pa052002

Act No. 520

Public Acts of 2002

Approved by the Governor*

July 25, 2002

Filed with the Secretary of State

July 25, 2002

EFFECTIVE DATE: July 25, 2002

*Item Vetoes

Sec. 108. DRINKING WATER PROTECTION AND RADIOLOGICAL HEALTH

Arsenic testing and public education program $ 500,000 (Page 5)

Sec. 602.

Entire Section. (Page 13)

STATE OF MICHIGAN

91ST LEGISLATURE

REGULAR SESSION OF 2002

Introduced by Senators Bennett, Gast and North

ENROLLED SENATE BILL No. 1104

AN ACT to make appropriations for the department of environmental quality for the fiscal year ending September30, 2003; to provide for the expenditure of those appropriations; to create certain funds and accounts; to require certain reports; to prescribe the powers and duties of certain state agencies and officials; to authorize certain transfers by certain state agencies; and to provide for the disposition of fees and other income received by the various state agencies.

The People of the State of Michigan enact:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. Subject to the conditions set forth in this act, the amounts listed in this part are appropriated for the department of environmental quality for the fiscal year ending September 30, 2003, from the funds indicated in this part. The following is a summary of the appropriations in this part:

DEPARTMENT OF ENVIRONMENTAL QUALITY

Full-time equated unclassified positions 6.0

Full-time equated classified positions 1,590.7

GROSS APPROPRIATION $ 404,819,600

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers $ 14,042,900

ADJUSTED GROSS APPROPRIATION $ 390,778,700

Federal revenues:

Total federal revenues 131,521,400

Special revenue funds:

Total local revenues 0

Total private revenues 435,700

Total other state restricted revenues 189,377,100

State general fund/general purpose $ 69,442,500

FUND SOURCE SUMMARY:

GROSS APPROPRIATION $ 404,819,600

Interdepartmental grant revenues:

IDG-MDCH, local public health operations 10,472,500

IDG-MDSP 632,200

IDG, Michigan transportation fund $ 884,800

IDT, interdivisional charges 2,053,400

Total interdepartmental grants and intradepartmental transfers 14,042,900

ADJUSTED GROSS APPROPRIATION $ 390,776,700

Federal revenues:

DOC-NOAA, federal 3,063,500

DOD, federal 455,300

DOI, federal 457,800

EPA-GWDW 4,740,700

EPA-LUST trust 1,977,500

EPA-UST 238,000

EPA, federal 27,805,400

EPA, radon 323,500

EPA, superfund 7,057,800

Federal revenues 85,000,000

FEMA, federal 401,900

Total federal revenues 131,521,400

Special revenue funds:

Private funds 435,700

Total private revenues 435,700

Aboveground storage tank fees 717,500

Air emissions fees 11,577,000

CESARS service fee 26,300

Clean Michigan initiative - administration 2,885,700

Clean Michigan initiative - clean water fund 3,020,000

Cleanup and redevelopment fund 12,700,000

Community pollution prevention fund 250,000

Drinking water revolving fund 6,059,500

Environmental education fund 184,500

Environmental pollution prevention fund 330,300

Environmental protection fund 15,542,700

Environmental response fund 17,933,900

Environmental training revenue 295,800

Fees and collections 818,700

Financial instruments 5,000,000

Great Lakes protection fund 2,151,100

Hazardous materials transportation permit fund 87,800

Land and water permit fees 3,111,300

Landfill maintenance trust fund 47,200

Metallic mining surveillance fee revenue 68,200

Michigan underground storage tank financial assurance fund 62,455,700

Mineral well regulatory fee revenue 215,300

Oil and gas regulatory fund 7,792,900

Orphan well fund 2,002,000

Public utility assessments 786,100

Public water supply fees 4,451,000

Publication revenue 103,200

Saginaw Bay and River restoration revenue 154,500

Sand extraction fee revenue 188,300

Scrap tire regulatory fund 1,821,500

Septage waste license fees 1,752,400

Settlement funds 3,402,100

Sewage sludge land application fee 742,500

Soil erosion and sedimentation control training fund 101,300

Solid waste program fees 1,319,900

Stormwater permit fees 1,364,000

Submerged log recovery fund 101,600

Underground storage tank fees 4,245,400

Waste reduction fee revenue $ 7,826,700

Wastewater operator training fees 168,400

Water analysis fees 2,600,400

Water pollution control revolving fund 2,884,300

Water quality protection fund 25,000

Water use reporting fees 65,100

Total other state restricted revenues 189,377,100

State general fund/general purpose $ 69,442,500

Sec. 102. EXECUTIVE

Full-time equated unclassified positions 6.0

Full-time equated classified positions 15.0

Unclassified salaries--6.0 FTE positions $ 505,000

Executive direction--8.0 FTE positions 1,057,700

Office of the Great Lakes--7.0 FTE positions 773,200

GROSS APPROPRIATION $ 2,335,900

Appropriated from:

Federal revenues:

DOI, federal 51,900

EPA, federal 101,100

Special revenue funds:

Environmental education fund 184,500

Environmental response fund 43,200

Great Lakes protection fund 101,100

Oil and gas regulatory fund 89,600

Settlement funds 210,700

State general fund/general purpose $ 1,553,800

Sec. 103. DEPARTMENT SUPPORT SERVICES

Full-time equated classified positions 75.0

Financial and business services--32.0 FTE positions $ 1,182,800

Field operations support--20.0 FTE positions 1,427,300

Automated data processing 2,053,400

Office of special environmental projects--6.0 FTE positions 592,900

Personnel--13.0 FTE positions 781,500

Administrative hearings--4.0 FTE positions 404,700

Building occupancy charges 8,572,500

Rent-privately owned property 1,836,900

Environmental support projects 5,000,000

GROSS APPROPRIATION $ 21,852,000

Appropriated from:

Interdepartmental grant revenues:

IDT, interdivisional charges 2,053,400

Federal revenues:

EPA, superfund 57,800

Special revenue funds:

Aboveground storage tank fee revenue 25,600

Air emissions fees 401,800

Clean Michigan initiative - administration 162,600

Environmental pollution prevention fund 62,900

Environmental response fund 1,297,000

Fees and collections 99,400

Financial instruments 5,000,000

Land and water permit fees 107,500

Michigan underground storage tank financial assurance fund 333,300

Oil and gas regulatory fund 598,100

Public utility assessments 12,300

Public water supply fees 528,100

Scrap tire regulatory fund $ 88,400

Settlement funds 170,600

Solid waste program fees 69,600

Stormwater permit fees 50,500

Waste reduction fee revenue 54,700

Water analysis fees 187,700

Water pollution control revolving fund 14,900

Water use reporting fees 8,400

Underground storage tank fees 206,600

State general fund/general purpose $ 10,260,800

Sec. 104. GEOLOGICAL SURVEY

Full-time equated classified positions 70.5

Services to oil and gas programs--61.0 FTE positions $ 6,756,100

Well plugging - orphan wells--2.5 FTE positions 2,002,000

Coal and sand dune management--3.0 FTE positions 594,200

Mineral wells management--3.0 FTE positions 215,300

Metallic mining reclamation program--1.0 FTE positions 68,200

GROSS APPROPRIATION $ 9,635,800

Appropriated from:

Federal revenues:

DOI, federal 405,900

Special revenue funds:

Environmental response fund 75,900

Metallic mining surveillance fee revenue 68,200

Mineral well regulatory fee revenue 215,300

Oil and gas regulatory fund 6,444,500

Orphan well fund 2,002,000

Publication revenue 103,200

Sand extraction fee revenue 188,300

State general fund/general purpose $ 132,500

Sec. 105. LAND AND WATER MANAGEMENT

Full-time equated classified positions 150.0

Land and water program direction--11.0 FTE positions $ 896,900

Field permitting and project assistance--85.0 FTE positions 7,160,800

Water management--24.0 FTE positions 2,378,300

Great Lakes shorelands--30.0 FTE positions 2,860,900

Submerged log recovery program 101,600

GROSS APPROPRIATION $ 13,398,500

Appropriated from:

Interdepartmental grant revenues:

IDG, Michigan transportation fund 838,500

Federal revenues:

EPA, federal 666,300

DOC-NOAA, federal 1,537,900

FEMA, federal 401,900

Special revenue funds:

Land and water permit fees 2,897,100

Soil erosion and sedimentation control training fund 101,300

Submerged log recovery fund 101,600

State general fund/general purpose $ 6,853,900

Sec. 106. AIR QUALITY

Full-time equated classified positions 244.5

Air quality programs--244.5 FTE positions $ 20,778,400

GROSS APPROPRIATION $ 20,778,400

Appropriated from:

Federal revenues:

EPA, federal $ 3,777,100

Special revenue funds:

