Substitute For

HOUSE BILL NO. 4404

A bill to make appropriations for the department of licensing and regulatory affairs for the fiscal year ending September 30, 2022; to provide for certain conditions on appropriations; to establish certain fees in connection with certain appropriations; and to provide for the expenditure of the appropriations.

The people of the state of michigan enact:


1

2

3

4

5

6

7


part 1

line-item appropriations

Sec. 101. There is appropriated for the department of licensing and regulatory affairs for the fiscal year ending September 30, 2022, from the following funds:

DEPARTMENT OF LICENSING AND REGULATORY AFFAIRS

 

 

 

APPROPRIATION SUMMARY

 

 

 


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

Full-time equated unclassified positions

25.0

 

 

Full-time equated classified positions

1,811.9

 

 

GROSS APPROPRIATION

 

$

90,563,700

Interdepartmental grant revenues:

 

 

 

Total interdepartmental grants and intradepartmental transfers

 

 

11,269,900

ADJUSTED GROSS APPROPRIATION

 

$

79,293,800

Federal revenues:

 

 

 

Total federal revenues

 

 

7,533,000

Special revenue funds:

 

 

 

Total local revenues

 

 

0

Total private revenues

 

 

0

Total other state restricted revenues

 

 

64,630,300

State general fund/general purpose

 

$

7,130,500

Sec. 102.  DEPARTMENTAL ADMINISTRATION AND SUPPORT

 

 

 

Full-time equated unclassified positions

25.0

 

 

Full-time equated classified positions

100.0

 

 

Unclassified salaries--FTEs

25.0

$

474,900

Administrative services--FTEs

73.0

 

2,148,700

Executive director programs--FTEs

24.0

 

721,700

FOIA coordination--FTEs

3.0

 

82,500

Property management

 

 

1,849,200

Worker's compensation

 

 

31,200

GROSS APPROPRIATION

 

$

5,308,200

Appropriated from:

 

 

 

Interdepartmental grant revenues:

 

 

 

IDG from DIFS, accounting services

 

 

37,500


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

Federal revenues:

 

 

 

EPA, underground storage tanks

 

 

7,600

HHS-Medicaid, certification of health care providers and suppliers

 

 

102,800

HHS-Medicare, certification of health care providers and suppliers

 

 

149,900

Special revenue funds:

 

 

 

Aboveground storage tank fees

 

 

22,800

Accountancy enforcement fund

 

 

14,300

Boiler inspection fund

 

 

69,600

Builder enforcement fund

 

 

24,300

Construction code fund

 

 

190,000

Corporation fees

 

 

1,052,500

Elevator fees

 

 

74,400

Fire alarm fees

 

 

1,800

Fire safety standard and enforcement fund

 

 

500

Fire service fees

 

 

107,700

Fireworks safety fund

 

 

14,500

Health professions regulatory fund

 

 

413,700

Health systems fees

 

 

57,900

Licensing and regulation fund

 

 

237,400

Liquor license revenue

 

 

68,900

Liquor purchase revolving fund

 

 

735,000

Marihuana registry fund

 

 

198,300

Marihuana regulation fund

 

 

97,400

Marihuana regulatory fund

 

 

155,800

Michigan unarmed combat fund

 

 

1,500

Mobile home code fund

 

 

67,700


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

Nurse professional fund

 

 

9,700

PMECSEMA fund

 

 

11,600

Property development fees

 

 

1,800

Public utility assessments

 

 

718,200

Real estate appraiser education fund

 

 

700

Real estate education fund

 

 

2,800

Real estate enforcement fund

 

 

2,900

Refined petroleum fund

 

 

41,500

Restructuring mechanism assessments

 

 

7,900

Securities fees

 

 

397,400

Securities investor education and training fund

 

 

2,300

Security business fund

 

 

1,700

Survey and remonumentation fund

 

 

23,100

Tax tribunal fund

 

 

163,400

Utility consumer representation fund

 

 

13,500

State general fund/general purpose

 

$

5,900

Sec. 103.  PUBLIC SERVICE COMMISSION

 

 

 

Full-time equated classified positions

188.0

 

 

Public service commission--FTEs

188.0

$

8,303,800

GROSS APPROPRIATION

 

$

8,303,800

Appropriated from:

 

 

 

Federal revenues:

 

 

 

DOT, gas pipeline safety

 

 

