May 15, 2003, Introduced by Senators SCHAUER, HAMMERSTROM, BASHAM, OLSHOVE, KUIPERS, LELAND, BARCIA, ALLEN, CHERRY, JELINEK, CLARK-COLEMAN, GOSCHKA, SWITALSKI, HARDIMAN, BERNERO and JACOBS and referred to the Committee on Commerce and Labor.
A bill to amend 1981 PA 230, entitled
"Michigan economic and social opportunity act of 1981,"
by amending the title and sections 3, 4, 5, 6, 7, 8, 9, 10, and
11 (MCL 400.1103, 400.1104, 400.1105, 400.1106, 400.1107,
400.1108, 400.1109, 400.1110, and 400.1111), section 11 as
amended by 1998 PA 76; and to repeal acts and parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 TITLE
2 An act to create a bureau of community services and a
3 commission on economic
and social opportunity within the
4 department of labor a state department to reduce the causes,
5 conditions, and effects of poverty and promote social and
6 economic opportunities that foster self-sufficiency for low
7 income persons; to provide for the designation of community
8 action agencies; and to prescribe the powers and duties of the
1 department, the bureau, the commission, and the community action
2 agencies.
3 Sec. 3. (1) "Bureau" means the bureau of community
4 services action and economic opportunity created in
section 5.
5 (2) "Chief elected official" means a chairperson of a county
6 board of commissioners, a county executive, a city mayor, a
7 township supervisor, a village president, or his or her
8 designee.
9 (3) "Commission" means the commission on community action and
10 economic and social opportunity
created in section 6.
11 (4) "Community action agency" means an agency designated
12 pursuant to section 8.
13 (5) "Community social and economic programs" means those
14 programs provided under section 675 of the community services
15 block grant act, subtitle B or title VI of the omnibus budget
16 reconciliation act of 1981, Public Law 97-35, 42 U.S.C. 9904.
17 (6)
"Department" means the department of labor designated
18 by the governor to receive and distribute community services
19 block grant funds under the community services block grant act,
20 subtitle B of title VI of the omnibus budget reconciliation act
21 of 1981, Public Law 97-35, 42 U.S.C. 9901 to 9924.
22 (7)
"Director" means the director of labor the department.
23 Sec. 4. (1) "Executive director" means the chief
24 administrator of the bureau.
25 (2) "Low income person" means a person who is a member of a
26 household the that
has a gross annual income of which that is
27 equal to or less than the poverty standard for the same size
1 household.
2 (3) "Poverty
standard" means the official poverty line
3 established by the
federal director of the office of management
4 and budget and issued
by the United States secretary of health
5 and human services
pursuant to section 673(2) of the omnibus
6 budget reconciliation
act of 1981, 42 U.S.C. 9902 federal
7 poverty guidelines published annually in the federal register by
8 the United States department of health and human services under
9 its authority to revise the poverty line under section 673(2) of
10 subtitle B of title VI of the omnibus budget reconciliation act
11 of 1981, Public Law 97-35, 42 U.S.C. 9902.
12 (4) "Service
area" means the geographical area within the
13 jurisdiction of served by a community action agency.
14 (5) "State program budget" means state funds, federal block
15 grants, and federal categorical grants that the legislature
16 appropriates annually for community social and economic
17 programs.
18 Sec. 5. The bureau
of community services action and
19 economic opportunity is created within the department. The
20 director shall appoint an
executive director who shall be is a
21 member of the state classified service or the state career
22 executive service, as established and approved by the civil
23 service commission. Under the supervision of the department, the
24 bureau shall serve as a statewide advocate for social and
25 economic opportunities
for low income persons and may shall do
26 all of the following:
27 (a) Coordinate state activities designed to reduce poverty
1 and implement community social and economic programs.
2 (b) Cooperate with agencies of the state and federal
3 government and other public agencies, nonprofit private agencies,
4 and nonprofit organizations in reducing poverty and implementing
5 community social and economic programs.
6 (c) Receive and expend funds for any purpose authorized by
7 this act.
8 (d) Provide assistance to units of local government for the
9 purpose of establishing and operating a community action agency.
