HOUSE BILL No. 5210 October 1, 1997, Introduced by Reps. Profit, Brackenridge and Palamara and referred to the Committee on Tax Policy. A bill to amend 1979 PA 101, entitled "An act to implement section 29 of article 9 of the state consti- tution of 1963; to provide a state disbursement to local units of government for costs required to administer or implement certain activities or services required of local units of government by the state; to prescribe the powers and duties of certain state agencies and public officers in relation thereto; and to provide for the administration of this act," by amending section 10 (MCL 21.240). THE PEOPLE OF THE STATE OF MICHIGAN ENACT: 1 Sec. 10. (1) The local government claims review board is 2 created in the department and shall advise the director on the 3 administration of this act and perform other duties as required 4 by this section. 5 (2) The board shall consist of 9 members appointed by the 6 governor with the advice and consent of the senate. Each member 7 shall be appointed to serve for a 3-year term, except that of the 8 members first appointed, 3 shall be appointed for a term of 3 04375'97 FDD 2 1 years, 3 shall be appointed for a term of 2 years, and 3 shall be 2 appointed for a term of 1 year. 3 (3) Not less than 4 members shall be representatives of a 4 local unit of government. 5 (4) Subject to subsection (6), the board shall hear and 6 decide upon disputed claims or upon an appeal by a local unit of 7 government alleging that the local unit of government has not 8 received the proper disbursement from funds appropriated for that 9 purpose. The board shall not consider or approve a claim for a 10de minimusDE MINIMIS cost. A vote of a majority of the board 11 members appointed to and serving on the board shall be required 12 to approve a claim submitted to the board. If a claim is 13 approved, by the board OR OTHERWISE, a concurrent resolution 14 approving payment shall be adopted by both houses of the legisla- 15 ture before the claim is paid. 16 (5) The board shall adopt procedures for receiving claims 17 under this section and for providing a hearing on a claim if a 18 hearing is requested by an affected local unit of government. 19 The procedures shall provide for the presentation of evidence by 20 the claimant, the department, and any other affected state 21 agency. 22 (6) An appeal submitted under this section for a disburse- 23 ment for a state-required cost shall be limited to the 24 following: 25 (a) An appeal alleging that the director has incorrectly 26 reduced payments to a local unit of government pursuant to 27 section 5(4). 04375'97 3 1 (b) An appeal alleging that the director has incorrectly or 2 improperly reduced the amount of a disbursement when a claim was 3 submitted pursuant to section 8(2). 4 (c) An appeal alleging that the local unit of government has 5 not received a proper disbursement of funds appropriated to sat- 6 isfy the state financed proportion of the necessary costs of an 7 existing activity or service required of a local unit of govern- 8 ment by existing law, pursuant to section 12. 9 (7) In determining the merits of an appeal made pursuant to 10 subsection6(a)(6)(A), (b), or (c), the board, after reviewing 11 the evidence presented, may increase or reduce the amount 12 requested by the claimant or may allow or disallow the claim. 13 (8) Before January 31 of each year, the board shall report 14 to the legislature and the governor on the number and amount of 15 the claims the board has approved or rejected on appeal pursuant 16 to this section. 17 (9) THE BOARD IS DISBANDED EFFECTIVE ON THE EFFECTIVE DATE 18 OF THE AMENDATORY ACT THAT ADDED THIS SUBSECTION. 04375'97 Final page. FDD