February 21, 2001, Introduced by Senators MC MANUS, GAST, JOHNSON, STILLE and GOSCHKA and referred to the Committee on Appropriations.
EXECUTIVE BUDGET BILL
A bill to make appropriations for the department of agriculture for the fiscal year ending September 30, 2002; to provide for the expenditure of the appropriations; to create funds; to provide for the imposition of fees; to require reports, audits, and plans; to authorize certain transfers by certain state agencies; and to provide for the disposition of fees and other income received by certain state agencies.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 101. Subject to the conditions set forth in this bill, the amounts listed in this part are appropriated for the department of agriculture for the fiscal year ending September 30, 2002, from the funds indicated in this part. The following is a summary of the appropriations in this part:
DEPARTMENT OF AGRICULTURE
APPROPRIATION SUMMARY:
Full-time equated unclassified positions 6.0
Full-time equated classified positions 661.5
GROSS APPROPRIATION $ 100,501,100
Interdepartmental grant revenues:
Total interdepartmental grants and
intradepartmental transfers 10,987,700
ADJUSTED GROSS APPROPRIATION $ 89,513,500
Federal revenues:
Total federal revenues 5,806,100
Special revenue funds:
Total local revenues 0
Total private revenues 1,121,900
Total other state restricted revenues 34,509,200
State general fund/general purpose $ 48,076,200
Sec. 102. EXECUTIVE
Full-time equated unclassified positions 6.0
Full-time equated classified positions 67.0
Commission and boards $ 63,300
Unclassified positions--6.0 FTE positions 486,700 Executive direction--4.0 FTE positions 538,000
Management services--58.0 FTE positions 5,317,300
Statistical reporting service--5.0 FTE positions 465,100
GROSS APPROPRIATION $ 6,870,400
Appropriated from:
Interdepartmental grant revenues:
IDG from MDCIS (LCC) nonretail liquor revenue
fees 8,800
Special revenue funds:
Gasoline inspection and testing fund 47,800
Industry support funds 5,000
Licensing and inspection fees 62,100
Michigan state fair revenue 79,000
Upper Peninsula state fair revenue 9,000
Agriculture equine industry development fund 3,000
State general fund/general purpose $ 6,655,700
Sec. 103. DEPARTMENTWIDE
Rent and building occupancy charges $ 1,647,100
GROSS APPROPRIATION $ 1,647,100
Appropriated from:
Special revenue funds:
Gasoline inspection and testing fund 3,200
State general fund/general purpose $ 1,643,900
Sec. 104. FOOD AND DAIRY
Full-time equated classified positions 119.0
Food safety and quality assurance--119.0 FTE
positions $ 10,375,300
Local public health 9,157,100
GROSS APPROPRIATION $ 19,532,400
Appropriated from:
Interdepartmental grant revenues:
IDG from MDCH, local public health operations 9,157,100
Federal revenues:
DAG,multiple grants 22,500
HHS-FDA 183,600
Special revenue funds:
Civil penalties 60,000
Licensing and inspection fees 2,484,000
State general fund/general purpose $ 7,625,200
Sec. 105. ANIMAL INDUSTRY
Full-time equated classified positions 56.0
Animal health and welfare--56.0 FTE positions $ 5,946,100
GROSS APPROPRIATION $ 5,946,100
Appropriated from:
Federal revenues:
HHS-FDA 9,000
Special revenue funds:
Licensing and inspection fees 201,500
Pseudorabies and swine brucellosis fund 30,000
State general fund/general purpose $ 5,705,600
Sec. 106. PESTICIDE AND PLANT PEST MANAGEMENT
Full-time equated classified positions 131.3
Pesticide and plant pest management--131.3 FTE
positions $ 13,481,700
GROSS APPROPRIATION $ 13,481,700
Appropriated from:
Federal revenues:
DAG-FS, multiple grants 1,952,200
EPA, multiple grants 1,510,000
HHS-FDA 15,400
Special revenue funds:
Private-slow-the-spread foundation 130,000
Commodity inspection fees 991,500
Licensing and inspection fees 2,278,000
State general fund/general purpose $ 6,604,600
Sec. 107. ENVIRONMENTAL STEWARDSHIP
Full-time equated classified positions 55.0
Environmental stewardship--48.0 FTE positions $ 8,756,500
Farmland and Open Space Preservation--7.0 FTE
positions 700,000
Cooperative Resource Management Program 1,000,000
Local conservation districts 2,800,000
Migrant labor housing 950,000
