HB-5509, As Passed House, March 30, 2004                                    

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                  SUBSTITUTE FOR                                

                                                                                

                               HOUSE BILL NO. 5509                              

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to make appropriations for the department of agriculture                   

                                                                                

    for the fiscal year ending September 30, 2005; 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:                    

                                                                                

1                                  PART 1                                      

                                                                                

2                          LINE-ITEM APPROPRIATIONS                             

                                                                                

3       Sec. 101.  Subject to the conditions set forth in this act, the             

                                                                                

4   amounts listed in this part are appropriated for the department of          

                                                                                

5   agriculture for the fiscal year ending September 30, 2005, from the         

                                                                                

6   funds indicated in this part.  The following is a summary of the            

                                                                                

7   appropriations in this part:                                                

                                                                                


     House Bill No. 5509 (H-1) as amended March 30, 2004

   

1   DEPARTMENT OF AGRICULTURE                                                   

                                                                                

2   APPROPRIATION SUMMARY:                                                      

                                                                                

3       Full-time equated unclassified positions........5.0                     

                                                                                

4       Full-time equated classified positions........734.0                     

                                                                                

5     GROSS APPROPRIATION................................. $    [115,956,800]   

                                                                                

6       Interdepartmental grant revenues:                                       

                                                                                

7     IDG from MDCH, local public health operations.......         8,878,700    

                                                                                

8     IDG from MDCIS (LCC), liquor quality testing fees...          [117,300]   

                                                                                

9     IDG from MDCIS (LCC), nonretail liquor license fees.          [560,500]   

                                                                                

10    IDG from MDEQ, biosolids............................            86,100    

                                                                                

11    IDG from MDEQ, right to farm........................           113,000    

                                                                                

12    IDG from MDEQ, type II well survey..................            16,100    

                                                                                

13    IDG from MDNR, district forestry and wildlife                             

                                                                                

14      program...........................................         1,000,000    

                                                                                

15    Total interdepartmental grants and intradepartmental                      

                                                                                

16      transfers.........................................        10,831,700    

                                                                                

17    ADJUSTED GROSS APPROPRIATION........................ $    [105,125,100]   

                                                                                

18      Federal revenues:                                                       

                                                                                

19    HHS-FDA.............................................          [349,600]   

                                                                                

20    DAG, multiple grants................................       [30,688,100]   

                                                                                

21    EPA, multiple grants................................        [2,368,500]   

                                                                                

22    Total federal revenues..............................        33,406,200    

                                                                                

23      Special revenue funds:                                                  

                                                                                

24    Total local revenues................................                 0    

                                                                                

25    Private - slow-the-spread foundation................           138,700    

                                                                                

26    Total private revenues..............................           138,700    

                                                                                

27    Agricultural pollution prevention fund..............               100    


     House Bill No. 5509 (H-1) as amended March 30, 2004

   

1     Agricultural preservation fund......................           900,000    

                                                                                

2     Agriculture equine industry development fund........        11,202,200    

                                                                                

3     Civil penalties.....................................            43,900    

                                                                                

4     Commodity inspection fees...........................           709,400    

                                                                                

5     Gasoline inspection and testing fund................         2,035,800    

                                                                                

6     Groundwater and freshwater protection fund..........         4,812,300    

                                                                                

7     Horticulture fund...................................            74,700    

                                                                                

8     Industry support funds..............................           612,100    

                                                                                

9      Licensing and inspection fees.......................         6,232,600

 [Michigan state fair revenue.........................               100]       

                                                                                

10    Michigan underground storage tank financial                               

                                                                                

11      assurance fund....................................         3,000,000    

                                                                                

12    State services fee fund.............................         8,209,900    

                                                                                

13    Testing fees........................................           386,100    

                                                                                

14    Upper Peninsula state fair revenue..................         1,291,500    

                                                                                

15    Weights and measures regulation fees................           560,100    

                                                                                

16    Total other state restricted revenues...............       [40,070,800]   

                                                                                

17    State general fund/general purpose.................. $     [31,509,400]   

                                                                                

18      Sec. 102.  EXECUTIVE                                                        

                                                                                

19      Full-time equated unclassified positions........5.0                     

                                                                                

20      Full-time equated classified positions.........52.0                     

                                                                                

21    Commissions and boards.............................. $          47,300    

                                                                                

22    Unclassified positions--5.0 FTE positions...........           354,000    

                                                                                

23    Executive direction--10.0 FTE positions.............         1,128,500    

                                                                                

24    Management services--35.5 FTE positions.............         2,864,100    

                                                                                

25    Statistical reporting service--4.0 FTE positions....           342,200    

                                                                                

26    Emergency management--2.5 FTE positions.............           206,900    

                                                                                

27    GROSS APPROPRIATION................................. $       4,943,000    


                                                                                

1         Appropriated from:                                                    

                                                                                

2       Interdepartmental grant revenues:                                       

                                                                                

3     IDG from MDCIS (LCC), nonretail liquor license fees.             8,800    

                                                                                

4       Special revenue funds:                                                  

                                                                                

5     Gasoline inspection and testing fund................            52,500    

                                                                                

6     Industry support funds..............................            30,000    

                                                                                

7     State services fee fund.............................           352,000    

                                                                                

8     Upper Peninsula state fair revenue..................             9,000    

                                                                                

9     State general fund/general purpose.................. $       4,490,700    

                                                                                

10      Sec. 103.  DEPARTMENTWIDE                                                   

                                                                                

11    Employee turnover savings........................... $        (100,000)   

                                                                                

12    Rent and building occupancy charges.................         1,486,400    

                                                                                

13    GROSS APPROPRIATION................................. $       1,386,400    

                                                                                

14        Appropriated from:                                                    

                                                                                

15      Interdepartmental grant revenues:                                       

                                                                                

16    IDG from MDLEG (LCC), nonretail liquor license fees.             5,800    

                                                                                

17      Federal revenues:                                                       

                                                                                

18    DAG, multiple grants................................           100,500    

                                                                                