10 (e) Designate community action agencies pursuant to
11 section 8.
12 (f) Provide technical assistance to community action
13 agencies to improve program planning, program development,
14 administration, and the mobilization of public and private
15 resources. In implementing this subdivision, the department
16 shall contract, when warranted by geographical and other factors
17 or when warranted to meet the requirements of section 15, with
18 public agencies, nonprofit private agencies, or nonprofit
19 organizations.
20 (g) Enter into necessary contracts with community action
21 agencies for the purpose of coordinating community social and
22 economic programs and other
programs and services as designated
23 by the bureau and for which funding is appropriated by the
24 legislature.
25 (h) Contract with public agencies, nonprofit private
26 agencies, or nonprofit organizations for demonstration programs
27 and other services necessary to implement this act.
1 (i) Conduct performance assessments of the activities and
2 programs of community action agencies.
3 (j) Establish, in cooperation with community action
4 agencies, an educational and public information program designed
5 to increase public awareness regarding the nature and extent of
6 poverty in this state and regarding existing community social and
7 economic programs.
8 (k) Participate in
the development of the state program
9 budget and make budget
recommendations to the director based upon
10 program budget
requests submitted by community action agencies
11 and other public
agencies, nonprofit private agencies, and
12 nonprofit
organizations pursuant to section 10.
13 (k) (l) Evaluate
state statutes and programs relevant to
14 the reduction of poverty and recommend appropriate changes to the
15 governor and the legislature.
16 (l) (m) Submit
reports to the governor, the legislature,
17 the state congressional delegation, and other appropriate federal
18 officials regarding the needs, problems, opportunities, and
19 contributions of low income persons; the effectiveness of
20 existing state or federal policies and programs; and recommended
21 actions to improve economic and social opportunities for low
22 income persons.
23 (n) Administer the
neighborhood assistance program
24 established pursuant
to Act No. 56 of the Public Acts of 1980,
25 being sections 125.801
to 125.814 of the Michigan Compiled Laws.
26 The bureau shall
administer the neighborhood assistance program
27 in a manner that
provides that public agencies, nonprofit private
1 agencies, and
nonprofit organizations are eligible and shall have
2 the opportunity for
funding for each portion of a program which a
3 community action
agency may undertake.
4 (m) (o) Administer
the home weatherization assistance
5 program established
pursuant to Act No. 615 of the Public
6 Acts of 1978, as
amended, being sections 400.1051 to 400.1071 of
7 the Michigan Compiled
Laws created pursuant to 10
C.F.R. part
8 440. The bureau shall
administer the home weatherization
9 assistance program in a manner that provides that public
10 agencies, nonprofit private agencies, and nonprofit organizations
11 are eligible and shall have the opportunity for funding for each
12 portion of a program which
that a community action agency may
13 undertake.
14 (p) Administer
other programs and services as designated by
15 the director or the legislature.
16 (n) Serve as an advocate within the executive branch to
17 remove administrative barriers to self-sufficiency services and
18 to seek additional resources for antipoverty strategies.
19 Sec. 6. (1) A commission on community action and economic
20 and social opportunity is created within the department. The
21 commission shall provide an opportunity for low income persons to
22 actively participate in the development of policies and programs
23 to reduce poverty.
24 (2) The commission shall consist of 6 to 15 members appointed
25 by the governor by and with the advice and consent of the
26 senate. At least 5
members shall be low income persons. Of the
27 nonlow income members,
the commission shall include at least 1
1 representative of
local government, at least 1 representative of
2 organized labor, at
least 1 representative of the business
3 community, and at
least 3 representatives of local community
4 action agency
governing boards. At least 5 members of the
5 commission shall
reside in rural communities. The governor shall
6 designate the
chairperson of the commission, who shall serve in
7 that capacity at the
pleasure of the governor. The executive
8 director or designee
shall serve as executive secretary to the
9 commission. The commission shall be comprised of equal numbers
10 of elected officials, private sector members, and low income
11 individuals or as nearly equal in number as possible. At least
12 1/3 of the commission members shall be community action agency
13 representatives as either staff or board members. The governor
14 shall designate the chairperson of the commission. The
15 chairperson shall serve at the will of the governor. The
16 executive director or designee of the commission shall serve as
17 executive secretary to the commission.
