STATE PRINTING REQUIREMENTS                                                                  S.B. 1055:

                                                                                                    SUMMARY OF BILL

                                                                                      REPORTED FROM COMMITTEE

Senate Bill 1055 (as reported without amendment)

Sponsor:  Senator Tom Casperson

Committee:  Reforms, Restructuring, and Reinventing

CONTENT

The bill would amend Public Act 153 of 1937, which pertains to State printing, to eliminate a requirement that all printing for which the State is chargeable, or that is paid for with money appropriated by the State, be printed within Michigan.

The Act provides that all printing for which this State is chargeable, or that is paid for with funds appropriated wholly or in part by this State, with the exception of printing for school districts, counties, townships, villages, cities, or legal publications ordered for or by elective State officers, must be printed within this State. The bill would eliminate this requirement.

The Act also requires that printing that is chargeable to or paid for by the State bear the label of the branch of the allied printing trades council of the locality in which it is printed. The Act makes an exception to this requirement for printing firms that do not have the use of that union label and wish to submit bids for State printing, if they establish consideration as a responsible bidder as provided in the Act. Under the bill, the exception would apply to printing firms that did not have use of the union label in the locality in which the printing was done.

MCL 24.61                                                                      Legislative Analyst:  Jeff Mann

FISCAL IMPACT

The bill could result in cost savings to the State; however, the figure is indeterminate. Based on FY 2013-14 estimates, the Department of Technology, Management, and Budget (DTMB) expects to spend $10.2 million on "in-house" printing and an additional $2.0 million on printing jobs on behalf of other agencies that are outsourced. All of those outsourced jobs contracted for by DTMB are with Michigan-based companies. There are additional printing jobs done by other agencies, such as the Bureau of Lottery, that they outsource themselves and DTMB does not control. For this reason, the amount of savings that could result is indeterminate. It would depend on how many of these printing jobs were ultimately outsourced to non-Michigan-based companies and how much less expensive, if at all, these printing jobs would ultimately be.

Date Completed:  9-29-14                                                    Fiscal Analyst:  Joe Carrasco

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.