19    EPA, multiple grants................................            61,200    

                                                                                

20    HHS-FDA.............................................            13,100    

                                                                                

21      Special revenue funds:                                                  

                                                                                

22    Agriculture equine industry development fund........         2,025,000    

                                                                                

23    Agricultural preservation fund......................            23,900    

                                                                                

24    Groundwater and freshwater protection fund..........             9,500    

                                                                                

25    Licensing and inspection fees.......................            48,200    

                                                                                

26    State services fee fund.............................           304,600    

                                                                                

27    State general fund/general purpose.................. $      (1,205,400)   


                                                                                

1       Sec. 104.  FOOD AND DAIRY                                                   

                                                                                

2       Full-time equated classified positions........107.0                     

                                                                                

3     Food safety and quality assurance--107.0 FTE                              

                                                                                

4       positions......................................... $      11,313,800    

                                                                                

5     Local public health operations......................         8,878,700    

                                                                                

6     GROSS APPROPRIATION................................. $      20,192,500    

                                                                                

7         Appropriated from:                                                    

                                                                                

8       Interdepartmental grant revenues:                                       

                                                                                

9     IDG from MDCH, local public health operations.......         8,878,700    

                                                                                

10      Federal revenues:                                                       

                                                                                

11    DAG, multiple grants................................            24,800    

                                                                                

12    HHS-FDA.............................................           203,700    

                                                                                

13      Special revenue funds:                                                  

                                                                                

14    Civil penalties.....................................            43,900    

                                                                                

15    Licensing and inspection fees.......................         3,030,400    

                                                                                

16    State general fund/general purpose.................. $       8,011,000    

                                                                                

17      Sec. 105.  ANIMAL INDUSTRY                                                  

                                                                                

18      Full-time equated classified positions.........49.0                     

                                                                                

19    Animal health and welfare--22.5 FTE positions....... $       2,391,100    

                                                                                

20    Bovine tuberculosis program--26.5 FTE positions.....         5,222,400    

                                                                                

21    GROSS APPROPRIATION................................. $       7,613,500    

                                                                                

22        Appropriated from:                                                    

                                                                                

23      Federal revenues:                                                       

                                                                                

24    DAG, multiple grants................................         1,251,000    

                                                                                

25    HHS-FDA.............................................            68,800    

                                                                                

26      Special revenue funds:                                                  

                                                                                

27    Agriculture equine industry development fund........            52,800    


                                                                                

1     Licensing and inspection fees.......................           180,800    

                                                                                

2     Pseudorabies and swine brucellosis fund.............            21,200    

                                                                                

3     State general fund/general purpose.................. $       6,038,900    

                                                                                

4       Sec. 106.  PESTICIDE AND PLANT PEST MANAGEMENT                              

                                                                                

5       Full-time equated classified positions........274.8                     

                                                                                

6     Pesticide and plant pest management--119.8 FTE                            

                                                                                

7       positions......................................... $      12,494,400    

                                                                                

8     Emerald ash borer control program--155.0 FTE                              

                                                                                

9       positions.........................................        25,197,300    

                                                                                

10    GROSS APPROPRIATION................................. $      37,691,700    

                                                                                

11        Appropriated from:                                                    

                                                                                

12      Federal revenues:                                                       

                                                                                

13    DAG, multiple grants................................        27,272,500    

                                                                                

14    EPA, multiple grants................................         1,563,500    

                                                                                

15    HHS-FDA.............................................            64,000    

                                                                                

16      Special revenue funds:                                                  

                                                                                

17    Private - slow-the-spread foundation................           138,700    

                                                                                

18    Commodity inspection fees...........................           709,400    

                                                                                

19    Horticulture fund...................................            74,700    

                                                                                

20    Industry support funds..............................           319,900    

                                                                                

21    Licensing and inspection fees.......................         2,860,700    

                                                                                

22    State general fund/general purpose.................. $       4,688,300    

                                                                                

23      Sec. 107.  ENVIRONMENTAL STEWARDSHIP                                        

                                                                                

24      Full-time equated classified positions.........47.0                     

                                                                                

25    Environmental stewardship--32.7 FTE positions....... $       2,570,700    

                                                                                

26    Groundwater and freshwater protection program--8.3                        

                                                                                

27      FTE positions.....................................         4,931,700    


                                                                                

1     Farmland and open space preservation--6.0 FTE                             

                                                                                

2       positions.........................................           875,900    

                                                                                

3     Agriculture pollution prevention program............               100    

                                                                                

4     Cooperative resources management initiative program.         1,000,000    

                                                                                

5     Local conservation districts........................         1,580,000    

                                                                                

6     Migrant labor housing...............................           255,000    

                                                                                

7     GROSS APPROPRIATION................................. $      11,213,400    

                                                                                

8         Appropriated from:                                                    

                                                                                

9       Interdepartmental grant revenues:                                       

                                                                                

10    IDG from MDEQ, biosolids............................            86,100    

                                                                                

11    IDG from MDEQ, type II well survey..................            16,100    

                                                                                

12    IDG from MDNR, district forestry and wildlife                             

                                                                                

13      program...........................................         1,000,000    

                                                                                

14    IDG from MDEQ, right to farm........................           113,000    

                                                                                

15      Federal revenues:                                                       

                                                                                

16    EPA, multiple grants................................           419,700    

                                                                                

17      Special revenue funds:                                                  

                                                                                

18    Agricultural pollution prevention fund..............               100    

                                                                                

19    Agricultural preservation fund......................           875,900    

                                                                                

20    Groundwater and freshwater protection fund..........         4,802,700    

                                                                                

21    State general fund/general purpose.................. $       3,899,800    

                                                                                

22      Sec. 108.  LABORATORY PROGRAM                                               

                                                                                

23      Full-time equated classified positions........148.0                     

                                                                                

24    Laboratory services--148.0 FTE positions............ $      11,850,300    

                                                                                

25    GROSS APPROPRIATION................................. $      11,850,300    

                                                                                

