SB0829: SENATE SUBCOMMITTEE REC. (Date Completed: 4-20-22)

FY 2022-23 CORRECTIONS BUDGET S. B.829 (S-1): SENATE SUBCOMMITTEE REC.

Senate Bill 829 (S-1 as reported) Throughout this document Senate means Subcommittee.

Committee: Appropriations

			CHANGES FROM FY 2021-22 YEAR-TO-DATE
FULL-TIME EQUATED (FTE) CLASSIFIED POSITIONS/FUNDING SOURCE	FY 2021-22 YEAR-TO-DATE*	FY 2022-23 SENATE SUBCOMM.	AMOUNT	PERCENT
FTE Positions..............................................................	13,484.4	10,687.7	(2,796.7)	(20.7)
GROSS..........................................................................	2,065,873,000	2,101,022,500	35,149,500	1.7
Less:
Interdepartmental Grants Received.........................	0	0	0	0.0
ADJUSTED GROSS....................................................	2,065,873,000	2,101,022,500	35,149,500	1.7
Less:
Federal Funds...........................................................	5,364,100	5,148,400	(215,700)	(4.0)
Local and Private.......................................................	9,646,100	9,879,500	233,400	2.4
TOTAL STATE SPENDING.........................................	2,050,862,800	2,085,994,600	35,131,800	1.7
Less:
Other State Restricted Funds..................................	45,493,400	29,831,800	(15,661,600)	(34.4)
GENERAL FUND/GENERAL PURPOSE...................	2,005,369,400	2,056,162,800	50,793,400	2.5
PAYMENTS TO LOCALS...........................................	122,895,500	124,615,400	1,719,900	1.4

*As of April 12, 2022.

	Gross	GF/GP
FY 2021-22 Year-to-Date Appropriation.................................................	$2,065,873,000	$2,005,369,400

Changes from FY 2021-22 Year-to-Date:
1. Electronic Prisoner-Staff Communications. The Governor included one-time GF/GP funding of $30.0 million for the buildout of secure Wi-Fi at each correctional facility to ease communication between prisoners and staff. Senate: Did not include.	0	0
2. John Doe(s) v. MDOC Settlement. The Governor/Senate included a one-time final payment of $15.0 million GF/GP for this settlement agreement that totaled $80.0 million. Payments of $40.0 million and $25.0 million were made in FYs 2020-21 and 2021-22, respectively.	15,000,000	15,000,000
3. Live Tracking of Prisoner Movement. The Governor provided $10.0 million in one-time GF/GP funding to implement a system to live track prisoner movement within a facility through the use of RFID tags imbedded in tamper resistant wristbands that would be provided to each prisoner at an MDOC facility. Senate: Did not include.	0	0
4. Information Management System Maintenance and Support. The Governor included $1.2 million in GF/GP funding to add 10.0 FTEs to support the development and ongoing maintenance and implementation of the new Corrections Offender Management System (COMS). This would replace the old system that is used for several non-offender human resource applications (training, overtime, litigation tracking, etc.). Senate: Did not include.	0	0
5. Temporary Nursing Staff Contract Rate Increase. The Governor/Senate increased GF/GP funding to support increased contract rates for nurses used on a temporary basis at MDOC facilities.	3,721,100	3,721,100
6. State Contracted Security Services. The Governor/Senate included additional GF/GP funding due to increased contract costs for DTMB-contracted security for the MDOC headquarters and at parole and probation offices across the state.	244,400	244,400
7. City of Jackson Water Sewer Rate Increase. The Governor/Senate increased GF/GP funding to support increased water and sewer rates in the City of Jackson where four MDOC facilities are located.	212,000	212,000
8. Unclassified Salaries. The Governor/Senate included a $39,100 increase in unclassified salaries.	111,700	111,700
9. Program and Special Equipment Fund. The Governor/Senate replaced funding from the Program and Special Equipment Fund with GF/GP for a zero change in the gross appropriation but increased GF/GP expenditures by $14.8 million to replace this restricted revenue. Fees collected from prisoner telephone charges as per contract agreement are deposited into the Program and Special Equipment Fund. The elimination of the use of this fund will ultimately lower telephone surcharges for prisoners.	0	14,805,900
10. Removal of FY 2021-22 One-Time Funding. The Governor/Senate removed all FY 2021-22 one-time funding totaling $27.1 million GP/GP.	(27,050,000)	(27,050,000)
11. Chance for Life. The Senate added $1.0 million in GF/GP funding for an evidence based mentoring program that emphasizes job training, life skills, and family reintegration.	1,000,000	1,000,000
12. Goodwill Flip the Script. The Senate increased GF/GP funding for this program by adding $750,000 in one-time money bringing total funding for this item to $2.0 million to provide job placement assistance for recently released prisoners.	750,000	750,000
13. Prosperity Region 8 Pilot Program. The Senate added $500,000 in GF/GP funding for a pilot program to provide care management post-release which may include the development of a prerelease mental health discharge plan for parolees in Kalamazoo County.	500,000	500,000
14. CSB Adjustments. The Governor/Senate included several CSB adjustments for internal transfers and the alignment of revenues with actual revenue collections. This resulted in a negative adjustment of $1.4 million and the addition of 4.0 FTEs.	(1,350,200)	0
15. Economic Adjustments. Includes $42,010,500 Gross and $41,498,300 GF/GP for total economic adjustments, of which an estimated negative $16,369,800 Gross and negative $16,155,200 GF/GP is for legacy retirement costs (pension and retiree health).	42,010,500	41,498,300
16. Comparison to Governor's Recommendation. The Senate is $38,945,500 Gross and GF/GP under the Governor.

