fees........................ 114,200
Migratory labor housing fund........................... 29,000
State general fund/general purpose..................... $ 1,656,000
Sec. 109. LABORATORY PROGRAM
Full-time equated classified positions........... 94.0
Laboratory services--42.0 FTE positions................ $ 5,564,600
USDA monitoring--13.0 FTE positions.................... 2,452,000
Consumer protection program--39.0 FTE positions........ 5,571,300
GROSS APPROPRIATION.................................... $ 13,587,900
Appropriated from:
Interdepartmental grant revenues:
IDG from LARA (LCC), liquor quality testing fees....... 194,800
Federal revenues:
USDA, multiple grants.................................. 2,474,700
EPA, multiple grants................................... 361,600
HHS-FDA................................................ 559,200
Special revenue funds:
Agriculture equine industry development fund........... 557,800
Gasoline inspection and testing fund................... 2,720,400
Licensing and inspection fees.......................... 81,900
Refined petroleum fund................................. 3,555,900
Testing fees........................................... 447,500
Weights and measures regulation fees................... 745,100
State general fund/general purpose..................... $ 1,889,000
Sec. 110. AGRICULTURE DEVELOPMENT
Full-time equated classified positions............ 8.0
Agriculture development--5.0 FTE positions............. $ 2,040,300
Grape and wine program--3.0 FTE positions.............. 736,300
GROSS APPROPRIATION.................................... $ 2,776,600
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 1,513,500
Special revenue funds:
Industry support funds................................. 158,500
Nonretail liquor fees.................................. 678,700
State general fund/general purpose..................... $ 425,900
Sec. 111. FAIRS AND EXPOSITIONS
Full-time equated classified positions............ 3.0
Fairs and racing--3.0 FTE positions.................... $ 331,300
Purses and supplements - fairs/licensed tracks......... 611,400
Licensed tracks - light horse racing................... 34,100
Standardbred breeders' awards.......................... 250,000
Standardbred purses and supplements - licensed tracks.. 461,600
Standardbred sire stakes............................... 209,000
Standardbred training and stabling..................... 9,300
Thoroughbred owners' awards............................ 31,900
Thoroughbred supplements - licensed tracks............. 309,600
Thoroughbred breeder's awards.......................... 309,600
Thoroughbred sire stakes............................... 214,100
Distribution of outstanding winning tickets............ 350,000
GROSS APPROPRIATION.................................... $ 3,121,900
Appropriated from:
Special revenue funds:
Agriculture equine industry development fund........... 3,121,900
State general fund/general purpose..................... $ 0
Sec. 112. CAPITAL OUTLAY
Farmland and open space development acquisition........ $ 2,300,000
GROSS APPROPRIATION.................................... $ 2,300,000
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 1,250,000
Special revenue funds:
Agriculture preservation fund.......................... 1,050,000
State general fund/general purpose..................... $ 0
PART 2
PROVISIONS CONCERNING APPROPRIATIONS
FOR FISCAL YEAR 2011-2012
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 2011-2012 is $57,565,700.00 and state
spending from state resources to be paid to local units of
government for fiscal year 2011-2012 is $1,500,000.00. The itemized
statement below identifies appropriations from which spending to
local units of government will occur:
DEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENT
Environmental protection............................... $ 1,500,000
TOTAL.................................................. $ 1,500,000
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 agriculture and rural
development.
(b) "Director" means the director of the department.
(c) "EPA" means the United States environmental protection
agency.
(d) "FTE" means full-time equated.
(e) "HHS-FDA" means the United States department of health and
human services - food and drug administration.
(f) "IDG" means interdepartmental grant.
(g) "LARA" means the Michigan department of licensing and
regulatory affairs.
(h) "MDEQ" means the Michigan department of environmental
quality.
(i) "USDA" means the United States department of agriculture.
Sec. 204. The civil service commission shall bill departments
and agencies at the end of the first fiscal quarter for the charges
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. 206. (1) In addition to the funds appropriated in part 1,
there is appropriated an amount not to exceed $5,000,000.00 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, MCL 18.1393.
(2) In addition to the funds appropriated in part 1, there is
appropriated an amount not to exceed $6,000,000.00 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. 207. (1) The department shall maintain a searchable
website accessible by the public at no cost that includes, but is
not limited to, all of the following:
(a) Fiscal year-to-date expenditures by category.
(b) Fiscal year-to-date expenditures by appropriation unit.
(c) Fiscal year-to-date payments to a selected vendor,
including the vendor name, payment date, payment amount, and
payment description.
(d) The number of active department employees by job
classification.
(e) Job specifications and wage rates.
