Bill Text: MI SB0850 | 2017-2018 | 99th Legislature | Engrossed
Bill Title: Appropriations; zero budget; department of agriculture and rural development; provide for fiscal year 2018-2019. Creates appropriation act.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2018-05-08 - Referred To Committee On Appropriations [SB0850 Detail]
Download: Michigan-2017-SB0850-Engrossed.html
SB-0850, As Passed Senate, May 3, 2018
SUBSTITUTE FOR
SENATE BILL NO. 850
A bill to make appropriations for the department of
agriculture and rural development for the fiscal year ending
September 30, 2019; 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
agriculture and rural development for the fiscal year ending
September 30, 2019, from the following funds:
DEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENT
APPROPRIATION SUMMARY
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions.......... 500.5
GROSS APPROPRIATION.................................... $ 108,618,100
Interdepartmental grant revenues:
IDG from department of licensing and regulatory
affairs, liquor quality testing fees................. 223,700
IDG from department of environmental quality,
biosolids............................................ 90,200
Total interdepartmental grants and intradepartmental
transfers............................................ 313,900
ADJUSTED GROSS APPROPRIATION........................... $ 108,304,200
Federal revenues:
USDA, multiple grants.................................. 6,118,600
EPA, multiple grants................................... 1,277,300
HHS-FDA................................................ 4,140,500
Department of Interior................................. 238,800
Total federal revenues................................. 11,775,200
Special revenue funds:
Total local revenues................................... 0
Private – slow-the-spread foundation................... 21,300
Private - commodity group revenue...................... 80,500
Total private revenues................................. 101,800
Agricultural preservation fund......................... 1,442,500
Agriculture equine industry development fund........... 3,667,200
Agriculture licensing and inspection fees.............. 4,110,200
Animal welfare fund.................................... 150,000
Commodity inspection fees.............................. 650,000
Consumer and industry food safety education fund....... 356,500
Dairy and food safety fund............................. 5,978,900
Feed control fund...................................... 1,305,400
Fertilizer control fund................................ 1,095,600
Freshwater protection fund............................. 7,940,700
Gasoline inspection and testing fund................... 1,444,400
Grain dealers fee fund................................. 589,800
Horticulture fund...................................... 40,000
Industry support funds................................. 486,100
Migratory labor housing fund........................... 169,100
Nonretail liquor fees.................................. 917,200
Private forestland enhancement fund.................... 481,500
Refined petroleum fund................................. 3,316,800
Rural development fund................................. 2,004,600
Testing fees........................................... 200,000
Weights and measures regulation fees................... 725,500
Total other state restricted revenues.................. 37,072,000
State general fund/general purpose..................... $ 59,355,200
State general fund/general purpose schedule:
Ongoing state general fund/general
purpose................................... 56,205,200
One-time state general fund/general
purpose.................................... 3,150,000
Sec. 102. DEPARTMENTAL ADMINISTRATION AND SUPPORT
Full-time equated unclassified positions.......... 6.0
Full-time equated classified positions........... 24.0
Unclassified salaries.................................. $ 573,500
Accounting service center.............................. 1,164,200
Commissions and boards................................. 23,800
Emergency management--4.0 FTE positions................ 1,093,300
Executive direction--20.0 FTE positions................ 2,561,900
Property management.................................... 705,700
GROSS APPROPRIATION.................................... $ 6,122,400
Appropriated from:
Federal revenues:
HHS-FDA................................................ 438,100
Special revenue funds:
Agricultural preservation fund......................... 16,600
Agriculture licensing and inspection fees.............. 127,500
Freshwater protection fund............................. 24,500
Industry support funds................................. 54,300
Nonretail liquor fees.................................. 31,000
State general fund/general purpose..................... $ 5,430,400
Sec. 103. INFORMATION AND TECHNOLOGY
Information technology services and projects........... $ 1,794,500
GROSS APPROPRIATION.................................... $ 1,794,500
Appropriated from:
Interdepartmental grant revenues:
IDG from department of licensing and regulatory
affairs, liquor quality testing fees................. 3,200
Special revenue funds:
Agricultural preservation fund......................... 200
Agriculture licensing and inspection fees.............. 93,800
Dairy and food safety fund............................. 61,200
Freshwater protection fund............................. 100
Gasoline inspection testing fund....................... 31,800
Nonretail liquor fees.................................. 500
