Act No. 247

Public Acts of 2008

Approved by the Governor*

July 17, 2008

Filed with the Secretary of State

July 18, 2008

EFFECTIVE DATE: July 18, 2008

*Item Vetoes

Sec. 102. EXECUTIVE OPERATIONS AND DEPARTMENT SUPPORT

Environmental ombudsman $ 0250,000 (Page 3)

Sec. 231.

Entire Section. (Page 12)

Sec. 403.

Entire Section. (Page 13)

STATE OF MICHIGAN

94TH LEGISLATURE

REGULAR SESSION OF 2008

Introduced by Senator Garcia

ENROLLED SENATE BILL No. 1097

AN ACT to make appropriations for the department of environmental quality for the fiscal year ending September 30, 2009; to provide for the expenditure of those appropriations; to create certain funds and accounts; to require certain reports; to prescribe the powers and duties of certain state agencies and officials; to authorize certain transfers by certain state agencies; and to provide for the disposition of fees and other income received by the various state agencies.

The People of the State of Michigan enact:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. Subject to the conditions set forth in this act, the amounts listed in this part are appropriated for the department of environmental quality for the fiscal year ending September 30, 2009, from the funds indicated in this part. The following is a summary of the appropriations in this part:

DEPARTMENT OF ENVIRONMENTAL QUALITY

APPROPRIATION SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 1,520.7

GROSS APPROPRIATION $ 363,953,700

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers 18,890,200

ADJUSTED GROSS APPROPRIATION $ 345,063,500

Federal revenues:

Total federal revenues 130,636,100

Special revenue funds:

Total local revenues 0

Total private revenues 455,700

Total other state restricted revenues 169,559,900

State general fund/general purpose $ 44,411,800

FUND SOURCE SUMMARY:

Full-time equated unclassified positions 6.0

Full-time equated classified positions 1,520.7

GROSS APPROPRIATION $ 363,953,700

Interdepartmental grant revenues:

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

IDG-MDSP $ 883,200

IDG, Michigan transportation fund 1,066,900

IDT, interdivisional charges 2,053,400

IDT, laboratory services 4,414,200

Total interdepartmental grants and intradepartmental transfers 18,890,200

ADJUSTED GROSS APPROPRIATION $ 345,063,500

Federal revenues:

DHHS, federal 6,200

DHS, federal 3,293,800

DOC-NOAA, federal 3,779,400

DOD, federal 1,202,700

DOI, federal 595,300

EPA, multiple 121,758,700

Total federal revenues 130,636,100

Special revenue funds:

Private funds 455,700

Total private revenues 455,700

Aboveground storage tank fees 363,200

Air emissions fees 9,344,200

Aquifer protection revolving fund 400,000

Campground fund 238,900

Clean Michigan initiative - administration 120,100

Clean Michigan initiative - clean water fund 4,615,800

Cleanup and redevelopment fund 12,428,500

Community pollution prevention fund 250,000

Environmental pollution prevention fund 944,400

Environmental protection fund 3,919,300

Environmental response fund 6,320,400

Fees and collections 446,500

Financial instruments 5,000,000

Great Lakes protection fund 1,605,800

Groundwater discharge permit fees 1,120,200

Hazardous materials transportation permit fund 219,700

Infrastructure construction fund 398,000

Laboratory data quality recognition fund 16,100

Land and water permit fees 1,057,600

Landfill maintenance trust fund 56,200

Medical waste emergency response fund 240,900

Metallic mining surveillance fee revenue 94,200

Mineral well regulatory fee revenue 172,500

Nonferrous metallic mineral surveillance 221,700

NPDES fees 3,378,100

Oil and gas regulatory fund 7,860,300

Orphan well fund 2,053,100

Public swimming pool fund 544,300

Public utility assessments 787,400

Public water supply fees 3,962,900

Publication revenue 120,700

Refined petroleum fund 30,724,700

Restricted funds 17,600,700

Retired engineers technical assistance fund 1,474,300

Revitalization revolving loan fund 84,600

Revolving loan revenue bonds 11,400,000

Saginaw Bay and River restoration revenue 175,800

Sand extraction fee revenue 198,600

Scrap tire regulatory fund 5,852,000

Septage waste contingency fund 38,000

Septage waste program fund 722,000

Settlement funds $ 2,106,400

Sewage sludge land application fee 855,400

Small business pollution prevention revolving loan fund 108,200

Soil erosion and sedimentation control training fund 115,400

Solid waste program fees 4,014,400

Stormwater permit fees 2,814,900

Strategic water quality initiatives fund 10,000,000

Underground storage tank fees 2,134,300

Waste reduction fee revenue 3,909,900

Wastewater operator training fees 172,800

Water analysis fees 3,328,400

Water pollution control revolving fund 3,081,000

Water quality protection fund 100,000

Water use reporting fees 247,100

Total other state restricted revenues 169,559,900

State general fund/general purpose $ 44,411,800

Sec. 102. EXECUTIVE OPERATIONS AND DEPARTMENT SUPPORT

Full-time equated unclassified positions 6.0

Full-time equated classified positions 83.0

Unclassified salaries--6.0 FTE positions $ 587,600

Administrative hearings 446,400

Automated data processing 2,053,400

Central operations--58.0 FTE positions 5,272,300

Environmental ombudsman 250,000

Environmental support projects 5,000,000

Executive direction--18.0 FTE positions 2,316,100

Internal audit services 228,500

Office of the Great Lakes--7.0 FTE positions 1,053,200

Building occupancy charges 7,116,600

Rent - privately owned property 2,145,900


GROSS APPROPRIATION $ 26,470,000

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP 112,300

IDT, interdivisional charges 2,053,400

IDT, laboratory services 472,800

Federal revenues:

DOC-NOAA, federal 22,600

DOI, federal 160,900

EPA, multiple 195,200

Special revenue funds:

Financial instruments 5,000,000

Great Lakes protection fund 605,800

Restricted funds 12,394,500

Settlement funds 104,900

State general fund/general purpose $ 5,347,600

Sec. 103. AIR QUALITY

Full-time equated classified positions 236.5

Air quality programs--236.5 FTE positions $ 26,092,000


GROSS APPROPRIATION $ 26,092,000

Appropriated from:

Federal revenues:

DHS, federal 1,708,400

EPA, multiple 4,492,700

Special revenue funds:

Air emissions fees 8,952,900

Environmental response fund $ 106,700

Fees and collections 301,600

Oil and gas regulatory fund 108,200

Refined petroleum fund 2,864,800

State general fund/general purpose $ 7,556,700

Sec. 104. ENVIRONMENTAL SCIENCE AND SERVICES

Full-time equated classified positions 175.0

Program services and grant management--30.0 FTE positions $ 4,000,900

Laboratory services--60.0 FTE positions 7,045,800

Municipal assistance--37.0 FTE positions 5,323,900

Pollution prevention and technical assistance--48.0 FTE positions 5,017,200

Pollution prevention outreach 300,000

Retired engineers technical assistance program 1,474,300


GROSS APPROPRIATION $ 23,162,100

Appropriated from:

Interdepartmental grant revenues:

IDT, laboratory services 3,790,500

Federal revenues:

DOC-NOAA, federal 454,800

EPA, multiple 3,445,800

Special revenue funds:

Private funds 300,000

Air emissions fees 391,300

Environmental protection fund 68,900

Environmental response fund 665,100

Laboratory data quality recognition fund 16,100

Public water supply fees 253,000

Retired engineers technical assistance fund 1,474,300

Revitalization revolving loan fund 84,600

Settlement funds 235,200

Small business pollution prevention revolving loan fund 108,200

Stormwater permit fees 95,900

Strategic water quality initiatives fund 400,000

Waste reduction fee revenue 3,835,000

Wastewater operator training fees 172,800

Water analysis fees 3,328,400

Water pollution control revolving fund 2,409,100

State general fund/general purpose $ 1,633,100

Sec. 105. OFFICE OF GEOLOGICAL SURVEY

Full-time equated classified positions 67.0

Coal and sand dune management--2.0 FTE positions $ 627,000

Metallic mine reclamation--1.0 FTE position 94,200

Mineral wells management--2.0 FTE positions 247,400

Nonferrous metallic mining--2.0 FTE positions 221,700

Orphan well--2.0 FTE positions 2,053,100

Services to oil and gas--58.0 FTE positions 7,509,500


GROSS APPROPRIATION $ 10,752,900

Appropriated from:

Federal revenues:

DOI, federal 428,400

Special revenue funds:

Metallic mining surveillance fee revenue 94,200

Mineral well regulatory fee revenue 172,500

Nonferrous metallic mineral surveillance 221,700

Oil and gas regulatory fund 7,388,800

Orphan well fund $ 2,053,100

Publication revenue 120,700

Sand extraction fee revenue 198,600

State general fund/general purpose $ 74,900

Sec. 106. LAND AND WATER MANAGEMENT

Full-time equated classified positions 121.0

Program direction--6.0 FTE positions $ 944,100

Field permitting and project assistance--72.0 FTE positions 7,549,600

Great Lakes shorelands--24.0 FTE positions 2,672,700

Water management--19.0 FTE positions 2,702,900


GROSS APPROPRIATION $ 13,869,300

Appropriated from:

Interdepartmental grant revenues:

IDG, Michigan transportation fund 1,012,300

Federal revenues:

DHS, federal 1,003,500

DOC-NOAA, federal 1,515,800

EPA, multiple 1,052,100

Special revenue funds:

Land and water permit fees 705,100

State general fund/general purpose $ 8,580,500

Sec. 107. REMEDIATION AND REDEVELOPMENT

Full-time equated classified positions 285.0

Contaminated site investigation, cleanup, and revitalization--225.0 FTE positions $ 23,005,400

Federal cleanup project management--60.0 FTE positions 8,411,400

Emergency cleanup actions 4,000,000

Refined petroleum product cleanup program 20,000,000

Environmental cleanup support 2,340,000

Superfund cleanup 4,000,000


GROSS APPROPRIATION $ 61,756,800

Appropriated from:

Federal revenues:

DHHS, federal 6,200

DOD, federal 1,174,500

EPA, multiple 8,403,500

Special revenue funds:

Private funds 155,700

Cleanup and redevelopment fund 12,428,500

Environmental protection fund 3,850,400

Environmental response fund 5,248,000

Landfill maintenance trust fund 56,200

Refined petroleum fund 26,813,500

Settlement funds 1,516,300

State general fund/general purpose $ 2,104,000

Sec. 108. WASTE AND HAZARDOUS MATERIALS

Full-time equated classified positions 173.0

Aboveground storage tank program--8.0 FTE positions $ 762,900

Hazardous waste management program--60.0 FTE positions 6,497,200

Low-level radioactive waste authority--2.0 FTE positions 787,400

Medical waste program--2.0 FTE positions 240,900

Radiological protection program--12.0 FTE positions 1,423,100

Scrap tire regulatory program--11.0 FTE positions 1,066,800

Solid waste management program--45.0 FTE positions 4,587,700

Underground storage tank program--33.0 FTE positions 3,402,900


GROSS APPROPRIATION $ 18,768,900

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP $ 742,900

Federal revenues:

EPA, multiple 4,027,500

Special revenue funds:

Aboveground storage tank fees 363,200

Environmental pollution prevention fund 944,400

Hazardous materials transportation permit fund 219,700

Medical waste emergency response fund 240,900

Public utility assessments 787,400

Scrap tire regulatory fund 1,066,800

Solid waste program fees 4,014,400

Underground storage tank fees 2,134,300

Waste reduction fee revenue 74,900

State general fund/general purpose $ 4,152,500

Sec. 109. WATER

Full-time equated classified positions 358.2

Aquifer protection program $ 350,000

Aquifer protection and dispute resolution - IDG to Michigan department of agriculture 50,000

Drinking water and environmental health--120.0 FTE positions 16,176,600

Expedited water/wastewater permits--3.0 FTE positions 398,000

Fish contaminant monitoring 316,100

Groundwater discharge--22.0 FTE positions 2,968,900

NPDES nonstormwater program--98.2 FTE positions 11,023,900

Sewage sludge land application program--6.0 FTE positions 855,400

Surface water--102.0 FTE positions 15,204,500

Water withdrawal assessment program--7.0 FTE positions 895,000


GROSS APPROPRIATION $ 48,238,400

Appropriated from:

Federal revenues:

EPA, multiple 18,164,800

Special revenue funds:

Aquifer protection revolving fund 400,000

Campground fund 238,900

Clean Michigan initiative - administration 120,100

Clean Michigan initiative - clean water fund 3,715,800

Environmental response fund 168,100

Fees and collections 144,900

Groundwater discharge permit fees 1,120,200

Infrastructure construction fund 398,000

Land and water permit fees 352,500

NPDES fees 3,378,100

Public swimming pool fund 544,300

Public water supply fees 2,309,900

Refined petroleum fund 962,700

Saginaw Bay and River restoration revenue 175,800

Septage waste contingency fund 38,000

Septage waste program fund 322,000

Sewage sludge land application fee 855,400

Soil erosion and sedimentation control training fund 115,400

Stormwater permit fees 2,719,000

Water pollution control revolving fund 671,900

Water use reporting fees 247,100

State general fund/general purpose $ 11,075,500

Sec. 110. CRIMINAL INVESTIGATIONS

Full-time equated classified positions 22.0

Environmental investigations--22.0 FTE positions $ 2,585,900


GROSS APPROPRIATION $ 2,585,900

Appropriated from:

Federal revenues:

DHS, federal 557,400

EPA, multiple 154,000

Special revenue funds:

Environmental response fund 132,500

Oil and gas regulatory fund 363,300

Scrap tire regulatory fund 285,200

State general fund/general purpose $ 1,093,500

Sec. 111. GRANTS

Coastal management grants $ 2,000,000

Federal - Great Lakes remedial action plan grants 700,000

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

Grants to counties - air pollution 83,700

Radon grants 90,000

Water pollution control and drinking water revolving fund 85,202,400

Drinking water program grants 1,330,000

Great Lakes research and protection grants 1,000,000

Local health department operations 10,472,500

Noncommunity water grants 1,400,000

Pollution prevention local grants 250,000

Real-time water quality monitoring 250,000

Septage waste compliance grants 400,000

Scrap tire grants 4,500,000

Strategic water quality initiative loans 9,600,000

Village of Chesaning, water pollution control grant 900,000

Water quality protection grants 100,000


GROSS APPROPRIATION $ 124,778,600

Appropriated from:

Interdepartmental grant revenues:

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

Federal revenues:

DOC-NOAA, federal 1,700,000

EPA, multiple 80,463,000

Special revenue funds:

Clean Michigan initiative - clean water fund 900,000

Community pollution prevention fund 250,000

Great Lakes protection fund 1,000,000

Public water supply fees 1,400,000

Refined petroleum fund 83,700

Revolving loan revenue bonds 11,400,000

Scrap tire regulatory fund 4,500,000

Septage waste program fund 400,000

Settlement funds 250,000

Strategic water quality initiatives fund 9,600,000

Water quality protection fund 100,000

State general fund/general purpose $ 2,259,400

Sec. 112. INFORMATION TECHNOLOGY

Information technology services and projects $ 7,478,800


GROSS APPROPRIATION $ 7,478,800

Appropriated from:

Interdepartmental grant revenues:

IDG-MDSP 28,000

IDG, Michigan transportation fund $ 54,600

IDT, laboratory services 150,900

Federal revenues:

DHS, federal 24,500

DOC-NOAA, federal 86,200

DOD, federal 28,200

DOI, federal 6,000

EPA, multiple 1,360,100

Special revenue funds:

Restricted funds 5,206,200

State general fund/general purpose $ 534,100

PART 2

PROVISIONS CONCERNING APPROPRIATIONS

GENERAL SECTIONS


Sec. 201. Pursuant to section 30 of article IX of the state constitution of 1963, total state spending from state resources under part 1 for fiscal year 2008-2009 is $213,971,700.00 and state spending from state resources to be paid to local units of government for fiscal year 2008-2009 is $5,200,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF ENVIRONMENTAL QUALITY

GRANTS

Noncommunity water grants $ 1,400,000

Scrap tire grants 2,250,000

Septage waste compliance program 400,000

Village of Chesaning, water pollution control grant 900,000

Real-time water quality monitoring 250,000


TOTAL $ 5,200,000

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

Sec. 203. As used in this act:

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

(b) "DHHS" means the United States department of health and human services.

