Bill Text: MI SB0148 | 2019-2020 | 100th Legislature | Engrossed
Bill Title: Appropriations: zero budget; department of talent and economic development; provide for fiscal year 2019-2020. Creates appropriation act.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2019-05-14 - Referred To Committee On Appropriations [SB0148 Detail]
Download: Michigan-2019-SB0148-Engrossed.html
SB-0148, As Passed Senate, May 14, 2019
SUBSTITUTE FOR
SENATE BILL NO. 148
A bill to make appropriations for the department of talent and
economic development for the fiscal year ending September 30, 2020;
and to provide for the expenditure of the appropriations.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
PART 1
LINE-ITEM APPROPRIATIONS
Sec. 101. There is appropriated for the department of talent
and economic development for the fiscal year ending September 30,
2020, from the following funds:
DEPARTMENT OF TALENT AND ECONOMIC DEVELOPMENT
(1) APPROPRIATION SUMMARY
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions........ 1,450.0
GROSS APPROPRIATION.................................... $ 1,107,257,100
Interdepartmental grant revenues:
Total interdepartmental grants and intradepartmental
transfers............................................ 0
ADJUSTED GROSS APPROPRIATION........................... $ 1,107,257,100
Federal revenues:
Total federal revenues................................. 762,145,800
Special revenue funds:
Total local revenues................................... 500,000
Total private revenues................................. 5,628,300
Total other state restricted revenues.................. 193,074,600
State general fund/general purpose..................... $ 145,908,400
(2) DEPARTMENTAL ADMINISTRATION AND SUPPORT
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions........... 32.0
Unclassified positions--6.0 FTE positions.............. $ 1,153,200
Executive direction and operations--32.0 FTE positions. 7,120,000
GROSS APPROPRIATION.................................... $ 8,273,200
Appropriated from:
Federal revenues:
DOL-ETA, unemployment insurance........................ 1,759,100
DOL, federal funds..................................... 3,201,600
Federal funds.......................................... 2,500,000
Special revenue funds:
Michigan state housing development authority fees and
charges.............................................. 608,500
State general fund/general purpose..................... $ 204,000
(3) MICHIGAN STRATEGIC FUND
Full-time equated classified positions.......... 157.0
Administrative services--37.0 FTE positions............ $ 3,082,600
Arts and cultural program.............................. 10,150,000
Business attraction and community revitalization....... 102,629,900
Community college skilled trades equipment program debt
service.............................................. 4,600,000
Community development block grants..................... 47,000,000
Entrepreneurship ecosystem............................. 13,650,000
Facility for rare isotope beams debt service........... 7,300,000
Job creation services--120.0 FTE positions............. 22,695,200
Pure Michigan.......................................... 37,500,000
Michigan enhancement grants............................ 100
GROSS APPROPRIATION.................................... $ 248,607,800
Appropriated from:
Federal revenues:
HUD-CPD, community development block grant............. 49,773,300
NFAH-NEA, promotion of the arts, partnership
agreements........................................... 1,050,000
Special revenue funds:
Private - special project advances..................... 250,000
Private - Michigan council for the arts fund........... 100,000
21st century jobs trust fund........................... 75,000,000
Contingent fund, penalty and interest.................. 4,600,000
Michigan film promotion fund........................... 402,200
Michigan state housing development authority fees
and charges.......................................... 4,616,600
State general fund/general purpose..................... $ 112,815,700
(4) TALENT INVESTMENT AGENCY
Full-time equated classified positions.......... 962.0
At-risk youth grants................................... $ 4,000,000
Community ventures..................................... 4,000,000
Executive direction--14.0 FTE positions................ 3,498,500
Going pro talent fund.................................. 37,920,700
Information technology services and projects - TIA..... 22,721,300
Michigan Works!........................................ 130,800,000
Unemployment insurance agency--743.0 FTE positions..... 136,006,400
Unemployment insurance agency advocacy assistance...... 1,500,000
Workforce development programs......................... 248,924,900
Workforce program administration--205.0 FTE positions.. 36,262,100
GROSS APPROPRIATION.................................... $ 625,633,900
Appropriated from:
Federal revenues:
DAG, employment and training........................... 4,000,400
DED-OESE, GEAR-UP...................................... 4,730,700
DED-OVAE, adult education.............................. 20,000,000
DED-OVAE, basic grants to states....................... 19,000,000
DOL, federal funds..................................... 107,401,100
DOL-ETA, unemployment insurance........................ 140,242,000
DOL-ETA, workforce investment act...................... 173,488,600
Federal funds.......................................... 3,440,200
Social security act, temporary assistance to needy
families............................................. 63,698,800
Special revenue funds:
Local revenues......................................... 500,000
Private funds.......................................... 5,278,300
Contingent fund, penalty and interest account.......... 52,287,500
Defaulted loan collection fees......................... 170,000
State general fund/general purpose..................... $ 31,396,300
(5) LAND BANK FAST TRACK AUTHORITY
Full-time equated classified positions............ 9.0
Land bank fast track authority--9.0 FTE positions...... $ 4,290,800
GROSS APPROPRIATION.................................... $ 4,290,800
Appropriated from:
Federal revenues:
Federal revenues....................................... 1,000,000
Special revenue funds:
Land bank fast track fund.............................. 1,798,400
State general fund/general purpose..................... $ 1,492,400