18 (3) Except for
members first appointed, the The term of
19 office of each member
shall be 3 years. No member shall serve
20 more than 2 full
terms. Of the members first appointed, 5 shall
21 serve for 3 years, 5
shall serve for 2 years, and 5 shall serve
22 for 1 year. Vacancies on the commission shall be filled in the
23 same manner as the original appointment for the remainder of the
24 unexpired term.
25 (4) A member of the commission may receive per diem
26 compensation and reimbursement of actual and necessary expenses
27 while acting as an official representative of the commission.
1 The per diem compensation of the commission and the schedule for
2 reimbursement of expenses shall be established annually by the
3 legislature.
4 (5) Eight members
A majority of the commission shall
5 constitute constitutes a quorum. Except as otherwise
provided
6 by rule, action may be taken by the commission by vote of a
7 majority of the members present at a meeting. The commission
8 shall meet not less than 4 times a year. A meeting of the
9 commission may be held anywhere within this state.
10 Sec. 7. The commission shall serve as a statewide forum
11 concerning state policies
and programs to reduce proverty
12 poverty and to address the needs and concerns of low income
13 people in the this
state. The commission shall do all of the
14 following:
15 (a) Convene a state forum every 2 years that includes
16 representatives from the public, private, nonprofit, and low
17 income sectors to analyze poverty trends and make recommendations
18 to reduce poverty.
19 (b) (a) Convene
public meetings to provide low income and
20 other persons the opportunity to comment upon public policies and
21 programs to reduce poverty.
22 (c) (b) Advise
the executive director concerning the
23 designation or recision of a designation of a community action
24 agency.
25 (d) (c) Review
and comment upon the annual program budget
26 request before its submittal to the governor and the legislature
27 pursuant to section 10.
1 (e) (d) Advise
the governor, the legislature, the state
2 congressional delegation, and other appropriate federal officials
3 of the nature and extent of poverty in the state and make
4 recommendations concerning needed changes in state and federal
5 policies and programs.
6 (f) (e) Advise
the director and the governor at least
7 annually concerning the performance of the bureau in fulfilling
8 its requirements as prescribed by this act.
9 (g) Participate with the bureau to implement a public
10 education program designated to increase public awareness
11 regarding the nature and extent of poverty in this state.
12 (h) Receive reports from the bureau on strategies to reduce
13 poverty and make recommendations based on those reports to the
14 governor.
15 (i) In coordination with community action agencies and the
16 commission, establish an education and public information program
17 designed to increase public awareness regarding the nature and
18 extent of poverty in this state and regarding existing community
19 social and economic programs.
20 (j) Evaluate state statutes and programs relevant to the
21 reduction of poverty and recommend appropriate changes to the
22 governor and the legislature.
23 (k) Submit reports to the governor, the legislature, the
24 congressional delegation, and other appropriate federal officials
25 regarding the needs, problems, opportunities, and contributions
26 of low income persons and the effectiveness of existing state and
27 federal policies and programs, and recommend actions to improve
1 economic and social opportunities for low income persons.
2 Sec. 8. (1) Except as required to meet the requirements of
3 section 15, the executive director shall designate community
4 action agencies to fulfill the requirements of this act in the
5 service areas governed by 1 or more units of local government. A
6 community action agency designated by the executive director may
7 be 1 of the following:
8 (a) A public office or agency of a unit of local government
9 which that is designated as a community action
agency by the
10 chief elected official of that unit of government.
11 (b) A public office
or agency which that is designated as a
12 community action agency by the chief elected officials of a
13 combination of 2 or more units of local government.
14 (c) A nonprofit private agency serving 1 or more units of
15 local government ,
which private agency has been approved by
16 the chief elected
official of the unit of local government to be
17 served that includes the service area, or if more
than 1 unit of
18 local government is to
be served included in the service area,
19 by the chief elected
officials of the county or counties served
20 in which the local governments are located and of at least 2/3 of
21 the cities, villages, and
townships to be served in the service
22 area that have a population of not less than 100,000.
