FY 2007-08 CORRECTIONS BUDGET H.B. 4348 (CR-1*): CONFERENCE REPORT


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FY 2006-07 Year-to-Date Gross Appropriation $1,953,623,000
Changes from FY 2006-07 Year-to-Date:
  Items Included by the House and Senate
1. Governor's Recommended Changes. Conference Report concurred with the Governor on all recommended changes, except those noted below. These changes net to an additional $81.9 million, and include $84.9 million for economic adjustments, $28.1 million for 1,400 additional beds, $20.6 million for the Michigan Prisoner Re-entry Initiative, and do not include a net $13.2 million in additional funds provided for in FY 2006-07 supplemental and executive order adjustments. 185,186,900
2. Parole and Probation Special Operations Program. Conference Report eliminated the $1.3 million parole and probation special operations program, which funded Project Joshua and Project Safe Neighborhoods. Conference Report also eliminated 12 field agents that were included by the House and Senate for a savings of $1.0 million. (2,326,400)
3. Equipment and Special Maintenance. The Governor, Senate and House included equipment and special maintenance funding that had been moved to the Capital Outlay budget recommendation for FY 2006-07. Conference Report did not include the $2.0 million and assumed it would be shifted to the Capital Outlay budget. 0
Conference Agreement on Items of Difference
4. Facility Bed Changes. Conference Report closed Southern Michigan Correctional Facility for a savings of $36.7 million, Camp Manistique for a savings of $4.6 million, Riverside Correctional Facility and opened the Michigan Reformatory for a savings of $1.8 million. Conference Report delayed opening 240 beds at Macomb Correctional Facility for a savings of $4.8 million, and 50 beds at Camp Branch for a savings of $574,800. Conference Report opened 788 beds at various facilities for an additional $10.0 million. Conference Report also provided $120,000 mothballing Camp Manistique and a feasibility study of closed DOC facilities in the Upper Peninsula. (47,753,500)
5. Sentencing Reform Savings. Conference Report did not include $92.0 million in net savings included by the Governor. The House had included $46.0 million in net savings. 0
6. Facility Savings. Conference Report included $5.9 million in correctional facility staffing efficiencies, $2.6 million in regionalization savings, $672,500 in consumable food savings, $408,100 through discontinuing providing athletic shoes to higher security prisoners, $58,200 in Hadix consent decree savings, (9,647,900)
7. County Jail Reimbursement Program. Conference Report funded CJRP at the current year level of $13.2 million and kept current year reimbursement criteria. The Governor left the program as a placeholder, the House modified the reimbursement criteria, and Senate expanded the program. 0
8. Public Works Projects. Conference Report doubled public works user fees in order to offset $1.3 million of GF/GP, and assumed a savings of $1.5 million due to the delay in reinstituting the projects. (1,500,000)
9. GPS Tether. Conference Report provided $4.0 million for 500 GPS tethers to supervise offenders in the community. 4,019,000
10. Hepatitis C (HCV) and HIV. Conference Report included $1.7 million for testing offenders for HIV at prison exit, and offering HCV tests to prisoners screening high for risk of HCV at intake and providing treatment to additional offenders who test positive for HCV at intake. 1,692,900
11. Mental Health. Conference Report included $100,000 for an IDG to the Michigan State Police to provide mental health awareness training to law enforcement officers and $400,000 for a study of prison mental health and substance abuse treatment. 500,000
12. Other Changes. Conference Report included other changes, resulting in a net decrease. (5,524,900)
Total Changes $124,646,100
  FY 2007-08 Conference Report Gross Appropriation $2,078,269,100
Amount Over/(Under) GF/GP Target: $ 0   $ 0
FY 2007-08 CORRECTIONS BUDGET BOILERPLATE HIGHLIGHTS