(6) MICHIGAN STATE HOUSING DEVELOPMENT AUTHORITY
Full-time equated classified positions.......... 290.0
Housing and rental assistance--290.0 FTE positions..... $ 46,022,200
Lighthouse preservation program........................ 307,500
Michigan state housing development authority
technology services and projects..................... 3,651,800
Payments on behalf of tenants.......................... 166,860,000
Property management.................................... 3,609,900
GROSS APPROPRIATION.................................... $ 220,451,400
Appropriated from:
Federal revenues:
HUD, lower income housing assistance................... 166,860,000
Special revenue funds:
Michigan lighthouse preservation fund.................. 307,500
Michigan state housing development authority fees
and charges.......................................... 53,283,900
State general fund/general purpose..................... $ 0
PART 2
PROVISIONS CONCERNING APPROPRIATIONS
FOR FISCAL YEAR 2019-2020
GENERAL SECTIONS
Sec. 201. In accordance with section 30 of article IX of
the state constitution of 1963, total state spending from state
sources under part 1 for fiscal year 2019-2020 is $338,983,000.00
and state spending from state sources to be paid to local units of
government for fiscal year 2019-2020 is $37,598,800.00. The
itemized statement below identifies appropriations from which
spending to local units of government will occur:
DEPARTMENT OF TALENT AND ECONOMIC DEVELOPMENT
Arts and cultural program.............................. $ 1,000,000
Going pro.............................................. 25,918,800
Welfare-to-work programs............................... 10,680,000
TOTAL ................................................. $ 37,598,800
Sec. 202. The appropriations authorized under this part and
part 1 are subject to the management and budget act, 1984 PA 431,
MCL 18.1101 to 18.1594.
Sec. 203. As used in this part and part 1:
(a) "DED" means the United States Department of Education.
(b) "DED-OESE" means the DED Office of Elementary and
Secondary Education.
(c) "DED-OPSE" means the DED Office of Postsecondary
Education.
(d) "DED-OVAE" means the DED Office of Vocational and Adult
Education.
(e) "Department" means the department of talent and economic
development.
(f) "Director" means the director of the department.
(g) "DOE-OEERE" means the United States Department of Energy,
Office of Energy Efficiency and Renewable Energy.
(h) "DOL" means the United States Department of Labor.
(i) "DOL-ETA" means the United States Department of Labor,
Employment and Training Administration.
(j) "FTE" means full-time equated.
(k) "Fund" means the Michigan strategic fund.
(l) "GEAR-UP" means gaining early awareness and readiness for
undergraduate programs.
(m) "GED" means a general educational development certificate.
(n) "GF/GP" means general fund/general purpose.
(o) "HHS" means the United States Department of Health and
Human Services.
(p) "HHS-OS" means the HHS Office of the Secretary.
(q) "HHS-SSA" means the HHS Social Security Administration.
(r) "HUD" means the United States Department of Housing and
Urban Development.
(s) "HUD-CPD" means the United States Department of Housing
and Urban Development - Community Planning and Development.
(t) "IDG" means interdepartmental grant.
(u) "MCL" means the Michigan Compiled Laws.
(v) "MDE" means the Michigan department of education.
(w) "MDHHS" means the Michigan department of health and human
services.
(x) "MEDC" means the Michigan economic development
corporation, which is the public body corporate created under
section 28 of article VII of the state constitution of 1963 and the
urban cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to
124.512, by contractual interlocal agreement effective April 5,
1999, between local participating economic development corporations
formed under the economic development corporations act, 1974 PA
338, MCL 125.1601 to 125.1636, and the Michigan strategic fund.
(y) "MEGA" means the Michigan economic growth authority.
(z) "MSF" means the Michigan strategic fund.
(aa) "MSHDA" means the Michigan state housing development
authority.
(bb) "NFAH-NEA" means the National Foundation of the Arts and
the Humanities - National Endowment for the Arts.
(cc) "PA" means public act.
(dd) "PATH" means Partnership. Accountability. Training. Hope.
(ee) "RFP" means a request for a proposal.
(ff) "SIGMA" means statewide integrated governmental
management applications.
(gg) "WDA" means the workforce development agency.
Sec. 204. The departments and agencies receiving
appropriations in part 1 shall use the internet to fulfill the
reporting requirements of this part. 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. 205. 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 should be given to goods or
services, or both, that are manufactured or provided by Michigan
businesses owned and operated by veterans, if they are
competitively priced and of comparable quality.
Sec. 206. 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. 207. The departments and agencies receiving
appropriations in part 1 shall prepare a report on out-of-state
travel expenses not later than January 1 of each year. The travel
report shall be a listing of 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 house and senate standing committees on
appropriations, the chairpersons of the relevant appropriations
subcommittees, the house and senate fiscal agencies, and the state
budget director. The report shall include the following
information:
(a) The dates of each travel occurrence.
(b) The transportation and related costs of each travel
occurrence, including the proportion funded with state GF/GP
revenues, the proportion funded with state restricted revenues, the
proportion funded with federal revenues, and the proportion funded
with other revenues.
Sec. 208. 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 outside legal
services that the attorney general authorizes.
Sec. 209. Not later than November 30, the state budget office
shall prepare and transmit a report that provides for estimates of
the total GF/GP appropriation lapses at the close of the prior
fiscal year. This report shall summarize the projected year-end
GF/GP appropriation lapses by major departmental program or program
areas. The report shall be transmitted to the chairpersons of the
senate and house appropriations committees and the senate and house
fiscal agencies.