Air emissions fees 10,034,100

Environmental response fund 89,200

State general fund/general purpose $ 6,878,000

Sec. 107. SURFACE WATER QUALITY

Full-time equated classified positions 206.5

Compliance and permits--109.0 FTE positions $ 9,338,400

Surface water surveillance program--36.5 FTE positions 7,932,800

Watershed management and nonpoint source--40.0 FTE positions 3,550,900

Fish contaminant monitoring contracts 321,000

Sewage sludge land application program--6.5 FTE positions 742,500

Stormwater discharge program--14.5 FTE positions 1,233,500

GROSS APPROPRIATION $ 23,119,100

Appropriated from:

Federal revenues:

EPA, federal 7,474,300

Special revenue funds:

CESARS service fee 26,300

Clean Michigan initiative - administration 577,000

Clean Michigan initiative - clean water fund 3,020,000

Environmental response fund 147,800

Saginaw Bay and River restoration revenue 154,500

Septage waste license fees 227,400

Sewage sludge land application fee 742,500

Stormwater permit fees 1,227,000

Water pollution control revolving fund 590,300

State general fund/general purpose $ 8,932,000

Sec. 108. DRINKING WATER PROTECTION AND RADIOLOGICAL HEALTH

Full-time equated classified positions 203.7

Environmental health--34.0 FTE positions $ 3,241,500

Laboratory services administration--67.0 FTE positions 5,959,000

Drinking water--86.2 FTE positions 12,423,600

Radiological protection--16.5 FTE positions 1,604,400

Groundwater use reporting 150,000

Arsenic testing and public education program 500,000

GROSS APPROPRIATION $ 23,878,500

Appropriated from:

Interdepartmental grant revenues:

IDG-MSP 632,200

Federal revenues:

EPA, federal 1,128,600

EPA-GWDW 4,075,700

EPA, radon 233,500

Special revenue funds:

Drinking water revolving fund 3,369,600

Environmental protection fund 500,000

Fees and collections 719,300

Great Lakes protection fund 150,000

Public water supply fees 2,257,600

Settlement funds 285,200

Water analysis fees 2,257,300

Water use reporting fees 56,700

State general fund/general purpose $ 8,212,800

Sec. 109. LOW-LEVEL RADIOACTIVE WASTE AUTHORITY

Full-time equated classified positions 2.0

Low-level radioactive waste authority--2.0 FTE positions $ 769,700

GROSS APPROPRIATION $ 769,700

Appropriated from:

Special revenue funds:

Public utility assessments 769,700

State general fund/general purpose $ 0

Sec. 110. ENVIRONMENTAL RESPONSE

Full-time equated classified positions 245.0

Environmental cleanup and redevelopment program $ 16,544,700

Contaminated site investigations, cleanup, and revitalization--195.0 FTE positions 15,928,100

State cleanup (part 201 of 1994 PA 451) 3,027,900

Emergency cleanup actions 2,000,000

Federal cleanup project management--50.0 FTE positions 5,025,000

Superfund cleanup 7,000,000

GROSS APPROPRIATION $ 49,525,700

Appropriated from:

Federal revenues:

DOD, federal 455,300

EPA, federal 2,818,700

EPA, superfund 7,000,000

Special revenue funds:

Private funds 135,700

Clean Michigan initiative - administration 1,472,800

Cleanup and redevelopment fund 7,234,000

Environmental protection fund 14,973,700

Environmental response fund 13,449,400

Landfill maintenance trust fund 47,200

Settlement funds 1,938,900

State general fund/general purpose $ 0

Sec. 111. STORAGE TANKS

Full-time equated classified positions 108.5

MI underground storage tank financial assurance program--34.5 FTE positions $ 61,635,700

Underground storage tank program--37.0 FTE positions 4,102,900

Aboveground storage tank program--9.0 FTE positions 691,900

Leaking underground storage tank cleanup program 5,316,000

Emergency cleanup actions 2,000,000

Leaking underground storage tank program--28.0 FTE positions 3,700,200

GROSS APPROPRIATION $ 77,446,700

Appropriated from:

Federal revenues:

EPA-LUST trust 1,977,500

EPA-UST 238,000

Special revenue funds:

Aboveground storage tank fees 691,900

Clean Michigan initiative - administration 590,900

Cleanup and redevelopment fund 2,966,000

Environmental response fund 2,439,000

Michigan underground storage tank financial assurance fund 61,635,700

Underground storage tank fees 3,864,900

State general fund/general purpose $ 3,042,800

Sec. 112. WASTE MANAGEMENT

Full-time equated classified positions 149.0

Administration and technical support--19.0 FTE positions $ 1,526,800

Compliance and enforcement--72.0 FTE positions 5,250,500

Hazardous waste permits--28.0 FTE positions $ 2,637,700

Groundwater permits--18.0 FTE positions 1,275,800

Solid waste program--12.0 FTE positions 1,061,000

Hazardous waste program support 515,000

GROSS APPROPRIATION $ 12,266,800

Appropriated from:

Federal revenues:

EPA, federal 2,929,400

Special revenue funds:

Environmental pollution prevention fund 267,400

Environmental response fund 262,700

Hazardous materials transportation permit fund 87,800

Scrap tire regulatory fund 915,000

Solid waste program fees 1,190,300

Waste reduction fee revenue 3,224,300

State general fund/general purpose $ 3,389,900

Sec. 113. ENVIRONMENTAL ASSISTANCE DIVISION

Full-time equated classified positions 99.0

Municipal assistance--32.5 FTE positions $ 2,908,200

Pollution prevention--34.0 FTE positions 3,010,800

Environmental services--12.0 FTE positions 1,847,100

Pollution prevention outreach 300,000

Technical assistance--20.5 FTE positions 3,028,200

GROSS APPROPRIATION $ 11,094,300

Appropriated from:

Federal revenues:

EPA, federal 664,600

EPA-GWDW 665,000

Special revenue funds:

Private funds 300,000

Air emissions fees 654,200

Clean Michigan initiative - administration 82,400

Drinking water revolving fund 1,274,300

Environmental training revenue 295,800

Settlement funds 67,800

Stormwater permit fees 86,500

Waste reduction fee revenue 4,162,900

Wastewater operator training fees 168,400

Water pollution control revolving fund 2,159,300

State general fund/general purpose $ 513,100

Sec. 114. CRIMINAL INVESTIGATIONS

Full-time equated classified positions 22.0

Environmental investigations--22.0 FTE positions $ 1,904,900

GROSS APPROPRIATION $ 1,904,900

Appropriated from:

Federal revenues:

EPA, federal 129,900

Special revenue funds:

MUSTFA fund 111,700

Oil and gas regulatory fund 116,500

Scrap tire regulatory fund 36,800

State general fund/general purpose $ 1,510,000

Sec. 115. GRANTS

Grants to counties--air pollution $ 85,000

Water pollution control and drinking water revolving fund 102,353,500

Noncommunity water grants 1,400,000

Land and water management grants $ 1,800,000

Federal - nonpoint source water pollution grants 6,500,000

Federal - Great Lakes remedial action plan grants 700,000

Grants to counties - water quality monitoring 2,500,000

Great Lakes research and protection grants 1,900,000

Pollution prevention local grants 250,000

Radon grants 135,000

Septage waste compliance grants 1,525,000

Scrap tire grants 700,000

Drinking water revolving fund implementation 1,330,000

Local health department operations 10,472,500

Volunteer river, stream, and creek cleanup 25,000

GROSS APPROPRIATION $ 131,676,000

Appropriated from:

Interdepartmental grant revenues:

IDG-MDCH, local public health operations 10,472,500

Federal revenues:

DOC-NOAA, federal 1,500,000

EPA, federal 7,500,000

EPA, radon 90,000

Federal revenues 85,000,000

Special revenue funds:

Cleanup and redevelopment fund 2,500,000

Community pollution prevention fund 250,000

Drinking water revolving fund 1,330,000

Great Lakes protection fund 1,900,000

Public water supply fees 1,400,000

Scrap tire regulatory fund 700,000

Septage waste license fees 1,525,000

Water quality protection fund 25,000

State general fund/general purpose $ 17,483,500

Sec. 116. INFORMATION TECHNOLOGY

Information technology services and projects $ 7,364,900

GROSS APPROPRIATION $ 7,364,900

Appropriated from:

Interdepartmental grant revenues:

IDG, Michigan transportation fund 46,300

Federal revenues:

DOC-NOAA, federal 25,600

EPA, federal 615,400

Special revenue funds:

Air emissions fees 486,900

Drinking water revolving fund 85,600

Environmental protection fund 69,000

Environmental response fund 129,700

Land and water permit fees 106,700

Michigan underground storage tank financial assurance fund 375,000

Oil and gas regulatory fund 544,200

Public utility assessments 4,100

Public water supply fees 265,300

Scrap tire regulatory fund 81,300

Settlement funds 728,900

Solid waste program fees 60,000

Underground storage tank fees 173,900

Waste reduction fee revenue 384,800

Water analysis fees 155,400

Water pollution control revolving fund 119,800

State general fund/general purpose $ 2,907,000

Sec. 117. EARLY RETIREMENT AND BUDGETARY SAVINGS

Early retirement savings $ (1,481,000)

Budgetary savings (746,600)

GROSS APPROPRIATION $ (2,227,600)

Appropriated from:

State general fund/general purpose $ (2,227,600)

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

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 2002-2003 is $258,819,600.00 and state spending from state resources to be paid to local units of government for fiscal year 2002-2003 is $15,547,500.00. The itemized statement below identifies appropriations from which spending to units of local government will occur:

DEPARTMENT OF ENVIRONMENTAL QUALITY

GRANTS

Grants to counties - air pollution $ 85,000

Local health department operations 10,472,500

Septage waste compliance program 1,525,000

Scrap tire grants 700,000

Noncommunity water grants 1,400,000

Radon grants 35,000

Drinking water grants 1,330,000

TOTAL $ 15,547,500

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

Sec. 203. As used in this act:

(a) "CESARS" means chemical evaluation search and retrieval system.

(b) "Department" means the department of environmental quality.

(d) "DOC-NOAA" means the DOC national oceanic and atmospheric administration.

(e) "DOD" means the United States department of defense.

(f) "DOE" means the United States department of energy.

(g) "DOI" means the United States department of interior.

(h) "EPA" means the United States environmental protection agency.

(i) "EPA-GWDW" means the EPA groundwater drinking water.

(j) "EPA-LUST trust" means the EPA leaking underground storage tank trust fund.

(k) "EPA, radon" means the EPA radon grants.

(l) "EPA-UST" means the EPA underground storage tank.

(m) "FEMA" means the federal emergency management agency.

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

(o) "IDG" means interdepartmental grant.

(p) "IDT" means intradepartmental transfer.

(q) "MDCH" means the Michigan department of community health.

(r) "MDSP" means the Michigan department of state police.

(s) "MI" means Michigan.

(t) "NPL" means the federal national priority list.

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) Beginning October 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 1 position to another within a department.

(2) The state budget director shall grant exceptions to the hiring freeze described in subsection (1) 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 a 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 quarterly to the chairpersons of the senate and house of representatives standing committees on appropriations the number of exceptions to the hiring freeze approved during the previous quarter and the reasons to justify the exception.

Sec. 206. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $30,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act 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 $5,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act 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 act 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 act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 207. At least 60 days before beginning any effort to privatize, the department shall submit a complete project plan to the appropriate senate and house of representatives appropriations subcommittees and the senate and house fiscal agencies. The plan shall include the criteria under which the privatization initiative will be evaluated. The evaluation shall be completed and submitted to the appropriate senate and house of representatives appropriations subcommittees and the senate and house fiscal agencies within 30 months.

Sec. 208. Unless otherwise specified in this act, the department shall use the internet to fulfill the reporting requirements of this act. 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.

Sec. 209. Funds appropriated in part 1 should not be used for the purchase of foreign goods or services, or both, if competitively priced American goods or services, or both, of comparable quality are available. Preference should be given to goods or services, or both, manufactured or provided by Michigan businesses if they are competitively priced and of comparable value.

Sec. 210. The director shall take all reasonable steps to ensure that businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. Each director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 211. (1) From funds appropriated under part 1, the department shall prepare a report that lists all of the following regarding grant or loan or grant and loan programs administered by the department for the fiscal year ending on September 30, 2003:

(a) The name of each program.

(b) The goals of the program, the criteria, eligibility, process, filing fees, nominating procedures, and deadlines for each program.

(d) The amount of any required match, and whether in-kind contributions may be used as part or all of a required match.

(e) Information pertaining to the application process, timeline for each program, and the contact people within the department.

(f) The source of funds for each program, including the citation of pertinent authorizing acts.

(g) Information regarding plans for the next fiscal year for the phaseout, expansion, or changes for each program.

(h) A listing of all recipients of grants or loans awarded by the department by type and amount of grant or loan.

(2) The reports required under this section shall be submitted to the state budget office, the senate and house appropriations committees, and senate and house fiscal agencies by January 1, 2003.

Sec. 212. By February 15, 2003, the department shall provide the state budget director, the subcommittees on natural resources and environmental quality of the senate and house appropriations committees, and the senate and house fiscal agencies with an annual report on restricted fund balances, projected revenues, and expenditures for the fiscal years ending September 30, 2002 and September 30, 2003.

Sec. 213. The department shall provide an annual report on the total amount of funds received from responsible parties and legal settlements, and the disposition of these funds. Included in the report shall be a listing of the individual settlement cases, the location of the facilities involved, the type of violation committed, and the amount of funds received.

Sec. 214. The department shall notify the legislature and shall provide a public meeting and public comment opportunity with respect to any request received by the state of Michigan to divert water from the Great Lakes pursuant to the water resources development act of 1986, Public Law 99-662, 100 Stat. 4082.