23 (d) A public or private nonprofit agency designated by 1 or
24 more native American
tribal governments which that have been
25 established pursuant to state or federal law.
26 (2) Before designating or rescinding the designation of a
27 community action agency, the executive director shall do all of
1 the following:
2 (a) Consult with the director.
3 (b) Consult with the chief elected official of each county
4 and of each city, village, or township with a population of not
5 less than 100,000 within the existing or proposed service area.
6 (c) Hold at least 1 public meeting in the service area to
7 provide low income and other citizens living within the service
8 area the opportunity to review and comment upon the strengths and
9 weaknesses of the existing or proposed community action agency.
10 (d) Consult with and obtain the advice of the commission on
11 the proposed action.
12 (3) Notwithstanding subsections (1) and (2), each community
13 action agency which that
has been designated by the community
14 services administration pursuant to the economic opportunity act
15 of 1964, Public Law
88-452, 78 Stat. 508, and which that is in
16 operation on the
effective date of this act the 2003 amendatory
17 act that amended this section shall continue as a community
18 action agency.
19 (4) The executive director may rescind the designation of a
20 community action agency for cause. In implementing this
21 subsection, the executive director shall follow the procedures
22 set forth in subsection (2) and the procedures set forth in the
23 community services block grant act, subtitle B of the omnibus
24 budget reconciliation act of 1981, Public Law 97-35, 42
25 U.S.C. 9901 to 9924.
26 Sec. 9. A community action agency shall serve as a primary
27 advocate for the reduction of the causes, conditions, and effects
1 of poverty and shall provide social and economic opportunities
2 that foster self-sufficiency for low income persons. A community
3 action agency may engage in activities necessary to fulfill the
4 intent of this act, including but not limited to the following:
5 (a) Informing the
this state, units of local government,
6 private agencies and organizations, and citizens of the nature
7 and extent of poverty within the service area.
8 (b) Developing, administering, and operating community social
9 and economic programs to reduce poverty within the service area.
10 (c) Providing a range of services and activities having a
11 measurable and potentially major impact on causes of poverty in
12 the community or in the service areas of the community.
13 (d) Providing activities designed to assist low income
14 participants, including the elderly poor, to secure and retain
15 meaningful employment; to attain an adequate education; to make
16 better use of available income; to obtain and maintain adequate
17 housing and a suitable living environment; to obtain emergency
18 assistance through loans or grants to meet immediate and urgent
19 individual and family needs, including the need for health
20 services, nutritious food, housing, and employment-related
21 assistance; to remove obstacles and solve problems which block
22 the achievement of self-sufficiency; to achieve greater
23 participation in the affairs of the community; and to make more
24 effective use of other programs related to the purposes of this
25 section.
26 (e) Providing on an emergency basis for the provision of
27 supplies and services, nutritious food items, and related
1 services necessary to counteract conditions of starvation and
2 malnutrition among the poor.
3 (f) Providing and establishing linkages between governmental
4 and other social services programs to assure the effective
5 delivery of services to low income individuals.
6 (g) To encourage the use of entities in the private sector of
7 the community in efforts to reduce poverty.
8 (h) (c) Conducting
pilot and demonstration projects with
9 innovative approaches to reduce poverty, improve services, and
10 utilize resources.
11 (i) (d) Providing
and advocating for training and technical
12 assistance to public and private agencies, community groups, and
13 units of local government to better define human problems, to
14 improve services, and to facilitate citizen participation,
15 including that of low income persons.
16 (j) (e) Increasing
interagency coordination and cooperation
17 in serving low income persons. If possible, community action
18 agencies shall enter into partnership and collaboration with
19 other organizations to meet economic self-sufficiency goals.
20 (k) (f) Entering
into contracts with federal, state, and
21 local public and private agencies and organizations as necessary
22 to carry out the purposes of this act.
23 (l) (g) Mobilizing
federal, state, and local public and
24 private financial resources and material and volunteer resources
25 to reduce poverty and increase social and economic
26 opportunities.
27 (h) Developing an
annual program budget request pursuant to
1 section 10.
2 (i) Receiving and
accepting grants or gifts to support or
3 promote the activities
authorized by this act.
