SB0795: CONFERENCE REPORT (Date Completed: 6-1-16) - FY 2016-17 NATURAL RESOURCES BUDGET

FY 2016-17 NATURAL RESOURCES BUDGET S.B. 795 (CR-1*): CONFERENCE REPORT

			CHANGES FROM FY 2015-16 YEAR-TO-DATE
FULL-TIME EQUATED (FTE) CLASSIFIED POSITIONS/FUNDING SOURCE	FY 2015-16 YEAR-TO-DATE	FY 2016-17 CONFERENCE	AMOUNT	PERCENT
FTE Positions..............................................................	2,229.8	2,236.8	7.0	0.3
GROSS.........................................................................	404,001,200	398,254,100	(5,747,100)	(1.4)
Less:
Interdepartmental Grants Received.....................	1,352,700	1,375,900	23,200	1.7
ADJUSTED GROSS..................................................	402,648,500	396,878,200	(5,770,300)	(1.4)
Less:
Federal Funds..........................................................	77,128,000	72,365,400	(4,762,600)	(6.2)
Local and Private....................................................	8,157,700	7,446,400	(711,300)	(8.7)
TOTAL STATE SPENDING.......................................	317,362,800	317,066,400	(296,400)	(0.1)
Less:
Other State Restricted Funds................................	277,765,000	277,156,400	(608,600)	(0.2)
GENERAL FUND/GENERAL PURPOSE..............	39,597,800	39,910,000	312,200	0.8
PAYMENTS TO LOCALS..........................................	5,548,300	6,100,000	551,700	9.9

FY 2015-16 Year-to-Date Gross Appropriation.....................................................................

$404,001,200

Changes from FY 2015-16 Year-to-Date:
Items Included by the Senate and House
1. Forest Management Division. The Governor, House, and Senate included Forest Development Fund and 7.0 FTEs to support sustainable timber supply, study of spruce budworm, to help establish property corners in certain areas, and other efforts.	2,125,000
2. Forest Fire Equipment. The Governor, House, and Senate included additional Forest Development Fund revenue for the purchase of new forest fire equipment to replace old equipment. $150,000 would be ongoing, and $1.0 million would be one-time.	1,150,000
3. Asian Carp Barrier Development. The Governor, House, and Senate included one-time GF/GP appropriations to support research and development of a mobile barrier to keep Asian Carp out of the Great Lakes, should the threat arise.	1,000,000
4. Land Ownership Tracking System Replacement. The Governor, House, and Senate included one-time Forest Development Fund appropriations for the replacement of the IT system that tracks the State's land holdings. The system is outdated and provides the base layer data for many geographically-oriented applications such as MiHunt and DNR's timber marking and sales platform.	4,000,000
5. Commercial and Tribal Fisher Reporting. The Governor, House, and Senate included Game and Fish Protection Fund and GF/GP to develop a computer-based system for commercial and tribal fisher reporting. Currently these fishers use a paper system; a new system would allow for web-based reporting.	600,000
6. Vegetative Management System. The Governor, House, and Senate included Forest Development Fund appropriations for further work on the switch in the Forest Management Division from its current timber tracking system to the new Vegetative Management System.	2,100,000
7. Recreation Passport Local Grants. The Governor, House, and Senate included additional one-time appropriations for this program which provides grants to local units of government for recreation-related projects. These grants are funded from a statutory carve-out in Recreation Passport revenue.	500,000
8. Remove FY 2015-16 One-Time Appropriations.	(20,537,000)
9. FY 2016-17 Capital Outlay - Waterways Projects. The Governor, House, and Senate included an additional $3.3 million for projects at State and local harbors, docks, and boating access areas. These projects are funded from the Michigan State Waterways Fund.	3,258,500
10. FY 2016-17 Capital Outlay - Recreational Lands and Infrastructure. The Governor, House, and Senate included an additional $3.3 million from a number of restricted and Federal fund sources for capital outlay projects in State parks and other State recreational areas.	3,300,000
11. Additional Federal Funds. The Governor, House, and Senate included additional Federal funds that will be received: $181,000 for shooting ranges, and $424,000 for wildlife management.	605,000
12. State Parks - Increased Costs. The Governor, House, and Senate included additional Park Improvement Fund appropriations to cover increased costs in State parks as follows: $210,000 for increased vendor cost for reservation system; $420,000 to cover the cost of minimum wage increase from $8.15 to $8.90; $870,000 for increased utility and garbage costs; and $10,000 for State park revenue bond service.	1,510,000
13. Reflect Restricted Fund Revenue Increases. The Governor, House, and Senate included additional restricted fund authorization to replace reductions made in previous years, as revenues have increased. $200,000 in Marine Safety Fund revenue was included to support marine safety grants to county sheriffs, and $150,000 in Forest Recreation Fund revenue was included to support State forest campgrounds and nonmotorized trails.	350,000
14. Removal of Five-Year Early-Out Deferred Sick Leave Payments. Department obligations will be satisfied as of FY 2015-16 for employees who opted into the 2010 early retirement program, which deferred sick leave payments over five years.	(816,800)
15. Remove FY 2015-16 Capital Outlay Waterways Projects. This is a technical item to reflect the removal of projects that were funded in FY 2015-16.	(3,903,900)
16. Reduce Restricted and Federal Fund Appropriations to Reflect Available Revenue. The Governor, House, and Senate reduced appropriations from a number of funds and line items, including $5.5 million from the Game and Fish Protection Fund, reflecting lower-than-anticipated hunting and fishing license sales.	(6,705,800)
17. Wildfire Protection. The Governor, House, and Senate reduced GF/GP appropriations by $1.2 million in this line item and replaced them with Forest Development Fund.	0
18. Economic Adjustments. Includes $1,119,900 Gross and $114,800 GF/GP for OPEB and $4,248,000 Gross and $595,300 GF/GP for other economic adjustments.	5,367,900