26        Appropriated from:                                                    

                                                                                

27      Interdepartmental grant revenues:                                       


     House Bill No. 5509 (H-1) as amended March 30, 2004

   

1     IDG from MDLEG (LCC), liquor quality testing fees...           174,500    

                                                                                

2       Federal revenues:                                                       

                                                                                

3     DAG, multiple programs..............................         1,926,900    

                                                                                

4     EPA, multiple programs..............................           324,100    

                                                                                

5       Special revenue funds:                                                  

                                                                                

6     Gasoline inspection and testing fund................         1,957,100    

                                                                                

7     Michigan underground storage tank financial                               

                                                                                

8       assurance fund....................................         3,000,000    

                                                                                

9     State services fee fund.............................           479,600    

                                                                                

10    Testing fees........................................           386,100    

                                                                                

11    Weights and measures regulation fees................           560,100    

                                                                                

12    State general fund/general purpose.................. $       3,041,900    

                                                                                

13      Sec. 109.  AGRICULTURE DEVELOPMENT                                          

                                                                                

14      Full-time equated classified positions..........8.0                     

                                                                                

15    Agriculture development--5.0 FTE positions.......... $         944,400    

                                                                                

16    Grape and wine program--3.0 FTE positions...........           677,600    

                                                                                

17    Food bank...........................................          [640,500]   

                                                                                

18    Future farmers of America...........................            60,000    

                                                                                

19    GROSS APPROPRIATION................................. $      [2,322,500]   

                                                                                

20        Appropriated from:                                                    

                                                                                

21      Interdepartmental grant revenues:                                       

                                                                                

22    IDG from MDLEG (LCC), nonretail liquor license fees.           545,400    

                                                                                

23      Federal revenues:                                                       

                                                                                

24    DAG, multiple grants................................           112,400    

                                                                                

25     Special revenue funds:                                                  

                                                                                

26    Industry support funds..............................           232,200    

                                                                                

27    State services fee fund.............................           263,700    


     House Bill No. 5509 (H-1) as amended March 30, 2004

   

1     State general fund/general purpose.................. $      [1,168,800]   

                                                                                

2       Sec. 110.  FAIRS AND EXPOSITIONS                                            

                                                                                

3       Full-time equated classified positions.........16.5                     

     [Michigan state fair operations......................               100]   

4     Upper Peninsula state fair--7.0 FTE positions....... $       1,281,600    

                                                                                

5     Fairs, racing and producer security--9.5 FTE                              

                                                                                

6       positions.........................................           961,100    

                                                                                

7     Building and track improvement - county and state                         

                                                                                

8       fairs.............................................           963,200    

                                                                                

9     Distribution of outstanding winning tickets.........           700,000    

                                                                                

10    Licensed tracks - light horse racing................            76,500    

                                                                                

11    Premiums - county and state fairs...................         1,614,000    

                                                                                

12    Purses and supplements - fairs/licensed tracks......         2,431,700    

                                                                                

13    Quarterhorse programs...............................            39,600    

                                                                                

14    Standardbred breeders' awards.......................         1,230,900    

                                                                                

15    Standardbred Fedele Fauri futurity..................            80,500    

                                                                                

16    Standardbred Michigan futurity......................            80,500    

                                                                                

17    Standardbred purses and supplements - licensed                            

                                                                                

18      tracks............................................           275,700    

                                                                                

19    Standardbred sire stakes............................         1,031,300    

                                                                                

20    Standardbred training and stabling..................            43,600    

                                                                                

21    Thoroughbred owners' awards.........................           155,200    

                                                                                

22    Thoroughbred program................................         1,804,800    

                                                                                

23    Thoroughbred sire stakes............................         1,031,300    

                                                                                

24    GROSS APPROPRIATION................................. $     [13,801,600]   

                                                                                

25        Appropriated from:                                                    

                                                                                

26      Special revenue funds:                                                  

                                                                                

27    Agriculture equine industry development fund........         8,981,600    


     House Bill No. 5509 (H-1) as amended March 30, 2004

   

1     Industry support funds..............................            30,000    

                                                                                

2     Licensing and inspection fees.......................           112,500    

     [Michigan state fair revenue.........................               100]   

3     State services fee fund.............................         3,177,500    

                                                                                

4     Upper Peninsula state fair revenue..................         1,281,600    

                                                                                

5     State general fund/general purpose.................. $         218,300    

                                                                                

6       Sec. 111.  OFFICE OF RACING COMMISSIONER                                    

                                                                                

7       Full-time equated classified positions.........31.7                     

                                                                                

8     Office of racing commissioner--31.7 FTE positions... $       3,609,200    

                                                                                

9     GROSS APPROPRIATION................................. $       3,609,200    

                                                                                

10        Appropriated from:                                                    

                                                                                

11      Special revenue funds:                                                  

                                                                                

12    State services fee fund.............................         3,609,200    

                                                                                

13    State general fund/general purpose.................. $               0    

                                                                                

14      Sec. 112.  INFORMATION AND TECHNOLOGY                                       

                                                                                

15    Information technology services and projects........ $       1,332,700    

                                                                                

16    GROSS APPROPRIATION................................. $       1,332,700    

                                                                                

17        Appropriated from:                                                    

                                                                                

18      Interdepartmental grant revenues:                                       

                                                                                

19    IDG from MDLEG (LCC), liquor quality testing fees...             2,800    

                                                                                

20    IDG from MDLEG (LCC), nonretail liquor license fees.               500    

                                                                                

21      Special revenue funds:                                                  

                                                                                

22    Groundwater and freshwater protection fund..........               100    

                                                                                

23    Agriculture equine industry development fund........           142,800    

                                                                                

24    Agricultural preservation fund......................               200    

                                                                                

25    State services fee fund.............................             2,100    

                                                                                

26    Upper Peninsula state fair revenue..................               900    

                                                                                

27    Gasoline inspection testing fund....................            26,200    


     House Bill No. 5509 (H-1) as amended March 30, 2004

   

