HOUSE BILL No. 4304





February 18, 1999, Introduced by Reps. Godchaux, Kukuk, Jellema, Pappageorge, Mead, Toy, Caul, Byl, Geiger, Jansen and Scranton and referred to the Committee on Appropriations.



EXECUTIVE BUDGET BILL

















A bill to make appropriations for the departments of consumer and industry services, career development, the michigan strategic fund, and certain other state purposes for the fiscal year ending September 30, 2000; to provide for the expenditure of those appropriations; to provide for the imposition of certain fees; to provide for the disposition of fees and other income received by the state agencies; to provide for reports to certain persons; and to prescribe powers and duties of certain state departments and certain state and local agencies and officers.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the departments of consumer and industry services, career development, and the Michigan strategic fund for the fiscal year ending September 30, 2000, from the funds indicated in this part. The following is a summary of the appropriations in this part:

TOTAL REGULATORY

APPROPRIATION SUMMARY:

Full-time equated unclassified positions. 70.5

Full-time equated classified positions 5,439.4

GROSS APPROPRIATION $ 1,060,361,000

Interdepartmental grant revenues:

Total interdepartmental grants and

intradepartmental transfers 5,167,900

ADJUSTED GROSS APPROPRIATION $ 1,055,193,100

Federal revenues:

Total federal revenues 671,416,500

Special revenue funds:

Total local revenues 10,867,900

Total private revenues 4,055,600

Total other state restricted revenues 211,443,500

State general fund/general purpose $ 157,409,600

Sec. 102. DEPARTMENT OF CONSUMER AND INDUSTRY SERVICES

(1) APPROPRIATIONS SUMMARY:

Full-time equated unclassified positions 64.5

Full-time equated classified positions 4,132.4

GROSS APPROPRIATION $ 493,533,500

Interdepartmental grant revenues:

Total interdepartmental grants and

intradepartmental transfers 4,020,900

ADJUSTED GROSS APPROPRIATION $ 489,512,600

Federal revenues:

Total federal revenues 217,890,000

Special revenue funds:

Total private revenues 791,900

Total other state restricted revenues 193,473,200

State general fund/general purpose $ 77,357,500

(2) EXECUTIVE DIRECTION

Full-time equated unclassified positions 64.5

Full-time equated classified positions 74.0

Unclassified salaries $ 5,021,300

Executive director programs--11.0 FTE positions 1,778,900

Policy development--9.0 FTE positions 1,362,200

Utility consumer representation 850,000

Regulatory efficiency improvements/backlog

reduction initiative 750,000

MES board of review program--21.0 FTE positions 1,634,000

Office of legal affairs--33.0 FTE positions 3,100,100

GROSS APPROPRIATION $ 14,496,500

Appropriated from:

Federal revenues:

DOL-ETA, unemployment insurance 2,039,900

DOL, multiple grants for safety and health 148,100

Special revenue funds:

Bank fees 174,200

Boiler fees 22,500

Construction code fund 272,800

Consumer finance fees 40,300

Corporations and securities fees 181,000

Credit union fees 83,500

Elevator fees 26,000

Fees and collections/asbestos 10,700

Health professions regulatory fund 1,818,500

Health systems fees and collections 47,600

Insurance regulatory fees 641,800

Licensing and regulation fees 267,200

Liquor license fees 141,600

Liquor purchase revolving fund 1,054,200

Michigan state housing development authority

fees and charges 295,800

Manufactured housing commission fees 145,600

Motor carrier fees 25,500

Property development fees 4,300

Public utility assessments 533,500

Safety education and training fund 200,300

Second injury fund 68,300

Self-insurers security fund 18,000

Silicosis and dust disease fund 26,200

Utility consumer representation fund 850,000

Worker's compensation administrative revolving

fund 53,200

State general fund/general purpose $ 5,305,900

(3) COUNCIL FOR ARTS AND CULTURAL AFFAIRS

Full-time equated classified positions 9.0

Administration--9.0 FTE positions $ 855,400

Arts and cultural grants 21,548,700

GROSS APPROPRIATION $ 22,404,100

Appropriated from:

Federal revenues:

NFAH-NEA, promotion of the arts, state and regional

programs 700,000

State general fund/general purpose $ 21,704,100

(4) FIRE SAFETY

Full-time equated classified positions 54.0

Office of fire safety--54.0 FTE positions $ 4,368,200

GROSS APPROPRIATION $ 4,368,200

Appropriated from:

Interdepartmental grant revenues:

IDG-department of community health, inspection

contract 109,200

Federal revenues:

Federal funds 1,298,300

Special revenue funds:

Fire alarm regulation fees 164,300 Fire service fees 1,618,700

State general fund/general purpose $ 1,177,700

(5) MANAGEMENT SERVICES

Full-time equated classified positions 178.0

Administration--74.0 FTE positions $ 5,144,600

Technology support--104.0 FTE positions 12,540,000

Insurance automation 750,000

Health services information systems 750,000

Rent 6,306,400

Building occupancy charges - property development

services 4,767,900

Workers' compensation 1,009,900

Special project advances 740,000

GROSS APPROPRIATION $ 32,008,800

Appropriated from:

Federal revenues:

DOL-ETA, unemployment insurance 342,400

DOL, multiple grants for safety and health 671,600

Federal funds 751,200

HHS, federal funds 76,100

Special revenue funds:

Private-special project advances 740,000

Bank fees 299,200

Boiler fee revenue 220,700

Construction code fund 1,247,100

Consumer finance fees 136,500

Corporation and securities fees 2,026,700

Credit union fees 214,800

Elevator fees 321,400

Fees and collections/asbestos 52,100

Health professions regulatory fund. 3,559,200

Health systems fees and collections 256,500

Insurance regulatory fees 2,164,900

Licensing and regulation fees 1,905,300

Liquor license fees 160,900

Liquor purchase revolving fund 4,948,400

Michigan state housing development authority

fees and charges 1,780,600

Manufactured housing commission fees 117,900

Motor carrier fees 187,600

Property development fees 6,100

Public utility assessments 2,409,700

Safety education and training fund 385,700

Second injury fund 77,400

Self insurers' security fund 20,300

Silicosis and dust disease fund 29,900

Worker's compensation administrative revolving

fund 1,179,100

State general fund/general purpose $ 5,719,500

(6) FINANCIAL SERVICES AND CORPORATIONS

Full-time equated classified positions 375.0

Manufactured housing commission, per diem

$50.00 $ 7,800

Manufactured housing and land resources program--15.0

FTE positions 1,456,900

Corporate services--61.0 FTE positions 4,923,800

Investment oversight--29.0 FTE positions 2,523,800

Local manufactured housing communities inspections 250,000

Property development group--13.0 FTE positions 1,382,100

Remonumentation grants 4,500,000

Financial institutions administration--18.0 FTE

positions 1,291,100

Bank regulation--50.0 FTE positions 5,166,000

Credit union regulation--41.0 FTE positions 3,430,600

Financial institution consumer protection--19.0 FTE

positions 1,721,200

Financial institution policy and legislation

--5.0 FTE positions 371,300

Federal regulatory projects 50,600

Insurance bureau administration--18.0 FTE

positions 2,155,600

Insurance financial standards--49.0 FTE

positions 7,313,900

Insurance licensing and enforcement--30.0 FTE

positions 2,533,100

Market standards and consumer services--27.0 FTE

positions 2,478,300

GROSS APPROPRIATION $ 41,556,100

Appropriated from:

Federal revenues:

Federal regulatory project revenues 50,600

Special revenue funds:

Private-travel funds 5,900

Bank fees 5,988,900

Certification and copying fees 2,127,500

Consumer finance fees 1,972,300

Corporation and securities fees 5,731,000

Credit union fees 4,019,000

Insurance regulatory fees 10,683,100

Insurance continuing education fees 532,400

Insurance licensing and regulation fees 3,127,600

Land sales fees 20,000

Limited liability partnership revenue 10,000

Manufactured housing commission fees 1,845,800

Multiple employer welfare arrangement 131,900

Property development fees 231,000

Remonumentation fees 5,079,100

State general fund/general purpose $ 0

(7) PUBLIC SERVICE COMMISSION

Full-time equated classified positions 161.0

Administration, planning and regulation--161.0 FTE

positions $ 18,387,200

GROSS APPROPRIATION $ 18,387,200

Appropriated from:

Federal revenues:

DOE-OEERE, multiple grants 2,227,900

DOT-RSPA, gas pipeline safety 265,000

Special revenue funds:

Private-Great Lakes governors council 46,000

Motor carrier fees 1,787,700

Public utility assessments 14,060,600

State general fund/general purpose $ 0

(8) LIQUOR CONTROL COMMISSION

Full-time equated classified positions 183.0

Management support services--43.0 FTE positions $ 2,929,900

Liquor licensing and enforcement--140.0

FTE positions 10,309,800

Liquor law enforcement grants 6,000,000

Grant to department of agriculture for wine industry

council 424,100

GROSS APPROPRIATION $ 19,663,800

Appropriated from:

Special revenue funds:

Liquor license revenue 10,773,300

Liquor purchase revolving fund 8,466,400

Non-retail liquor license revenue 424,100

State general fund/general purpose $ 0

(9) MICHIGAN STATE HOUSING DEVELOPMENT AUTHORITY

Full-time equated classified positions 233.0

Payments on behalf of tenants $ 66,000,000

Housing and rental assistance program--227.0 FTE

positions 21,070,500

Automatic data processing--6.0 FTE positions 862,500

Homeless program 5,290,800

GROSS APPROPRIATION $ 93,223,800

Appropriated from:

Federal revenues:

HUD, lower income housing assistance program 79,049,500

Special revenue funds:

Michigan state housing development authority

fees and charges 14,174,300

State general fund/general purpose $ 0

(10) TAX TRIBUNAL

Full-time equated classified positions 14.0

Operations--14.0 FTE positions $ 1,576,500

GROSS APPROPRIATION $ 1,576,500

Appropriated from:

Special revenue funds:

Tax tribunal fees 605,500

State general fund/general purpose $ 971,000

(11) GRANTS

Fire protection grants $ 6,675,000

GROSS APPROPRIATION $ 6,675,000

Appropriated from:

Special revenue funds:

Liquor purchase revolving fund 6,675,000

State general fund/general purpose $ 0

(12) HEALTH REGULATORY SYSTEMS

Full-time equated classified positions 341.0

Health systems administration and grants--195.0

FTE positions $ 26,993,600

Emergency medical services program state staff--

10.0 FTE positions 1,084,200

Radiological health administration and projects--

24.0 FTE positions 1,876,800

Substance abuse program administration--4.0 FTE

positions 387,000

Emergency medical services grants and contracts 962,100

Health services--108.0 FTE positions 11,875,400

GROSS APPROPRIATION $ 43,179,100

Appropriated from:

Federal revenues:

Federal funds 16,525,100

Special revenue funds:

Controlled substance license fees 1,304,400

Health professions regulatory fund 10,121,000

Health systems fees and collections 3,722,300

Nurse professional fund 450,000

State general fund/general purpose $ 11,056,300

(13) REGULATORY SERVICES

Full-time equated classified positions 275.0

AFC, children's welfare and day care licensure--275.0

FTE positions $ 20,762,800

GROSS APPROPRIATION $ 20,762,800

Appropriated from:

Federal revenues:

HHS, federal funds 8,618,500

Special revenue funds:

Licensing fees 460,800

State general fund/general purpose $ 11,683,500

(14) OCCUPATIONAL REGULATION

Full-time equated classified positions 240.0



Commissions and boards $ 41,900 Code enforcement--99.0 FTE positions 7,427,600

Code enforcement flexibility 632,100

Boiler inspection program--18.0 FTE positions 1,449,400

Elevator inspection program--23.0 FTE positions 1,740,800

Commercial services--100.0 FTE positions 8,194,100

GROSS APPROPRIATION $ 19,485,900

Appropriated from:

Special revenue funds:

Real estate education fund 217,500

Real estate appraiser continuing education fund 45,000

Licensing and regulation fees 6,181,100

Homeowner construction lien recovery fund 1,528,900

Health professions regulatory fund 221,600

Boiler fee revenue 1,588,100

Construction code fund 7,861,100

Elevator fees 1,842,600

State general fund/general purpose $ 0

(15) EMPLOYMENT RELATIONS

Full-time equated classified positions 28.0

Fact finding and arbitration $ 169,300

Employment and labor relations--28.0 FTE positions 2,792,300

GROSS APPROPRIATION $ 2,961,600

Appropriated from:

Special revenue funds:

Publication revenue 25,000

State general fund/general purpose $ 2,936,600

(16) SAFETY AND REGULATION

Full-time equated classified positions 276.0

Commissions and boards $ 27,700 Employment standards enforcement--38.0 FTE

positions 2,434,400

Subgrantees 1,026,900

Occupational safety and health--238.0 FTE

positions 21,235,700

GROSS APPROPRIATION $ 24,724,700

Appropriated from:

Federal revenues:

DOL, multiple grants for safety and health 12,202,300

Special revenue funds:

Fees and collections/asbestos 694,200

Safety education and training fund 5,074,800

State general fund/general purpose $ 6,753,400

(17) WORKER'S DISABILITY COMPENSATION

Full-time equated classified positions 172.4

Administration--119.0 FTE positions $ 8,020,100

Board of magistrates administration--8.0 FTE

positions 1,737,400

Appellate commission administration--11.4 FTE

positions 803,400

Supplemental benefit fund 1,500,000 Insurance funds administration--34.0 FTE positions 10,146,300

Automatic data processing 506,000

Grant to the Michigan jobs commission, hire the

handicapped program 50,000

GROSS APPROPRIATION $ 22,763,200

Appropriated from:

Special revenue funds:

Second injury fund 6,456,300

Self insurers' security fund 1,720,100

Silicosis and dust disease fund 2,525,900

Worker's compensation administration revolving

fund 2,011,400

State general fund/general purpose $ 10,049,500

(18) UNEMPLOYMENT AGENCY

Full-time equated classified positions 1,519.0

Worker's compensation $ 622,700

Rent 4,232,000

Building occupancy charges-property development

service 2,071,300

Unemployment program--1,441.7 FTE positions 91,345,500

Advocacy assistance program--8.0 FTE positions 1,516,500

Special audit and collections program--34.0 FTE

positions 2,085,600

Training program for agency staff--2.1 FTE

positions 1,044,100

Expanded fraud control program--33.2 FTE

positions 2,378,500

GROSS APPROPRIATION $ 105,296,200

Appropriated from:

Interdepartmental grant revenues:

IDG-family independence agency 3,911,700

Federal revenues:

DOL, unemployment insurance 88,423,500

DOL-ETA 500,000

Federal Reed Act funds 4,000,000

Special revenue funds:

Contingent fund, penalty and interest account 8,461,000

State general fund/general purpose $ 0

Sec. 103. DEPARTMENT OF CAREER DEVELOPMENT

(1) APPROPRIATION SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 1,066.0

GROSS APPROPRIATION $ 434,910,400

Appropriated from:

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental

transfers 1,047,000

ADJUSTED GROSS APPROPRIATION $ 433,863,400

Federal revenues:

Total federal revenues 400,323,300

Special revenue funds:

Total local revenues 10,867,900

Total private revenues 2,607,000

Total other state restricted revenues 4,920,300

State general fund/general purpose $ 15,144,900

(2) DEPARTMENTAL ADMINISTRATION

Full-time equated unclassified positions 6.0

Full-time equated classified positions 11.0

Unclassified salaries $ 536,200

Executive office--11.0 FTE positions 1,001,700

GROSS APPROPRIATION $ 1,537,900

Appropriated from:

State general fund/general purpose $ 1,537,900

(3) DEPARTMENT OPERATIONS

Full-time equated classified positions 86.0

Administration--86.0 FTE positions $ 9,602,300

Building occupancy charges - property development

services 432,600

Workers' compensation 196,400

Special project advances 200,000

GROSS APPROPRIATION $ 10,431,300

Appropriated from:

Federal revenues:

CNS 50,000

DED-OSERS, rehabilitation services, vocational

rehabilitation, state grants 1,957,300

DOL-ETA, employment service 1,677,200

DOL-ETA, bureau of labor statistics 990,800

DOL-ETA 738,200

DOL-ETA, veterans' employment and training

administration 2,240,600

DOL-ETA, miscellaneous funds 38,900

DOL-ETA, job training partnership grants 434,200

DED, cooperative demonstration, school-to-work 57,700

HHS, temporary assistance for needy families 565,700

Special revenue funds:

Private-special project advances 200,000

Contingent fund, penalty and interest 790,000

State general fund/general purpose $ 690,700

(4) WORKFORCE DEVELOPMENT

Full-time equated classified positions 666.0

Employment training services--571.0 FTE positions $ 59,258,600

Michigan career and technical institute

--95.0 FTE positions 9,675,800

GROSS APPROPRIATION $ 68,934,400

Appropriated from:

Interdepartmental grant revenues:

IDG-MDOC 31,400

Federal revenues:

CNS 516,500

DAG, employment and training 250,600

DED-OPSE, multiple grants 599,500

DED-OSERS, centers for independent living 56,500

DED-OSERS, rehabilitation long-term training 350,200

DED-OSERS, rehabilitation services, vocational

rehabilitation, state grants 40,117,700

DED-OSERS, state grants for technology-related

assistance to individuals with disabilities 54,000

DED, cooperative demonstration, school-to-work 1,017,900

DOL-ETA, job training partnership act 3,077,700

DOL-ETA, multiple grants 578,500

DOL-NOICC 166,800

HHS-SSA, supplemental security income 4,061,700

HHS, temporary assistance for needy families 3,567,500

Special revenue funds:

Local-vocational rehabilitation match 3,152,200

Private-gifts, bequests, and donations 1,357,000

Rehabilitation services fees 1,908,000

Risk management internal service fund 99,700

Second injury fund 50,000

Student fees 80,000

Training material fees 249,600

State general fund/general purpose $ 7,591,400

(5) DEPARTMENT GRANTS

Job training programs subgrantees $ 102,095,600

Michigan community service commission

subgrantees 5,900,000

Displaced homemakers 470,000

Supported employment grants 1,308,600

Technology assistance grants 1,086,600

Vocational rehabilitation client

services/facilities 50,104,000

Vocational rehabilitation independent living 2,077,700

Personal assistance services 400,000

School-to-work subgrantees 3,000,000

Welfare to work programs 140,279,000

Precollege program in engineering and the sciences 844,700

GROSS APPROPRIATION $ 307,566,200

Appropriated from:

Interdepartmental grant revenues:

IDG-MDOC 1,015,600

Federal revenues:

CNS 4,500,000

DAG, employment and training 13,000,000

DED, cooperative demonstration, school-to-work 3,000,000

DED-OSERS, centers for independent living 525,000

DED-OSERS, client assistance for individuals

with disabilities 360,600

DED-OSERS, rehabilitation services facilities 2,272,500

DED-OSERS, rehabilitation services, vocational

rehabilitation, state grants 34,935,200

DED-OSERS, supported employment 1,308,600

DED-OSERS, state grants for technology-related

assistance to individuals with disabilities 1,086,600

DOL-ETA, job training partnership act 96,650,000

DOL-ETA, multiple grants 4,430,000

HHS-SSA, supplemental security income 2,362,500

HHS, temporary assistance for needy families 127,029,000

Special revenue funds:

Local-vocational rehabilitation match 6,437,400

Local-vocational rehabilitation facilities match 1,278,300

Private-gifts, bequests, and donations 800,000

Private-oil overcharge 250,000

Contingent fund, penalty and interest account 1,000,000

State general fund/general purpose $ 5,324,900

(6) EMPLOYMENT SERVICE AGENCY

Full-time equated classified positions 303.0

Employment service--256.0 FTE positions $ 42,636,600

Labor market information--47.0 FTE positions 2,974,300

Workers' compensation 141,300

Rent 458,300

Building occupancy charges - property development

services 230,100

GROSS APPROPRIATION $ 46,400,600

Appropriated from:

Federal revenues:

DOL-ETA, employment service 27,298,600

DOL-ETA, bureau of labor statistics 1,651,700

DOL-ETA 982,500

DOL-ETA, veteran's employment and training

administration 4,396,500

DOL-ETA, miscellaneous funds 11,368,300

Special revenue funds:

Contingent fund, penalty and interest account 743,000

State general fund/general purpose $ 0

Sec. 104. MICHIGAN STRATEGIC FUND

(1) APPROPRIATION SUMMARY:

Full-time equated classified positions 241.0

GROSS APPROPRIATION $ 131,917,100

Appropriated from:

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental

transfers 100,000

ADJUSTED GROSS APPROPRIATION $ 131,817,100

Federal revenues:

Total federal revenues 53,203,200

Special revenue funds:

Total local revenues 0

Total private revenues 656,700

Total other state restricted revenues 13,050,000

State general fund/general purpose $ 64,907,200

(2) MICHIGAN STRATEGIC FUND

Full-time equated classified positions 241.0

Administration--40.0 FTE positions $ 5,337,100

Job creations services--201.0 FTE positions 24,537,500

Transportation economic development programs 13,000,000

Michigan promotion program 8,042,500

Economic development job training grants 31,000,000

Community development block grants 50,000,000

GROSS APPROPRIATION $ 131,917,100

Appropriated from:

Interdepartmental grant revenues:

IDG-MDEQ, air quality fees 100,000

Federal revenues:

DOL-ETA, employment service 1,300,000

HUD-CPD, community development block grant 51,903,200

Special revenue funds:

Private-Michigan certified development

corporation fees 156,700

Private-special project advances 500,000

Industry support fees 50,000

License and chauffeur fees 13,000,000

State general fund/general purpose $ 64,907,200

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

GENERAL SECTIONS

Sec. 201. (1) Pursuant to section 30 of article IX of the state constitution of 1963, total state spending under part 1 for fiscal year 1999-2000 is $368,853,100.00 and state appropriations to be paid to local units of government are as follows:

DEPARTMENT OF CONSUMER AND INDUSTRY SERVICES

Arts and cultural grants $ 20,848,700

Fire protection grants 6,675,000

Liquor law enforcement 6,000,000

Local manufactured housing inspections 250,000

Total consumer and industry services $ 33,773,700

MICHIGAN STRATEGIC FUND

Economic development job training grants $ 31,000,000

Total Michigan strategic fund $ 31,000,000

(2) If it appears to the principal executive officer of a department or branch that state spending to local units of government will be less than the amount that was projected to be expended under subsection (1), the principal executive officer shall immediately give notice of the approximate shortfall to the state budget director.

Sec. 202. The expenditures and funding sources authorized under this act are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. (1) Beginning October 1, 1999, a hiring freeze is imposed on the state classified civil service. State departments and agencies are prohibited from hiring any new full-time state classified civil service employees and prohibited from filling any vacant state classified civil service positions. This hiring freeze does not apply to internal transfers of classified employees from one position to another within a department or to positions that are funded with 80% or more federal or restricted funds.

(2) The state budget director shall grant exceptions to this hiring freeze when the state budget director believes that the hiring freeze will result in rendering a state department or agency unable to deliver basic services.

Sec. 204. The department of civil service shall bill departments and agencies at the end of the first fiscal quarter for the 1% charge authorized by section 5 of article XI of the state constitution of 1963. Payments shall be made for the total amount of the billing by the end of the second fiscal quarter.

Sec. 205. As used in this bill:

(a) "AFC" means adult foster care.

(b) "CNS" means the corporation for national service.

(c) "DAG" means the United States department of agriculture.

(d) "DED" means the United States department of education.

(e) "DED-OPSE" means the DED office of postsecondary education.

(f) "DED-OSERS" means the DED office of special education and rehabilitative services.

(g) "DOE-OEERE" means the DOE office of energy efficiency and renewable energy.

(h) "DOL" means the United States department of labor.

(i) "DOL-ETA" means the DOL employment and training act.

(j) "DOL-NOICC" means the DOL national occupational information coordinating committee.

(k) "DOL-OSHA" means the DOL occupational safety and health administration.

(l) "DOT-RSPA" means the DOT research and special programs administration.

(m) "Fiscal agencies" means the Michigan house fiscal agency and the Michigan senate fiscal agency.

(n) "FTE" means full-time equated position.

(o) "HHS" means the United States department of health and human services.