(c) "DHS" means the United States department of homeland security.

(d) "DOC" means the United States department of commerce.

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

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

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

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

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

(j) "IDG" means interdepartmental grant.

(k) "IDT" means intradepartmental transfer.

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

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

(n) "NPDES" means national pollutant discharge elimination system.

Sec. 204. The civil service commission shall bill departments and agencies at the end of the first fiscal quarter for the 1% charge authorized by section 5 of article XI of the state constitution of 1963. Payments shall be made for the total amount of the billing by the end of the second fiscal quarter.

Sec. 205. (1) A hiring freeze is imposed on the state classified civil service. State departments and agencies are prohibited from hiring any new full-time state classified civil service employees and prohibited from filling any vacant state classified civil service positions. This hiring freeze does not apply to internal transfers of classified employees from 1 position to another within a department.

(2) The state budget director shall grant exceptions to the hiring freeze described in subsection (1) when the state budget director believes that the hiring freeze will result in rendering a state department or agency unable to deliver basic services, cause a loss of revenue to the state, result in the inability of the state to receive federal funds, or would necessitate additional expenditures that exceed any savings from maintaining a vacancy. The state budget director shall report quarterly to the chairpersons of the senate and house of representatives standing committees on appropriations the number of exceptions to the hiring freeze approved during the previous quarter and the reasons to justify the exception.

Sec. 206. The department shall use the Internet to fulfill the reporting requirements of this act. This requirement may include transmission of reports via electronic mail to the recipients identified for each reporting requirement or it may include placement of reports on an Internet or Intranet site.

Sec. 207. The departments and state agencies receiving appropriations under this act shall receive and retain copies of all reports funded from appropriations in part 1. These departments and state agencies shall follow federal and state guidelines for short-term and long-term retention of these reports. To the extent consistent with federal and state guidelines, the requirements of this section are satisfied if the reports funded from appropriations in part 1 are retained in electronic format.

Sec. 208. By February 15, 2009, the department shall provide the state budget director, the subcommittees on environmental quality of the senate and house appropriations committees, and the senate and house fiscal agencies with an annual report on restricted fund balances, projected revenues, and expenditures for the fiscal years ending September 30, 2008 and September 30, 2009.

Sec. 209. (1) From funds appropriated under part 1, the department shall prepare a report that lists all of the following regarding grant or loan or grant and loan programs administered by the department for the fiscal year ending September 30, 2009:

(a) The name of each program.

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

(c) The maximum and minimum grant and loan available and whether there is a match requirement for each program.

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

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

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

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

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

(2) The reports required under this section shall be submitted to the state budget office, the senate and house appropriations committees, and the senate and house fiscal agencies by January 1, 2009.

Sec. 210. (1) The department shall report all of the following information relative to allocations made from appropriations for the environmental cleanup and redevelopment program, state cleanup, emergency actions, superfund cleanup, the revitalization revolving loan program, the brownfield grants and loans program, the leaking underground storage tank cleanup program, the contaminated lake and river sediments cleanup program, the refined petroleum product cleanup program, and the environmental protection bond projects under section 19508(7) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19508, to the state budget director, the senate and house appropriations subcommittees on environmental quality, and the senate and house fiscal agencies:

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

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

(c) A brief description of how the problem will be resolved if the allocation is made for a response activity.

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

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

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

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

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

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

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

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

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

Sec. 211. (1) The department of environmental quality is authorized to expend amounts remaining from the current and prior fiscal year appropriations to meet funding needs of legislatively approved sites for the environmental cleanup and redevelopment program, the leaking underground storage tank cleanup program, and the refined petroleum product cleanup program.

(2) Unexpended and unencumbered amounts remaining from appropriations from the environmental protection bond fund contained in 2003 PA 173 and 2006 PA 343 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(3) Unexpended and unencumbered amounts remaining from appropriations from the cleanup and redevelopment fund and unclaimed bottle deposits fund contained in 2003 PA 171, 2003 PA 173, 2003 PA 237, and 2004 PA 350 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(4) Unexpended and unencumbered amounts remaining from appropriations from the clean Michigan initiative fund- response activities contained in 2000 PA 506, 2001 PA 120, 2003 PA 173, 2003 PA 237, 2004 PA 309, 2004 PA 350, 2005 PA 11, 2006 PA 343, and 2007 PA 121 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(5) Unexpended and unencumbered amounts remaining from appropriations from the environmental protection fund contained in 2001 PA 43, 2002 PA 520, 2003 PA 171, and 2004 PA 350 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

(6) Unexpended and unencumbered amounts remaining from appropriations from the refined petroleum fund activities contained in 2005 PA 154 and 2007 PA 121 are appropriated for expenditure for any site listed in this act and any site listed in the public acts referenced in this section.

