SB-0059, As Passed House, December 11, 2007

HOUSE SUBSTITUTE FOR

SENATE BILL NO. 59

     A bill to amend 1951 PA 51, entitled

"An act to provide for the classification of all public roads,

streets, and highways in this state, and for the revision of that

classification and for additions to and deletions from each

classification; to set up and establish the Michigan transportation

fund; to provide for the deposits in the Michigan transportation

fund of specific taxes on motor vehicles and motor vehicle fuels;

to provide for the allocation of funds from the Michigan

transportation fund and the use and administration of the fund for

transportation purposes; to set up and establish the truck safety

fund; to provide for the allocation of funds from the truck safety

fund and administration of the fund for truck safety purposes; to

set up and establish the Michigan truck safety commission; to

establish certain standards for road contracts for certain

businesses; to provide for the continuing review of transportation

needs within the state; to authorize the state transportation

commission, counties, cities, and villages to borrow money, issue

bonds, and make pledges of funds for transportation purposes; to

authorize counties to advance funds for the payment of deficiencies

necessary for the payment of bonds issued under this act; to

provide for the limitations, payment, retirement, and security of

the bonds and pledges; to provide for appropriations and tax levies

by counties and townships for county roads; to authorize

contributions by townships for county roads; to provide for the

establishment and administration of the state trunk line fund,

local bridge fund, comprehensive transportation fund, and certain

other funds; to provide for the deposits in the state trunk line

fund, critical bridge fund, comprehensive transportation fund, and

certain other funds of money raised by specific taxes and fees; to

provide for definitions of public transportation functions and

criteria; to define the purposes for which Michigan transportation

funds may be allocated; to provide for Michigan transportation fund

grants; to provide for review and approval of transportation

programs; to provide for submission of annual legislative requests

and reports; to provide for the establishment and functions of

certain advisory entities; to provide for conditions for grants; to

provide for the issuance of bonds and notes for transportation

purposes; to provide for the powers and duties of certain state and

local agencies and officials; to provide for the making of loans

for transportation purposes by the state transportation department

and for the receipt and repayment by local units and agencies of

those loans from certain specified sources; and to repeal acts and

parts of acts,"

(MCL 247.651 to 247.675) by adding section 9c.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 9c. (1) By February 1, 2008, the governor shall appoint

not more than 9 persons who shall serve as a task force to review

the adequacy of surface transportation and aeronautics service

provision and finance in this state. The governor shall not appoint

a member that represents the state transportation department or a

local authority as that term is defined in section 27 of the

Michigan vehicle code, 1949 PA 300, MCL 257.27. The task force

shall review strategies for maximizing the return on transportation

investments and shall evaluate the potential of alternate

strategies to replace or supplement the state motor fuel taxes,

existing and alternative user fees, and nonuser revenues to support

economic activity and personal mobility in this state. The task

force shall appoint a chairperson from among its members who shall

schedule meetings and submit reports required under this section.

The task force shall include at least 1 representative of the

following interests:

     (a) Manufacturing.

     (b) Commerce.

     (c) Agriculture.

     (d) Tourism.

     (e) Labor.

     (f) Transportation.

     (g) Public transit.

     (h) Aviation

     (2) Beginning February 1, 2008, the task force shall also

include the majority and minority leaders of the senate or a member

of the senate designated by each leader and the speaker and

minority leader of the house of representatives or a member of the

house of representatives designated by each leader.

     (3) By April 1, 2008, the legislative auditor general shall

review and comment on the recommended work program developed by the

department under subsection (5) in order to assist the citizens

advisory committee.

     (4) A citizens advisory committee shall be created to receive

and comment upon all reports, studies, and recommendations prepared

by the various designated technical subcommittees of the citizens

advisory committee before but not later than the submission of the

reports, studies, and recommendations to the task force. The

citizens advisory committee may create any subcommittees that it

deems necessary, and any subcommittee that is created may make

recommendations to the full committee. Each committee shall

designate a chairperson from the members and that person shall

schedule committee meetings and shall be responsible for submitting

reports. The members of the citizens advisory committee shall

provide members of the task force their majority, minority, or

individual views of the reports, studies, and recommendations of

the various designated technical subcommittees. The governor shall

appoint not more than 19 persons, who shall serve as a citizens

advisory committee and shall include a member of the general public

and 1 representative from a list of 3 recommendations supplied by

each of the following organizations:

     (a) Michigan farm bureau.

     (b) Michigan trucking association.

     (c) Michigan association of counties.

     (d) Michigan townships association.

     (e) Michigan state chamber of commerce.

     (f) Michigan tourist association.

     (g) County road association of Michigan.

     (h) Michigan municipal league.

     (i) Michigan public transit association.

     (j) Asphalt paving association of Michigan.

     (k) Michigan concrete paving association.

     (l) Michigan infrastructure and transportation association.

     (m) Michigan railroads association.

     (n) American council of engineering companies.

     (o) Michigan building and construction trades council.

     (p) Michigan association of airport executives.

     (q) Michigan business aviation association.

     (r) The state transportation department.

     (5) The state transportation department shall provide

qualified technical staff and administrative support to the task

force, and by March 1, 2008 shall recommend a work program to the

task force to enable it to perform the requirements of subsection

(1). The department shall invite regional metropolitan planning

organizations to assist.

     (6) The primary focus of the task force is to examine

alternatives to the portion of transportation funding that has fuel

taxes as a source and to suggest or recommend alternative revenue

collection systems funded through user pay methods or methods other

than user pay methods. The task force shall include an analysis of

the feasibility of alternative methods. The task force may make

recommendations for implementation of pilot programs to test

feasible alternatives to replace the portion of transportation

funding that comes from fuel taxes. The task force shall make a

preliminary recommendation on pilot programs by October 31, 2008.

     (7) By a majority vote of the task force, the task force shall

report to the governor, the state transportation commission, and

the legislature on the identified capital and maintenance needs,

transportation investment and maintenance priorities, funding for

state trunk line roads and bridges, local road agencies, and public

transit agencies, relative use of transportation systems,

responsibilities for the identified needs including alternative

transportation funding options, historical transportation financing

patterns as they relate to total statewide fiscal resources, and

strategies for maximizing the returns on transportation

investments. All studies and reports relating to highways shall be

reported according to functional and legal classification. The task

force shall publish a preliminary report of the data, findings, and

recommendations by October 31, 2008. The task force, after holding

appropriate public hearings, shall recommend, if it considers it

necessary, alterations of formulas for and alternative sources of

transportation funding and alterations to the distributions of

transportation responsibilities in the final report by April 1,

2009. The final report and recommendations shall also include any

minority and individual views of task force members.