GROSS APPROPRIATION $ 14,206,500
Appropriated from:
Interdepartmental grant revenues:
IDG from MDEQ, biosolids 80,000
IDG from MDNR, district forestry and wildlife
program 1,000,000
IDG from MDEQ type II well survey 15,000
IDG from MDEQ, right to farm 105,000
Federal revenues:
DAG-FS, multiple grants 100,000
DAG-NRCS 250,000
EPA, multiple grants 400,000
Special revenue funds:
Private - oil company overcharge settlement 193,900
Agricultural preservation fund 700,000
Groundwater and freshwater protection fund 4,668,200
Industry support funds 40,000
State general fund/general purpose $ 6,654,400
Sec. 108. LABORATORY PROGRAM
Full-time equated classified positions 136.0
Consumer protection program--136.0 FTE positions 10,663,500 GROSS APPROPRIATION $ 10,663,500 Appropriated from:
Interdepartmental grant revenues:
IDG from MDCIS (LCC),liquor quality testing fees 164,000
Federal revenues:
DAG, multiple grants 1,137,300
Special revenue funds:
Private - oil company overcharge settlement 798,000
Agriculture equine industry development fund 509,100
Gasoline inspection and testing fund 1,472,100
Testing fees 200,700
Weights and measures regulation fees 323,400
State general fund/general purpose $ 6,058,900
Sec. 109. MARKET DEVELOPMENT
Full-time equated classified positions 22.5
Marketing and emergency management--14.5 FTE
positions $ 2,035,100
Agriculture development--8.0 FTE positions 1,598,600
Food bank 1,024,200
Grown in Michigan 100,000
Northwest Michigan horticultural research
station 41,800
Southwestern Michigan tourist council - taste
of Michigan 60,400
GROSS APPROPRIATION $ 4,860,100
Appropriated from:
Interdepartmental grant revenues:
IDG from MDCIS (LCC), nonretail liquor license
fees 457,800
Federal revenues:
DAG, multiple grants 226,100
Special revenue funds:
Industry support funds 260,000
State general fund/general purpose $ 3,916,200
Sec. 110. FAIRS AND EXPOSITIONS
Full-time equated classified positions 35.0
Michigan state fair operations--22.0 FTE
positions $ 6,092,100
Upper Peninsula state fair--8.0 FTE positions 1,392,800
Fairs and racing--5.0 FTE positions 615,800 Building and track improvement-county and
state fairs 966,300
Premiums--county and state fairs 1,707,900
Purses and supplements--fairs and licensed
tracks 2,438,200
Standardbred Fedele Fauri futurity 80,800 Standardbred Michigan futurity 80,800
Quarterhorse programs 39,600
Licensed tracks -- light horse racing 76,700
Standardbred breeders' awards 1,234,400
Standardbred purses and supplements--licensed
tracks 276,500
Standard sire stakes 1,034,200
Standardbred training and stabling 43,700
Thoroughbred program 1,809,800
Thoroughbred sire stakes 1,034,200
Thoroughbred owners' awards 155,700
Distribution of outstanding winning tickets 500,000
Draft horse shows 78,200
GROSS APPROPRIATION $ 19,657,700
Appropriated from:
Special revenue funds:
Agriculture equine industry development fund 8,804,500
Michigan state fair revenue 6,185,000
Upper Peninsula state fair revenue 1,214,900
State general fund/general purpose $ 3,453,300
Sec. 111. OFFICE OF RACING COMMISSIONER
Full-time equated classified positions 39.7
Office of racing commissioner--39.7 FTE
positions $ 3,877,200
GROSS APPROPRIATION $ 3,877,200 Appropriated from:
Special revenue funds:
Agriculture equine industry development fund 3,877,200 State general fund/general purpose $ 0
Sec. 112. BUDGETARY SAVINGS
Budgetary savings $ (241,600)
GROSS APPROPRIATION $ (241,600)
Appropriated from:
State general fund/general purpose $ (241,600)
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 2001-2002 is $82,585,400.00 and state spending from state resources to be paid to local units of government for fiscal year 2001-2002 is $4,600,000.00. The itemized statement below identifies appropriations from which spending to units of local government will occur:
DEPARTMENT OF AGRICULTURE
Groundwater and freshwater protection program $ 1,800,000
Local conservation districts 2,800,000
TOTAL $ 4,600,000
Sec. 202. The appropriations authorized under this bill are subject to the management and budget act, 1984 PA 431,MCL 18.1101 to 18.1594.
Sec. 203. As used in this bill:
(a) "DAG" means the United States department of agriculture.