(2) The department may develop and operate its own website to
provide this information or may reference the state's central
transparency website as the source for this information.
Sec. 208. Unless otherwise specified, the departments 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 shall 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 shall 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. 211. 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 technology, management, and budget. 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. 212. The department and agencies receiving appropriations
in part 1 shall receive and retain copies of all reports funded
from appropriations in part 1. Federal and state guidelines for
short-term and long-term retention of records shall be followed.
The department may electronically retain copies of reports unless
otherwise required by federal and state guidelines.
Sec. 214. From the funds appropriated in part 1 for
information technology, departments and agencies shall pay user
fees to the department of technology, management, and budget for
technology-related services and projects. The user fees shall be
subject to provisions of an interagency agreement between the
department and agencies and the department of technology,
management, and budget.
Sec. 215. The department shall not take disciplinary action
against an employee for communicating with a member of the
legislature or his or her staff.
Sec. 228. Not later than November 15, the department shall
prepare and transmit a report that provides for estimates of the
total general fund/general purpose appropriation lapses at the
close of the fiscal year. This report shall summarize the projected
year-end general fund/general purpose appropriation lapses by major
departmental program or program areas. The report shall be
transmitted to the office of the state budget, the chairpersons of
the senate and house of representatives standing committees on
appropriations, and the senate and house fiscal agencies.
Sec. 229. Within 14 days after the release of the executive
budget recommendation, the department shall provide the state
budget director, the senate and house appropriations chairs, the
senate and house appropriations subcommittees on [insert department
name], respectively, and the senate and house fiscal agencies with
an annual report on estimated state restricted fund balances, state
restricted fund projected revenues, and state restricted fund
expenditures for the fiscal years ending September 30, 2011 and
September 30, 2012.
EXECUTIVE
Sec. 301. (1) Pursuant to the appropriations in part 1, the
department may receive and expend revenue and use that revenue to
cover necessary expenses related to publications, audit and
licensing functions, livestock sales, certification of nursery
stock, and laboratory analyses as specified in the following:
(a) Management services publications.
(b) Management services audit and licensing functions.
(c) Pesticide and plant pest management propagation and
certification of virus-free foundation stock.
(d) Pesticide and plant pest management grading services.
(e) Laboratory support testing for testing horses in draft
horse pulling contests at county fairs when local jurisdictions
request state assistance.
(f) Laboratory support analyses to determine foreign
substances in horses engaged in racing or pulling contests at
tracks.
(g) Laboratory support analyses of food, livestock, and
agricultural products for disease, foreign products for disease,
toxic materials, foreign substances, and quality standards.
(h) Laboratory support test samples for other agencies and
organizations.
(i) Fruit and vegetable inspection at shipping and termination
points and processing plants.
(2) The department shall notify the senate and house
appropriations subcommittees on agriculture and the senate and
house fiscal agencies 30 days prior to proposing changes in fees
authorized under this section or under section 5 of 1915 PA 91, MCL
285.35.
(3) Annually, before February 1, the department shall provide
a report to the senate and house appropriations subcommittees on
agriculture and the senate and house fiscal agencies detailing all
the fees charged by the department under the authorization provided
in this section, including, but not limited to, rates, number of
individuals paying each fee, and the revenue generated by each fee
in the previous fiscal year.
Sec. 302. Of the funds appropriated in part 1 that are other
than line-item grants, the department shall not provide grants to
local government agencies, institutions of higher education, or
nonprofit organizations unless the department provides notice of
the grant to the senate and house appropriations subcommittees on
agriculture at least 10 days before the grant is issued. The grants
shall be used to support research or other related activities for
the purpose of enhancing the agricultural industries in this state.
FOOD AND DAIRY
Sec. 402. Not later than April 1, 2012, the department shall
provide a report to the senate and house appropriations
subcommittees on agriculture and the senate and house fiscal
agencies describing significant food-borne outbreaks and
emergencies, including any enforcement actions taken related to
food safety during the 2010-2011 fiscal year.
ANIMAL INDUSTRY
Sec. 450. From the funds appropriated in section 106 for the
bovine tuberculosis program, the department shall reimburse the
department of natural resources for those costs associated with
monitoring and testing wildlife for bovine tuberculosis that are
necessary to support the department goals and are jointly agreed to
by the department and the department of natural resources to be in
excess of efforts necessary to effectively plan and execute the
eradication of bovine tuberculosis from Michigan's wild free-
ranging deer herd.
Sec. 451. From the funds appropriated in section 106 for
bovine tuberculosis, the department shall pay for all whole herd
testing costs and individual animal testing costs in the modified
accredited zone to maintain split-state status requirements. These
costs include indemnity and compensation for injury causing death
or downer to animals.