(p) "HHS-SSA" means the HHS social security administration.

(q) "HUD" means the United States department of housing and urban development.

(r) "HUD-CPD" means the HUD community planning and development.

(s) "IDG" means interdepartment grant.

(t) "MDEQ" means the Michigan department of environmental quality.

(u) "MDOC" means the Michigan department of corrections.

(v) "MES" means the Michigan employment security.

(w) "NFAH" means the national foundation on the arts and the humanities.

(x) "NFAH-NEA" means the NFAH national endowment for the arts.

(y) "OSHA" means the occupational safety and health administration.

DEPARTMENT OF CONSUMER AND INDUSTRY SERVICES

Sec. 301. The appropriation in part 1 for grants to cities includes $6,675,000.00 from the liquor purchase revolving fund which shall be appropriated to cities, villages, and townships with state-owned facilities for fire services, instead of taxes, in accordance with 1977 PA 289, MCL 141.951 to 141.956.

Sec. 302. The funds collected by the financial institutions bureau in connection with a conservatorship pursuant to section 32 of the mortgage brokers, lenders, and services licensing act, 1987 PA 173, MCL 445.1682, shall be appropriated for all expenses necessary to provide for the required services. Funds are available for expenditure when they are received by the department of treasury and shall not lapse to the general fund at the end of the fiscal year.

Sec. 303. The funds collected by the department of consumer and industry services from corporations being liquidated pursuant to the insurance code of 1956, 1956 PA 218, MCL 500.100 to 500.8302, shall be appropriated for all expenses necessary to provide for the required services. Funds are available for expenditure when they are received by the department of treasury and shall not lapse to the general fund at the end of the fiscal year.

Sec. 304. The department of consumer and industry services may make available to interested entities otherwise unavailable customized listings of nonconfidential information in its possession, such as names and addresses of licensees, and charge for this information as follows: base fee for 1 to 1,000 records at the cost to the department; 1,001 to 10,000 records at 2.5 cents per record; and 10,001 or more records at .5 cents per record. The revenue received from this service may be used to offset expenses of licensure and professional regulation and insurance bureau programs as appropriated in part 1. The balance of this revenue collected and unexpended at the end of the fiscal year shall revert to the appropriate restricted revenue account or fund or, in the absence of such an account or fund, to the general fund. The department shall submit an annual report on or before June 1, 2000 to the regulatory subcommittees of the house and senate appropriations committees that states the amount of revenue received from the sale of information.

Sec. 305. The appropriation in part 1 may be used for per diem payments to the members of commissions or boards for a full day of committee work at which a quorum is present or for performing official business as authorized by each respective commission or board within the department of consumer and industry services. The per diem payments shall be $50.00 per day for all commissions and boards.

Sec. 306. (1) The Michigan council for arts and cultural affairs in the department of consumer and industry services shall administer the arts and cultural grants appropriated in part 1. The council shall provide for fair and independent decisions on arts and cultural grant requests based upon published criteria to evaluate program quality. This criteria shall include a prohibition of art projects that include displays of human wastes on religious symbols, displays of sex acts, and depictions of flag desecration. The council shall seek to award grants on an equitable geographic basis to the extent possible given the quality of grant applications received. Priority shall be given to projects that serve multiple counties and that leverage significant additional public and private investment. Counties, cities, villages, townships, community foundations, and organizations may apply for the following categories of grants:

(a) State arts anchor organizations that serve a statewide audience.

(b) Arts education programs, also known as the arts and learning programs.

(c) Local arts programs.

(d) Arts organization development programs. These programs are designed to encourage self-sufficiency in organizations. Grant awards under this program are limited to 4 grant periods.

(e) Historical organizations and projects.

(f) Zoos.

(g) Publicly owned facilities, excluding stadiums used primarily for professional sports events.

(h) Cultural and community organizations and projects.

(i) Art institutions.

(j) Symphony orchestras.

(k) Multi county regional arts regranting and programming councils.

(l) Music education camps.

(m) Capital outlay projects.

(2) Applications for arts and cultural grants shall be received by the department of consumer and industry services, Michigan council for arts and cultural affairs, not later than June 1, 2000.

(3) The appropriation for arts and cultural grants in part 1 and disbursed under this section shall, at a minimum, be matched on an equal dollar-for-dollar basis from local and private contributions paid and received by each awardee receiving grants under this section. The dollar-for-dollar match may include the reasonable value of services, materials, and equipment as allowed under the federal internal revenue code for charitable contributions subject also to the preapproval of such a match by the Michigan council for arts and cultural affairs. The Michigan council for arts and cultural affairs shall receive proof of the entire amount of the matching funds, services, materials, or equipment by the end of the award period. The Michigan council for arts and cultural affairs shall submit a report to the regulatory subcommittees of the senate and house appropriations committees regarding those counties, cities, village, townships, community foundations, and organizations failing to meet their matching requirements by the end of the award period.

(4) Before any amount appropriated for arts and cultural grants in part 1 may be expended for a grant to eligible applicants for the purposes in this section, the department of consumer and industry services shall execute a grant agreement with each grantee. The grant agreement shall specify the criteria included in this section with which the application complies. The grant agreement shall include a list of the projects funded and the amount of funds each subgrantee, if applicable, will receive for those projects. A contract shall not be executed and dollars shall not be disbursed until 2 weeks after the regulatory subcommittees of the senate and house appropriations committees have received a copy of the proposed contract.

(5) By November 1, 1999, the department of consumer and industry services shall report to the regulatory subcommittees of the senate and house appropriations committees on how the council intends to implement the provisions of this section, including the process for evaluating organization quality and efforts to achieve an equitable geographic distribution of grants.

(6) By not later than 1 month after the grant application deadline, the department of consumer and industry services shall provide a list of all grant applications, by county, to the regulatory subcommittees of the senate and house appropriations committees. The department shall, at least 30 days before the award of any grant, provide the regulatory sub-committees of the senate and house appropriations committees a list of all proposed grant awardees.

(7) Counties, cities, villages, townships, community foundations, and organizations receiving funds under this section shall provide the following reports to the Michigan council for arts and cultural affairs and to the regulatory subcommittees of the senate and house appropriations committees:

(a) A final report covering the grant period and due within 30 days after the end of the grant period indicating at least the following:

(i) Revenues and expenditures, indicating whether revenues are from private donations or fees.

