SB-1085, As Passed Senate, February 10, 2010

SUBSTITUTE FOR

SENATE BILL NO. 1085

     A bill to amend 1967 (Ex Sess) PA 8, entitled

"An act to provide for intergovernmental transfers of functions and

responsibilities,"

by amending section 4 (MCL 124.534).

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 4. A contract shall include:

     (a) A description of the functions or responsibilities to be

transferred.

     (b) The effective date of the contract.

     (c) The term of operation under the contract.

     (d) The manner in which the affected employees, if any, of the

participating political subdivisions shall be transferred,

reassigned, or otherwise treated subject to the following:

     (i) Such The employees as are necessary for the operation

thereof shall be transferred to and appointed as employees subject

to all rights and benefits. These employees shall be given

seniority credits and sick leave, vacation, insurance, and pension

credits in accordance with the records or labor agreements from the

acquired system. Members and beneficiaries of any pension or

retirement system or other benefits established by the acquired

system shall continue to have rights, privileges, benefits,

obligations, and status with respect to such the established

system. The political subdivision to which the functions or

responsibilities have been transferred shall assume the obligations

of any system acquired by it with regard to wages, salaries, hours,

working conditions, sick leave, health and welfare, and pension or

retirement provisions for employees. If the employees of an

acquired system were not guaranteed sick leave, health and welfare,

and pension or retirement pay based on seniority, the political

subdivision shall not be required to provide these benefits

retroactively.

     (ii) No employee who is transferred to a position with the

political subdivision shall by reason of such that transfer be

placed in any worse position until a new labor agreement is in

place with respect to workmen's worker's compensation, pension,

seniority, wages, sick leave, vacation, health and welfare

insurance, or any other benefits that he or she enjoyed as an

employee of such the acquired system.

     (iii) Nothing in this act requires that the political

subdivision pay to employees the highest wages and benefits

previously paid to any of the employees or their preexisting

bargaining units.

     (iv) Notwithstanding subparagraph (iii), all existing and expired

labor contracts with an acquired system shall be assumed by the

political subdivision and remain in effect until a new labor

agreement is in place.

     (e) The manner in which any real property, facilities,

equipment, or other personal property required in the execution of

the contract shall be transferred, sold, or otherwise disposed of

between the contracting parties.

     (f) The method of financing to be used and the amount to be

paid by each of the participating units in relation to the

undertaking involved.

     (g) Other legal, financial, and administrative arrangements

necessary to effectuate the undertaking.