State general fund/general purpose..................... $ 1,603,700
Sec. 104. FOOD AND DAIRY
Full-time equated classified positions............ 132.0
Food safety and quality assurance--96.0 FTE positions.. $ 16,602,900
Milk safety and quality assurance--36.0 FTE positions.. 5,439,900
GROSS APPROPRIATION.................................... $ 22,042,800
Appropriated from:
Federal revenues:
HHS-FDA................................................ 2,398,600
USDA, multiple grants.................................. 137,100
Special revenues funds:
Consumer and industry food safety education fund....... 356,500
Dairy and food safety fund............................. 5,421,500
State general fund/general purpose..................... $ 13,729,100
Sec. 105. ANIMAL INDUSTRY
Full-time equated classified positions........... 61.0
Animal agriculture initiative.......................... $ 2,500,000
Animal disease prevention and response--61.0 FTE
positions............................................ 9,356,900
Indemnification - livestock depredation................ 50,000
GROSS APPROPRIATION.................................... $ 11,906,900
Appropriated from:
Federal revenues:
Department of Interior................................. 40,800
HHS-FDA................................................ 46,600
USDA, multiple grants.................................. 530,600
Special revenue funds:
Private - commodity group revenue...................... 30,500
Agriculture licensing and inspection fees.............. 70,300
Animal welfare fund.................................... 150,000
State general fund/general purpose..................... $ 11,038,100
Sec. 106. PESTICIDE AND PLANT PEST MANAGEMENT
Full-time equated classified positions........... 93.0
Pesticide and plant pest management--87.0 FTE
positions............................................ $ 14,172,700
Producer security/grain dealers--6.0 FTE positions..... 628,200
GROSS APPROPRIATION.................................... $ 14,800,900
Appropriated from:
Federal revenues:
Department of Interior................................. 101,700
EPA, multiple grants................................... 543,000
HHS-FDA................................................ 325,300
USDA, multiple grants.................................. 716,900
Special revenue funds:
Private - slow-the-spread foundation................... 21,300
Agriculture licensing and inspection fees.............. 3,481,900
Commodity inspection fees.............................. 648,900
Feed control fund...................................... 1,116,200
Fertilizer control fund................................ 1,071,600
Freshwater protection fund............................. 156,200
Grain dealers fee fund................................. 581,800
Horticulture fund...................................... 40,000
Industry support funds................................. 251,400
State general fund/general purpose..................... $ 5,744,700
Sec. 107. ENVIRONMENTAL STEWARDSHIP
Full-time equated classified positions........... 65.5
Environmental stewardship - MAEAP--25.0 FTE positions.. $ 10,191,300
Farmland and open space preservation--10.0 FTE
positions............................................ 1,545,000
Intercounty drain--6.0 FTE positions................... 811,900
Migrant labor housing--9.0 FTE positions............... 1,231,100
Qualified forest program--9.0 FTE positions............ 2,590,000
Right-to-farm--6.5 FTE positions....................... 964,000
GROSS APPROPRIATION.................................... $ 17,333,300
Appropriated from:
Interdepartmental grant revenues:
IDG from department of environmental quality,
biosolids............................................ 90,200
Federal revenues:
Department of Interior................................. 96,300
EPA, multiple grants................................... 560,500
USDA, multiple grants.................................. 822,300
Special revenue funds:
Agricultural preservation fund......................... 1,425,700
Freshwater protection fund............................. 7,714,900
Migratory labor housing fund........................... 140,100
Private forestland enhancement fund.................... 481,500
State general fund/general purpose..................... $ 6,001,800
Sec. 108. LABORATORY SERVICES
Full-time equated classified positions.......... 108.0
Central licensing and customer service call
center--12.0 FTE positions........................... $ 1,338,200
Consumer protection program--41.0 FTE positions........ 6,790,600
Laboratory services--42.0 FTE positions................ 7,141,500
USDA monitoring--13.0 FTE positions.................... 1,637,300
GROSS APPROPRIATION.................................... $ 16,907,600
Appropriated from:
Interdepartmental grant revenues:
IDG from department of licensing and regulatory
affairs, liquor quality testing fees................. 220,500
Federal revenues:
EPA, multiple grants................................... 173,800
HHS-FDA................................................ 931,900
USDA, multiple grants.................................. 1,638,500
Special revenue funds:
Agriculture licensing and inspection fees.............. 336,700
Commodity inspection fees.............................. 1,100
Dairy and food safety fund............................. 496,200
Feed control fund...................................... 189,200
Fertilizer control fund................................ 24,000
Freshwater protection fund............................. 45,000
Gasoline inspection and testing fund................... 1,412,600