(ii) Number of employees.

(iii) Number of new hires.

(b) For awardees receiving grants greater than $100,000.00, a copy of the awardee's annual report and audit report for the fiscal year in which the majority of the grant took place due within 90 days after the end of the awardee's fiscal year. The audit report shall include an audit of grant funds. A representative sampling of grant agreements shall be audited by the state auditor general. The audit report shall be submitted to the regulatory subcommittees of the senate and house appropriations committees for review. These awardees shall also submit the information in subdivision (a) on a quarterly basis for the immediately preceding quarter due on January 7, 2000, April 7, 2000, July 7, 2000, and October 7, 2000.

(8) The recipients of grant funds under this section shall be announced by the department by September 15, 2000.

(9) A grant awarded under this section and the matching funds which conferred eligibility for the grant award shall be used by the recipient of the grant award and shall not be redistributed by that recipient to any other entity unless specifically provided for in the grant agreement between the funded grant awardee and the council.

(10) The applicants for arts and cultural grant funds shall be charged a nonrefundable application fee of $100.00 or 1% of the grant, whichever is less. The application fee may be used by the department of consumer and industry services to recover direct and indirect costs as appropriated in part 1.

Sec. 307. The department of consumer and industry services may receive and expend contributions from public, private, and federal sources, except state agencies, for the purpose of acquiring or constructing art objects or promoting or preserving the arts in or on state properties. Expenditures of any funds received shall be consistent with the purposes of the Faxon-McNamee art in public places act, 1980 PA 105, MCL 18.71 to 18.81. Any funds received under this section are considered a work project account and may be carried forward into the succeeding fiscal year.

Sec. 308. The Michigan state housing development authority shall annually present a report to the regulatory subcommittees of the house and senate appropriations committees 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. 309. The department of consumer and industry services shall assess and collect fees in the licensing and regulation of child care organizations as defined in 1973 PA 116, MCL 722.111 to 722.128, and adult foster care facilities as defined in the adult foster care facility licensing act, 1979 PA 218, MCL 400.701 to 400.737. Fees collected by the department shall not exceed the deducts in part 1 and shall be used exclusively for the purpose of licensing and regulating child care organizations and adult foster care facilities.

Sec. 310. The appropriation in part 1 for the department of consumer and industry services, bureau of safety and regulation, safety education and training division, includes funding for on-site consultation and education and training programs. The appropriation in part 1 anticipates that 90% of the on-site consultation program costs and 50% of the education and training program costs will be supported by federal OSHA funds and the remaining 10% and 50% respectively will be supported by safety education and training funds. If federal OSHA funding does not become available to cover up to 90% of the program costs for on-site consultation and 50% for education and training, up to 50% of the program costs for on-site consultation and 90% of the program costs for education and training may be paid from the safety education and training fund as a match for available federal funds.

Sec. 311. The funds collected by the department of consumer and industry services for licenses, permits, and other elevator regulation fees set forth in R 408.8151 of the Michigan administrative code and as determined under section 8 of 1976 PA 333, MCL 338.2158, and section 16 of 1967 PA 227, MCL 408.816, that are unexpended at the end of the fiscal year shall not lapse to the state general fund. The department of consumer and industry services shall submit a report on an annual basis to the regulatory subcommittees of the house and senate appropriations committees on the amount of funds available under this section.

Sec. 312. If the revenue collected by the department for occupational safety and health, health systems administration, or radiological health administration and projects from fees and collections exceeds the amount appropriated in part 1, the revenue may be carried forward into the subsequent fiscal year. The revenue carried forward under this section shall be used as the first source of funds in the subsequent fiscal year.

Sec. 313. Money appropriated under this act for fire safety programs shall not be expended unless, in accordance with section 2c of the fire prevention code, 1941 PA 207, MCL 29.2c, inspection and plan review fees will be charged according to the following schedule:

Operation and maintenance inspection fee

Facility type Facility size Fee

Hospitals Any $10.00 per bed

Plan review and construction inspection fees for hospitals and schools

Project cost range Fee

$101,000.00 or less minimum fee of $125.00

$101,001.00 to $1,500,000.00 $1.24 per $1,000.00

$1,500,001.00 to $10,000,000 $0.90 per $1,000.00

$10,000,001.00 or more $0.70 per $1,000.00

or a maximum fee of $50,000.00.

Sec. 314. If the revenue collected by the department of consumer and industry services from licensing and regulation fees exceeds the amount appropriated in part 1, the revenue may be carried forward into the subsequent fiscal year. The revenue carried forward under this section shall be used as the first source of funds in the subsequent fiscal year.

Sec. 315. Funds earned or authorized by the United States department of labor in excess of the gross appropriation in part 1 for the Michigan unemployment agency from the United States department of labor are appropriated and may be expended for staffing and related expenses incurred in the operation of its programs. These funds may be spent after the department of consumer and industry services notifies the regulatory subcommittees of the house and senate appropriations committees of the purpose and amount of each grant award.

Sec. 316. (1) In addition to the funds appropriated for the department of consumer and industry services in part 1, there is appropriated an amount not to exceed $23,500,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to 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 $12,200,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to 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 $180,800.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to 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 $50,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 317. The department of consumer and industry services shall sell documents at a price not to exceed the cost of production and distribution. Money received from the sale of these documents shall revert to the department of consumer and industry services. The funds are available for expenditure when they are received by the department of treasury and may only be used for costs directly related to the continued updating and distribution of the documents pursuant to this section. This section applies only for the following documents:

(a) Corporation and securities division documents, reports, and papers required or permitted by law pursuant to section 1060(5) of the business corporation act, 1972 PA 284, MCL 450.2060.

(b) The subdivision control manual, the state boundary commission operations manual, and other local government assistance manuals.

(c) The Michigan liquor control code of 1998 act, 1998 PA 58, with amendments.

(d) The mobile home commission act, 1987 PA 96, MCL 125.2301 to 125.2349; the business corporation act, 1972 PA 284, MCL 450.1101 to 450.2098; the nonprofit corporation act, 1982 PA 162, MCL 450.2101 to 450.3192; and the uniform securities act, 1964 PA 265, MCL 451.501 to 451.818.