Sec. 211. The department shall cooperate with the department
of technology, management, and budget to maintain a searchable
website that is updated at least quarterly and that is accessible
by the public at no cost that includes, but is not limited to, all
of the following for each department or agency:
(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.
Sec. 212. Within 14 days after the release of the executive
budget recommendation, the department shall cooperate with the
state budget director to provide the senate and house of
representatives standing committees on appropriations, the relevant
senate and house of representatives subcommittees, 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, 2019 and September 30, 2020.
Sec. 213. The department shall maintain, on a publicly
accessible website, a department or agency scorecard that
identifies, tracks, and regularly updates key metrics that are used
to monitor and improve the department's or agency's performance.
Sec. 214. Total authorized appropriations from all sources
under part 1 for legacy costs for the fiscal year ending September
30, 2020 are $28,950,500.00. From this amount, total agency
appropriations for pension-related legacy costs are estimated at
$14,073,500.00. Total agency appropriations for retiree health care
legacy costs are estimated at $14,877,000.00.
Sec. 215. Federal pass-through funds to local institutions and
governments that are received in amounts in addition to those
included in part 1 and that do not require additional state
matching funds are appropriated for the purposes intended. The
department may carry forward into the succeeding fiscal year
unexpended federal pass-through funds to local institutions and
governments that do not require additional state matching funds.
The department shall report the amount and source of the funds to
the relevant senate and house appropriation subcommittees, the
senate and house fiscal agencies, and the state budget office
within 10 business days after receiving any additional pass-through
funds.
Sec. 216. The department 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. 217. General fund appropriations in part 1 shall not be
expended for items in cases where federal funding or private grant
funding is available for the same expenditures.
Sec. 218. A department or state agency shall not take
disciplinary action against an employee for communicating with a
member of the legislature or his or her staff.
Sec. 221. The department shall report no later than April 1 on
each specific policy change made to implement a public act
affecting the department that took effect during the prior calendar
year to the senate and house of representatives standing committees
on appropriations subcommittees on general government, the joint
committee on administrative rules, and the senate and house fiscal
agencies.
Sec. 222. As a condition of receiving funds in part 1, the
department shall utilize SIGMA as an appropriation and expenditure
reporting system to track all financial transactions with
individual vendors, contractual partners, grantees, recipients of
business incentives, and recipients of other economic assistance.
The department shall report encumbrances and expenditures in a
timely manner.
Sec. 223. From the funds appropriated in part 1, the
department of talent and economic development, Michigan strategic
fund, and Michigan state housing development authority shall not
use funds for broadband construction, expansion, repairs, or
upgrades or to issue or refinance bonds for broadband construction,
expansion, repairs, or upgrades.
MICHIGAN STATE HOUSING DEVELOPMENT AUTHORITY
Sec. 390. MSHDA shall annually present a report to the state
budget office and the subcommittees on the status of the
authority's housing production goals under all financing programs
established or administered by the authority. The report shall give
special attention to efforts to raise affordable multifamily
housing production goals.
Sec. 394. In addition to the funds appropriated in part 1, the
funds collected by state historic preservation programs for
document reproduction and services and application fees are
appropriated for all expenses necessary to provide the required
services. These funds are available for expenditure when they are
received and may be carried forward into the succeeding fiscal
year.
LAND BANK FAST TRACK AUTHORITY
Sec. 395. In addition to the amounts appropriated in part 1,
the land bank fast track authority may expend revenues received
under the land bank fast track act, 2003 PA 258, MCL 124.751 to
124.774, for the purposes authorized by the act, including, but not
limited to, the acquisition, lease, management, demolition,
maintenance, or rehabilitation of real or personal property,
payment of debt service for notes or bonds issued by the authority,
and other expenses to clear or quiet title property held by the
authority.
MICHIGAN STRATEGIC FUND
Sec. 404. As a condition of receiving funds appropriated in
part 1, the MSF shall provide all information required to be
transmitted in the activities report required under section 9 of
the Michigan strategic fund act, 1984 PA 270, MCL 125.2009, to the
chairpersons of the senate and house of representatives standing
committees on appropriations, the relevant chairpersons of the
senate and house of representatives standing committees on
appropriations subcommittees, the senate and house fiscal agencies,
and the state budget office by March 15.
Sec. 405. In addition to the appropriations in part 1, Travel
Michigan may receive and expend private revenue related to the use
of "Pure Michigan" and all other copyrighted slogans and images.
This revenue may come from the direct licensing of the name and
image or from the royalty payments from various merchandise sales.
Revenue collected is appropriated for the marketing of the state as
a travel destination. The funds are available for expenditure when
they are received by the department of treasury. If the fund
receives revenues from the use of "Pure Michigan", the fund shall
provide a report that lists the revenues by source received from
the use of "Pure Michigan" and all other copyrighted slogans and
images. The fund shall include in the report a detailed list of
expenditures of revenues received under this section. The fund
shall provide the report to the chairpersons of the senate and
house of representatives standing committees on appropriations, the
relevant house and senate appropriations subcommittees, the house
and senate fiscal agencies, and the state budget office by March 1.
Sec. 406. (1) As a condition of receiving funds appropriated
in part 1, the fund shall provide a report of all approved
amendments to projects for the immediately preceding year under
sections 88r and 90b of the Michigan strategic fund act, 1984 PA
270, MCL 125.2088r and 125.2090b. The report shall provide a
description of each amendment, by award, that includes, but is not
limited to, the following:
(a) The amended award amount relative to the prior award
amount.
