Bill Text: MI SB0861 | 2013-2014 | 97th Legislature | Engrossed
Bill Title: Children; other; provision regarding the disbursement of the children's trust fund; modify. Amends sec. 1 of 1982 PA 249 (MCL 21.171).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2014-10-22 - Assigned Pa 0306'14 With Immediate Effect [SB0861 Detail]
Download: Michigan-2013-SB0861-Engrossed.html
SB-0861, As Passed House, October 2, 2014
HOUSE SUBSTITUTE FOR
SENATE BILL NO. 861
A bill to amend 1982 PA 249, entitled
"An act to establish the state children's trust fund in the
department of treasury; and to provide certain powers and duties of
the department of treasury with respect to the trust fund,"
by amending section 1 (MCL 21.171), as amended by 2008 PA 238.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1. (1) The children's trust fund is created as a
charitable and educational endowment fund in the department of
treasury. The fund shall be expended only as provided in this
section.
(2) The state treasurer shall credit to the trust fund all
amounts appropriated for this purpose under section 475 of the
income tax act of 1967, 1967 PA 281, MCL 206.475, any amounts
received under section 811j of the Michigan vehicle code, 1949 PA
300, MCL 257.811j, and section 8 of the child abuse and neglect
prevention act, 1982 PA 250, MCL 722.608, and any amounts received
from civil fines imposed under the playground equipment safety act,
1997 PA 16, MCL 408.681 to 408.687.
(3) The state treasurer shall direct the investment of the
trust fund. The state treasurer shall have the same authority to
invest the assets of the trust fund as is granted to an investment
fiduciary under the public employee retirement system investment
act,
1965 PA 314, MCL 38.1132 to 38.1140m. 38.1141. The state
treasurer shall comply with the divestment from terror act, 2008 PA
234, MCL 129.291 to 129.301, in making investments under this act.
(4)
Not more than 1/2 of the money contributed to the trust
fund
each year, plus the interest and earnings, excluding
unrealized
gains and losses, credited to the trust fund during the
previous
fiscal year, Beginning in
fiscal year 2015 and continuing
through fiscal year 2017, all money contributed to the fund that
year, plus 4.25% of the 12-quarter rolling average of the fund,
including unrealized gains and losses, shall be available for
disbursement upon the authorization of the state board as provided
in section 9 of the child abuse and neglect prevention act, 1982 PA
250, MCL 722.609.
(5) Except as otherwise provided in this subsection, on
October 1, 2017, provided that the rolling average of the fund for
the previous 12 quarters, including unrealized gains and losses, is
at least $23,500,000.00, then, beginning with fiscal year 2018, up
to 5% of the 12-quarter rolling average shall be available for
disbursement as specified in this subsection. On October 1, 2017,
if the rolling average of the fund for the previous 12 quarters,
including unrealized gains and losses, is less than $23,500,000.00,
then, beginning with fiscal year 2018, up to 4.25% of the 12-
quarter rolling average, including unrealized gains and losses,
shall continue to be available for disbursement.
(6) (5)
Money granted or received as gifts
or donations to the
trust fund shall be available for disbursement upon appropriation
under section 8 of the child abuse and neglect prevention act, 1982
PA 250, MCL 722.608, and funds authorized for expenditure shall not
be considered assets of the trust fund for the purposes of
subsection (4).
(7) (6)
The state treasurer shall annually
prepare an
accounting of revenues and expenditures from the trust fund. This
accounting shall specifically identify the interest and earnings of
the trust fund, shall describe how the amount of interest and
earnings has been affected by the expanded investment options
provided for in subsection (3), and shall identify how the
increased interest and earnings, if any, have been expended. This
accounting shall be provided to the senate and house of
representatives appropriations committees.
(8) (7)
As used in this section,
"trust fund" means the
children's trust fund created in subsection (1).