1     State general fund/general purpose.................. $       1,157,100    

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

2                                     PART 2                                    

                                                                                

3                      PROVISIONS CONCERNING APPROPRIATIONS                     

                                                                                

4   GENERAL SECTIONS                                                            

                                                                                

5       Sec. 201.  Pursuant to section 30 of article IX of the state                

                                                                                

6   constitution of 1963, total state spending from state resources under       

                                                                                

7   part 1 for fiscal year 2004-2005 is [$71,580,200.00] and state spending     

                                                                                

8   from state resources to be paid to local units of government for            

                                                                                

9   fiscal year 2004-2005 is $3,380,000.00.  The itemized statement below       

                                                                                

10  identifies appropriations from which spending to local units of             

                                                                                

11  government will occur:                                                      

                                                                                

12  DEPARTMENT OF AGRICULTURE                                                   

                                                                                

13    Groundwater and freshwater protection program....... $       1,800,000    

                                                                                

14    Local conservation districts........................         1,580,000    

                                                                                

15    TOTAL............................................... $       3,380,000    

                                                                                

16      Sec. 202.  The appropriations authorized under this act are                 

                                                                                

17  subject to the management and budget act, 1984 PA 431, MCL 18.1101 to       

                                                                                

18  18.1594.                                                                    

                                                                                

19      Sec. 203.  As used in this act:                                             

                                                                                

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

                                                                                

21      (b)  "Department" means the department of agriculture.                      

                                                                                

22      (c)  "Director" means the director of the department.                       

                                                                                

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

                                                                                

24      (e)  "FTE" means full-time equated.                                         

                                                                                

25      (f)  "HHS-FDA" means the United States department of health and             


                                                                                

1   human services - food and drug administration.                              

                                                                                

2       (g)  "IDG" means interdepartmental grant.                                   

                                                                                

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

                                                                                

4       (i)  "MDLEG (LCC)" means the Michigan department of labor and               

                                                                                

5   economic growth - liquor control commission.                                

                                                                                

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

                                                                                

7       (k)  "MDNR" means the Michigan department of natural resources.             

                                                                                

8       Sec. 204.  The department of civil service shall bill departments           

                                                                                

9   and agencies at the end of the first fiscal quarter for the 1% charge       

                                                                                

10  authorized by section 5 of article XI of the state constitution of          

                                                                                

11  1963.  Payments shall be made for the total amount of the billing by        

                                                                                

12  the end of the second fiscal quarter.                                       

                                                                                

13      Sec. 208.  Unless otherwise specified, the department shall use             

                                                                                

14  the Internet to fulfill the reporting requirements of this act.  This       

                                                                                

15  shall include transmission of reports via electronic mail to the            

                                                                                

16  recipients identified for each reporting requirement and shall include      

                                                                                

17  placement of reports on an Internet or Intranet site.                       

                                                                                

18      Sec. 209.  (1) Funds appropriated in part 1 shall not be used for           

                                                                                

19  the purchase of foreign goods or services, or both, if competitively        

                                                                                

20  priced and of comparable quality American goods or services, or both,       

                                                                                

21  are available.                                                              

                                                                                

22      (2) In addition to the requirements in subsection (1), the                  

                                                                                

23  purchase of goods or services, or both, if competitively priced and of      

                                                                                

24  comparable quality shall be Michigan goods or services, or both, if         

                                                                                

25  available.  The department shall also encourage the use of Michigan         

                                                                                

26  produced agricultural products by all state agencies and departments        

                                                                                

27  if competitively priced and of comparable quality, if available.            


                                                                                

1       Sec. 210.  The director of each department receiving                        

                                                                                

2   appropriations in part 1 shall take all reasonable steps to ensure          

                                                                                

3   businesses in deprived and depressed communities compete for and            

                                                                                

4   perform contracts to provide services or supplies, or both.  Each           

                                                                                

5   director shall strongly encourage firms with which the department           

                                                                                

6   contracts to subcontract with certified businesses in depressed and         

                                                                                

7   deprived communities for services, supplies, or both.                       

                                                                                

8       Sec. 211.  (1) The unexpended and unobligated balance of any                

                                                                                

9   state restricted fund or account remaining at the end of the fiscal         

                                                                                

10  year shall revert back to the state restricted fund or account from         

                                                                                

11  which appropriated and be available for appropriation for the next          

                                                                                

12  fiscal year.  Appropriations that revert to a state restricted fund or      

                                                                                

13  account pursuant to this section shall not revert to the general fund       

                                                                                

14  of this state.                                                              

                                                                                

15      (2) A state restricted revenue fund or account that receives                

                                                                                

16  revenues in excess of expenditures made from that state restricted          

                                                                                

17  revenue fund or account shall not have the excess revenue revert to         

                                                                                

18  the general fund of this state.                                             

                                                                                

19      Sec. 212.  (1) Of the funds appropriated in part 1, the                     

                                                                                

20  department may provide for indemnity as provided for pursuant to the        

                                                                                

21  animal industry act of 1987, 1988 PA 466, MCL 287.701 to 287.745, not       

                                                                                

22  to exceed $100,000.00 per order from any line item for the fiscal year      

                                                                                

23  ending September 30, 2005.  Before the department provides for an           

                                                                                

24  indemnification under this section, the department shall report the         

                                                                                

25  reason for the indemnification, the amount of the indemnification, and      

                                                                                

26  to whom the indemnification is to be paid.  The report shall be given       

                                                                                

27  to each member of the house and senate appropriations subcommittees on      


                                                                                

1   agriculture and to the senate and house fiscal agencies and the state       

                                                                                

2   budget director.                                                            

                                                                                

3       (2) The department of agriculture shall make an indemnification             

                                                                                

4   payment for the fair market value of an apiarian loss caused by a bear      

                                                                                

5   and payment for the fair market value of livestock killed by a wolf,        

                                                                                

6   if the kill is verified by the department of natural resources.  The        

                                                                                