(e) Labor law books.

(f) Worker's compensation health care services rules.

(g) Minimum design standards for health care facilities.

DEPARTMENT OF CAREER DEVELOPMENT

Sec. 401. The Michigan career and technical institute may receive equipment and in-kind contributions for the direct support of staff services through the Pine Lake fund, the Delton-Kellogg school district or other local or intermediate school district, or any combination of local or intermediate school districts in addition to those authorized in part 1.

Sec. 402. The Michigan rehabilitation service shall make every effort to ensure that all sources of matching funds in this state are used to obtain federal vocational rehabilitation funds. All sources include, but are not limited to, privately raised funds to support public nonprofit rehabilitation centers as permitted by the rehabilitation act of 1973, Public Law 93-112, 29 U.S.C. 701 to 717, 720 to 724, 730 to 732, 740 to 741, 750, 752, 760 to 762, 770 to 777b, 777d to 777f, 780, 781 to 785, 790 to 794d, 795 to 795q, and 796 to 796i.

Sec. 403. (1) The appropriation in part 1 to the department of career development for the work first program shall be expended for grants which provide employment and training services to public assistance recipients.

(2) An applicant may be a district, intermediate district, community college, public or private nonprofit college or university, nonprofit organization that provides school-to-work transition programs or that provides employment and training services or vocational rehabilitation programs or state licensed accredited vocational or technical education programs, proprietary school licensed by the state board, local workforce development board, or a consortium consisting of any combination of districts, intermediate districts, community colleges, nonprofit organizations described in this subdivision, licensed proprietary schools, or public or private nonprofit colleges or universities described in this subdivision.

(3) When the work first job search requirements have been completed, if the participant has not found employment, the work first site shall identify the barriers which may have prevented the participant from obtaining employment and assist the client in removing those barriers. The work first site shall also identify appropriate education and job training programs which would be available to the participant.

(4) Work first program participants shall be limited to recipients of the family independence program established under section 57a of the social welfare act, 1939 PA 280, MCL 400.57a, and such individuals referred to a job club program by a county family independence agency or a county friend of the court as long as the participation in the job club is part of an application made under this section.

(5) Participants in the work first program shall not be enrolled and counted in membership in a school district or intermediate school district.

(6) The department of career development will work with the family independence agency to coordinate support services to work first participants relating to special/emergency needs.

(7) Work first program participants must receive or be provided an explanation of the program including their benefits and responsibilities before the job interview phase of the program.

Sec. 404. Of the funds appropriated in part 1 for precollege programs in engineering and the sciences, $500,000.00 shall be provided in the form of a grant to the Detroit precollege engineering program, incorporated and $344,700.00 shall be provided in the form of a grant to the Grand Rapids area precollege engineering program.

Sec. 405. The local match requirements for vocational rehabilitation facilities establishment grants shall not exceed 21.3%.

Sec. 406. Funds earned or authorized by the United States department of labor in excess of the gross appropriation in part 1 for the employment service agency from the United States department of labor are appropriated and may be expended for staffing and related expenses incurred in the operation of its programs. These funds may be spent after the department of career development notifies the regulatory subcommittees of the house and senate appropriations committees of the purpose and amount of each grant award.

Sec. 407. Of the funds appropriated in part 1 for the employment service agency, not more than 15% of the funds allocated to Michigan works! agencies for employment service delivery may be expended for Michigan works! agency administrative costs.

Sec. 408. Of the funds appropriated in section 103(6) for vocational rehabilitation independent living, not less than $1,000,000.00 shall be used for the support of centers for independent living which are in compliance with federal standards for such centers, for the development of new centers in areas presently unserved or underserved, for technical assistance to centers, and for projects to build capacity of centers to deliver independent living services. Applications for such funds shall be reviewed in accordance with criteria and procedures established by the statewide independent living council, the Michigan rehabilitation services unit within the department of career development, and the Michigan commission for the blind. Funds must be used in a manner consistent with the priorities established in the state plan for independent living.

Sec. 409. (1) In addition to the funds appropriated for the department of career development in part 1, there is appropriated an amount not to exceed $41,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to 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 $2,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to 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 $4,000,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to 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 $1,000,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

MICHIGAN STRATEGIC FUND

Sec. 501. (1) The appropriation in part 1 to the Michigan strategic fund for economic development job training shall be expended for competitive grants that ensure employers have the trained workers they need to compete in the global economy. The Michigan strategic fund shall expedite grant awards for employers locating or expanding in Michigan and thereby creating significant numbers of new jobs in the state.

(2) Not more than 2% of the total grant, administration, and operating funds appropriated in part 1 for the Michigan strategic fund's economic development job training grants program may be expended for administrative costs.

(3) No funds appropriated in part 1 to the Michigan strategic fund for economic development job training grants may be expended for the training of permanent striker replacement workers.

(4) Seventy percent of the economic development job training grant funds shall be awarded to community colleges or a consortium of community colleges and other eligible applicants pursuant to the requirements of this section.

(5) Training grants provided by private sector trainers may reach or exceed 20% of total grants, but not less than 10%.

(6) Grant funds utilized for the development of web-based or other distance learning training which has the substantial potential for lowering training costs and improving access will not be subject to sections 406(4) as long as a community college or a consortium of community colleges act as partners in the development of the program.

(7) An applicant may be a district, intermediate district, community college, public or private nonprofit college or university, nonprofit organization whose primary purpose is to provide education programs or employment and training services or vocational rehabilitation programs or school-to-work transition programs, local workforce development board, the headquarters of a federal and state sponsored manufacturing technology center, or a consortium consisting of any combination of districts, intermediate districts, community colleges, nonprofit organizations described in this subsection, or public or private nonprofit colleges or universities described in this subsection.

(8) On or before October 1, 1999, the Michigan strategic fund shall publish proposed application criteria, instructions, and forms for use by eligible applicants. The Michigan strategic fund shall provide at least a 2-week period for public comment prior to finalization of the application criteria, instructions, and forms.

(9) Applications for all grants shall be submitted to the Michigan strategic fund and each application shall contain at least all of the following:

(a) The name, address, and total number of employees of each business organization whose employees are receiving job training.