Sec. 453. (1) Of the funds appropriated in part 1, the
department may provide for indemnity as provided for pursuant to
the animal industry act, 1988 PA 466, MCL 287.701 to 287.746, not
to exceed $100,000.00 per order from any line item for the fiscal
year ending September 30, 2012. Before the department provides for
an indemnification under this section, the department shall report
the reason for the indemnification, the amount of the
indemnification, and to whom the indemnification is to be paid. The
report shall be given to each member of the senate and house
appropriations subcommittees on agriculture and to the senate and
house fiscal agencies and to the state budget director.
(2) The department of agriculture and rural development shall
make an indemnification payment for the fair market value of
livestock killed by a wolf, coyote, or cougar, if the kill is
verified by the department of natural resources. The fair market
value of the livestock shall be determined pursuant to the
indemnification procedures prescribed in the animal industry act,
1988 PA 466, MCL 287.701 to 287.745. In addition to the funds
appropriated in part 1, the department of agriculture and rural
development is authorized to expend the funds received from the
department of natural resources to reimburse the department of
agriculture and rural development for all indemnification payments
made pursuant to this subsection.
Sec. 454. The department shall use its resources to
collaborate with the United States department of agriculture to
obtain TB-free status for the area of the Lower Peninsula that is
zoned as modified accredited advanced. The department shall also
aggressively work toward eradicating bovine TB in the modified
accredited zone. The department shall also convene a workgroup to
work toward eradicating bovine TB in the modified accredited zone.
Sec. 456. Of the funds appropriated in part 1, no funds shall
be used to enforce the mandatory electronic animal identification
program for any domestic animals other than cattle until specific
procedures and guidelines for electronic animal identification are
outlined in statute.
Sec. 457. On or before October 15, 2011, and on a quarterly
basis thereafter, the department shall report to the senate and
house agriculture committees, the senate and house appropriations
subcommittees on agriculture, and the senate and house fiscal
agencies on the department's progress toward meeting the USDA
requirements as outlined in the March 2007 bovine TB program
review. The report shall include, but is not limited to,
information and data on: wildlife risk mitigation plan
implementation in the modified accredited zone; implementation of a
movement certificate process; progress toward annual surveillance
test requirements set out in the June 2007 MOU; efforts to work
with slaughter facilities in Michigan, as well as those that
slaughter a significant number of animals from Michigan;
educational programs and information for Michigan's livestock
community; any other item the legislature should be aware of that
will promote or hinder efforts to achieve bovine TB-free status for
Michigan.
Sec. 458. From the funds appropriated in section 106 for
animal industry, the department shall provide inspection and
testing of aquaculture facilities and aquaculture researchers as
provided under section 7 of the Michigan aquaculture development
act, 1996 PA 199, MCL 286.877. It is the intent of the legislature
that the department shall work with aquaculture facilities and
aquaculture researchers to identify, contain, and eradicate viral
hemorrhagic septicemia in this state.
PESTICIDE AND PLANT PEST MANAGEMENT
Sec. 551. (1) It is the intent of the legislature that the
department work with the fruit and vegetable industry to ensure the
development of a sustainable system of third-party inspections of
fruits and vegetables.
(2) From the funds appropriated in part 1 for pesticide and
plant pest management, not less than $200,000.00 shall be used for
the purpose to ensure that Michigan commodities receive
departmental inspections required by other governments to ship
commodities out of Michigan. The department shall devise a plan to
provide these required government inspections in a timely manner.
ENVIRONMENTAL STEWARDSHIP
Sec. 601. The part 1 appropriation line item environmental
stewardship shall be used to support department agriculture
pollution prevention programs, including groundwater and freshwater
protection programs under part 87 of the Michigan natural resources
and environmental protection act, 1994 PA 451, MCL 324.8701 to
324.8717, and technical assistance in implementing conservation
grants available under the federal farm bill of 2008.
Sec. 606. The department shall actively search for all
possible funding sources to be used to match federal funds in the
USDA environmental quality incentives program.
Sec. 607. (1) It is the intent of the legislature that the
department continue its activities in support of intercounty
drainage districts as provided in chapter 5 of the drain code of
1956, 1956 PA 40, MCL 280.101 to 280.106.
(2) The department shall work with representatives of
intercounty drainage districts to develop a mutually agreeable
method of funding department costs associated with the intercounty
drainage program.
AGRICULTURE DEVELOPMENT
Sec. 706. Not later than April 1, 2012, the department shall
provide a report to the senate and house appropriations
subcommittees on agriculture and the senate and house fiscal
agencies describing the department's agriculture development and
export market development activities. The report shall identify
grants awarded during the prior fiscal year, including a
description of federal or private funds made available as a result
of department activities.