Sec. 212. Of the money appropriated from the environmental education fund in part 1, $5,000.00 shall be allocated to Michigan State University Extension Service - 4-H Youth Programs to fund the Michigan Youth Conservation Council.

Sec. 213. From the funds appropriated in part 1 for information technology, departments and agencies shall pay user fees to the department of information technology for technology-related services and projects. These user fees shall be subject to provisions of an interagency agreement between the department and the department of information technology.

Sec. 214. Amounts appropriated in part 1 for information technology may be designated as work projects and carried forward to support technology projects under the direction of the department of information technology. Funds designated in this manner are not available for expenditure until approved as work projects under section 451a of the management and budget act, 1984 PA 431, MCL 18.1451a.

Sec. 215. (1) Due to the current budgetary problems in this state, out-of-state travel for the fiscal year ending September 30, 2009 shall be limited to situations in which 1 or more of the following conditions apply:

(a) The travel is required by legal mandate or court order or for law enforcement purposes.

(b) The travel is necessary to protect the health or safety of Michigan citizens or visitors or to assist other states in similar circumstances.

(c) The travel is necessary to produce budgetary savings or to increase state revenues, including protecting existing federal funds or securing additional federal funds.

(d) The travel is necessary to comply with federal requirements.

(e) The travel is necessary to secure specialized training for staff that is not available within this state.

(f) The travel is financed entirely by federal or nonstate funds.

(2) If out-of-state travel is necessary but does not meet 1 or more of the conditions in subsection (1), the state budget director may grant an exception to allow the travel. Any exceptions granted by the state budget director shall be reported on a monthly basis to the senate and house of representatives standing committees on appropriations.

(3) Not later than January 1 of each year, each department shall prepare a travel report listing all travel by classified and unclassified employees outside this state in the immediately preceding fiscal year that was funded in whole or in part with funds appropriated in the department's budget. The report shall be submitted to the senate and house of representatives standing committees on appropriations, the senate and house fiscal agencies, and the state budget director. The report shall include the following information:

(a) The name of each person receiving reimbursement for travel outside this state or whose travel costs were paid by this state.

(b) The destination of each travel occurrence.

(c) The dates of each travel occurrence.

(d) A brief statement of the reason for each travel occurrence.

(e) The transportation and related costs of each travel occurrence, including the proportion funded with state general fund/general purpose revenues, the proportion funded with state-restricted revenues, the proportion funded with federal revenues, and the proportion funded with other revenues.

(f) A total of all out-of-state travel funded for the immediately preceding fiscal year.

Sec. 216. Funds appropriated in part 1 shall not be used for the purchase of foreign goods or services, or both, if competitively priced and comparable quality American goods or services, or both, are available. Preference shall be given to goods or services, or both, manufactured or provided by Michigan businesses if they are competitively priced and of comparable quality. In addition, preference shall be given to goods or services, or both, that are manufactured or provided by Michigan businesses owned or operated by veterans, if they are competitively priced and of comparable quality.

Sec. 217. The director shall take all reasonable steps to ensure businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. The director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 218. Unexpended settlement revenues at the end of the fiscal year may be carried forward into the settlement fund in the succeeding fiscal year up to a maximum carryforward of $2,500,000.00.

Sec. 219. (1) The appropriation in section 102 includes $12,394,500.00 from restricted funds. This funding source shall support the restricted fund requirements, pursuant to subsection (3), for selected line items in the executive operations and administrative support appropriation unit.

(2) The appropriation in section 112 includes $5,206,200.00 from restricted funds. This funding source shall support the restricted fund requirements, pursuant to subsection (3), for the information technology appropriation.

(3) The department shall adopt a cost allocation plan for revenue sources supporting line items listed in sections 102 and 112.

(4) The department shall provide a report on or before October 31, 2008 to the house and senate appropriations subcommittees on environmental quality and the house and senate fiscal agencies of the line item amounts and detailed revenue sources which support the restricted fund appropriations in sections 102 and 112.

Sec. 220. The department shall not take disciplinary action against an employee for communicating truthfully and factually with a member of the legislature or his or her staff.

Sec. 221. The department shall annually report and post on its website by December 31 to the state budget director, the senate and house appropriations committees, and the senate and house fiscal agencies an accounting of all civil and criminal fine revenue collected during the previous fiscal year.

Sec. 223. (1) The department shall report no later than April 1, 2009 on each specific policy change made by the department to implement a public act affecting that department that took effect during the preceding calendar year. The department shall report to the house and senate appropriations subcommittees on the budget for the department, the joint committee on administrative rules, and the senate and house fiscal agencies.

(2) Funds appropriated in part 1 shall not be used by the department to adopt a rule that will apply to a small business and that will have a disproportionate economic impact on small businesses because of the size of those businesses if the department fails to reduce the disproportionate economic impact of the rule on small businesses as provided under section 40 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.240.

(3) As used in this section:

(a) "Rule" means that term as defined under section 7 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207.

(b) "Small business" means that term as defined under section 7a of the administrative procedures act of 1969, 1969 PA 306, MCL 24.207a.