(b) "DAG-FS" means the United States department of agriculture - forest service.
(c) "DAG-NRCS" means the United States department of agriculture - natural resources conservation service.
(d) "Department" means the department of agriculture.
(e) "Director" means the director of the department.
(f) "EPA" means the United States environmental protection agency.
(g) "FTE" means full-time equated.
(h) "HHS-FDA" means the United States department of health and human services - food and drug administration.
(i) "IDG" means interdepartmental grant.
(j) "MDCH" means the Michigan department of community health.
(k) "MDCIS (LCC)" means the Michigan department of consumer and industry services - liquor control commission.
(l) "MDEQ" means the Michigan department of environmental quality.
(m) "MDNR" means the Michigan department of natural resources.
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. (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 this bill 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 this bill 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 this bill 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 this bill under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.
Sec. 206. Unless otherwise specified the department shall use the Internet to fulfill the reporting requirements of this bill. This 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. Quarterly, the department shall provide to the appropriations subcommittee members, state budget office, and the fiscal agencies an electronic and paper copy listing of the reports submitted during the most recent 3-month period along with the Internet or Intranet site of each report, if any.
Sec. 207. (1) 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.
(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, cause loss of revenue to the state, result in the inability of the state to receive federal funds, or would necessitate additional expenditures that exceed any savings from maintaining a vacancy. The state budget director shall report by the thirtieth of each month to the chairpersons of the senate and house standing committees on appropriations the number of exceptions to the hiring freeze approved during the previous month and the reasons to justify the exception.
Sec. 208. (1) The negative appropriation for budgetary savings in part 1 shall be satisfied by savings from the hiring freeze imposed in Section 207 and, if necessary, by other savings identified by the department director and approved by the state budget director.
(2) Appropriation authorizations shall be adjusted after the approval of transfers by the legislature pursuant to section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.
Sec. 209. Of the funds appropriated in part 1, the department may provide for indemnity as provided for pursuant to the animal industry act of 1987, 1988 PA 466, MCL 287.701 to 287.747, not to exceed $10,000.00 per order from any line item for the fiscal year ending September 30, 2002. Before the department provides for an indemnification under this section, the department shall report the reason for the indemnification, the amount of the indemnification, and to whom the indemnification is to be paid. The report shall be given to each member of the house and senate appropriations subcommittees on agriculture and to the senate and house fiscal agencies and state budget director.
Sec. 210. The unexpended and unencumbered balance of revenue deposited pursuant to section 20 of the horse racing law of 1995, 1995 PA 279, MCL 431.320, for the fiscal year ending September 30, 2002 shall be appropriated to the Michigan agriculture equine industry development fund for distribution as set forth in section 20 of the horse racing law of 1995, 1995 PA 279, MCL 431.320.
EXECUTIVE
Sec. 301. The appropriations in part 1 may be used for per diem payments to members of boards, committees, and commissions for a full day's board, committee, or commission work at which a quorum is present; for attending a hearing as authorized by the respective board, committee, or commission; or for performing official business as authorized by the respective board, committee, or commission. The per diem payments shall be at a rate as follows:
(a) Commission of agriculture $ 75.00 per day
(b) Upper Peninsula state fair board $ 50.00 per day
(c) Agricultural marketing and bargaining board $ 35.00 per day
(d) Michigan state fair council $ 50.00 per day
(e) Grape and wine industry council $ 50.00 per day
Sec. 302. The department may receive and expend revenue and use that revenue to cover necessary expenses related to publications, audit and licensing functions, livestock sales, certification of nursery stock, bean inspection services, and laboratory analyses as specified in the following:
(a) Management services publications.
(b) Management services audit and licensing functions.
(c) Upper Peninsula state fair livestock sales.
(d) Pesticide and plant pest management propagation and certification of virus free foundation stock.
(e) Pesticide and plant pest management bean inspection and grading services.
(f) Laboratory support testing for testing horses in draft horse pulling contests at county fairs when local jurisdictions request state assistance.
(g) Laboratory support analyses to determine foreign substances in horses engaged in racing or pulling contests at tracks.
(h) Laboratory support analysis of food, livestock, and agricultural products for disease, foreign products for disease,
toxic materials, foreign substances, and quality standards.
(i) Laboratory support test samples for other agencies and organizations.
(j) Fruit and vegetable inspection at shipping and termination points and processing plants.