Sec. 215. (1) The department shall report all of the following information relative to allocations made in part 1 for the environmental cleanup and redevelopment program, state cleanup, emergency actions, superfund cleanup, the revitalization revolving loan program, the brownfield grants and loans program, the leaking underground storage tank cleanup program, the contaminated lake and river sediments cleanup program, and the environmental protection bond projects under section 19508(7) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19508, to the state budget director, the senate and house appropriations subcommittees on environmental quality, and the senate and house fiscal agencies:

(a) The name and location of the site for which an allocation is made.

(b) The nature of the problem encountered at the site.

(d) The estimated date that site closure activities will be completed.

(e) The amount of the allocation, or the anticipated financing for the site.

(f) A summary of the sites and the total amount of funds expended at the sites at the conclusion of the fiscal year.

(g) The number of sites that would qualify as brownfields that were redeveloped.

(2) The report prepared under subsection (1) shall also include all of the following:

(a) The status of all state-owned facilities that are on the list compiled under part 201 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.20101 to 324.20142.

(b) The report shall include the total amount of funds expended during the fiscal year and the total amount of funds awaiting expenditure.

(c) The total amount of bonds issued for the environmental protection bond program pursuant to part 193 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19301 to 324.19306, and bonds issued pursuant to the clean Michigan initiative act, 1998 PA 284, MCL 324.95101 to 324.95108.

(3) The report shall be made available by March 31 of each year.

Sec. 216. Of the money appropriated from the environmental education fund in part 1, $5,000.00 shall be allocated to Michigan State University Extension Service - 4-H Youth Programs to fund the Michigan Youth Conservation Council.

Sec. 217. The departments and state agencies receiving appropriations under this act shall receive and retain copies of all reports funded from appropriations in part 1. These departments and state agencies shall follow federal and state guidelines for short-term and long-term retention of these reports and records.

Sec. 218. (1) In addition to the funds appropriated in part 1 for the environmental cleanup and redevelopment program and the leaking underground storage tank cleanup program, the department of environmental quality is authorized to expend amounts remaining from prior fiscal year appropriations to meet funding needs of legislatively approved sites.

(2) Unexpended and unencumbered amounts remaining from appropriations from the environmental protection bond fund contained in 1989 PA 180, 1990 PA 55, 1990 PA 194, 1991 PA 31, 1991 PA 160, 1993 PA 74, 1993 PA 353, 1994 PA442, 1996 PA 353, and 1997 PA 114 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(3) Unexpended and unencumbered amounts remaining from appropriations from the cleanup and redevelopment fund and unclaimed bottle deposits fund contained in 1996 PA 319, 1997 PA 113, 1997 PA 114, 1998 PA 292, 1999 PA125, 2000 PA 275, and 2001 PA 43 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(4) Unexpended and unencumbered amounts remaining from appropriations from the clean Michigan initiative fund- response activities contained in 1999 PA 111, 2000 PA 52, 2000 PA 506, and 2001 PA 120 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

Sec. 220. The department shall report to the state budget office, the senate and house appropriations subcommittees on environmental quality, and the senate and house fiscal agencies at the end of each fiscal quarter the fund balance in the environmental response fund.

DEPARTMENT SUPPORT SERVICES

Sec. 301. Due to the consolidation of the department of environmental quality operations for the purpose of increasing agency efficiencies, effective October 1, 2002, the department of environmental quality shall not expend any of the funds appropriated in part 1 for rental payments or operational expenses for the leased premises located at the following locations:

(a) 300 South Washington, Lansing, Michigan.

(b) 300 Stroh River Place, Detroit, Michigan.

LAND AND WATER MANAGEMENT

Sec. 403. The department shall collect Great Lakes bottomland permit fees uniformly and fairly from commercial and noncommercial users of the Great Lakes bottomlands.

Sec. 404. The department may waive permit fees for nonprofit organizations conducting approved stream habitat improvement projects.

AIR QUALITY

Sec. 501. The department shall report quarterly, via the department's internet website, on air quality program expenditures and revenues. The report shall include expenditures and revenues by fund source and by program function.

SURFACE WATER QUALITY

Sec. 601. Of the funds appropriated in part 1 for surface water surveillance, a minimum of $250,000.00 shall be designated for grants to local organizations for water quality monitoring activities.

Sec. 602. Of the funds appropriated in section 107 for water quality monitoring, $20,000.00 may be provided, on a 50:50 cost-sharing basis, to erect signs at beaches owned by governmental entities. These signs will inform the public where the most recent beach water quality information may be found.