(b) The amended number of committed jobs relative to the prior
number of committed jobs.
(c) The amended amount of qualified investment committed
relative to the prior amount of qualified investment committed.
(d) A description of any change in scope of the project.
(e) A description of any change in project benchmarks,
deadlines, or completion dates.
(f) The reason or justification for the amendment approval.
(2) In addition to being posted online, the fund shall
distribute the report to the chairpersons of the senate and house
of representatives standing committees on appropriations, the
chairpersons of the relevant senate and house of representatives
appropriations subcommittees, the senate and house fiscal agencies,
and the state budget office by March 15.
Sec. 407. (1) As a condition of receiving funds appropriated
in part 1, the fund shall request the following information from
the MEDC:
(a) Approved budget from the MEDC executive committee for the
current fiscal year and actual budget expenditures for the
preceding fiscal years.
(b) Expenditures and revenues as part of the current and
preceding year budgets, including the available fund balance for
the current and preceding fiscal years.
(c) The total number of FTEs, by state and corporate status.
(d) A reporting of activities, programs, and grants consistent
with the preceding fiscal year budget.
(2) Information received by the fund under this section shall
be posted online and distributed to the chairpersons of the senate
and house of representatives standing committees on appropriations,
the chairpersons of the relevant senate and house of
representatives standing committees on appropriations
subcommittees, the senate and house fiscal agencies, and the state
budget office by March 15.
Sec. 408. As a condition of receiving funds under part 1, any
interlocal agreement entered into by the fund shall include
language that states that if a local unit of government has a
contract or memorandum of understanding with a private economic
development agency, the MEDC will work cooperatively with that
private organization in that local area.
Sec. 409. (1) Of the funds appropriated to the fund or through
grants to the MEDC, funds shall not be expended for the purchase of
options on land or the purchase of land unless at least 1 of the
following conditions applies:
(a) The land is located in an economically distressed area.
(b) The land is obtained through a purchase or exercise of an
option at the invitation of the local unit of government and local
economic development agency.
(2) Consideration may be given to purchases where the proposed
use of the land is consistent with a regional land use plan, will
result in the redevelopment of an economically distressed area, can
be supported by existing infrastructure, and will not cause shifts
in population away from the area's population centers.
(3) If land or options on land are purchased under subsection
(1), the fund shall provide a report to the senate and house of
representatives standing committees on appropriations, the relevant
senate and house of representatives appropriations subcommittees,
the senate and house fiscal agencies, and the state budget office
that provides a list of all properties purchased, all options on
land purchased, the location of the land purchased, and the
purchase price if the fund purchases options on land or land. The
report must be submitted before March 15.
(4) As used in this section, "economically distressed area"
means an area in a city, village, or township that has been
designated as blighted; a city, village, or township that shows
negative population change from 1970 and a poverty rate and
unemployment rate greater than the statewide average; or an area
certified as a neighborhood enterprise zone under the neighborhood
enterprise zone act, 1992 PA 147, MCL 207.771 to 207.786.
Sec. 410. As a condition for receiving funds in part 1, not
later than March 15, the fund shall provide a report for the
immediately preceding fiscal year on the jobs for Michigan
investment fund, created in section 88h of the Michigan strategic
fund act, 1984 PA 270, MCL 125.2088h. The fund shall submit the
report to the chairpersons of the senate and house of
representatives standing committees on appropriations, the
chairpersons of the relevant senate and house of representatives
appropriations subcommittees, the senate and house fiscal agencies,
and the state budget office. The report shall include, but is not
limited to, all of the following:
(a) A detailed listing of revenues, by fund source, to the
jobs for Michigan investment fund, including the manner and reason
for which the funds were appropriated to the jobs for Michigan
investment fund.
(b) A detailed listing of expenditures, by project, from the
jobs for Michigan investment fund.
(c) A fiscal year-end balance of the jobs for Michigan
investment fund.
Sec. 411. (1) From the appropriations in part 1 to the fund
and granted or transferred to the MEDC, any unexpended or
unencumbered balance shall be disposed of in accordance with the
requirements in the management and budget act, 1984 PA 431, MCL
18.1101 to 18.1594, unless carryforward authorization has been
otherwise provided for.
(2) Any encumbered funds, including encumbered funds
subsequently unobligated, shall be used for the same purposes for
which funding was originally appropriated in this part and part 1.
(3) For funds appropriated in part 1 to the fund, any
carryforward authorization subsequently created through a work
project shall be preserved until a cash or accrued expenditure has
been executed or the allowable work project time period has
expired.
Sec. 412. (1) As a condition of receiving funds under part 1,
the fund shall ensure that the MEDC and the fund comply with all of
the following:
(a) The freedom of information act, 1976 PA 442, MCL 15.231 to
15.246.
(b) The open meetings act, 1976 PA 267, MCL 15.261 to 15.275.
(c) Annual audits of all financial records by the auditor
general or his or her designee.
(d) All reports required by law to be submitted to the
legislature.
(2) If the MEDC is unable for any reason to perform duties
under this part, the fund may exercise those duties.
Sec. 413. As a condition for receiving the appropriations in
part 1, any staff of the MEDC involved in private fund-raising
activities shall not be party to any decisions regarding the
awarding of grants, incentives, or tax abatements from the fund,
the MEDC, or the Michigan economic growth authority.