FOOD AND DAIRY
Sec. 401. The department shall monitor restaurant inspection and licensing functions carried out by local health departments to ensure uniform application and enforcement of minimum program requirements. On or before April 1, 2002, the department shall report to the senate and house appropriations subcommittees on agriculture, the senate and house fiscal agencies, and the state budget director on local health department conformance with minimum program requirements.
ANIMAL INDUSTRY
Sec. 501. From the funds appropriated in part 1 for the bovine tuberculosis program, the department of agriculture shall reimburse the department of natural resources for those costs associated with monitoring and testing wildlife for bovine tuberculosis that are necessary to support the department of agriculture goals and are jointly agreed to by the department of agriculture and the department of natural resources to be in excess of efforts necessary to effectively plan and execute the eradication of bovine tuberculosis from Michigan's wild free-ranging deer herd.
PESTICIDE AND PLANT PEST MANAGEMENT
Sec. 601. The department is authorized to enter into a cooperative agreement with a nonprofit foundation or agency associated with the gypsy moth slow-the-spread program in order to receive funds for managing plant pests.
ENVIRONMENTAL STEWARDSHIP
Sec. 701. The funds appropriated in part 1 for the energy conservation program shall be distributed on a competitive basis that will be based on statewide energy conservation criteria.
Sec. 702. (1) The department may expend the amount appropriated in part 1 for migrant labor housing grants for construction of new migrant labor housing. Project grants shall not exceed $4,000.00 per unit. An applicant is not eligible for more than a $16,000.00 grant in any fiscal year. Units shall be equivalent in construction to units approved by the DAG-rural development agency for low interest construction loans and shall be not less than 484 square feet in
size and be self-contained with a minimum of 1 bedroom, a kitchen, a flush toilet, a lavatory, and bathing facilities.
(2) Any unexpended migrant labor housing funds from the prior year shall be available for grants in the subsequent fiscal year.
Sec. 703. The appropriation in part 1 for local conservation districts shall be allocated in the following manner:
(a) Of the total appropriation, $690,000.00 shall be allocated for district forestry and wildlife programs to assist private land management. Grants to districts will be made in accordance with a plan developed by the department of agriculture in cooperation with the forest management division of the department of natural resources.
(b) Of the total appropriation, $130,000.00 shall be allocated for local conservation district training.
(c) Of the total appropriation, each local conservation district meeting the minimum grant requirements shall receive a grant of $20,000.00 to support basic operations, unless the district resides in a county consisting of multiple districts, in which case a $20,000.00 grant shall be divided equally among the districts in that county. The amount of money allocated under this subdivision shall not be used by local conservation districts to replace any money received from local sources.
(d) Of the remaining appropriation after distributions under subdivisions (a) through (c), additional grants, not to exceed $20,000.00 per local conservation district, may be provided based on a formula approved by the commission of agriculture. Grants under this subdivision shall require at least a 100% cash or in-kind local match. Criteria used to distribute grants under this subdivision shall include, but are not limited to, the natural resources need, the size, and the population of the area served by each local conservation district.
MARKET DEVELOPMENT
Sec. 801. Within the appropriations in part 1 for market development, $448,400.00 is for the grape and wine industry council, from which the department may provide grants for the purposes as described in section 303 of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1303.
Sec. 802. In any given year when insufficient amounts of Michigan surplus products are offered to the food bank council and accepted for distribution, unused funds may be applied by the food bank council for the direct purchase of foods from Michigan growers, manufacturers, or wholesalers.
Sec. 803. (1) The $100,000.00 appropriated in part 1 for the grown in Michigan program is to provide competitive grants to Michigan nonprofit organizations to raise in-state consumer awareness of Michigan grown commodities.
(2) The grants are to be made by the director on a competitive basis considering the following order of priority:
(a) Cooperative efforts by recognized, statewide, grower funded organizations.
(b) The number of consumers made aware of the benefits of Michigan grown commodities.
(c) The number of Michigan grown products encompassed in the proposal.
(d) The amount of the match.
(3) A grant made under this section shall not be less than $2,500.00 or more than $25,000.00.
(4) Each grant shall be matched equally with grantees' funds. In-kind contributions shall not be considered as matching funds.
Sec. 804. Indirect costs may not be charged against the future farmers of America grant in part 1 by any administering agency.
Sec. 805. The department is authorized to receive and expend up to $5,000,000 of utility company uncollectible allowance recovery fund resources which may be deposited into the agricultural development fund for the support of grants for value-added agricultural processing and agricultural production ventures in accordance with the Jullian-Stille Value-Added Act, P.A.322 of 2000. The agriculture development fund resources when certified as available by the department of treasury, shall remain unallotted until such time as the state budget director has reviewed and approved a department submitted allotment schedule. Expenditures for support of agricultural processing and production ventures shall not exceed revenues received. Unexpended resources remaining in the fund at the end of the fiscal year shall remain in the fund and not lapse to the general fund.
