HB-5301, As Passed House, June 7, 2012

SUBSTITUTE FOR

HOUSE BILL NO. 5301

A bill to amend 1966 PA 293, entitled

"An act to provide for the establishment of charter counties; to

provide for the election of charter commissioners; to prescribe

their powers and duties; to prohibit certain acts of a county board

of commissioners after the approval of the election of a charter

commission; to prescribe the mandatory and permissive provisions of

a charter; to provide for the exercise by a charter county of

certain powers whether or not authorized by its charter; and to

prescribe penalties and provide remedies,"

(MCL 45.501 to 45.521) by adding section 14a.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

Sec. 14a. (1) Beginning September 30, 2014, each county road

agency shall annually certify to the department that it satisfies 1

of the following conditions with respect to transportation

employees:

(a) The county road agency has developed and publicized a

transportation employee compensation plan that the county road

agency intends to implement with any new, modified, or extended

contract or employment agreements for transportation employees not

covered under contract or employment agreement. The transportation

employee compensation plan that each county road agency plans to

achieve shall be posted on a publicly accessible internet site and

must be submitted to the department. At a minimum, the

transportation employee compensation plan shall include all of the

following:

(i) New transportation employee hires who are eligible for

retirement plans are placed on retirement plans that cap annual

employer contributions at 10% of base salary for transportation

employees who are eligible for social security benefits. For

transportation employees who are not eligible for social security

benefits, the annual employer contribution is capped at 16.2% of

base salary.

(ii) For defined benefit pension plans, a maximum multiplier of

1.5% for all transportation employees who are eligible for social

security benefits, except, where postemployment health care is not

provided, the maximum multiplier shall be 2.25%. For all

transportation employees who are not eligible for social security

benefits, a maximum multiplier of 2.25%, except, where

postemployment health care is not provided, the maximum multiplier

shall be 3.0%.

(iii) For defined benefit pension plans, final average

compensation for all transportation employees is calculated using a

minimum of 3 years of compensation and shall not include more than

a total of 240 hours of paid leave. Overtime hours shall not be

used in computing the final average compensation for a

transportation employee.

(iv) Health care premium costs for new transportation employee

hires shall include a minimum transportation employee share of 20%;

or, an employer's share of the local health care plan costs shall

be cost competitive with the new state preferred provider

organization health plan, on a per-transportation-employee basis.

(b) Comply with 1 of the following:

(i) A county road agency that offers medical benefits to its

transportation employees or elected public officials shall certify

to the department by September 30, 2014 that it is in compliance

with the publicly funded health insurance contribution act, 2011 PA

152, MCL 15.561 to 15.569. Dental and vision coverages are not

considered medical benefits. The department shall develop a

certification process and method for county road agencies to

follow.

(ii) A county road agency that does not offer medical benefits

to its transportation employees or elected public officials shall

certify to the department by September 30, 2014 that it does not

offer medical benefits to its transportation employees or elected

public officials. Dental and vision coverages are not considered

medical benefits. The department shall develop a certification

process and method for county road agencies to follow.

(2) If a county road agency does not make the certification

required under subsection (1), the department may withhold all or

part of the distributions to the county road agency from the

Michigan transportation fund under 1951 PA 51, MCL 247.651 to

247.675. A withholding under this subsection shall continue for the

period of noncompliance with subsection (1) by the county road

agency.

(3) A county road agency 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.

including the vendor name, payment date, payment amount, and

payment description.

(d) The number of active transportation employees of the

county road agency by job classification.

(e) Job specifications and wage rates.

(f) A financial performance dashboard.

(g) The names and contact information for the county road

commissioners.

(h) A recognition of unfunded liabilities.

(i) A copy of the certification required by subsection (1).

(4) A county road agency may develop and operate its own

website to provide the information required under subsection (3),

or the county road agency may reference this state's central

transparency website as the source for the information required

under subsection (3). A county road agency may also post the

information required under subsection (3) on the website for the

county within which the county road agency is located.

(5) For purposes of this section only:

(a) "County road agency" means a county road commission or a

body that has the powers of a county road commission in a county

that adopts a charter under this act. In addition, if a board of

county road commissioners of a county is dissolved as provided in

section 6 of chapter IV of 1909 PA 283, MCL 224.6, county road

commission includes the county board of commissioners of that

county.

(b) "Department" means the state transportation department.

or in part through revenues distributed under sections 12 to 13 of

1951 PA 51, MCL 247.662 to 247.663, or an employee who is engaged

primarily in work funded through revenues distributed under

sections 12 to 13 of 1951 PA 51, MCL 247.662 to 247.663.