7   fair market value of the livestock shall be determined pursuant to the      

                                                                                

8   indemnification procedures prescribed in the animal industry act, 1988      

                                                                                

9   PA 466, MCL 287.701 to 287.745.  In addition to the funds appropriated      

                                                                                

10  in part 1, the department of agriculture is authorized to expend the        

                                                                                

11  funds received from the department of natural resources to reimburse        

                                                                                

12  the department of agriculture for all indemnification payments made         

                                                                                

13  pursuant to this subsection.                                                

                                                                                

14      Sec. 214.  Of the funds appropriated in part 1 that are other               

                                                                                

15  than line-item grants, the department shall not provide grants to           

                                                                                

16  local government agencies, institutions of higher education, or             

                                                                                

17  nonprofit organizations unless the department provides notice of the        

                                                                                

18  grant to the house and senate appropriations subcommittees on               

                                                                                

19  agriculture at least 10 days before the grant is issued.  The grants        

                                                                                

20  shall be used to support research or other related activities for the       

                                                                                

21  purpose of enhancing the agricultural industries in this state.             

                                                                                

22      Sec. 216.  The unexpended and unencumbered balance of revenue               

                                                                                

23  deposited pursuant to section 20 of the horse racing law of 1995, 1995      

                                                                                

24  PA 279, MCL 431.320, for the fiscal year ending September 30, 2004,         

                                                                                

25  shall be appropriated to the Michigan agriculture equine industry           

                                                                                

26  development fund for distribution as set forth in section 20 of the         

                                                                                

27  horse racing law of 1995, 1995 PA 279, MCL 431.320.                         


     House Bill No. 5509 (H-1) as amended March 30, 2004

   

1       Sec. 219.  The department of information technology shall                   

                                                                                

2   annually publish a schedule of rates, user fees, and charges or             

                                                                                

3   assessments for standard services and information system support            

                                                                                

4   requirements to be made to departments for technology related services      

                                                                                

5   and projects.  This schedule, as well as copies of related interagency      

                                                                                

6   agreements, shall be provided to the state budget office and the house      

                                                                                

7   and senate committees on appropriations before October 15, 2004.  The       

                                                                                

8   department of agriculture shall not process any payments or fund            

                                                                                

9   transfers to the department of information technology until 30 days         

                                                                                

10  after the 2004-2005 fiscal year schedule of rates, user fees, and           

                                                                                

11  assessments is provided to the legislature, pursuant to this section.       

                                                                                

12      Sec. 220.  Amounts appropriated in part 1 for information                   

                                                                                

13  technology may be designated as work projects and carried forward to        

                                                                                

14  support technology projects under the direction of the department of        

                                                                                

15  information technology.  Funds designated in this manner are not            

                                                                                

16  available for expenditure until approved as work projects under             

                                                                                

17  section 451a of the management and budget act, 1984 PA 431, MCL             

                                                                                

18  18.1451a.                                                                   

                                                                                

19      Sec. 224.  In addition to the appropriations contained in part 1,           

                                                                                

20  if legislation creating an agricultural enhancement fund is enacted         

                                                                                

21  before September 30, 2005, or existing casino compacts are                  

                                                                                

22  renegotiated and revenue is available from those sources, programs,         

                                                                                

23  services, and projects are appropriated in the following amounts and        

                                                                                

24  order of priority:                                                          

                                                                                

25      (a) $1,000,000.00 for market development [including aquaculture and cervidae programs].                                                                      

                                                                                

26      (b) $1,000,000.00 for the control and elimination of animal                 

                                                                                

27  species and cross species diseases, including zoonotic and cervidae         


                                                                                

1   diseases.                                                                   

                                                                                

2       (c) $1,000,000.00 for county fairs and agricultural societies that          

                                                                                

3   sponsor county fairs, as defined in 1929 PA 11, MCL 46.151 to 46.153,       

                                                                                

4   and 1855 PA 80, MCL 453.231 to 453.240.                                     

                                                                                

5       (d) $600,000.00 for migrant housing.                                        

                                                                                

6       (e) $200,000.00 for local conservation districts.                           

                                                                                

7       (f) $50,000.00 for future farmers of America.                               

                                                                                

8       (g) $450,000.00 for northwest horticultural research station.               

                                                                                

9       Sec. 225.  (1) In addition to the funds appropriated in part 1,             

                                                                                

10  there is appropriated an amount not to exceed $10,000,000.00 for            

                                                                                

11  federal contingency funds.  These funds are not available for               

                                                                                

12  expenditure until they have been transferred to another line item in        

                                                                                

13  this act under section 393(2) of the management and budget act, 1984        

                                                                                

14  PA 431, MCL 18.1393.                                                        

                                                                                

15      (2) In addition to the funds appropriated in part 1, there is               

                                                                                

16  appropriated an amount not to exceed $6,000,000.00 for state                

                                                                                

17  restricted contingency funds.  These funds are not available for            

                                                                                

18  expenditure until they have been transferred to another line item in        

                                                                                

19  this act under section 393(2) of the management and budget act, 1984        

                                                                                

20  PA 431, MCL 18.1393.                                                        

                                                                                

21      (3) In addition to the funds appropriated in part 1, there is               

                                                                                

22  appropriated an amount not to exceed $100,000.00 for local contingency      

                                                                                

23  funds.  These funds are not available for expenditure until they have       

                                                                                

24  been transferred to another line item in this act under section 393(2)      

                                                                                

25  of the management and budget act, 1984 PA 431, MCL 18.1393.                 

