INCREASE JUROR COMPENSATION

House Bill 4561 as introduced

Sponsor:  Rep. Peter J. Lucido

Committee:  Judiciary

Complete to 4-11-16

SUMMARY:

The bill would increase compensation to a juror to $30 for the first day of actual attendance at the court and $15 for the first half day.  For each subsequent day of actual attendance, the compensation would be $45, and for each subsequent half day, $25.

Since October 1, 2003, the compensation has been not less than $25 per day and $12.50 per half day of actual attendance at the court.  For each subsequent day or half day of actual attendance at the court, the compensation has been not less than $40 per day and $20 per half day. 

House Bill 4561 amends the Revised Judicature Act and specifies that the current compensation levels would end December 31, 2015, and the new compensation levels would begin January 1, 2016.

(Jurors are also reimbursed for traveling expenses, determined by the county board of commissioners, at not less than 10 cents per mile for round-trip travel between the juror's home and the court.  The bill does not amend this provision.)

MCL 600.1344

BACKGROUND:

The Juror Compensation Reimbursement Fund (JCRF) was created in 2003 to provide reimbursement compensation to local trial courts for an increase in juror compensation rates which took effect October 1, 2003 (MCL 600.1344, 2002 PA 739).  Under the law, trial court funding units were to be reimbursed an amount equal to the legislated increase that resulted from the law.  It should be noted that many courts provide compensation above the statutory minimum despite the fact that they do not receive reimbursement from the state for the discretionary amount.

The JCRF receives funding from driver license clearance fees and jury demand fees.  The driver license clearance fee is $45, of which $15 is directed to the JCRF (MCL 257.321a).  The jury demand fee for circuit court is $85, of which $25 is deposited in the JCRF (MCL 600.2529).  For district and municipal courts, the jury demand fee is $50, of which $10 is deposited in the JCRF ((MCL 600.8371).  For FY 2015, the JCRF received $4.5 million in fee revenue.  According to MCL 600.151d, the unencumbered balance shall remain in the fund at the end of the fiscal year and not revert to the General Fund.  At the end of FY 2015, the JCRF had a balance of $8.4 million.

FISCAL IMPACT:

The bill would have an indeterminate fiscal impact on the state.  The fiscal impact would depend on the number of first and subsequent full and half days served by jurors.

For the purposes of discussion, below is a comparison of total costs to the state in FY 2015 for current juror compensation rates and for increased compensation rates, had House Bill 4561 been enacted into law and made effective beginning with FY 2014-15. 

In FY 2015, the total number of first full days served was 71,000 and the total number of first half days was 92,000.  The total number of subsequent full days served was 38,000 and the total number of subsequent half days was 46,000.

		1st Full Day	1st Half Day	Sub Full Day	Sub Half Day	Total
Current	1st Day
Rates	$25.00 / $12.50	$1,775,000	$1,150,000
	Subsequent Days
	$40.00 / $20.00			$1,520,000	$920,000
						$5,365,000
HB 4561	1st Day
Rates	$30.00 / $15.00	$2,130,000	$1,380,000
	Subsequent Days
	$45.00 / $25.00			$1,710,000	$1,150,000
						$6,370,000
Difference in Costs:		$355,000	$230,000	$190,000	$230,000	$1,005,000

Had House Bill 4561 been in effect in FY 2014-15, the additional cost to the state would have been $1,005,000.

                                                                                        Legislative Analyst:   Susan Stutzky

                                                                                                Fiscal Analyst:   Robin Risko

■ This analysis was prepared by nonpartisan House Fiscal Agency staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.