Grain dealers fee fund................................. 8,000
Migratory labor housing fund........................... 29,000
Refined petroleum fund................................. 3,316,800
Testing fees........................................... 200,000
Weights and measures regulation fees................... 725,500
State general fund/general purpose..................... $ 7,158,800
Sec. 109. AGRICULTURAL DEVELOPMENT
Full-time equated classified positions........... 17.0
Agricultural development--13.0 FTE positions........... $ 4,253,100
Food and agriculture investment program................ 3,300,000
Grape and wine program--3.0 FTE positions.............. 934,800
Rural development fund grant program--1.0 FTE
position............................................. 2,004,600
GROSS APPROPRIATION.................................... $ 10,492,500
Appropriated from:
Federal revenues:
USDA, multiple grants.................................. 2,273,200
Special revenue funds:
Private - commodity group revenue...................... 50,000
Industry support funds................................. 180,400
Nonretail liquor fees.................................. 885,700
Rural development fund................................. 2,004,600
State general fund/general purpose..................... $ 5,098,600
Sec. 110. FAIRS AND EXPOSITIONS
County fairs, shows, and expositions grants............ $ 400,000
Fairs and racing....................................... 256,600
Licensed tracks - light horse racing................... 40,300
Light horse racing - breeders' awards.................. 20,000
Purses and supplements - fairs/licensed tracks......... 708,300
Standardbred breeders' awards.......................... 345,900
Standardbred purses and supplements - licensed tracks.. 671,800
Standardbred sire stakes............................... 275,000
Thoroughbred breeders' awards.......................... 368,600
Thoroughbred sire stakes............................... 378,800
Thoroughbred supplements - licensed tracks............. 601,900
GROSS APPROPRIATION.................................... $ 4,067,200
Appropriated from:
Special revenue funds:
Agriculture equine industry development fund........... 3,667,200
State general fund/general purpose..................... $ 400,000
Sec. 111. ONE-TIME APPROPRIATIONS
Food and agriculture investment program................ $ 2,000,000
County fairs, shows, and expositions grants............ 600,000
Food processing workforce development initiative....... 550,000
GROSS APPROPRIATION.................................... $ 3,150,000
Appropriated from:
Special revenue funds:
State general fund/general purpose..................... $ 3,150,000
PART 2
PROVISIONS CONCERNING APPROPRIATIONS
FOR FISCAL YEAR 2018-2019
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 2018-2019 is $96,427,200.00 and state
spending from state resources to be paid to local units of
government for fiscal year 2018-2019 is $6,350,000.00. The itemized
statement below identifies appropriations from which spending to
local units of government will occur:
DEPARTMENT OF AGRICULTURE AND RURAL DEVELOPMENT
Environmental stewardship/MAEAP........................ $ 4,250,000
Qualified forest program............................... 1,500,000
Rural development fund grant program................... 600,000
TOTAL.................................................. $ 6,350,000
Sec. 202. The appropriations authorized under part 1 and this
part are subject to the management and budget act, 1984 PA 431, MCL
18.1101 to 18.1594.
Sec. 203. As used in part 1 and this part:
(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) "FDA" means the United States Food and Drug
Administration.
(e) "Fiscal agencies" means the Michigan house fiscal agency
and the Michigan senate fiscal agency.
(f) "FTE" means full-time equated.
(g) "HHS" means the United States Department of Health and
Human Services.
(h) "IDG" means interdepartmental grant.
(i) "LARA" means the Michigan department of licensing and
regulatory affairs.
(j) "LCC" means the Michigan liquor control commission.
(k) "MAEAP" means the Michigan agriculture environmental
assurance program.
(l) "MDEQ" means the Michigan department of environmental
quality.
(m) "MDNR" means the Michigan department of natural resources.
(n) "MOU" means memorandum of understanding.
(o) "Subcommittees" means all members of the subcommittees of
the house and senate appropriations committees with jurisdiction
over the budget for the department.
(p) "TB" means tuberculosis.
(q) "USDA" means the United States Department of Agriculture.
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 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. 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.
Each director shall strongly encourage firms with which the
department contracts to subcontract with certified businesses in
depressed and deprived communities for services or 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 appropriations committees, 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 general
fund/general purpose revenues, the proportion funded with state
restricted revenues, the proportion funded with federal revenues,
and the proportion funded with other revenues.
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 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 general fund/general purpose appropriation lapses at the
close of the prior 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 chairpersons of the senate and house of
representatives standing committees on appropriations and the
senate and house fiscal agencies.