Sec. 604. The department shall review the 2002 report, "Greening the Governments", and present its analysis to the house and senate subcommittees on environmental quality on October 30, 2002. This analysis shall address specific findings of the "Greening the Governments" report that Michigan had the best water quality in 1999, as measured by the number of tons of toxic material released per $1,000,000.00 in industry gross state product. The analysis shall include specific recommendations on how Michigan can improve its environmental performance in these and other areas to be competitive with the other Great Lakes states.

DRINKING WATER

Sec. 701. The funds appropriated in part 1 for groundwater use reporting shall be awarded as a grant for the development of a groundwater database needed to model the demands for domestic water uses of groundwater supplies.

ENVIRONMENTAL RESPONSE

Sec. 801. The unexpended funds appropriated in part 1 for the state cleanup program, environmental cleanup and redevelopment program, emergency cleanup action, contaminated site investigations, cleanup and revitalization, and superfund cleanup projects are considered work project appropriations and any unencumbered or unallotted funds are carried forward into the succeeding fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the projects to be carried forward is to provide contaminated site cleanup.

(b) The projects will be accomplished by contract.

(d) The tentative completion date is September 30, 2007.

Sec. 802. Of the funds appropriated in part 1 as state match for the superfund cleanup program, an amount not to exceed $250,000.00 shall be expended as the state match for the hazardous substance research center.

Sec. 803. The funds appropriated in part 1 for the environmental cleanup and redevelopment program shall be used to fund redevelopment and cleanup activities on the following sites:

Allegan Saugatuck Twp. Contamination

Berrien Coloma DCPA Site

Calhoun Verona Well Field

Calhoun Residential Wells Tekonsha - North Plume

Cass Cass St. Area Edwardsburg

Cass Sundstrand Heat Transfer

Charlevoix East Jordan Laundromat

Charlevoix Former Boyne City Chemical

Eaton 916 S. Main Street, Eaton Rapids

Gladwin Buckeye Oil Field

Gratiot Gratiot County Landfill

Hillsdale Haischer Oil

Hillsdale Wickens Oil

Hillsdale Penland Oil

Jackson Spring Arbor Wash & Dry

Kalamazoo North 34th St. Area Richland

Kalamazoo Schoolcraft Area Organics

Livingston Main Street, Gregory

Monroe Zieman Grames Rd. Dump

Muskegon Ruddiman Creek Drum Dump

Oakland Lapeer Road Residential Wells

Oakland Waterford Hills Sanitary Landfill

Oscoda Hoskins Manufacturing

Ottawa Fenske Landfill Ottawa Co.

St. Joseph SW Sturgis TCE

Van Buren Commercial Street Industrial Area, Paw Paw

Wayne Plymouth Industrial Holding Company

Wayne General Oil Co.

Wayne Standard Tube of Detroit

Wayne CYB Tool

Wexford AAR Cadillac Mfg.

Wexford Yuma Tar

Sec. 804. Of the funds appropriated in part 1 for the environmental cleanup and redevelopment program, an amount not to exceed $2,000,000.00 shall be expended for the NPL municipal landfill match grants.

STORAGE TANKS

Sec. 901. (1) The funds appropriated in part 1 from the Michigan underground storage tank financial assurance fund for the purpose of carrying out the duties and responsibilities as specified in part 215 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.21501 to 324.21551, are considered work project appropriations and any unencumbered funds are carried forward into the succeeding fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the projects to be carried forward is to carry out the responsibilities of part 215 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.21501 to 324.21551.

(b) The projects will be accomplished by contract and state employees.

(d) The tentative completion date is September 30, 2007.

(2) The Michigan underground storage tank financial assurance policy board shall allocate the amount of the underground storage tank financial assurance fund to be distributed to the department. If the amount recommended by the board is less than that appropriated in part 1, expenditures shall be adjusted accordingly.

(3) Included in the funds appropriated in part 1 from the Michigan underground storage tank financial assurance fund are funds sufficient to pay debt service costs on the bonds or notes issued pursuant to part 215 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.21501 to 324.21551.

Sec. 902. The department shall report to the state budget director, the senate and house appropriations subcommittees on environmental quality, and the senate and house fiscal agencies not later than October 31, 2003 on the Michigan underground storage tank financial assurance fund. The report shall include the fund balance, estimate of available revenues, number and dollar value of claims processed through September 30, 2002, and total estimated claims liability through December 22, 2004.

Sec. 903. The unexpended funds appropriated in part 1 for the leaking underground storage tank cleanup program are considered work project appropriations and any unencumbered or unallotted funds are carried over into the succeeding fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the projects to be carried over is to provide for redevelopment and contaminated site cleanup.