Sec. 224. Funds appropriated in part 1 shall not be used by a principal executive department, state agency, or authority to hire a person to provide legal services that are the responsibility of the attorney general. This prohibition does not apply to legal services for bonding activities and for those activities that the attorney general authorizes.

Sec. 225. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $30,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL18.1393.

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

(3) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $100,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(4) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $100,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in this act under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 226. The department shall not approve the travel of more than 1 departmental employee to a specific professional development conference or training seminar that is located outside of this state unless the professional development conference or training seminar is funded by a federal or private funding source and requires more than 1 person from a department to attend, or the conference or training seminar includes multiple issues in which 1 employee from the department does not have expertise.

Sec. 227. By April 1, 2009, the department shall submit to the senate and house appropriations subcommittees on environmental quality, the senate and house fiscal agencies, and the state budget director a plan for replacement of failing or obsolete computer and database systems, including a schedule for system replacement and cost estimates.

Sec. 228. If funding is available to support the information technology necessary for implementation, the department shall develop, post, and maintain a user friendly and publicly accessible Internet site with all expenditures made by the department within a fiscal year. The posting shall include the purpose for which each expenditure is made.

Sec. 229. Semiannually, the department shall notify the senate and house appropriation subcommittees on environmental quality, the senate and house fiscal agencies, and the state budget director of all requests made of the department under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246, during the previous 6 months.

Sec. 230. (1) It is the intent of the legislature that the department issue the necessary permits to construct a lake level control structure on Muskrat Lake in Clinton County for the purpose of restoring the water level to a level that allows use of the existing public boat dock.

(2) By February 1, 2009, the department shall notify the senate and house appropriation subcommittees on environmental quality, the senate and house fiscal agencies, and the state budget director of the status of the permits and the water level of Muskrat Lake.

Sec. 231. (1) The expenditure of the appropriation in part 1 for an environmental ombudsman is contingent upon enactment of legislation to create an environmental ombudsman in the legislative council.

(2) It is the intent of the legislature that the first issue addressed by the environmental ombudsman is investigation into citizen complaints regarding the wetlands program.

ENVIRONMENTAL SCIENCE AND SERVICES


Sec. 401. Revenues remaining in the interdepartmental transfers, laboratory services at the end of the fiscal year shall carry forward into the succeeding fiscal year.

Sec. 402. By July 1, 2009, the department shall prepare and submit a report to the state budget director, the legislature, the chairs of the standing committees of the senate and house of representatives with primary responsibility for issues related to natural resources and the environment, and the chairs of the subcommittees of the senate and house appropriations committees with primary responsibility for appropriations for the department of environmental quality, outlining the implementation of the Great Lakes water quality bond provided for in part 197 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.19701 to 324.19708, including, but not limited to, the amount of bonds issued and the date they were issued, the number of applications received for loans from the state water pollution control revolving fund created in section 16a of the shared credit rating act, 1985 PA 227, MCL 141.1066a, the total amount of loans requested, a listing of the applicants receiving loans and the total amount of loans provided to those applicants, a listing of applicants whose loan applications were not approved and the reasons why those applications were not approved, the amount of the loans granted that were leveraged from bond proceeds, and the remaining bond proceeds and bond authorization.

Sec. 403. (1) There is appropriated $2,000,000.00 from the environmental protection fund created in section 503a ofthe natural resources and environmental protection act, 1994 PA 451, MCL 324.503a, to reimburse retailers for the cost of retrofitting existing reverse vending machines to accept Michigan-only returnable beverage containers. Funds may be carried forward into fiscal year 2009-2010 for this purpose if the total $2,000,000.00 is not expended in fiscal year2008-2009.

(2) For the fiscal year ending September 30, 2009, $2,000,000.00 in the cleanup and redevelopment trust fund created in section 3e of 1976 IL 1, MCL 445.573e, is hereby appropriated and transferred to the environmental protection fund.

OFFICE OF GEOLOGICAL SURVEY


Sec. 501. It is the intent of the legislature that the office of geological survey continue its work with Western Michigan University's department of geosciences to maintain core samples at the Michigan basin core research laboratory as part of the Michigan geological repository for research and education at Western Michigan University and it is encouraged to explore new opportunities for mutually beneficial research and collaboration between the department and the university.

REMEDIATION AND REDEVELOPMENT


Sec. 701. The unexpended funds appropriated in part 1 for emergency cleanup actions, the refined petroleum product cleanup program, and the environmental cleanup and redevelopment program are considered work project appropriations and any unencumbered or unallotted funds are carried forward into the succeeding fiscal year. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

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

(b) The projects will be accomplished by contract.

(c) The total estimated cost of all projects is identified in each line-item appropriation.

(d) The tentative completion date is September 30, 2013.

Sec. 702. From funds appropriated in part 1 for activities related to cleanup sites under part 201 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.20101 to 324.20142, the department shall incorporate into remedial action plans area-wide or site-specific cleanup criteria derived from peer-reviewed risk assessment based on bioavailability studies, site-specific human exposure data, and any other scientifically based risk assessment studies that are available and relevant. The department shall submit a report listing efforts made by the department to comply with this section. This report shall be provided to the house and senate appropriations subcommittees on environmental quality on or before January 1, 2009.