Sec. 709. (1) Not later than April 1, 2012, the department
shall provide a report to the senate and house appropriations
subcommittees on agriculture and the senate and house fiscal
agencies describing the activities of the grape and wine industry
council established under section 303 of the Michigan liquor
control act of 1998, 1998 PA 58, MCL 436.1303.
(2) The report shall include all of the following:
(a) Council activities and accomplishments for the previous
fiscal year.
(b) Council expenditures for the previous fiscal year by
category of administration, industry support, research and
education grants, and promotion and consumer education.
(c) Grants awarded during the prior fiscal year and the
results of research grant projects completed during the prior
fiscal year.
FAIRS AND EXPOSITIONS
Sec. 801. All appropriations from the agricultural equine
industry development fund shall be spent on equine-related
purposes. No funds from the agriculture equine industry development
fund shall be expended for nonequine-related purposes without prior
approval of the legislature.
Sec. 802. All appropriations from the agriculture equine
industry development fund, except for the racing commission and
laboratory analysis program appropriations, shall be reduced
proportionately if revenues to the agriculture equine industry
development fund decline during the fiscal year ending September
30, 2011 to a level lower than the amounts appropriated in section
108.
Sec. 803. In the event there is no live thoroughbred race meet
in 2011 or 2012, all purse money and program money appropriated for
the thoroughbred industry in fiscal year 2010-2011 and fiscal year
2011-2012 shall be held in escrow for a period not to exceed 18
months, or until a thoroughbred race meet license is applied for
and granted by the Michigan gaming control board. In the event
there is no thoroughbred meet in 2011 or 2012, the purse pool
distribution order to be issued by the Michigan gaming control
board in 2012 that delineates distribution between the thoroughbred
meet that has been held at pinnacle race course and the joint
thoroughbred/quarterhorse meet held in Mt. Pleasant shall be the
same distribution formula as issued in 2011, with the thoroughbred
portion being held in escrow.
Sec. 804. The Michigan gaming control board shall use actual
expenditure data in determining the actual regulatory costs of
conducting racing dates and shall provide that data to the senate
and house of representatives appropriations subcommittees on
agriculture and general government and the senate and house fiscal
agencies. The Michigan gaming control board shall not be reimbursed
for more than the actual regulatory cost of conducting race dates.
If a certified horsemen's organization funds more than the actual
regulatory cost, the balance shall remain in the agriculture equine
industry development fund to be used to fund subsequent race dates
conducted by race meeting licensees with which the certified
horsemen's organization has contracts. If a certified horsemen's
organization funds less than the actual regulatory costs of the
additional horse racing dates, the Michigan gaming control board
shall reduce the number of future race dates conducted by race
meeting licensees with which the certified horsemen's organization
has contracts. Prior to the reduction in the number of authorized
race dates due to budget deficits, the executive director of the
Michigan gaming control board shall provide notice to the certified
horsemen's organizations with an opportunity to respond with
alternatives. In determining actual costs, the Michigan gaming
control board shall take into account that each specific breed may
require different regulatory mechanisms.
CAPITAL OUTLAY
Sec. 1002. (1) The director shall allocate lump-sum
appropriations made in this act consistent with statutory
provisions and the purposes for which funds were appropriated.
Lump-sum allocations shall address priority program or facility
needs and may include, but are not limited to, design,
construction, remodeling and addition, special maintenance, major
special maintenance, energy conservation, and demolition.
(2) The state budget director may authorize that funds
appropriated for lump-sum appropriations shall be available for no
more than 3 fiscal years following the fiscal year in which the
original appropriation was made. Any remaining balance from
allocations made in this section shall lapse to the fund from which
it was appropriated pursuant to the lapsing of funds as provided in
the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.
Sec. 1003. The appropriations in part 1 for capital outlay
shall be carried forward at the end of the fiscal year consistent
with the provisions of section 248 of the management and budget
act, 1984 PA 431, MCL 18.1248.
PART 2A
PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS
FOR FISCAL YEAR 2012-2013
GENERAL SECTIONS
Sec. 1201. It is the intent of the legislature to provide
appropriations for the fiscal year ending on September 30, 2013 for
the line items listed in part 1. The fiscal year 2012-2013
appropriations are anticipated to be the same as those for fiscal
year 2011-2012, except that the line items will be adjusted for
changes in caseload and related costs, federal fund match rates,
economic factors, and available revenue. These adjustments will be
determined after the January 2012 consensus revenue estimating
conference.