(b) These projects will be accomplished by contract.

(d) The tentative completion date for these projects is September 30, 2007.

Sec. 904. The funds appropriated in part 1 for the leaking underground storage tank cleanup program shall be used to fund redevelopment and cleanup activities on the following sites:

Alger Melstrand General Store

Eaton 5-Star Pizza

Eaton Keweenaw Party Store

Jackson Vandy's Party Store

Monroe Mike's Quality Meats (former)

Montmorency Stoddard's A-1 Party Mart

Newaygo Up North Gift Co.

ENVIRONMENTAL ASSISTANCE

Sec. 1002. The appropriation in part 1 for environmental assistance includes $200,000.00 to support research and technology demonstration projects which encourage scrap tire recycling and reuse.

Sec. 1003. If the department participates, consults, or collaborates on a study regarding removal of automobile components in 2002, it shall review other removal options for similar components by September 30, 2003 including, but not limited to, removal from other than end-of-life vehicles.

CRIMINAL INVESTIGATIONS

Sec. 1101. From funds appropriated in part 1, the department shall conduct periodic inspections of imported solid waste at disposal facilities to mitigate the unpermitted disposal of waste at Michigan disposal sites.

Sec. 1102. With funds appropriated in part 1, the department shall provide training in support of local efforts to regulate solid waste disposal. Department environmental conservation officers shall be directed to help train law enforcement officers and other enforcement personnel to develop community partnerships to combat illegal dumping at the local level.

GRANTS

Sec. 1201. If a certified health department does not exist in a city, county, or district or does not fulfill its responsibilities under part 117 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11701 to 324.11719, then the department may spend funds appropriated in part 1 under the septage waste compliance program in accordance with section 11716 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11716.

Sec. 1202. Of the funds appropriated in part 1 for scrap tire grants, $100,000.00 shall be available for grants to communities to cover scrap tire fire suppression costs, provided owner liability bonds and other available funding sources have been exhausted.

Sec. 1204. From the funds appropriated in section 115 for the drinking water revolving loan program, the department shall provide low-interest loans for public water supply systems found to be out of compliance with federal arsenic standards.

Sec. 1205. The money appropriated in section 115 for grants to counties--water quality monitoring shall be used to establish and operate a comprehensive monitoring program to protect and manage the environmental quality of the St. Clair River, Lake St. Clair, and the Clinton River watershed.

INFORMATION TECHNOLOGY

Sec. 1301. The department of information technology shall establish a schedule of rates, user fees, and charges or assessments for standard services and information system support requirements to be made to departments for technology related services and projects. This schedule, as well as copies of related interagency agreements, shall be provided to the state budget office and the house and senate committees on appropriations before October 1, 2002.

Sec. 1302. Amounts appropriated in part 1 for information technology may be designated as work projects and carried forward to support department of environmental quality technology projects under the direction of the department of information technology. Funds designated in this manner are not available for expenditure until approved as work projects under section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a.

EARLY RETIREMENT AND BUDGETARY SAVINGS

Sec. 1501. (1) The negative appropriation for early retirement savings in part 1 shall be satisfied by savings realized from not filling all of the positions lost due to the early retirement plan for state employees enacted in 2002 PA 93 amendments to the state employees' retirement act, 1943 PA 240, MCL 38.1 to 38.69.

(2) The negative appropriation for budgetary savings in part 1 shall be satisfied by savings from the hiring freeze imposed under section 205, efficiencies, and other savings identified by the department director and approved by the state budget director.

(3) Appropriation authorization adjustments required due to negative appropriations for early retirement savings and budgetary savings shall be made only 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. 1502. (1) Subject to subsection (2), in addition to the amounts appropriated under part 1, the following amounts are appropriated for the fiscal year ending September 30, 2003:

(a) $250,000.00 is appropriated to superfund cleanup from the state general fund.

(b) $2,000,000.00 is appropriated to waste management, compliance, and enforcement from the state general fund. The appropriation from waste reduction fee revenue for this purpose is reduced by $2,000,000.00.

(d) $500,000.00 is appropriated to financial support services from the state general fund.

(e) $100,000.00 is appropriated to Great Lakes shorelands from the state general fund.

(2) The appropriations in subsection (1) shall become effective only if the tax on cigarettes under the tobacco products tax act, 1993 PA 327, MCL 205.421 to 205.436, is increased by 30 cents or more per pack of cigarettes on or before September 30, 2002.

This act is ordered to take immediate effect.

Secretary of the Senate.

Clerk of the House of Representatives.

Approved

Governor.