Sec. 703. The funds appropriated in part 1 for the refined petroleum product cleanup program shall be used to fund cleanup activities on the following sites:

Site Name County

Phil's Sunoco Alcona

Somers Inc. Alcona

Laughing Whitefish Trading Post Alger

Midway Resort Inc. Alger

Fennville Feed Supply Allegan

Bellaire Bay Mart Antrim

Butch's Tackle & Marine Antrim

Pickup Capitol of the North Antrim

Res Wells Torch Lake Twp. Antrim

Torch River Pit Stop Antrim

Woodland Residential Wells Barry

Lone Pine Party Store Benzie

Res. Well Village of Honor Benzie

Dave's Shell Berrien

Frank's Pro Station Berrien

Main & Fair, SW Corner Berrien

Main & Ogden, NE Corner Berrien

Schuler's Auto Repair Berrien

Indian Lake Mini Super Cass

Riggs Corner Store Cass

Dockside Market Charlevoix

Cook Corporation Cheboygan

Mr. Mug's Donut Shop Chippewa

Ackel's Car Care Clinton

South End Mobil Eaton

Farmers Petroleum Coop-Petoskey Emmet

Central Distributing Genesee

Fishermans Landing Genesee

Flint, City of, 1818 N. Saginaw Street Genesee

J&J Service Station Genesee

Sunshine Foods #119 Burton Genesee

Gazey Aleck Station Gladwin

Winegars Trading Post Gladwin

Evans Paint & Wallpaper Grand Traverse

GJ's Party Store Grand Traverse

Hoeflin Service Station Grand Traverse

OTC Oil Grand Traverse

Universal Car Wash II Grand Traverse

Venture Investments Grand Traverse

Woodland Shop and Go #175 Grand Traverse

Dunk's Garage Huron

Port Austin Shell Huron

Action Auto Inc. Ingham

Former Clark #531 Ingham

Webberville Oil Ingham

Gene Carr Ionia

Goss Corner Store Ionia

Justice Junction/Nancy Justice Ionia

Barbier Oil Bulk Plant Iosco

Bublitz Oil Full Service Oscoda Iosco

Alamo General Store Kalamazoo

McDonalds Crosstown Service Kalamazoo

McLeieer Oil Kalamazoo

Moore's Millwood Service Kalamazoo

Davis Country Corners Kalkaska

Taffletown Tavern Kalkaska

Hucks Corner Inc. Kent

Riverview, N Park, Hubbard St. area Kent

Robinson Bulk Terminal Kent

Uncle Lee's Trading Post/MRL Inc. Kent

Bass Lake Store Lake

Chase General Store Lake

Lakeland Montessori School Livingston

Leon Bonner Prop. Livingston

Millies Market (dba Toms) Livingston

Bob's Standard Service Luce

Action Auto (Former) Macomb

Montgomery Ward Macomb

Arcadia Veteran's Mem. Marina Manistee

Red Barn Market Manistee

Greenwood Self Serve Marquette

Harvey Oil Co., Inc. Marquette

Joe & Son's Service Marquette

Paton's Country Store Marquette

Joes Tire Service/Ridderman Oil Mecosta

Kregear's Service Missaukee

The Landing Missaukee

1034 Howard City Edmore Road Montcalm

Amble Oil Co. Montcalm

Beard Oil (Former) Montcalm

Blackrick Service Montcalm

Six Lakes General Montcalm

Thelma Franklin Montcalm

Mary D's Restaurant Montmorency

Pointe Bait Montmorency

Sports Center, Inc. Montmorency

Bill's Auto & Stereo Muskegon

Kelly's Corner Inc. Muskegon

Laketon Auto Clinic Muskegon

MDNR Real Estate, White Cloud Newaygo

Up North Gift Co. Newaygo

415 E. Hudson Ave. Oakland

Emma Milner Property Oakland

Farmers Petroleum Corp., Highland Oakland

Jenny Ent/Wine Basket, Highland Oakland

Little Caesar's Pizza, Ortonville Oakland

Wayne Oakland Oil Company Oakland

East Hart Party Store Oceana

William Crawford Property Oceana

Al's Service Ogemaw

Franklin Forge Co. Ogemaw

MDNR Main St. Lupton Ogemaw

Rose City Feed and Tack Ogemaw

Osceola Oil Company Osceola

Family Book Shelf Osceola

Jamestown Automotive Inc. Ottawa

Big Mac's Market Roscommon

Chapin General Store Saginaw

Kuchers Service Saginaw

Court Abandoned Shiawassee

Former Sav-U Station Shiawassee

Payless SuperAmerica St. Joseph

Imlay City Gas and Oil Tuscola

Lakeside Kwik Stop Van Buren

A.S.E. Inc. dba S & S Shell Washtenaw

Arbor Wash Washtenaw

Cals Car Care Inc. Wayne

Levan Party Store Wayne

Mercury Manufacturing Wayne

Reclamation Oil Company Wayne

Warren & Lakewood Service Wayne

Jacks Resort Wexford

Peterson's Standard Wexford

Village of Harrietta, 114 S. Davis Street Wexford

Sec. 704. It is the intent of the legislature to repay the refined petroleum fund for the $70,000,000.00 that was transferred to the environmental protection fund as part of the resolution for the fiscal year 2006-2007 budget.

Sec. 705. (1) The department shall work with the legislature to develop recommendations through an advisory workgroup process for the appropriate use of administrative rules and operational memoranda in the leaking underground storage tank program. This advisory workgroup shall do all of the following:

(a) Review and make recommendations if operational memoranda used by the department are necessary and used appropriately.