Sec. 210. (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 part 1 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 part 1 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 part 1
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 part 1
under section 393(2) of the management and budget act, 1984 PA 431,
MCL 18.1393.
Sec. 211. The department shall cooperate with the department
of technology, management, and budget to maintain a searchable
website 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 office to provide the senate and house appropriations
chairs, the subcommittees, 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, 2018 and September 30, 2019.
Sec. 213. The department shall maintain, on a publicly
accessible website, a department scorecard that identifies, tracks,
and regularly updates key metrics that are used to monitor and
improve the agency's performance.
Sec. 214. Total authorized appropriations from all sources
under part 1 for legacy costs for the fiscal year ending September
30, 2019 is $12,428,400.00. From this amount, total agency
appropriations for pension-related legacy costs are estimated at
$5,729,700.00. Total agency appropriations for retiree health care
legacy costs are estimated at $6,698,700.00.
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.
DEPARTMENTAL ADMINISTRATION AND SUPPORT
Sec. 301. (1) The department may establish a fee schedule and
collect fees for the following work activities and services:
(a) Pesticide and plant pest management propagation and
certification of virus-free foundation stock.
(b) Fruit and vegetable inspection and grading services at
shipping and termination points and processing plants.
(c) Laboratory support analyses of food, livestock, and
agricultural products for disease, foreign products for disease,
toxic materials, foreign substances, and quality standards.
(d) Laboratory support test samples for other state and local
agencies and public or private organizations.
(2) The department may receive and expend revenue from the
fees authorized under subsection (1), subject to appropriation, for
the purpose of recovering expenses associated with the work
activities and services described in subsection (1). Fee revenue
collected by the department under subsection (1) shall not lapse to
the state general fund at the end of the fiscal year but shall
carry forward for appropriation by the legislature in the
subsequent fiscal year.
(3) The department shall notify the subcommittees, the fiscal
agencies, and the state budget office 30 days prior to proposing
changes in fees authorized under this section or under section 5 of
1915 PA 91, MCL 285.35.
(4) On or before February 1 of each year, the department shall
provide a report to the subcommittees, the fiscal agencies, and the
state budget office 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. (1) The department may contract with or provide
grants to local units of government, institutions of higher
education, or nonprofit organizations to support activities
authorized by appropriations in part 1. As used in this section,
contracts and grants include, but are not limited to, contracts for
delivery of groundwater/freshwater programs, MAEAP technical
assistance, forest management, invasive species monitoring,
wildlife risk mitigation, grants promoting proper pesticide
disposal, and research grants for the purpose of enhancing the
agricultural industries in this state.
(2) The department shall provide notice of contracts or grants
authorized under this section to the subcommittees, the fiscal
agencies, and the state budget office not later than 7 days before
the department notifies contract or grant recipients.
FOOD AND DAIRY
Sec. 401. (1) The department shall report on the previous
fiscal year's activities of the food and dairy division. The report
shall include information on activities and outcomes of the dairy
safety and inspection program, the food safety inspection program,
the foodborne illness and emergency response program, and the food
service program.
(2) The report shall include information on significant
foodborne outbreaks and emergencies, including any significant
enforcement actions taken related to food safety during the prior
calendar year.
(3) The report shall be transmitted to the subcommittees, the
fiscal agencies, and the state budget office and posted to the
department's website on or before April 1 of each year.
ANIMAL INDUSTRY
Sec. 451. From the funds appropriated in part 1 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. 452. (1) The department shall report on the previous
calendar year's activities of the animal industry division. The
report shall be transmitted to the subcommittees, the fiscal
agencies, and the state budget office and posted to the
department's website on or before April 1 of each year.
(2) The department shall include in the report all
indemnification payments for livestock depredation made in the
previous calendar year and shall include all of the following:
(a) The reason for the indemnification.
(b) The amount of the indemnification.
(c) The person for whom the indemnification was paid.
Sec. 454. The department shall use its resources to
collaborate with the USDA to monitor bovine TB, consistent with the
May 2016 memorandum of understanding between the department and the
USDA.
Sec. 457. (1) On or before October 15, 2018, the department
shall provide to the subcommittees, the fiscal agencies, and the
state budget office a report on bovine TB status and department
activities.
(2) For each fiscal quarter following the report required in
subsection (1), the department shall provide an update to the
subcommittees, the fiscal agencies, and the state budget office.