FAIRS AND EXPOSITIONS
Sec. 901. (1) The appropriation of $276,500.00 in part 1 for standardbred purses and supplements - licensed tracks is intended to provide state purse supplements for 4 races at state licensed pari-mutuel horse racing tracks. The purse supplements are to be used for races comprised only of Michigan-bred horses segregated into a 4-year-old colt trot division, a 4-year-old filly trot division, a 4-year-old colt pace division, and a 4-year-old filly pace division.
(2) The appropriation in part 1 for licensed tracks - light horse racing shall be allocated as follows:
Arabian and Appaloosa horse racing $ 19,200
Quarter horse racing $ 57,500
Sec. 902. Included in the appropriation made in part 1 for the thoroughbred program is $30,500.00 for the Michigan united thoroughbred breeders and owners association to conduct a thoroughbred yearling show. The Michigan united thoroughbred breeders and owners association shall submit to the department an itemized list of expenses showing that the expenses of the yearling show were paid.
Sec. 903. From the funds appropriated in part 1 for thoroughbred owners' awards, the department shall develop a program to provide for thoroughbred owners' awards that will be given to owners of Michigan-bred horses finishing first in nonrestricted races at licensed pari-mutuel tracks in Michigan.
Sec. 904. The $78,200.00 appropriated in part 1 for draft horse shows shall be allocated in equal amounts to the Can-Am draft horse show held at the Michigan state fairgrounds and the Great Lakes draft horse show held at Michigan State University.
Sec. 905. A county fair, district fair, 4-H fair, or state fair receiving funds in part 1 to be used for prizes or awards, in whole or in part, as a condition precedent to the receiving of the funds for those purposes, shall publish the rules relative to the prizes, awards, and deadlines for entries eligible for the funds in their official premium books or lists relative to the prizes or awards. An aggrieved exhibitor may make a written complaint to the fair within 10 days after the fair ends. If the fair has not satisfactorily settled the grievance within 45 days after it is submitted to the fair, the aggrieved person may file the complaint with the department and the department shall investigate the complaint and make a finding of fact regarding the complaint and take appropriate action regarding the complaint.
Sec. 906. Of the amount appropriated in part 1 for purses and supplements - fairs/licensed tracks, a sufficient amount is appropriated to provide for overnight purse supplements pursuant to the horse racing law of 1995, 1995 PA 279, MCL 431.301 to 431.336.
Sec. 907. Of the amount appropriated in part 1 for premiums, $11,400.00 shall be expended as a grant for the Michigan horse show association - fall youth show at the Michigan exposition and fairgrounds.
Sec. 908. From the appropriations for premiums - county and state fairs in part 1, $120,000.00 shall be awarded through a competitive grant program to local, regional, or state fairs or expositions to promote youth involvement and adult exhibitions in the animal agriculture industry. Appropriate exhibition classes for youth shall be developed that encourage a production exhibit for which premium awards may be paid. The age for youth exhibitors shall be
determined by the standards of the association requesting the grant or, if standards do not exist, the age for youth exhibitors shall be ages 9 through 21. Implementation of the latest technologies into the evaluation of the animals shall be encouraged in the production exhibit. Adult exhibitions should focus on the performance or end product, or both, with the appropriate technologies used to enhance placings and the awarding of premiums.
Sec. 909. The funds appropriated in part 1 for distribution of outstanding wining tickets are not available for expenditure until they are deposited in the agriculture equine industry development fund pursuant to section 2 of 1951 PA 90, MCL 431.252. These funds shall be expended in accordance with section 2 of 1951 PA 90, MCL 431.252, and only after they have been transferred to another line item in this bill under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.
Sec. 910. An individual or other entity that leases land, a building, or other property under the Michigan exposition and fairgrounds act, 1978 PA 361, MCL 285.161 to 285.176, is not eligible for a state grant, loan, appropriation, or other state subsidy related to the leased land, building, or other property.
OFFICE OF RACING COMMISSIONER
Sec. 1001. The racing commissioner may pay rewards of not more than $5,800.00 to a person who provides information that results in the arrest and conviction on a felony or misdemeanor charge for a crime that involves the horse racing industry. A reward paid pursuant to this section shall be paid out of the office of racing commissioner line item.