Conference Agreement on Items of Difference
19. Swimmer's Itch Pilot Program. The Senate included additional GF/GP for a new program to address swimmer's itch at inland lakes in Michigan. The Conference included this item.	250,000
20. Michigan Conservation Corps. The House eliminated this program, funded by $1.0 million GF/GP. The Governor, Senate, and Conference retained funding at its current level.	0
21. Detroit Boat Club. The House included a $100 placeholder for restoration of the Detroit Boat Club building on Belle Isle. The Conference did not include this item.	0
22. Water Trail Development. The Conference included GF/GP to fund a grant for water trail development.	100,000
23. FY 2016-17 One-Time Gross Appropriations. $2.0 million for forestry investment, $1.0 million for invasive species, $4.0 million for replacement of the Land Ownership Tracking System, $1.0 million for forest fire equipment replacement, $600,000 for fisheries resource management, $250,000 for a swimmer's itch pilot program, and $100,000 for water trail development.
Total Changes.....................................................................................................................	($5,747,100)
FY 2016-17 Conference Report Ongoing/One-Time Gross Appropriation.............................	$392,507,000
Amount Over/(Under) GF/GP Target: $0

Boilerplate Changes from FY 2015-16 Year-to-Date:

Items Included by the Senate and House

1. Communication with the Legislature. The Governor removed, and House and Senate retained a prohibition against taking disciplinary action against Department employees who communicate with the Legislature. (Sec. 220)

2. Waterways Projects Report. The Governor removed, and House and Senate retained a report on Michigan State Waterways projects completed in the previous fiscal year. (Sec. 219)

3. Invasive Species Grant Earmark. The Governor removed, and House and Senate retained a requirement that not less than $3.6 million appropriated for invasive species prevention and control be allocated toward grants. (Sec. 251)

4. Land Transaction Report. The Governor removed, and House and Senate retained a report detailing all land transactions in the previous fiscal year. (Sec. 408)

5. Wildlife Management - Federal Funds. The Governor, House, and Senate removed a requirement that Federal funds from increased firearm and ammunition sales be used to support restoration, conservation, management, and enhancement of wildlife habitats. (Sec. 501)

6. Cervid Operation Licensing Fees. The Governor removed, and House and Senate retained a report on the use of cervidae licensing and inspection fees as well as a requirement that those fees be used only for regulation of private cervid operations. (Sec. 504)

7. Forestry Funding Increase. The Governor, House, and Senate removed a requirement that the Department use increased funds for forest management and timber market development for investments in technology and equipment. (Sec. 801) The Governor replaced this section with a similar one pertaining to one-time appropriations for a similar purpose. The House and Senate included this new section. (Sec. 1201)

8. Forest Fire Equipment. The Governor included a new section directing increased funds appropriated for forest fire equipment and forestry investment be used to replace aging forest fire equipment that is in disrepair, and that metrics be established for the appropriation. The House and Senate included this new section. (Sec. 809)

9. Snowmobile Law Enforcement Grants. The Governor removed, and House and Senate retained a section directing the Department to provide snowmobile law enforcement grants to counties from appropriations for that purpose. (Sec. 901)

10. Marine Safety Grant Report. The Governor removed, and House and Senate retained a report on marine safety grants to county law enforcement. (Sec. 902)

11. Land Ownership Tracking System (LOTS) Replacement. The Governor included a new section requiring the Department to establish metrics for the replacement of the LOTS system. The House and Senate included this new section. (Sec. 1202)

12. Invasive Species Program - Increase Interdepartmental Funding. The Governor included a new section directing the Department to increase programs funds available to other State departments. The House and Senate included this new section. (Sec. 1203)

Conference Agreement on Items of Difference

13. Metrics for New/Increased Programs. The Governor and House removed and Senate retained a requirement that proposals for new programs or increases over $500,000 be accompanied by proposed metrics. The Conference included this section. (Sec. 217)

14. Report Retention. The Governor and House removed, and Senate and Conference retained a requirement that reports be retained according to State and Federal laws.

15. Zika Virus Mosquito Abatement and Invasive Species Listing. The House included a new section that listed the Asian tiger mosquito to the invasive species list, and earmarked $250,000 from invasive species prevention and control to establish an abatement program for the species. The House added a second section that earmarked $150,000 from invasive species prevention and control for an IDG to DHHS for Zika virus education and outreach. The Conference did not include either section. (Secs. 252 and 253 of House bill)

16. Invasive Species Order - Swine. The Governor and House removed, and Senate and Conference retained a report on efforts and expenditures related to the enforcement of the invasive species order against swine. (Sec. 503)

17. Urban Deer Management Plan. The Conference included a new section to require the Department to develop an urban deer management plan. (Sec. 505)

18. Water Control Structure Certification. The Governor and House removed, and Senate retained a requirement that the Department not impede the certification process for water control structures on Michigan waterways. The Conference removed this section. (Sec. 602 of Senate bill)

19. State Parks Capital Outlay Needs. The Governor and House removed a report detailing a plan to address capital outlay and maintenance needs in State parks. The Senate retained the section and expanded it to require a list of projects. The Conference removed this section. (Sec. 705 of Senate bill)