FY 1999-2000 TRANSPORTATION BUDGET - S.B. 372 (H-1): HOUSE PASSED

FY 1999-2000 Senate-Passed Gross Appropriations $2,832,730,700
House Changes to Senate-Passed:
1. Interdepartmental Grants (IDGs). Current law allows transportation revenues to be distributed to certain State departments that provide transportation-related administrative services. The Senate concurred with grant amounts proposed in the Governor's budget, but increased the grant to the Department of State Police. The House made several changes to the level and fund sources of this, and other, proposed interdepartmental grants for FY 1999-2000. These changes included: 0
a. Reducing the Michigan Transportation Fund grant to the Department of State ($7,962,900)

b. Changing the fund source of the grant to the Attorney General from the Michigan Transportation Fund to the State Trunkline Fund and Comprehensive Transportation Fund.

c. Reducing the State Trunkline Fund Grant to the Department of State Police ($2,300,000)
The House then redistributed these funds according to the formula contained in Public Act 51 of 1951 for county, city, and State trunkline roads.
2. Transportation Commission per Diem Payments. The Senate used funds from the Unclassified salary line item to provide per diem payments for members of the State Transportation Commission. The House shifted the fund source used to make per diem payments for Commission members and reinstated the proposed unclassified salary increases contained in the Governor's budget. 0
3. Local Bus Operating Assistance. The House eliminated the "Unreserved CTF fund balance" line item created by the Senate, increased the appropriation and combined it with the Local Bus Operating assistance line item. This increase is not supported by current revenue estimates. 500,000
4. Rail Infrastructure Loan Program (RILP). The House increased funding for the RILP used to provide low interest loans to private rail carriers. This increase is not supported by current revenue estimates. 1,000,000
5. Municipal Credit Program. The House increased funding for the Municipal Credit Program, a program to provide public transportation assistance to cities and villages in southeast Michigan. This increase is not supported by current revenue estimates. 500,000
6. Airport Management Program. The House provided funding to Western Michigan University to operate Romeo airport in Macomb county, an airport recently purchased by the State. 165,000
7. Other Changes. (91,700)
Total Changes 2,073,300
FY 1999-2000 House-Passed Gross Appropriation $2,834,804,000



FY 1999-2000 TRANSPORTATION BUDGET - BOILERPLATE HIGHLIGHTS
Changes from FY 1999-2000 Senate-Passed:
1. Wording Changes. The House rewrote and/or made minor wording changes to numerous language sections proposed by the Governor and Senate. (Sec. 201, 202, 204, 203, 205, 209, 301, 305, 307, 308, 309, 314, 316, 317, 331, 402, 509, 601, 602, 605, 615, 709, 710, 711, 712, 716, 724, 803, 804)

2. Year 2000 Compliance. The House reinstated and expanded language regarding the Department's efforts to ensure the smooth operation of Department computer systems in the year 2000. (Sec. 210)


3. Personal Services Contracts. The House eliminated language included in the Senate bill requiring the Department to notify the legislature when using personal services contracts awarded without competitive bidding.


4. Rail Grade Crossing Inspections. The House eliminated language included in the Senate bill requiring the Department to report on the status of the rail grade crossing safety inspection orders.


5. Disadvantaged Business Enterprise Program. The House eliminated language added by the Senate establishing Disadvantaged Business Enterprise contract targets described in Federal regulations and inserted alternative language describing legislative intent. (Sec. 324)


6. Comparison of Paving Materials. The House inserted a new report on the pavement management system and comparison of asphalt and concrete in road construction projects. (Sec. 330, 333)


7. Amtrak Operating Assistance. The House changed Senate language regarding support of Amtrak passenger rail assistance from "shall" to "may". (Sec. 707)


8. Essential Rail/Bus lines. The House eliminated Senate language regarding essential rail and bus lines within the State. (Sec. 708, 718)


9. SMART/DDOT. The House included language which requires the coordination of passenger transportation lines operated by SMART and the DDOT in southeast Michigan. The Governor and Senate excluded this language. (Sec. 721)


10. Airport Management Program. The House inserted new language describing the Airport Management Program, an appropriation for Western Michigan University to act as the fixed base operator for the Romeo airport in Macomb county. (Sec. 805)



Date Completed: 5/29/99 - Fiscal Analyst: P. Alderfer