(b) A description of the specific job skills that will be taught.

(c) A clear statement of the project's scope of activities, number of participants to be involved, the number of participants who have been an employee of the business organization for at least 30 days before the date of application who are at risk of becoming unemployed unless trained in the program and the number of participants who are either a new employee within 30 days of the date of application or who will become a new employee of the business organization as a result of the individual's participation in the program.

(d) A commitment to maintain participant records in a form and manner required by the department.

(e) A budget which relates to the proposed activities and various program components and which demonstrates whether the estimated costs are reasonable and justified.

(10) Priority in the awarding of grants shall be based on the following criteria:

(a) Demonstrated need for the type of training offered and prospects for participant job placement or job retention and for strengthening the state's economic base.

(b) The average state unemployment rate for the 12-month period immediately preceding application for state grant assistance for the locality of the business organization.

(c) The number of persons who will become employed as a result of participation in the proposed program and the number of persons at risk of becoming unemployed to be trained in the program.

(d) Qualifications of the project director and key personnel who will be used in the program.

(e) Cost per participant and participant contact hours of training.

(f) Strength of commitment to guaranteed job placement upon completion of training.

(g) Other criteria determined by the Michigan strategic fund to be important.

(h) The development of web-based or other distance learning training programs which have the substantial potential for lowering training costs and improving access to training programs.

(11) Not more than $5,000,000.00 of the amount appropriated in part 1 for economic development job training may be allocated to rapid response grants for employee training programs which maintain or attract permanent jobs for Michigan residents. A grant under this subsection shall be awarded to eligible applicants under subsection (1)(a) by the president of the Michigan strategic fund.

(12) Participants in economic development job training programs shall be 16 years or older and not enrolled and counted in membership in a school district or intermediate school district.

(13) A grant awarded under this section may extend beyond the end of the fiscal year in which the grant is awarded and the funds awarded for the grant may be carried over into the next fiscal year for payment in the next fiscal year. Unexpended and unencumbered amounts remaining in the fiscal year ending September 30, 2000, from economic development job training grants awarded prior to September 15, 1999 may be used to award additional economic development job training grants during the fiscal year ending September 30, 2000.

(14) A recipient of a grant under this section shall not charge tuition or fees to participants in the program funded by the grant. However, a nonprofit organization may charge tuition or fees if the tuition plan or fees are recognized by the state and the nonprofit organization receives additional funding from other governmental or private funding sources for its programs.

(15) If a participant in a program funded under this section is an employee of a business organization whose employees are receiving job training under the program and the participant was an employee of that business organization prior to 30 days before the date of the grant application, the business organization shall provide at least 25% of the program's costs, excluding the costs of participants' wages for the time participants are involved in program training. For purposes of meeting the 25% match requirement, small business organizations with 250 or fewer employees worldwide at the time of application may include the costs of pretraining needs assessments and wages paid to participants while enrolled in training. This subsection does not apply to an individual who becomes a new employee of a business organization as a result of the individual's participation in the program.

(16) A grant awarded to an economic development job training grant recipient that guarantees a predetermined number of specified jobs for new employees that are directly related to the participant's area of training or for existing employees shall be paid to the grant recipient according to the following schedule:

(a) 40% of the grant amount shall be paid within 30 days after the grant is awarded.

(b) 40% of the grant amount shall be paid at the completion of the training period, after the grant recipient submits to the Michigan strategic fund an interim report specifying actual costs of the training program and training outcomes of the students.

(c) 20% of the grant amount shall be paid at the conclusion of the grant period, as determined by the Michigan strategic fund.

(17) A recipient of a grant under this section shall allow the Michigan strategic fund or its designee to audit all records related to the grant for all entities that receive money, either directly or indirectly through a contract, from the grant funds. A grant recipient or contractor shall reimburse the state for all disallowances found in the audit.

(18) The Michigan strategic fund shall provide to the state budget director and the house and senate fiscal agencies by April 15 and November 1 of each year a report on the economic development job training grants. The report due by April 15 shall provide the information described in this subsection for each grant or contract awarded during the preceding 2 quarters of the state fiscal year. The report due by November 1 shall provide this information for each grant or contract awarded during the preceding full fiscal year. The report shall contain all of the following:

(a) The amount and recipient of each grant or contract.

(b) The number of participants under each grant or contract and the number of new hires who are in training under the grant.

(c) The names, addresses, and total number of employees of all business organizations for whom training is or will be provided.

(d) The names, addresses, and a current estimate of the number of individuals affected of the companies, education institutions, and others who will utilize the web-based or other distance learning training formats developed if the funds are utilized for this purpose.

(e) The cost savings or other benefits due to utilizing web-based or other distance learning training formats as opposed to delivering a comparable training program delivered face-to-face, if the funds were utilized for the development of web-based or other distance learning training programs.

(f) The matching funds, if any, to be provided by a business organization.

Sec. 502. The travel administration may establish and collect a fee to cover the cost of materials and processing of photographic prints, slides, videotapes, and travel product data base information that are requested by the media and other segments of the public and private sectors. The fees collected shall be appropriated for all expenses necessary to purchase and distribute these photographic prints, slides, videotapes, and travel product data base information. The funds are available for expenditure when they are received by the department of treasury.

Sec. 503. The travel administration may receive and expend private revenue related to the use of the "Michigan Great Lakes. Great Times." copyrighted slogan and image. 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.

Sec. 504. Funds appropriated to the Michigan strategic fund, Michigan promotion program, shall not be expended for the purpose of nontourism-related promotional projects that would target the citizens of this state as its prime audience.

Sec. 505. (1) In addition to the funds appropriated for the Michigan strategic fund in part 1, there is appropriated an amount not to exceed $7,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to 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 $1,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to 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 $500,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this bill pursuant to section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 506. Of the funds appropriated in part 1 for economic development job training grants, the Michigan strategic fund shall not use these funds to finance the startup or in any way subsidize any private distributor of liquor products in Michigan.

Sec. 507. As a condition of receiving funds under part 1 of this bill, the Michigan strategic fund shall not expend any of the economic development job training grant funds to train any employee who is an officer of a corporation in a corporation employing more than 250 employees.



















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