Sec. 424. From the funds appropriated in part 1 for business
attraction and community revitalization, not less than
$20,000,000.00 shall be granted by the fund board for brownfield
redevelopment and historic preservation projects under the
community revitalization program authorized by chapter 8C of the
Michigan strategic fund act, 1984 PA 270, MCL 125.2090 to
125.2090d.
Sec. 432. (1) The fund shall report to the chairpersons of the
senate and house of representatives standing committees on
appropriations, the relevant house and senate appropriations
subcommittees, the state budget office, and the senate and house
fiscal agencies on the status of the film incentives at the same
time as it submits the annual report required under section 455 of
the Michigan business tax act, 2007 PA 36, MCL 208.1455. The
department of treasury shall provide the fund with the data
necessary to prepare the report. The fund shall include all of the
following incentives in the report:
(a) The tax credit provided under section 455 of the Michigan
business tax act, 2007 PA 36, MCL 208.1455.
(b) The tax credit provided under section 457 of the Michigan
business tax act, 2007 PA 36, MCL 208.1457.
(c) The tax credit provided under section 459 of the Michigan
business tax act, 2007 PA 36, MCL 208.1459.
(d) The amount of any tax credit claimed under former section
367 of the income tax act of 1967, 1967 PA 281.
(e) Any tax credits provided for film and digital media
production under the Michigan economic growth authority act, 1995
PA 24, MCL 207.801 to 207.810.
(f) Loans to an eligible production company or film and
digital media private equity fund authorized under section 88d(3),
(4), and (5) of the Michigan strategic fund act, 2005 PA 225, MCL
125.2088d.
(2) The fund shall include all of the following information in
the report under subsection (1):
(a) For each tax credit, the number of contracts signed, the
projected expenditures qualifying for the credit, and the estimated
value of the credits. For loans, the number of loans made under
each section, the interest rate of those loans, the loan amount,
the percent of the projected budget of each production financed by
those loans, and the estimated interest earnings from the loan.
(b) For credits authorized under section 455 of the Michigan
business tax act, 2007 PA 36, MCL 208.1455, for productions
completed by December 31, the expenditures of each production
eligible for the credit that has filed a request for certificate of
completion with the film office, broken down into expenditures for
goods, services, or salaries and wages and showing separately
expenditures in each local unit of government, including
expenditures for personnel, whether or not they were made to a
Michigan entity, and whether or not they were taxable under the
laws of this state. For loans, the report shall include the number
of loans that have been fully repaid, with principal and interest
shown separately, and the number of loans that are delinquent or in
default, and the amount of principal that is delinquent or is in
default.
(c) For each of the tax credit incentives and loan incentives
listed in subsection (1), a breakdown for each project or
production showing each of the following:
(i) The number of temporary jobs created.
(ii) The number of permanent jobs created.
(iii) The number of persons employed in Michigan as a result
of the incentive, on a full-time equated basis.
(3) For any information not included in the report due to the
provisions of section 455(6), 457(6), or 459(6) of the Michigan
business tax act, 2007 PA 36, MCL 208.1455, 208.1457, and 208.1459,
the report shall do all of the following:
(a) Indicate how the information would describe the commercial
and financial operations or intellectual property of the company.
(b) Attest that the information has not been publicly
disseminated at any time.
(c) Describe how disclosure of the information may put the
company at a competitive disadvantage.
(4) Any information not disclosed due to the provisions of
section 455(6), 457(6), or 459(6) of the Michigan business tax act,
2007 PA 36, MCL 208.1455, 208.1457, and 208.1459, shall be
presented at the lowest level of aggregation that would no longer
describe the commercial and financial operations or intellectual
property of the company.
Sec. 433. As a condition of receiving funds in part 1, not
later than March 15, the fund shall provide a report on the
activities of the Michigan film and digital media office for the
immediately preceding fiscal year. The fund shall submit the report
to the chairpersons of the senate and house of representatives
standing committees on appropriations, the chairpersons of the
senate and house of representatives subcommittees on general
government, the senate and house fiscal agencies, and the state
budget office. The report shall include, but not be limited to, a
listing of all projects the Michigan film and digital media office
provided assistance on, a listing of the services provided for each
project, and an estimate of investment leveraged.
Sec. 434. Each business incubator or accelerator that received
an award from the fund shall maintain and update a dashboard of
indicators to measure the effectiveness of the business incubator
and accelerator programs. Indicators shall include the direct jobs
created, new companies launched as a direct result of business
incubator or accelerator involvement, businesses expanded as a
direct result of business incubator or accelerator involvement,
direct investment in client companies, private equity financing
obtained by client companies, grant funding obtained by client
companies, and other measures developed by the recipient business
incubators and accelerators in conjunction with the MEDC. Dashboard
indicators shall be reported for the prior fiscal year and
cumulatively, if available. Each recipient shall submit a copy of
their dashboard indicators to the fund by March 1. The fund shall
transmit the local reports to the chairpersons of the senate and
house of representatives standing committees on appropriations, the
relevant senate and house of representatives appropriations
subcommittees, the senate and house fiscal agencies, and the state
budget office by March 15.