656,500

Special revenue funds:

 

 

 

Public utility assessments

 

 

7,504,900

Restructuring mechanism assessments

 

 

142,400

State general fund/general purpose

 

$

0

Sec. 104.  LIQUOR CONTROL COMMISSION

 

 

 


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

 

Full-time equated classified positions

145.0

 

 

Liquor licensing and enforcement--FTEs

116.0

$

4,123,000

Management support services--FTEs

29.0

 

1,168,800

GROSS APPROPRIATION

 

$

5,291,800

Appropriated from:

 

 

 

Special revenue funds:

 

 

 

Direct shipper enforcement revolving fund

 

 

75,500

Liquor control enforcement and license investigation revolving fund

 

 

43,800

Liquor license fee enhancement fund

 

 

19,100

Liquor license revenue

 

 

1,951,600

Liquor purchase revolving fund

 

 

3,201,800

State general fund/general purpose

 

$

0

Sec. 105.  OCCUPATIONAL REGULATION

 

 

 

Full-time equated classified positions

1,166.9

 

 

Adult foster care and camps licensing and regulation--FTEs

96.0

$

3,355,800

Bureau of community and health systems administration--FTEs

20.0

 

597,500

Bureau of construction codes--FTEs

182.0

 

5,970,600

Bureau of fire services--FTEs

79.0

 

3,138,800

Bureau of professional licensing--FTEs

205.0

 

10,141,200

Childcare licensing and regulation--FTEs

117.0

 

5,057,800

Corporations, securities, and commercial licensing bureau--FTEs

109.0

 

3,801,100

Health facilities regulation--FTEs

192.9

 

7,763,700

Marihuana treatment research

 

 

5,000,000


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

Medical marihuana facilities licensing and tracking--FTEs

99.0

 

2,910,400

Medical marihuana program--FTEs

25.0

 

1,285,400

Nurse aide program--FTEs

8.0

 

438,900

Recreational marihuana regulation--FTEs

34.0

 

1,838,000

Urban search and rescue

 

 

600,000

GROSS APPROPRIATION

 

$

51,899,200

Appropriated from:

 

 

 

Interdepartmental grant revenues:

 

 

 

IDG from MDE, child care licensing

 

 

4,932,300

Federal revenues:

 

 

 

DHS, fire training systems

 

 

132,000

DOT, hazardous materials training and planning

 

 

5,000

EPA, underground storage tanks

 

 

199,800

HHS-Medicaid, certification of health care providers and suppliers

 

 

2,192,000

HHS-Medicare, certification of health care providers and suppliers

 

 

3,540,400

Special revenue funds:

 

 

 

Aboveground storage tank fees

 

 

57,300

Accountancy enforcement fund

 

 

194,500

Adult foster care facilities licenses fund

 

 

102,900

Boiler inspection fund

 

 

857,400

Builder enforcement fund

 

 

161,000

Child care home and center licenses fund

 

 

125,400

Construction code fund

 

 

2,346,000

Corporation fees

 

 

1,926,300

Division on deafness fund

 

 

23,400


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

 

Elevator fees

 

 

1,099,100

Fire alarm fees

 

 

33,300

Fire safety standard and enforcement fund

 

 

10,200

Fire service fees

 

 

661,900

Fireworks safety fund

 

 

308,500

Health professions regulatory fund

 

 

6,323,400

Health systems fees

 

 

980,600

Licensing and regulation fund

 

 

3,148,200

Liquor purchase revolving fund

 

 

37,200

Marihuana registry fund

 

 

1,285,400

Marihuana regulation fund

 

 

6,837,900

Marihuana regulatory fund

 

 

3,035,400

Mobile home code fund

 

 

521,500

Nurse aide registration fund

 

 

149,400

Nurse professional fund

 

 

491,700

Nursing home administrative penalties

 

 

25,000

PMECSEMA fund

 

 

472,400

Property development fees

 

 

48,200

Real estate appraiser education fund

 

 

16,400

Real estate education fund

 

 

86,700

Real estate enforcement fund

 

 

138,600

Refined petroleum fund

 

 

661,900

Securities fees

 

 

1,372,800

Securities investor education and training fund

 

 

123,300

Security business fund

 

 

59,100

Survey and remonumentation fund

 

 

220,600

State general fund/general purpose

 

$

6,954,800


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

Sec. 106.  MICHIGAN OFFICE OF ADMINISTRATIVE HEARINGS AND RULES

 