(b) Review and make recommendations regarding the rules, methods, policies, or procedures used to develop operational memoranda.

(c) Review and make recommendations regarding procedures for determining if an inspected organization has acted in accordance with operational memoranda.

(2) The workgroup under subsection (1) shall consist of 13 members, appointed as follows:

(a) Members of the senate and house appropriations subcommittees on environmental quality.

(b) Three members appointed by the senate majority leader, 1 each representing an independent petroleum wholesale distributor-marketer trade association, a petroleum refiner-supplier trade association, and a service station dealers' trade association.

(c) Three members appointed by the speaker of the house, 1 each representing a truck stop operators' trade association, an environmental public interest organization who is not associated with any of the above organizations, and the largest general farm organization in the state.

(d) The director of the department.

(3) The recommendations of the workgroup shall be submitted to the department, the senate and house appropriations subcommittees on environmental quality, the senate and house fiscal agencies, and the state budget director by December 31, 2008.

Sec. 706. The department shall not expend funds appropriated in part 1 if using operational memoranda or other similar documents that are in draft form to impose regulations on individuals or businesses conducting environmental cleanup projects, except as provided in part 213 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.21301 to 324.21331, or when there is written consent between the department and the individual or business.

WASTE AND HAZARDOUS MATERIALS


Sec. 801. It is the intent of the legislature that the recommendations of the site review board, as established in section 11117 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11117, are the final approval for each site construction permit application that is referred to the board by the department.

WATER


Sec. 901. By February 1, 2009, the department shall submit a report on the department's use of the national pollutant discharge elimination system fund created in MCL 324.3121 for the previous fiscal year, to the senate and house appropriations subcommittees on environmental quality, the standing committees of the legislature with jurisdiction over issues primarily related to natural resources and the environment, and the senate and house fiscal agencies. The report shall include a summary of how the appropriations in part 1 for NPDES nonstormwater program were used for the various permissible uses of the fund and shall include specific information on all of the following:

(a) The number of compliance and complaint inspections completed, by category, the number of on-site compliance inspections conducted, and the number of compliance inspections that were not announced in advance to the permittee or licensee.

(b) The number and percent of permit and license inspections that were found to be in significant noncompliance, by category.

(c) The number of administrative enforcement actions taken for permit or license violations and the results of the enforcement actions, including the amount of fines and penalties collected.

(d) The number of judicial enforcement actions taken for permit or license violations and the results of the enforcement actions, including the amount of fines and penalties collected.

(e) A listing of the supplemental environmental projects agreed to as a result of a consent agreement including all of the following: the case name, the monetary value of the supplemental environmental project, and a description of the project.

Sec. 902. The unexpended portion of funds appropriated in part 1 of 2004 PA 309 for the contaminated lake and river sediments cleanup program are appropriated for the same purpose for the fiscal year ending September 30, 2009.

Sec. 903. It is the intent of the legislature that the department continue federal support of the Michigan agriculture environmental assurance program and the work with small and medium livestock operations in the department of agriculture. Any reduction in the level of federal support from 319 funds shall be reduced proportionally from all programs that were supported by that federal grant in the fiscal year ending September 30, 2008.

GRANTS


Sec. 1101. If a certified health department does not exist in a city, county, or district or does not fulfill its responsibilities under part 117 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11701 to 324.11720, then the department may spend funds appropriated in part 1 under the septage waste compliance program in accordance with section 11716 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.11716.

Sec. 1102. Of the funds appropriated in part 1 for scrap tire grants, $100,000.00 shall be available for grants to communities to cover scrap tire fire suppression costs, provided owner liability bonds and other available funding sources have been exhausted.

Sec. 1103. (1) The appropriation in part 1 for real-time water quality monitoring is a grant to Macomb County and St. Clair County to support a real-time water quality monitoring program in the St. Clair watershed. By September 30, 2009, the grant recipients shall report to the department on the plan's implementation and the status of the project. The department shall forward the report to the state budget director, the senate and house appropriations subcommittees on environmental quality, the senate and house standing committees on natural resources and environmental issues, and the senate and house fiscal agencies.

(2) The funding appropriated in part 1 for real-time water quality monitoring is contingent upon both of the following:

(a) Submission by October 1, 2008 of a report by the grant recipient on the status of the project and use of prior funding provided by the state and other fund sources for this project.

(b) Submission by December 31, 2008 of a plan by the grant recipient for long-term funding of operation and maintenance of the real-time monitoring system for the Huron-Erie corridor. The funding plan shall not require state funds for more than 50% of total funding for the project and not more than $250,000.00 annually.

Sec. 1104. The appropriation in part 1 for the village of Chesaning, water pollution control grant, shall be used only for pollution control activities pursuant to section 8807 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.8807. A detailed work plan for these activities shall be provided by the grantee and approved by the department as part of the grant agreement with the department. The appropriation shall not be used for recreational or economic development activities. The grantee shall obtain all necessary state, federal, and local permits and authorizations, including, but not limited to, permits required under part 301 and part 315 of the natural resources and environmental protection act, 1994 PA 451, MCL 324.301 to 324.30113 and 324.31501 to 324.31529.

This act is ordered to take immediate effect.

Secretary of the Senate

Clerk of the House of Representatives

Approved

Governor