                                                                                

26      (4) In addition to the funds appropriated in part 1, there is               

                                                                                

27  appropriated an amount not to exceed $100,000.00 for private                


                                                                                

1   contingency funds.  These funds are not available for expenditure           

                                                                                

2   until they have been transferred to another line item in this act           

                                                                                

3   under section 393(2) of the management and budget act, 1984 PA 431,         

                                                                                

4   MCL 18.1393.                                                                

                                                                                

                                                                                

                                                                                

5   EXECUTIVE                                                                   

                                                                                

6       Sec. 301.  Per diem rates for commodity committees established in           

                                                                                

7   the agriculture commodities marketing act, 1965 PA 232, MCL 290.651 to      

                                                                                

8   290.674, 1970 PA 29, MCL 290.421 to 290.430, 1964 PA 114, MCL 290.551       

                                                                                

9   to 290.568, and the beef industry commission act, 1972 PA 291, MCL          

                                                                                

10  287.601 to 287.610, will be set based upon levels established in            

                                                                                

11  section 301 of 2002 PA 516.                                                 

                                                                                

12      Sec. 302.  The department may receive and expend revenue and use            

                                                                                

13  that revenue to cover necessary expenses related to publications,           

                                                                                

14  audit and licensing functions, livestock sales, certification of            

                                                                                

15  nursery stock, bean inspection services, and laboratory analyses as         

                                                                                

16  specified in the following:                                                 

                                                                                

17      (a) Management services publications.                                       

                                                                                

18      (b) Management services audit and licensing functions.                      

                                                                                

19      (c) Pesticide and plant pest management propagation and                     

                                                                                

20  certification of virus free foundation stock.                               

                                                                                

21      (d) Pesticide and plant pest management bean inspection and                 

                                                                                

22  grading services.                                                           

                                                                                

23      (e) Laboratory support testing for testing horses in draft horse            

                                                                                

24  pulling contests at county fairs when local jurisdictions request           

                                                                                

25  state assistance.                                                           

                                                                                

26      (f) Laboratory support analyses to determine foreign substances in          


                                                                                

1   horses engaged in racing or pulling contests at tracks.                     

                                                                                

2       (g) Laboratory support analysis of food, livestock, and                     

                                                                                

3   agricultural products for disease, foreign products for disease, toxic      

                                                                                

4   materials, foreign substances, and quality standards.                       

                                                                                

5       (h) Laboratory support test samples for other agencies and                  

                                                                                

6   organizations.                                                              

                                                                                

7       (i) Fruit and vegetable inspection at shipping and termination              

                                                                                

8   points and processing plants.                                               

                                                                                

9       Sec. 303.  Of the funds appropriated in part 1 for statistical              

                                                                                

10  reporting service, $90,000.00 shall be used for surveys which include,      

                                                                                

11  but are not limited to, fruit, vegetables, and nursery stock, which         

                                                                                

12  encompasses Christmas trees and ornamental plants.  The director of         

                                                                                

13  the Michigan department of agriculture is given authority to include        

                                                                                

14  other agricultural surveys such as turfgrass in the 3- to 5-year            

                                                                                

15  rotation.  The survey shall include information such as existing            

                                                                                

16  plantings/acreage, new plantings/acreage, production, and number of         

                                                                                

17  growers.                                                                    

                                                                                

                                                                                

18  FOOD AND DAIRY                                                              

                                                                                

19      Sec. 401.  (1) The department shall monitor restaurant inspection           

                                                                                

20  and licensing functions carried out by local health departments to          

                                                                                

21  ensure uniform application and enforcement of minimum program               

                                                                                

22  requirements.  Priority shall be given to high risk areas, consumer         

                                                                                

23  complaints, and grade A milk inspections.  On or before April 1, 2005,      

                                                                                

24  the department shall report to the senate and house appropriations          

                                                                                

25  subcommittees on agriculture, the senate and house fiscal agencies,         

                                                                                

26  and the state budget director on local health department conformance        

                                                                                

27  with minimum program requirements.                                          


                                                                                

1       (2) If a local unit of government incurs additional costs                   

                                                                                

2   resulting from its efforts to control a significant food-borne              

                                                                                

3   outbreak, the director shall seek additional resources to reimburse         

                                                                                

4   the local unit of government for these additional costs.  The director      

                                                                                

5   shall involve the local health officer of the jurisdiction affected in      

                                                                                

6   all aspects of the control of any food-borne outbreak.                      

                                                                                

7       Sec. 402.  Not later than April 1, 2005, the department shall               

                                                                                

8   provide a report to the house and senate appropriations subcommittees       

                                                                                

9   on agriculture and the house and senate fiscal agencies describing          

                                                                                

10  significant food-borne outbreaks and emergencies including any              

                                                                                

11  enforcement actions taken related to food safety during the 2003-2004       

                                                                                

12  fiscal year.                                                                

                                                                                

13      Sec. 403.  The department, in conjunction with the department of            

                                                                                

14  community health, shall assure that a process is in place that              

                                                                                

15  requires a local unit of government to obtain prior approval from the       

                                                                                

16  department before any reallocation or redistribution of program funds       

                                                                                

17  appropriated in section 104.                                                

                                                                                

                                                                                

18  ANIMAL INDUSTRY                                                             

                                                                                

19      Sec. 450.  From the funds appropriated in section 105 for the               

                                                                                

20  bovine tuberculosis program, the department of agriculture shall            

                                                                                

21  reimburse the department of natural resources for those costs               

                                                                                

22  associated with monitoring and testing wildlife for bovine                  

                                                                                

23  tuberculosis that are necessary to support the department of                

                                                                                

24  agriculture goals and are jointly agreed to by the department of            

                                                                                

25  agriculture and the department of natural resources to be in excess of      

                                                                                

26  efforts necessary to effectively plan and execute the eradication of        

                                                                                

27  bovine tuberculosis from Michigan's wild free-ranging deer herd.            


