Bill Text: MI HB4022 | 2017-2018 | 99th Legislature | Introduced


Bill Title: Revenue sharing; cities and villages; increased revenue sharing payments for cities, villages, townships, and counties that participate in an incentive program; provide for. Amends 1971 PA 140 (MCL 141.901 - 141.921) by adding sec. 915.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2017-01-18 - Bill Electronically Reproduced 01/12/2017 [HB4022 Detail]

Download: Michigan-2017-HB4022-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 4022

 

 

January 12, 2017, Introduced by Rep. Kosowski and referred to the Committee on Appropriations.

 

     A bill to amend 1971 PA 140, entitled

 

"Glenn Steil state revenue sharing act of 1971,"

 

(MCL 141.901 to 141.921) by adding section 915.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 915. (1) For state fiscal years beginning on and after

 

the 2016-2017 state fiscal year, the department of treasury shall

 

implement an incentive program and the department of treasury shall

 

use the program to distribute additional revenue sharing payments

 

to cities, villages, townships, and counties as provided under

 

subsection (2).

 

     (2) To the extent that a city, village, township, or county

 

received a payment under section 952 or 955, or both, of article

 

VIII of 2015 PA 84, that city, village, township, or county may

 


qualify for an additional payment of up to an amount equal to 20%

 

of the payment that city, village, township, or county received in

 

the immediately preceding state fiscal year. A city, village,

 

township, or county is eligible for an increased payment under 1 or

 

more of the following categories at the following rates as follows:

 

     (a) Category 1, consolidation of services, 8.0% bonus,

 

requires each eligible city, village, township, or county to

 

certify that it has entered into a plan since January 1, 2012 with

 

1 or more proposals to increase its existing level of cooperation,

 

collaboration, and consolidation, either within the jurisdiction or

 

with other jurisdictions. A plan shall include a listing of any

 

previous services consolidated with the cost savings realized from

 

each consolidation and an estimate of the potential savings for any

 

new service consolidations being planned. A plan shall be made

 

readily available to the public. Each city, village, township, and

 

county applying for a payment under this subdivision shall submit a

 

copy of the cooperation, collaboration, and consolidation plan to

 

the department of treasury.

 

     (b) Category 2, workforce reduction, 4.0% bonus, requires each

 

city, village, township, or county that has entered a plan as

 

provided under subdivision (a) to provide documentation to the

 

department verifying that pursuant to the plan the city, village,

 

township, or county has reduced its workforce by at least 5.0% or 3

 

employees, whichever is more, since January 1, 2012.

 

     (c) Category 3, budget reduction, 4.0% bonus, requires each

 

eligible city, village, township, or county to certify that since

 

January 1, 2012 that city, village, township, or county has reduced


its overall budget by at least 5.0%.

 

     (d) Category 4, balanced budget, 4.0%, requires each eligible

 

city, village, township, or county to certify that since January 1,

 

2012 that city, village, township, or county has maintained a

 

balanced budget for 2 consecutive years.

 

     (3) Payments under this section are subject to the following

 

conditions:

 

     (a) In order for a city, village, township, or county to

 

qualify for a category under subsection (2), the city, village,

 

township, or county shall meet every criteria for that category

 

including a certification to the department that it has met the

 

required criteria for that category and submission of the required

 

cooperation, collaboration, and consolidation plan and other

 

required documentation as required by subsection (2). A department

 

of treasury review of the plan is not required in order for a city,

 

village, township, or county to receive a payment under subsection

 

(2). The department shall develop a certification process and

 

method for cities, villages, townships, and counties to follow.

 

     (b) For each category that a city, village, township, or

 

county qualifies for in subsection (2), the city, village,

 

township, or county shall receive its potential incentive program

 

payment amount as calculated in accordance with subsection (2).

 

     (c) If a city, village, township, or county does not provide

 

the required certification or fails to submit the required

 

cooperation, collaboration, and consolidation plan or other

 

verifying documentation by the first day of a payment month, the

 

city, village, township, or county shall forfeit the payment in


that payment month for the uncertified category in subsection (2).

 

     (d) Any city, village, township, or county that falsifies

 

certification documents shall forfeit any future incentive program

 

payments and shall repay this state all incentive program payments

 

it has received.

 

     (e) Payments under this section shall be distributed on the

 

last business day of October, December, February, April, June, and

 

August.

 

     (4) Except as otherwise provided under sections 17a and 21, a

 

city, village, township, or county that qualifies for an increased

 

payment under this section shall continue to receive that increased

 

payment under this section each state fiscal year and additional

 

verification is not required to qualify for payments in subsequent

 

fiscal years.

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