The quarterly update reports shall identify significant impacts to
the program, including new incidence of bovine TB in this state,
department activity associated with specific new incidence of
bovine TB, any changes in USDA requirements or movement orders, and
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; efforts to work with slaughter facilities in
this state, as well as those that slaughter a significant number of
animals from this state; educational programs and information for
this state's livestock community; and any other item the
legislature should be aware of that will promote or hinder efforts
to achieve bovine TB-free status for this state.
Sec. 459. It is the intent of the legislature that the
department shall not conduct whole herd bovine TB testing on any 1
herd in a TB-free zone more often than every 4 years or re-test
until all other herds in their county have been tested, unless
involved in an epidemiological investigation, there is an outbreak
within a 10-radius-mile area, or is not on a verified wildlife risk
mitigated premises. If there is an outbreak within a 10-radius-mile
area, protocols outlined by the current memorandum of understanding
with the USDA shall be used.
PESTICIDE AND PLANT PEST MANAGEMENT
Sec. 501. The department shall report on the previous calendar
year's activities of the pesticide and plant pest management
division. The report shall be transmitted to the subcommittees, the
fiscal agencies, and the state budget office and posted to the
department's website on or before April 1 of each year.
ENVIRONMENTAL STEWARDSHIP
Sec. 601. The funds appropriated in part 1 for environmental
stewardship/MAEAP 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 2014.
Sec. 602. The department shall report on the previous calendar
year's activities of the environmental stewardship division. The
report shall be transmitted to the subcommittees, the fiscal
agencies, and the state budget office and posted to the
department's website on or before April 1 of each year.
Sec. 604. The department may receive and expend federal
revenues in excess of the federal revenue appropriated in section
107 of part 1 for environmental stewardship and MAEAP activities.
The department shall notify the subcommittees, the fiscal agencies,
and the state budget office prior to expending federal revenues
authorized under this section.
Sec. 608. (1) The appropriations in part 1 for the qualified
forest affidavit program are for the purpose of increasing the
knowledge of nonindustrial private forestland owners of sound
forest management practices and increasing the amount of commercial
timber production from those lands.
(2) The department shall work in partnership with stakeholder
groups and other state and federal agencies to increase the active
management of nonindustrial private forestland to foster the growth
of Michigan's timber product industry.
LABORATORY PROGRAM
Sec. 651. The department shall report on the previous calendar
year's activities of the laboratory division. The report shall be
transmitted to the subcommittees, the fiscal agencies, and the
state budget office and posted to the department's website on or
before April 1 of each year.
AGRICULTURE DEVELOPMENT
Sec. 701. (1) From the funds appropriated in part 1 for the
food and agriculture investment program, the department shall
establish and administer a food and agriculture investment program.
(2) The food and agriculture investment program shall expand
the Michigan food and agriculture sector, grow Michigan exports,
promote the development of value-added agricultural production,
food hubs, food incubators, and community-based processing
facilities, and the expansion of farm markets and urban
agriculture, and increase food processing activities within the
state by accelerating projects and infrastructure development that
support growth in the food and agriculture processing industry.
(3) In addition to the funds appropriated in part 1, the
department may receive and expend funds received from outside
sources for the food and agriculture investment program.
(4) Before the allocation of funding, all projects shall
receive approval from the Michigan commission of agriculture and
rural development, except for projects selected through a
competitive process by a joint evaluation committee selected by the
director and consisting of representatives that have agriculture,
business, and economic development expertise. Projects funded
through the food and agriculture investment program will be
required to have a grant agreement that outlines milestones and
activities that must be met in order to receive a disbursement of
funds. Projects must also identify measurable project outcomes.
(5) The department shall include in the agriculture
development annual report a report on the food and agriculture
investment program for the previous fiscal year that includes a
listing of the grantees, award amounts, match funding, project
locations, and project outcomes.
(6) The food and agriculture investment program shall be
administered by the department and provide support for food and
agriculture projects that will enable growth in the industry and
this state's economy.
(7) The unexpended funds appropriated in part 1 for the food
and agriculture investment program are designated as a work project
appropriation, and any unencumbered or unallotted funds shall not
lapse at the end of the fiscal year and shall be available for
expenditures for projects under this section until the projects
have been completed. The following is in compliance with section
451a(1) of the management and budget act, 1984 PA 431, MCL
18.1451a:
(a) The purpose of the project is to promote and expand the
Michigan food and agriculture sector, grow Michigan exports, and
increase food processing activities within the state.