                                                                                

1       Sec. 451.  From the funds appropriated in section 105 for bovine            

                                                                                

2   tuberculosis, the department shall pay for all whole herd and               

                                                                                

3   individual animal testing costs to achieve and maintain split-state         

                                                                                

4   status requirements.  These costs include producer assistance,              

                                                                                

5   indemnity, and compensation for injury causing death or downer to           

                                                                                

6   animals.                                                                    

                                                                                

7       Sec. 452.  In the event of a significant animal or plant health             

                                                                                

8   outbreak, the director shall seek additional state and federal              

                                                                                

9   resources to cover the additional costs associated with addressing the      

                                                                                

10  outbreak.                                                                   

                                                                                

                                                                                

                                                                                

11  PESTICIDE AND PLANT PEST MANAGEMENT                                         

                                                                                

12      Sec. 501.  Of the funds appropriated in section 106 to the                  

                                                                                

13  pesticide and plant pest management division, up to $100,000.00 may be      

                                                                                

14  made available to the Michigan cooperative extension service for the        

                                                                                

15  purpose of training of applicators.  Reimbursement shall be based on        

                                                                                

16  actual expenditures and revenue availability.                               

                                                                                

                                                                                

                                                                                

17  ENVIRONMENTAL STEWARDSHIP                                                   

                                                                                

18      Sec. 602.  The department shall expend the amount appropriated              

                                                                                

19  for migrant labor housing grants for construction of new migrant labor      

                                                                                

20  housing.  Project grants shall not exceed $5,000.00 per unit.  An           

                                                                                

21  applicant is not eligible for more than a $20,000.00 grant in any           

                                                                                

22  fiscal year.                                                                

                                                                                

23      Sec. 603.  The department shall apply for all federal funds for             

                                                                                

24  which it is eligible that can be used to support the migrant labor          

                                                                                

25  housing program.                                                            


                                                                                

1       Sec. 604.  If legislation creating an agricultural enhancement              

                                                                                

2   fund is enacted, the appropriation in section 107 and section 224 for       

                                                                                

3   local conservation districts shall be allocated in the following            

                                                                                

4   manner:                                                                     

                                                                                

5       (a) Of the total appropriation, $81,200.00 shall be allocated for           

                                                                                

6   local conservation district training.                                       

                                                                                

7       (b) Of the total appropriation, each local conservation district            

                                                                                

8   meeting the minimum grant requirements shall receive a grant of             

                                                                                

9   $20,000.00 to support basic operations, unless the district resides in      

                                                                                

10  a county consisting of multiple districts, in which case a $20,000.00       

                                                                                

11  grant shall be divided equally among the districts in that county.          

                                                                                

12  The amount of money allocated under this subdivision shall not be used      

                                                                                

13  by local conservation districts to replace any money received from          

                                                                                

14  local sources.                                                              

                                                                                

15      (c) Of the remaining appropriation after distributions under                

                                                                                

16  subdivisions (a) and (b), additional grants, not to exceed $20,000.00       

                                                                                

17  per local conservation district, may be provided based on a formula         

                                                                                

18  approved by the commission of agriculture.  Grants under this               

                                                                                

19  subdivision shall require at least a 100% cash or in-kind local             

                                                                                

20  match.  Criteria used to distribute grants under this subdivision           

                                                                                

21  shall include, but are not limited to, the natural resources need, the      

                                                                                

22  size, and the population of the area served by each local conservation      

                                                                                

23  district.                                                                   

                                                                                

                                                                                

                                                                                

24  MARKET DEVELOPMENT                                                          

                                                                                

25      Sec. 701.  Within the appropriations in part 1 for agriculture              

                                                                                

26  development, $662,000.00 is for the grape and wine industry council,        


                                                                                

1   from which the department may provide grants for the purposes as            

                                                                                

2   described in section 303 of the Michigan liquor control code of 1998,       

                                                                                

3   1998 PA 58, MCL 436.1303.                                                   

                                                                                

4       Sec. 702.  In any given year when insufficient amounts of                   

                                                                                

5   Michigan surplus products are offered to the food bank council and          

                                                                                

6   accepted for distribution, unused funds may be applied by the food          

                                                                                

7   bank council for the direct purchase of foods from Michigan growers,        

                                                                                

8   manufacturers, or wholesalers.                                              

                                                                                

9       Sec. 704.  Indirect costs may not be charged against the future             

                                                                                

10  farmers of America grant in section 109 by any administering agency.        

                                                                                

11      Sec. 705.  The appropriation in section 109 for agriculture                 

                                                                                

12  development shall be used to coordinate state participation in the          

                                                                                

13  federal market access program and to leverage federal funds for the         

                                                                                

14  purpose of developing new and enhancing existing export markets for         

                                                                                

15  Michigan agricultural products.                                             

                                                                                

                                                                                

                                                                                

16  FAIRS AND EXPOSITIONS                                                       

                                                                                

17      Sec. 801.  The department shall submit a report each month to the           

                                                                                

18  state budget director, the senate and house appropriations                  

                                                                                

19  subcommittees on agriculture, and the senate and house fiscal agencies      

                                                                                

20  that states the simulcasting revenues generated in the preceding month      

                                                                                

21  by each licensed track and the amount received from license fees.           

                                                                                

22      Sec. 802.  (1) The appropriation in section 110 for standardbred            

                                                                                

23  purses and supplements - licensed tracks is intended to provide state       

                                                                                

24  purse supplements for 4 races at state licensed pari-mutuel horse           

                                                                                

25  racing tracks.  The purse supplements are to be used for races              

                                                                                

26  comprised only of Michigan-bred horses segregated into a 4-year-old         


                                                                                

1   colt trot division, a 4-year-old filly trot division, a 4-year-old          

                                                                                

2   colt pace division, and a 4-year-old filly pace division.                   

                                                                                

3       (2) The appropriation in part 1 for licensed tracks - light horse           

                                                                                

4   racing shall be allocated as follows:                                       

                                                                                

5     Arabian and Appaloosa horse racing.................. $          19,200    

                                                                                

6     Quarter horse racing................................            57,300    

                                                                                

7       Sec. 803.  Included in the appropriation made in section 110 for            

                                                                                

8   the thoroughbred program is $30,500.00 for the Michigan united              

                                                                                

9   thoroughbred breeders and owners association to conduct a thoroughbred      

                                                                                

10  yearling show.  The Michigan united thoroughbred breeders and owners        

                                                                                

11  association shall submit to the department an itemized list of              

                                                                                

12  expenses showing that the expenses of the yearling show were paid.          