 

 

Full-time equated classified positions

212.0

 

 

Michigan office of administrative hearings and rules--FTEs

212.0

$

9,309,100

GROSS APPROPRIATION

 

$

9,309,100

Appropriated from:

 

 

 

Interdepartmental grant revenues:

 

 

 

IDG revenues - administrative hearings and rules

 

 

6,300,100

Special revenue funds:

 

 

 

Construction code fund

 

 

6,700

Corporation fees

 

 

1,068,200

Health professions regulatory fund

 

 

102,100

Health systems fees

 

 

40,400

Licensing and regulation fund

 

 

221,000

Liquor purchase revolving fund

 

 

177,400

Marihuana regulation fund

 

 

25,000

Marihuana regulatory fund

 

 

63,000

Public utility assessments

 

 

664,300

Securities fees

 

 

259,200

Tax tribunal fund

 

 

211,900

State general fund/general purpose

 

$

169,800

Sec. 107.  COMMISSIONS

 

 

 

Michigan unarmed combat commission

 

$

31,600

GROSS APPROPRIATION

 

$

31,600

Appropriated from:

 

 

 

Special revenue funds:

 

 

 


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

 

Michigan unarmed combat fund

 

 

31,600

State general fund/general purpose

 

$

0

Sec. 108.  GRANTS

 

 

 

Firefighter training grants

 

$

575,000

Liquor law enforcement grants

 

 

2,100,000

Medical marihuana operation and oversight grants

 

 

750,000

Remonumentation grants

 

 

1,700,000

Utility consumer representation

 

 

187,500

GROSS APPROPRIATION

 

$

5,312,500

Appropriated from:

 

 

 

Special revenue funds:

 

 

 

Fireworks safety fund

 

 

575,000

Liquor license revenue

 

 

2,100,000

Marihuana registry fund

 

 

750,000

Survey and remonumentation fund

 

 

1,700,000

Utility consumer representation fund

 

 

187,500

State general fund/general purpose

 

$

0

Sec. 109.  INFORMATION TECHNOLOGY

 

 

 

Information technology services and projects

 

$

4,832,500

GROSS APPROPRIATION

 

$

4,832,500

Appropriated from:

 

 

 

Federal revenues:

 

 

 

DOT, gas pipeline safety

 

 

11,300

EPA, underground storage tanks

 

 

25,100

HHS-Medicaid, certification of health care providers and suppliers

 

 

89,600


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

HHS-Medicare, certification of health care providers and suppliers

 

 

146,000

Special revenue funds:

 

 

 

Aboveground storage tank fees

 

 

8,700

Accountancy enforcement fund

 

 

300

Boiler inspection fund

 

 

79,700

Construction code fund

 

 

307,100

Corporation fees

 

 

1,359,200

Elevator fees

 

 

119,200

Fire safety standard and enforcement fund

 

 

800

Fire service fees

 

 

129,800

Fireworks safety fund

 

 

11,800

Health professions regulatory fund

 

 

451,500

Health systems fees

 

 

74,600

Licensing and regulation fund

 

 

275,400

Liquor purchase revolving fund

 

 

843,600

Marihuana registry fund

 

 

111,800

Marihuana regulation fund

 

 

67,700

Marihuana regulatory fund

 

 

183,000

Michigan unarmed combat fund

 

 

1,700

Mobile home code fund

 

 

42,900

PMECSEMA fund

 

 

9,700

Public utility assessments

 

 

309,400

Real estate appraiser education fund

 

 

300

Real estate education fund

 

 

500

Refined petroleum fund

 

 

42,700

Restructuring mechanism assessments

 

 

7,000

Securities fees

 

 

57,400


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

 

 

Securities investor education and training fund

 

 

300

Survey and remonumentation fund

 

 

18,500

Tax tribunal fund

 

 

45,900

State general fund/general purpose

 

$

0

Sec. 110.  ONE-TIME APPROPRIATIONS

 

 

 

Nursing facility infection control surveys

 

$

275,000

GROSS APPROPRIATION

 

$

275,000

Appropriated from:

 

 

 

Federal revenues:

 

 

 

Coronavirus state fiscal recovery fund

 

 

275,000

State general fund/general purpose

 