(b) The project will be funded in accordance with this section
and the project guidelines approved by the Michigan agriculture
commission prior to an award.
(c) The estimated cost of this project is identified in the
appropriation line item.
(d) The tentative completion date for the work project is
September 30, 2021.
(8) The department may expend money from the funds
appropriated in part 1 for the food and agriculture investment
program, including all of the following activities:
(a) Grants.
(b) Loans or loan guarantees.
(c) Infrastructure development.
(d) Other economic assistance.
(e) Program administration.
(f) Export assistance.
(9) The department shall expend no more than 10% from the
funds appropriated in part 1 for the food and agriculture
investment program for administrative purposes.
Sec. 706. (1) The department shall report on the previous
calendar year's activities of the agriculture development division.
The report shall be transmitted to the subcommittees, the fiscal
agencies, and the state budget office and posted to the
department's website on or before April 1 of each year.
(2) The report shall include the following information on any
grants awarded during the prior fiscal year:
(a) The name of the grantee.
(b) The amount of the grant.
(c) The purpose of the grant, including measurable outcomes.
(d) Additional state, federal, private, or local funds
contributed to the grant project.
(e) The completion date of grant-funded activities.
(3) The report shall include the following information on the
grape and wine industry council established under section 303 of
the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1303:
(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 previous fiscal year and the
results of research grant projects completed during the previous
fiscal year.
FAIRS AND EXPOSITIONS
Sec. 801. All appropriations from the agriculture 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 Michigan gaming control
board's regulatory expenses and the department's expenses to
administer horse racing programs, shall be reduced proportionately
if revenues to the agriculture equine industry development fund
decline during the preceding fiscal year to a level lower than the
amounts appropriated in part 1.
Sec. 805. (1) The department shall establish and administer a
county fairs, shows, and expositions grant program. The program
shall have the following objectives:
(a) Assist in the promotion of building improvements or other
capital improvements at county fairgrounds of the state.
(b) Provide financial support, promotion, prizes, and premiums
of equine, livestock, and other agricultural commodity expositions
in the state.
(2) The department shall award grants on a competitive basis
to county fairs or other organizations from the funds appropriated
in part 1 for county fairs, shows, and expositions grants. Grantees
will be required to provide a dollar-for-dollar cash match with
grant awards and identify measurable project outcomes. A county
fair organization that received a county fair capital improvement
grant in the prior fiscal year shall not receive a grant from the
appropriation in part 1.
(3) From the amount appropriated in part 1 for county fairs,
shows, and expositions, up to $20,000.00 shall be expended for the
purpose of financial support, promotion, prizes, and premiums of
equine, livestock, and other agricultural commodity expositions in
this state.
(4) All fairs receiving grants under this section shall
provide a report to the department on the financial impact
resulting from the capital improvement project on both fair and
nonfair events. These reports are due for 3 years immediately
following the completion of the capital improvement project.
(5) The department shall identify criteria, evaluate
applications, and provide recommendations to the director for final
approval of grant awards.
(6) The department may expend money from the funds
appropriated in part 1 for the county fairs, shows, and expositions
grants for administering the program.
(7) From the funds appropriated in part 1 for county fairs,
shows, and expositions grants, $100,000.00 shall be used for
renovations to the Tuscola County fair grandstand.
(8) The unexpended portion of the county fairs, shows, and
expositions grants is considered a work project appropriation in
accordance with section 451a of the management and budget act, 1984
PA 431, MCL 18.1451a. The following apply to the project:
(a) The purpose of the project is to support building
improvements or other capital improvements at county fairgrounds of
the state.
(b) All grants will be distributed in accordance with this
section and the grant guidelines published prior to the request for
proposals.
(c) The estimated cost of the project is identified in the
appropriation line item.
(d) The tentative completion date for the work project is
September 30, 2021.
(9) The department shall provide a year-end report on the
county fairs, shows, and expositions grants no later than December
1, 2019 to the subcommittees, the fiscal agencies, and the state
budget director that includes a listing of the grantees, award
amounts, match funding, and project outcomes.
PART 2A
PROVISIONS CONCERNING ANTICIPATED APPROPRIATIONS
FOR FISCAL YEAR 2019-2020
GENERAL SECTIONS
Sec. 1201. It is the intent of the legislature to provide
appropriations for the fiscal year ending on September 30, 2020 for
the line items listed in part 1. The fiscal year 2019-2020
appropriations are anticipated to be the same as those for fiscal
year 2018-2019, 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 2019 consensus revenue estimating
conference.