4 (m) Mobilizing community involvement from private and
5 nonprofit sectors, including, but not limited to, businesses,
6 economic and job development organizations, nonprofit faith-based
7 communities, technical colleges and institutions of higher
8 education, and the public sector, including, but not limited to,
9 townships, cities, counties, and this state to address issues of
10 poverty. Community action agencies shall coordinate with
11 welfare-to-work strategies and implement strategies that increase
12 household income and assets that lead to long-term economic
13 self-sufficiency.
14 (n) Serving populations with barriers to self-sufficiency
15 such as individuals and families with low incomes, senior
16 citizens, young children, homeless persons, physically and
17 developmentally disabled persons, low wage workers, and adults
18 without literacy skills or basic education or adequate skills
19 needed for the workplace.
20 (o) (j) Engaging
in any other activity necessary to fulfill
21 the intent of this act.
22 Sec. 10. (1)
Each community action agency and each public
23 agency, nonprofit
private agency, and nonprofit organization
24 desiring funds
annually shall develop and submit a program budget
25 request for funds appropriated
from the state program budget.
26 The executive director
annually shall publish guidelines
27 detailing the nature
and extent of information required in the
1 program budget request
for the succeeding fiscal year.
2 Distribution of funds to community action agencies shall meet
3 federal requirements.
4 (2) Within 12
months after the effective date of this act,
5 the department shall
promulgate rules detailing the formula for
6 the distribution of
state program budget funds. The rules shall
7 take into
consideration the distribution of low income persons
8 residing in the
service areas of the community action agencies as
9 well as other factors
that the director and the executive
10 director consider
appropriate.
11 Sec. 11. (1) A
community action agency that is a
12 nonprofit agency, as
provided in section 8(1)(c) or (d), shall
13 establish a governing
board of directors which shall consist
14 that consists of not
less than 15 nor more than 51 members. the
15 following:
16 (a) One-third are elected public officials. An elected
17 public official may act through his or her representative.
18 (b) One-third of the
members shall be are low income,
19 elderly, or consumers
with disabilities. residing in the service
20 area of the community
action agency. Consumer representatives
21 shall be selected
through a democratic process pursuant to
22 guidelines established
by the department. One-third of the
23 members shall be
representatives of the units of local government
24 and public agencies
within the service area of the community
25 action agency.
26 (c) One-third
of the members shall represent the private
27 sector, including representatives of business and industry,
1 agriculture, labor, and religious and civic organizations.
2 located within the
service area of the community action agency.
3 (2) The board of
directors shall be responsible for all of
4 the following:
5 (a) The
appointment and dismissal of an executive director of
6 the community action
agency.
7 (b) The approval
of contracts, annual program budget requests
8 required by section
10, and operational policies of the community
9 action agency.
10 (c) The
performance of an annual audit by the auditor general
11 or a certified public
accountant appointed by the auditor
12 general.
13 (d) The
establishment of policies for the operation of the
14 community action
agency.
15 (e) Advising the
chief elected officials of the units of
16 local government within
the service area of the nature and extent
17 of poverty within the
area and recommending needed changes in
18 federal, state, and
local policies and programs.
19 (f) The convening
of public meetings to provide low income
20 and other persons the
opportunity to comment upon public policies
21 and programs to reduce
poverty.
22 (g) Annually
evaluating the policies and programs of the
23 community action
agency. The board shall submit the evaluation
24 and recommendations to
improve the administration of the
25 community action
agency to the bureau, the chief elected official
26 of each county within
the service area, and to the chief elected
27 official of each unit
of local government within the service area
1 that has a population
of not less than 100,000. The evaluation
2 and recommendations
shall be considered a public document in
3 accordance with
section 14(2).
4 (3) A board may
establish standing committees, including an
5 executive committee,
as necessary to conduct its business in an
6 effective and
efficient manner, provided that each committee
7 shall have the same
proportional representation of consumer,
8 public, and private
members as the governing board.
9 Enacting section 1. Sections 12 and 20 of the Michigan
10 economic and social opportunity act of 1981, 1981 PA 230, MCL
11 400.1112 and 400.1120, are repealed.