$

0

 

part 2

provisions concerning appropriations

FOR FISCAL YEAR 2021-2022

 

general sections

Sec. 201. Pursuant to section 30 of article IX of the state constitution of 1963, total state spending from state sources under part 1 for fiscal year 2021-2022 is $71,760,800.00 and state spending from state sources to be paid to local units of government for fiscal year 2021-2022 is $5,125,000.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF LICENSING AND REGULATORY AFFAIRS

 

 

 

Firefighter training grants

 

$

575,000

Liquor law enforcement grants

 

 

2,100,000


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29

Medical marihuana operation and oversight grants

 

 

750,000

Remonumentation grants

 

 

1,700,000

TOTAL

 

$

5,125,000

 

 

 

 

Sec. 202. The appropriations authorized under this part and part 1 are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. As used in this part and part 1:

(a) "Department" means the department of licensing and regulatory affairs.

(b) "DHS" means the United States Department of Homeland Security.

(c) "DIFS" means the department of insurance and financial services.

(d) "Director" means the director of the department.

(e) "DOT" means the United States Department of Transportation.

(f) "EPA" means the United States Environmental Protection Agency.

(g) "FOIA" means the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.

(h) "FTE" means full-time equated.

(i) "HHS" means the United States Department of Health and Human Services.

(j) "IDG" means interdepartmental grant.

(k) "MDE" means the Michigan department of education.

(l) "PMECSEMA" means pain management education and controlled substances electronic monitoring and antidiversion.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(m) "Subcommittees" means the subcommittees of the house and senate appropriations committees with jurisdiction over the budget for the department.

Sec. 204. The department shall use the internet to fulfill the reporting requirements of this part. This requirement shall include transmission of reports via email to the recipients identified for each reporting requirement and it shall include placement of reports on an internet site.

Sec. 205. To the extent permissible under section 261 of the management and budget act, 1984 PA 431, MCL 18.1261, all of the following apply:

(a) Funds appropriated in part 1 shall not be used for the purchase of foreign goods or services, or both, if competitively priced and of comparable quality American goods or services, or both, are available.

(b) Preference shall be given to goods or services, or both, manufactured or provided by Michigan businesses, if they are competitively priced and of comparable quality.

(c) In addition, preference should be given to goods or services, or both, that are manufactured or provided by Michigan businesses owned and operated by veterans, if they are competitively priced and of comparable quality.

Sec. 206. The department shall not take disciplinary action against an employee of the department or departmental agency in the state classified civil service because the employee communicates with a member of the legislature or his or her staff, unless the communication is prohibited by law and the department or agency taking disciplinary action is exercising its authority as provided by law.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


Sec. 207. (1) Out-of-state travel shall be limited to situations when travel is approved by a departmental employee's immediate supervisor and in which 1 or more of the following conditions apply:

(a) The travel is required by legal mandate or court order or for law enforcement purposes.

(b) The travel is necessary to protect the health or safety of Michigan citizens or visitors or to assist other states in similar circumstances.

(c) The travel is necessary to produce budgetary savings or to increase state revenues, including protecting existing federal funds or securing additional federal funds.

(d) The travel is necessary to comply with federal requirements.

(e) The travel is necessary to secure specialized training for staff that is not available within this state.

(f) The travel is financed entirely by federal or nonstate funds.

(2) The department shall not approve the travel of more than 1 departmental employee to a specific professional development conference or training seminar that is located outside of this state unless a professional development conference or training seminar is funded by a federal or private funding source and requires more than 1 individual from the department to attend, or the conference or training seminar includes multiple issues in which 1 employee from the department does not have expertise.

(3) Not later than January 1, the department shall prepare a travel report listing all travel by classified and unclassified employees outside this state in the immediately preceding fiscal


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


year that was funded in whole or in part with funds appropriated in the department's budget. The report shall be submitted to the house and senate appropriations committees, the senate and house fiscal agencies, and the state budget director. The report shall include all of the following information:

(a) The name of each person receiving reimbursement for travel outside this state or whose travel costs were paid by this state.

(b) The destination of each travel occurrence.

(c) The dates of each travel occurrence.

(d) A brief statement of the reason for each travel occurrence.

(e) The transportation and related costs of each travel occurrence, including the proportion funded with state general fund/general purpose revenues, the proportion funded with state restricted revenues, the proportion funded with federal revenues, and the proportion funded with other revenues.

(f) A total of all out-of-state travel funded for the immediately preceding fiscal year.