Sec. 435. (1) From the appropriations in part 1, the Michigan
council for arts and cultural affairs shall administer an arts and
cultural grant program that maintains an equitable geographic
distribution of funding and utilizes past arts and cultural grant
programs as a guideline for administering this program. The council
shall do all of the following:
(a) On or before October 1, the council shall publish proposed
application criteria, instructions, and forms for use by eligible
applicants. The council shall provide at least a 2-week period for
public comment before finalizing the application criteria,
instructions, and forms.
(b) A nonrefundable application fee may be assessed for each
application. Application fees shall be deposited in the council for
the arts fund and are appropriated for expenses necessary to
administer the programs. These funds are available for expenditure
when they are received and may be carried forward to the following
fiscal year.
(c) Grants are to be made to public and private arts and
cultural entities.
(d) Within 1 business day after the award announcements, the
council shall provide to each member of the legislature and the
fiscal agencies a list of all grant recipients and the total award
given to each recipient, sorted by county.
(e) In addition to the information in subdivision (d), the
council shall report on the number of applications received, number
of grants awarded, total amount requested from applications
received, and total amount of grants awarded.
(2) The appropriation in part 1 for arts and cultural program
shall not be used for the administration of the grant program.
Sec. 436. (1) The general fund/general purpose funds
appropriated in part 1 to the fund for business attraction and
community revitalization shall be transferred to the 21st century
jobs trust fund per section 90b(3) of the Michigan strategic fund
act, 1984 PA 270, MCL 125.2090b.
(2) Funds transferred to the 21st century jobs trust fund
under subsection (1) are appropriated and available for allocation
as authorized in the Michigan strategic fund act, 1984 PA 270, MCL
125.2001 to 125.2094.
Sec. 437. From the funds appropriated in part 1 for business
attraction and community revitalization, the fund shall request the
transfer by the state treasurer of not more than 60% of the funds
prior to April 1.
Sec. 442. For the funds appropriated in part 1 for business
attraction and community revitalization, the fund shall report
quarterly on the amount of funds considered appropriated, pre-
encumbered, encumbered, and expended. The report shall also include
a listing of all previous appropriations for business attraction
and community revitalization, or a predecessor, that were
considered appropriated, pre-encumbered, encumbered, or expended
that have lapsed back to the fund for any purpose. The fund shall
submit the report to the chairpersons of the senate and house of
representatives standing committees on appropriations, the
chairpersons of the relevant senate and house of representatives
appropriations subcommittees, the senate and house fiscal agencies,
and the state budget office.
Sec. 443. (1) The fund, in conjunction with the department of
treasury, shall report to the chairpersons of the senate and house
of representatives standing committees on appropriations, the
relevant senate and house of representatives appropriations
subcommittees, the senate and house fiscal agencies, and the state
budget office by November 1 on the annual cost of the Michigan
economic growth authority tax credits. The report shall include for
each year the board-approved credit amount, adjusted for credit
amendments where applicable, and the actual and projected value of
tax credits for each year from 1995 to the expiration of the credit
program. For years for which credit claims are complete, the report
shall include the total of actual certificated credit amounts. For
years for which claims are still pending or not yet submitted, the
report shall include a combination of actual credits where
available and projected credits. Credit projections shall be based
on updated estimates of employees, wages, and benefits for eligible
companies.
(2) In addition to the report under subsection (1), the fund,
in conjunction with the department of treasury, shall report to the
relevant senate and house of representatives appropriations
subcommittees, the senate and house fiscal agencies, and the state
budget office by November 1 on the annual cost of all other
certificated credits by program, for each year until the credits
expire or can no longer be collected. The report shall include
estimates on the brownfield redevelopment credit, film credits,
MEGA photovoltaic technology credit, MEGA polycrystalline silicon
manufacturing credit, MEGA vehicle battery credit, and other
certificated credits.
Sec. 444. As a condition of receiving appropriations in part
1, prior to authorizing the transfer of any previously authorized
tax credit that would increase the liability to this state, the
fund, on behalf of the Michigan strategic fund board, shall notify
the chairpersons of the senate and house of representatives
standing committees on appropriations, the chairpersons of the
relevant appropriations subcommittees, the senate and house fiscal
agencies, and the state budget office not fewer than 30 days prior
to the authorization of the tax credit transfer.
Sec. 447. From the funds appropriated in part 1 for Michigan
enhancement grants, $100.00 shall be awarded to a public museum in
a county with a population between 400,000 and 450,000 and in a
city with a population over 100,000 according to the most recent
federal decennial census.
Sec. 450. (1) From the funds appropriated in part 1 for
business attraction and community revitalization, the fund shall
identify specific outcomes and performance measures, including, but
not limited to, the following:
(a) Total verified jobs created by the business attraction
program during the fiscal year ending September 30, 2020.
(b) Total private investment obtained through the business
attraction and community revitalization programs during the fiscal
year ending September 30, 2020.
(c) Amount of private and public square footage created and
reactivated through the community revitalization program during the
fiscal year ending September 30, 2020.
(2) The fund must submit a report to the chairpersons of the
senate and house of representatives standing committees on
appropriations, the relevant house and senate appropriations
subcommittees, the senate and house fiscal agencies, and the state
budget office by March 15. The report must describe the specific
outcomes and measures required in subsection (1) and provide the
results and data related to these outcomes and measures for the
prior fiscal year if related information is available for the prior
fiscal year.
Sec. 453. From the funds appropriated in part 1 for Pure
Michigan, up to $500,000.00 shall be used for last dollars to fund
the gap between the total cost of hosting a national conference for
a national council that currently receives association dues from
this state and the total amount privately raised.