Total Changes......................................................................................	$35,149,500	$50,793,400
FY 2022-23 ....... Senate Appropriations Subcommittee Recommendation	$2,101,022,500	$2,056,162,800

FY 2022-23 Boilerplate Changes from FY 2021-22 Year-to-Date:

1. Deletions. The Governor proposed to eliminate the following sections from current-year boilerplate: 216, 219, 221, 222, 223 (severance payouts), 224 (COVID-19 Vaccinations), 225, 239, 309, 314, 318, 406, 417, 423, 611, 612, 902, 940, 943, and 944. These deletions include a variety of reporting requirements, record retention requirements, and statements of legislative intent. The Senate retained Sections 216, 221, 222, 223, 225, 239, 309, 314, 318, 417, 611, 612, 902, 940, 943, and 944.

2. Sections Deemed Unenforceable. The Governor declared the following sections unenforceable: 206 (communication with legislators); 218 (state administrative board transfers); 304 (staff savings program); 316 (Staff training hiring goals); and 942 (access to state-owned facilities). The Senate retained all of these sections.

3. Definitions. Nine definitions were eliminated from the bill. These included acronyms that are no longer referenced in the bill. Senate: Retained.

4. Legal Services. The Senate revised language regarding the use of outside legal counsel and allows departments to seek reimbursement from the Attorney General. (Sec. 208)

5. Contingency Funds. The current budget provided only Federal contingency funds up to $2.5 million. The Governor restored all contingency funds, including increasing the Federal limit to $10.0 million and providing up to $10.0 million for State Restricted Funds and up to $2.0 million each for local or private funds. Senate: Deleted. (Sec. 210)

6. Updated amounts for Total Legacy Costs. The Governor/Senate updated total legacy costs for FY 2022-23 to $270,855,400. The pension-related costs for FY 2022-23 are $164,444,700 and the retiree health care costs are $106,410,700. (Sec. 214)

7. Prisoner Telephone Contract/Program and Special Equipment Fund. The Governor/Senate deleted language outlining prisoner telephone services and the expenditure of the funds collected from prisoner telephone calls, including that 75% of revenue received be used prisoner programming. These restricted funds would be replaced with GF/GP. (Sec. 219)

8. NEW - Boilerplate Reporting. The Governor/Senate added a new section mandating boilerplate reports required under part 2 be submitted to the Senate and House of Representatives appropriations subcommittees on corrections, the Senate and House of Representatives fiscal agencies, the legislative corrections ombudsman, and the State Budget Office. Inclusion of this new section would amend 29 sections without substantively changing them. (New Sec. 248)

9. Staff Retention Strategies Report. The Governor eliminated the specific reporting requirements and, instead, stated that the report must be submitted by March 1 and must include the Department's staff retention strategies. Senate: only concurred with elimination of reporting requirements. (Sec. 302)

10. New Custody Staff Trainings. The Governor added language stating that funding must be used to hire and train new corrections officers to address attrition and reduce overtime costs. Also, eliminated language outlining a strategy to achieve a 5% or lower officer vacancy rate. Senate: Concurred with attrition language but retained the 5% goal language. (Sec. 313)

11. Documents for Prisoners. The Governor/Senate removed language requiring relevant departments to cooperate with access to documents, such as birth certificates and DDE form 214 for military service, and to require instead that the MDOC facilitate prisoners' access to these records. Also requires the MDOC to retains the prisoner's identification materials in the prisoner's personal file but only if the prisoner provides these documents. (Sec. 418)

12. Curfew Monitoring Program. The Governor/Senate deleted language pertaining to the Curfew Monitoring Program administered by the Department including language stating that a county with outstanding curfew monitoring charges over 60 days is considered in violation and loses access to the program. (Sec. 603)

13. Residential Alternative to Prison Program. The Governor removed the specific metrics and stated that the Department must measure and set metric goals. Senate: Retained current law. (Sec. 617)

14. Critical Incident Report. The Governor eliminated the requirement that all critical incidents be reported within 72 hours of the incident and instead report annually by March 1 on the total number of critical incidents for each month. Senate: Retained current law. (Sec. 911)