                                                                                

13      Sec. 804.  From the funds appropriated in section 110 for                   

                                                                                

14  thoroughbred owners' awards, awards shall be distributed pursuant to        

                                                                                

15  section 20 of the horse racing law of 1995, 1995 PA 279, MCL 431.320.       

                                                                                

16      Sec. 805.  The department shall notify the senate and house                 

                                                                                

17  appropriations subcommittees and the fiscal agencies of any planned         

                                                                                

18  reductions in appropriations, allocations, or expenditures from the         

                                                                                

19  agriculture equine industry development fund no less than 10 days           

                                                                                

20  before such reductions are implemented.                                     

                                                                                

21      Sec. 806.  A county fair, district fair, 4-H fair, or state fair            

                                                                                

22  receiving funds in section 110 to be used for prizes or awards, in          

                                                                                

23  whole or in part, as a condition precedent to the receiving of the          

                                                                                

24  funds for those purposes, shall publish the rules relative to the           

                                                                                

25  prizes, awards, and deadlines for entries eligible for the funds in         

                                                                                

26  their official premium books or lists relative to the prizes or             

                                                                                

27  awards.  An aggrieved exhibitor may make a written complaint to the         


                                                                                

1   fair within 10 days after the fair ends.  If the fair has not               

                                                                                

2   satisfactorily settled the grievance within 45 days after it is             

                                                                                

3   submitted to the fair, the aggrieved person may file the complaint          

                                                                                

4   with the department and the department shall investigate the complaint      

                                                                                

5   and make a finding of fact regarding the complaint and take                 

                                                                                

6   appropriate action regarding the complaint.                                 

                                                                                

7       Sec. 807.  Of the amount appropriated in section 110 for purses             

                                                                                

8   and supplements - fairs/licensed tracks, a sufficient amount is             

                                                                                

9   appropriated to provide for overnight purse supplements pursuant to         

                                                                                

10  the horse racing law of 1995, 1995 PA 279, MCL 431.301 to 431.336.          

                                                                                

11      Sec. 808.  Of the amount appropriated in section 110 for                    

                                                                                

12  premiums, $11,400.00 shall be expended as a grant for the Michigan          

                                                                                

13  horse show association - fall youth show.                                   

                                                                                

14      Sec. 809.  From the appropriations for premiums - county and                

                                                                                

15  state fairs in section 110, $120,000.00 shall be awarded through a          

                                                                                

16  competitive grant program to local, regional, or state fairs or             

                                                                                

17  expositions to promote youth involvement and adult exhibitions in the       

                                                                                

18  animal agriculture industry.  Appropriate exhibition classes for youth      

                                                                                

19  shall be developed that encourage a production exhibit for which            

                                                                                

20  premium awards may be paid.  The age for youth exhibitors shall be          

                                                                                

21  determined by the standards of the association requesting the grant         

                                                                                

22  or, if standards do not exist, the age for youth exhibitors shall be        

                                                                                

23  ages 9 through 21.  Implementation of the latest technologies into the      

                                                                                

24  evaluation of the animals shall be encouraged in the production             

                                                                                

25  exhibit.  Adult exhibitions should focus on the performance or end          

                                                                                

26  product, or both, with the appropriate technologies used to enhance         

                                                                                

27  placings and the awarding of premiums.                                      


                                                                                

1       Sec. 811.  The funds appropriated in section 110 for distribution           

                                                                                

2   of outstanding winning tickets are not available for expenditure until      

                                                                                

3   they are deposited in the agriculture equine industry development fund      

                                                                                

4   pursuant to section 2 of 1951 PA 90, MCL 431.252.  These funds shall        

                                                                                

5   be expended in accordance with section 2 of 1951 PA 90, MCL 431.252,        

                                                                                

6   and only after they have been transferred to another line item in this      

                                                                                

7   act under section 393(2) of the management and budget act, 1984 PA          

                                                                                

8   431, MCL 18.1393.                                                           

                                                                                

9       Sec. 813.  (1) On or before March 29, 2005, the department,                 

                                                                                

10  together with the senate and house fiscal agencies and the department       

                                                                                

11  of management and budget, shall estimate the unreserved and                 

                                                                                

12  unencumbered closing balance of the agriculture equine industry             

                                                                                

13  development fund for the fiscal year ending September 30, 2004.  The        

                                                                                

14  estimate shall consider lapsed appropriations from the fund and any         

                                                                                

15  carryforward amounts designated for appropriation in the fiscal year        

                                                                                

16  ending September 30, 2004.                                                  

                                                                                

17      (2) On or before April 5, 2005, the department shall request a              

                                                                                

18  legislative transfer in accordance with section 393 of the management       

                                                                                

19  and budget act, 1984 PA 431, MCL 18.1393, to appropriate any estimated      

                                                                                

20  unreserved and unencumbered agriculture equine industry development         

                                                                                

21  fund balance in excess of $250,000.00.  The appropriations included in      

                                                                                

22  the transfer request shall be in accordance with the requirements of        

                                                                                

23  section 20 of the horse racing law of 1995, 1995 PA 279, MCL 431.320.       

                                                                                

24  At the same time the department forwards its transfer request to the        

                                                                                

25  department of management and budget, the department shall submit            

                                                                                

26  copies of the transfer request to the senate and house appropriations       

                                                                                

27  subcommittees on agriculture and the senate and house fiscal                


                                                                                

1   agencies.                                                                   

                                                                                

                                                                                

                                                                                

2   OFFICE OF RACING COMMISSIONER                                               

                                                                                

3       Sec. 901.  The racing commissioner may pay rewards of not more              

                                                                                

4   than $5,800.00 to a person who provides information that results in         

                                                                                

5   the arrest and conviction on a felony or misdemeanor charge for a           

                                                                                

6   crime that involves the horse racing industry.  A reward paid pursuant      

                                                                                

7   to this section shall be paid out of the office of racing commissioner      

                                                                                

8   line item.