TALENT INVESTMENT AGENCY
Sec. 560. The talent investment agency shall administer the
PATH training program in accordance with the requirements of
section 407(d) of title IV of the social security act, 42 USC 607,
the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b, and all
other applicable laws and regulations.
Sec. 561. From the funds appropriated in part 1 for workforce
programs subgrantees, the talent investment agency may allocate
funding for grants to nonprofit organizations that offer programs
under the workforce innovation and opportunity act, 29 USC 3101 to
3361, eligible youth focusing on apprenticeship readiness, pre-
apprenticeship and apprenticeship activities, entrepreneurship,
work-readiness skills, job shadowing, and financial literacy.
Organizations eligible for funding under this section must have the
capacity to provide similar programs in urban areas, as determined
by the United States Bureau of the Census according to the most
recent federal decennial census. Additionally, programs eligible
for funding under this section must include the participation of
local business partners. The talent investment agency shall develop
other appropriate eligibility requirements to ensure compliance
with applicable federal rules and regulations.
Sec. 562. The talent investment agency shall make available,
in person or by telephone, 1 disabled veterans outreach program
specialist or local veterans employment representative to Michigan
Works! service centers, as resources permit, during hours of
operation, and shall continue to make the appropriate placement of
veterans and disabled veterans a priority.
Sec. 563. (1) In addition to the funds appropriated in part 1,
any unencumbered and unrestricted federal workforce innovation and
opportunity act, 29 USC 3101 to 3361, or trade adjustment
assistance funds available from prior fiscal years are appropriated
for the purposes originally intended.
(2) The talent investment agency shall report by February 15
to the relevant senate and house appropriations subcommittees, the
fiscal agencies, and the state budget director on the amount by
fiscal year of federal workforce innovation and opportunity act, 29
USC 3101 to 3361, funds appropriated under this section.
Sec. 564. As a condition of receiving funds appropriated in
part 1 for going pro talent fund, the talent investment agency
shall provide a report on going pro expenditures, by program or
grant type, for the prior fiscal year. In addition, the report
shall include projected expenditures, by program or grant type, for
the current fiscal year. The report shall be posted online and
distributed to the chairpersons of the senate and house of
representatives standing committees on appropriations, the
chairpersons of the relevant senate and house of representatives
appropriations subcommittees, the senate and house fiscal agencies,
and the state budget office by March 15.
Sec. 565. The talent investment agency shall publish data and
reports on March 15 and September 30 on the agency website
concerning the status of career technology and going pro talent
fund funded in part 1. The report shall include the following:
(a) The number of awardees participating in the program and
the names of those awardees organized by major industry group.
(b) The amount of funding received by each awardee under the
program.
(c) Amount of funding leveraged from each awardee.
(d) Training models established by each awardee.
(e) The number of individuals enrolled in classroom training,
on-the-job training, or new USDOL registered apprentices.
(f) The number of individuals who completed the program and
were hired by awardee.
(g) The number of applications received and the number of
grants awarded for each region.
(h) The talent investment agency shall expand workforce
training and reemployment services to better connect workers to in-
demand jobs and identify specific outcomes with performance metrics
for this initiative, including, but not limited to, new
apprenticeships, individuals to be hired and trained, current
employees trained, training completed, and employment retention
rate at 6 months, and hourly wage at 6 months.
Sec. 566. As a condition of receiving funds in part 1 for
going pro and the going pro talent fund, the talent investment
agency shall administer the program as follows:
(a) The talent investment agency shall work cooperatively with
grantees to maximize the amount of funds from part 1 that are
available for direct training.
(b) The talent investment agency, workforce development
partners, including regional Michigan Works! agencies, and
employers shall collaborate and work cooperatively to prioritize
and streamline the expenditure of the funds appropriated in part 1.
The talent investment agency shall ensure that going pro provides a
collaborative statewide network of workforce and employee skill
development partners that addresses the employee talent needs
throughout this state.
(c) The talent investment agency shall ensure that grants are
utilized for individual skill enhancement and to address in-demand
talent needs in this state.
(d) The talent investment agency shall develop program goals
and detailed guidance for prospective participants to follow to
qualify under the program. The program goals and detailed guidance
shall be posted on the talent investment agency website and
distributed to workforce development partners, including local
Michigan Works! agencies, by October 1. Periodic assessments of
employer and employee needs shall be evaluated on a regional basis,
and the talent investment agency shall identify solutions and goals
to be implemented to satisfy those needs. The talent investment
agency shall notify the senate and house of representatives
appropriations, the relevant senate and house of representatives
standing committees on appropriations subcommittees, the senate and
house fiscal agencies, and the state budget office on any program
goal, solution, or guidance changes not fewer than 14 days prior to
the finalization and publication of the changes. Revenue received
by the talent investment agency for going pro may be expended for
the purpose of those programs.
(e) Up to $5,000,000.00 of the funds may be expended to match
federal funds. The intent of these funds will involve improving and
increasing the skill level of employees in skilled trades in the
automotive industry and the manufacturing processes within the
changing manufacturing environment.
Sec. 567. The appropriation in part 1 for the going pro talent
fund shall be deposited into the restricted going pro talent fund
created under section 5 of the going pro talent fund act, 2018 PA
260, MCL 408.155. All funds in the going pro talent fund are
appropriated and available for expenditure to support the going pro
talent program pursuant to sections 7 and 9 of the going pro talent
fund act, 2018 PA 260, MCL 408.157 to 408.159.