Changes from FY 2006-07 Year to Date:
  Conference Agreement on Items of Difference
1. Deletions. CR concurred with Governor in deleting Sections 605, 803, 904, and 1007(2).
2. Expanded Reporting Requirements. CR expanded or modified eleven existing reporting requirements, including those in Sections 208, 403, 407, 408, 601, 608, 611, 612(4), 802(1), 809, and 907(1).
3. Additional Reports. CR included additional reports on IT (303), population data (419), response to performance audits (420), kiosk reporting stations (609), parole and probation special operations program (613), health care utilization (804), and the health care quality assurance report (811).
4. General Sections. CR included language on deprived and depressed communities (217), a report on policy changes (221), hiring outside legal services (222), contingency fund transfers (223), and added preference for veteran-owned businesses to the language for buying from American and Michigan businesses (209).
5. Privatization Evaluation. CR added language requiring a cost-benefit analysis of any privatization effort be sent to the House and Senate appropriations committees, a cost savings of at least 5%, disclosure of records pertinent to the contract to the DOC or DMB, and that State employees be given the opportunity to bid. (Sec. 207a)
6. Uniform Cleaning Allowances. CR concurred with Senate and House to include intent that no expenditures or obligations for uniform cleaning allowances be made in excess of $250 annually, but did not include language about payment of current year obligations being paid from funds that would lapse. (Sec. 218)
7. Prisoner Telephone Fees. CR concurred with House to include intent that the fees be at the same rates as calls made from outside correctional facilities, but exempted surcharges that fund special equipment costs. (Sec. 219)
8. Offender Tracking Information System (OTIS). CR concurred with Senate in requiring that DOC maintain publicly accessible files of offenders formerly under DOC's jurisdiction in same manner on OTIS as current offenders, but allowed files to be removed three years after offender's discharge, and required the removal of offenders who were determined to be wrongfully convicted. (Sec. 301)
9. Mental Health & Substance Abuse Services. CR concurred with House in requiring the State contract for an independent study of mental health and substance abuse services, but did not require a state university be a contractor, and expanded the study to include additional information. (Sec. 302)
10. Michigan Prisoner Re-entry Initiative (MPRI). CR concurred with Senate to express intent that MPRI become standard operating procedure, but stated that occur by the end of FY 2008-09 instead of FY 2007-08, did not include language stating that the MPRI will not be funded separately in the future, and included intent that MPRI funds be expended for the purpose of reducing victimization by reducing recidivism through offender programming. (Sec. 402 & 422) CR expanded a report required by Senate and House on the development and implementation of uniform standards for MPRI sites and funds. (Sec. 406)
11. County Jail Reimbursement Program. CR retained current year reimbursement criteria and rates, but allowed the DOC to conduct instead of contract for the sentencing guidelines study and required the appropriations committees to convene the meeting regarding the study. (Sec. 414)
12. Identification. CR concurred with Senate to require the DOC implement a process by which prisoners can obtain the documents necessary to obtain a state identification card prior to release. (Sec. 418)
13. Mental Health Awareness Training. CR provided an IDG to the MSP for law enforcement mental health training. (Sec. 421)
14. Administrative Hearings Officers. CR concurred with House to include language specifying the funds appropriated for DLEG administrative hearings officers are for adjudicating DOC grievances and limits expenditures to the amount appropriated. (Sec. 503)
15. Grand Rapids Corrections Center (GRCC). CR required the GRCC lease be canceled within 120 days. (Sec. 607)
16. Hepatitis C (HCV) and HIV. CR concurred with the Senate in requiring the DOC to develop information on HIV for prisoners, an HIV and HCV antibody test at exit, a report on offenders testing positive for HCV or HIV, and the retention of records on testing and treatment, but required the DOC to offer a HCV antibody test to prisoners with high HCV risk screen scores at intake. (Sec. 806)
17. Smoking. CR required DOC to begin making facilities tobacco-free by Sept. 1 and complete the process in two months. (Sec. 901)
18. Internet Prohibition. CR allowed prisoners use of internet for educational or employment-related uses. (Sec. 903)
19. Public Works Fees. CR added intent that public works projects be continued at the level provided at the enactment of the FY 2006-07 appropriations bill by April 1, doubled user fees, and increased prisoner pay by 10%. (Sec. 906)
20. Offender Transportation & Prison Food Services. CR concurred with Senate in including language limiting expenditures to the amount appropriated for transportation and food, but clarified the language. (Sec. 914 & 915). CR required DOC to solicit a Request for Information (RFI) for transportation and food after the AG report, required a 5% savings, and allowed employees to respond to the RFI. (Sec. 918 & 919)
21. Stab Proof Vests. CR concurred with Senate to provide funding for stab proof vests, but stated that funding is contingent on a contract for the construction or manufacture of the vests. (Sec. 916)
22. Value-based Programming. CR concurred with Senate to direct DOC to implement evidence-based programs that change offender's values, beliefs, attitudes toward victims and community, but added it was the intent of the legislature, changed it to a pilot program, and added that offender's behaviors should be changed by the programs. (Sec. 917)
23. Prison Gardens. CR required DOC make every effort to operate a garden or horticultural operation at every facility. (Sec. 920)

Date Completed: 10-29-07 Fiscal Analyst: Lindsay Hollander Bill Analysis @ http://www.senate.michigan.gov/sfa This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations. Hicor_cr.doc