Sec. 568. (1) Of the funds appropriated in part 1 for Michigan
Works!, the talent investment agency shall provide a report by
March 15 to the relevant senate and house of representatives
appropriations subcommittees, the state budget director, and the
fiscal agencies on the status of the workforce training programs.
The report shall include the following:
(a) The amount of funding allocated to each Michigan Works!
agency and the total funding allocated to the workforce training
programs statewide by fund source.
(b) The number of participants enrolled in education or
training programs by each Michigan Works! agency.
(c) The average duration of training for training program
participants by each Michigan Works! agency.
(d) The number of participants enrolled in remedial education
programs and the number of participants enrolled in literacy
programs.
(e) The number of participants enrolled in programs at 2-year
institutions.
(f) The number of participants enrolled in programs at 4-year
institutions.
(g) The number of participants enrolled in proprietary schools
or other technical training programs.
(h) The number of participants that have completed education
or training programs.
(i) The number of participants who secured employment in this
state within 1 year of completing a training program.
(j) The number of participants who completed a training
program and secured employment in a field related to their
training.
(k) The average wage earned by participants who completed a
training program and secured employment within 1 year.
(l) The actual revenues received by the fund source and fund
appropriated for each discrete workforce development program area.
(2) Data collection for the report shall be for the prior
state fiscal year.
Sec. 571. From the funds appropriated in part 1 for at-risk
youth grants, $4,000,000.00 must be awarded to the Michigan
franchise holder of the national Jobs for America's Graduates
program.
Sec. 576. The department shall provide a quarterly report to
the members of the senate and house committees on appropriations,
the senate and house fiscal agencies, and the state budget director
that includes, but is not limited to, the following:
(a) The number of new fraudulent and noncompliant cases that
have been identified or issued by the unemployment insurance
agency, classified by employer or claimant, during the quarter.
(b) The total amount of penalties and interest issued on
fraudulent and noncompliant cases during the quarter.
(c) The total amount of penalties and interest dollars
received during the quarter by employer or claimant.
(d) The total amount of penalties and interest still owed to
the state by employer or claimant.
(e) The number of fraudulent and noncompliant cases that have
been appealed by an employer or claimant during the quarter.
Sec. 578. (1) From the funds appropriated in part 1 for the
unemployment insurance agency, the talent investment agency shall
maintain customer service standards for employers and claimants
making use of the various means by which they can access the
system.
(2) The talent investment agency shall identify specific
outcomes and performance metrics for this initiative, including,
but not limited to, the following:
(a) Unemployment benefit fund balance.
(b) Process improvement - fiscal integrity.
(c) Process improvement - determination timeliness.
(d) Process improvement - determination quality.
Sec. 579. (1) The talent investment agency shall extend the
interagency agreement with the department of health and human
services for the duration of the current fiscal year, which
concerns TANF funding to provide job readiness and welfare-to-work
programming. The interagency agreement shall include specific
outcome and performance reporting requirements as described in this
section. TANF funding provided to the talent investment agency in
the current fiscal year is contingent on compliance with the data
and reporting requirements described in this section. The
interagency agreement shall require the talent investment agency to
provide all of the following items for the previous year to the
senate and house appropriations committees by January 1 of the
current fiscal year:
(a) An itemized spending report on TANF funding, including all
of the following:
(i) Direct services to clients.
(ii) Administrative expenditures.
(b) The number of family independence program clients served
through the TANF funding, including all of the following:
(i) The number and percentage who obtained employment through
Michigan Works!.
(ii) The number and percentage who fulfilled their TANF work
requirement through other job readiness programming.
(iii) Average TANF spending per client.
(iv) The number and percentage of clients who were referred to
Michigan Works! but did not receive a job or job readiness
placement and the reasons why.
(2) Not later than March 15 of the current fiscal year, the
department shall provide to the senate and house appropriations
subcommittees on the department budget, the senate and house fiscal
agencies, and the senate and house policy offices an annual report
on the following matters itemized by Michigan Works! agency: the
number of referrals to Michigan Works! job readiness programs, the
number of referrals to Michigan Works! job readiness programs who
became a participant in the Michigan Works! job readiness programs,
the number of participants who obtained employment, and the cost
per participant case.
Sec. 580. (1) From the funds appropriated in part 1 for
community ventures, the talent investment agency may expend not
more than $2,000,000.00 of the funds as matching funds upon the
commitment of matching dollars from private sources. For every
$1.00 the talent investment agency elects to receive from a private
source for the purposes of a community ventures program match, the
talent investment agency shall expend $1.00 from the appropriation
in part 1 up to $2,000,000.00. Funds received from private sources
for a community ventures program match are appropriated upon
receipt and shall be expended for the purposes of the community
ventures program.
(2) The talent investment agency shall identify specific
outcomes and performance measures for this initiative, including,
but not limited to, the following:
(a) The number of commitments from private sources, including
the dollar amount committed and source.
(b) Additional participants served with challenge funds.
(c) Jobs created and the average wage.
Sec. 583. From the funds appropriated in part 1 for Michigan
Works!, $866,000.00 shall be awarded for a retirement funding
shortfall at an association established to provide services and
support to Michigan's workforce development system located in a
county with a population of between 16,000 and 17,000 according to
the most recent federal decennial census.