Sec. 208. Funds appropriated in part 1 shall not be used by the department to hire a person to provide legal services that are the responsibility of the attorney general. This prohibition does not apply to legal services for bonding activities and for those outside services that the attorney general authorizes.

Sec. 209. Not later than November 30, the state budget office shall prepare and transmit a report that provides for estimates of the total general fund/general purpose appropriation lapses at the close of the prior fiscal year. This report shall summarize the projected year-end general fund/general purpose appropriation lapses by major departmental program or program areas. The report


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


shall be transmitted to the chairpersons of the senate and house appropriations committees and the senate and house fiscal agencies.

Sec. 210. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $1,000,000.00 for federal contingency authorization. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $1,500,000.00 for state restricted contingency authorization. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(3) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $200,000.00 for local contingency authorization. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(4) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $100,000.00 for private contingency authorization. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 211. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


not limited to, all of the following for the department and each agency:

(a) Fiscal year-to-date expenditures by category.

(b) Fiscal year-to-date expenditures by appropriation unit.

(c) Fiscal year-to-date payments to a selected vendor, including the vendor name, payment date, payment amount, and payment description.

(d) The number of active department employees by job classification.

(e) Job specifications and wage rates.

Sec. 212. Within 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide the chairpersons of the senate and house appropriations committees, the chairpersons of the subcommittees, and the senate and house fiscal agencies with an annual report on estimated state restricted fund balances, state restricted fund projected revenues, and state restricted fund expenditures for the prior 2 fiscal years.

Sec. 213. The department shall maintain, on a publicly accessible website, a department scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the department's performance.

Sec. 214. Total authorized appropriations from all sources under part 1 for legacy costs for the fiscal year ending September 30, 2022 are estimated at $10,315,000.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $5,779,000.00. Total agency appropriations for retiree health care legacy costs are estimated at $4,536,000.00.

Sec. 215. To the extent permissible under the management and


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


budget act, 1984 PA 431, MCL 18.1101 to 18.1594, the director shall take all reasonable steps to ensure businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. The director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 216. (1) On a quarterly basis, the department shall report to the senate and house appropriations committees, the subcommittees, and the senate and house fiscal agencies the following information:

(a) The number of FTEs in pay status by type of staff and civil service classification.

(b) A comparison by line item of the number of FTEs authorized from funds appropriated in part 1 to the actual number of FTEs employed by the department at the end of the reporting period.

(2) Semiannually, the department shall report to the senate and house appropriations committees, the subcommittees, and the senate and house fiscal agencies the following information:

(a) Number of employees that were engaged in remote work in 2021.

(b) Number of employees authorized to work remotely and the actual number of those working remotely in the current reporting period.

(c) Estimated net cost savings achieved by remote work.

(d) Reduced use of office space associated with remote work.

Sec. 217. Appropriations in part 1 shall, to the extent possible by the department, not be expended until all existing work project authorization available for the same purposes is exhausted.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


Sec. 218. If the state administrative board, acting under section 3 of 1921 PA 2, MCL 17.3, transfers funds from an amount appropriated under this act, the legislature may, by a concurrent resolution adopted by a majority of the members elected to and serving in each chamber, intertransfer funds within this act for the particular department, board, commission, officer, or institution.

Sec. 219. The department and agencies receiving appropriations in part 1 shall receive and retain copies of all reports funded from appropriations in part 1. Federal and state guidelines for short-term and long-term retention of records shall be followed. The department may electronically retain copies of reports unless otherwise required by federal or state guidelines.

Sec. 220. The department shall report no later than April 1 on each specific policy change made to implement a public act affecting the department that took effect during the prior calendar year to the senate and house appropriations committees, the subcommittees, the joint committee on administrative rules, and the senate and house fiscal agencies.

Sec. 221. (1) From the funds appropriated in part 1, the department shall do all of the following:

(a) Report to the house and senate appropriations committees, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office any amount of severance pay for a department director, deputy director, or other high-ranking department official not later than 14 days after a severance agreement with the director or official is signed. The name of the director or official and the amount of severance pay must be included in the report required by this subdivision.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(b) Maintain an internet site that posts any severance pay in excess of 6 weeks of wages, regardless of the position held by the former department employee receiving severance pay.

(c) By February 1, report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on the total amount of severance pay remitted to former department employees during the fiscal year ending September 30, 2021, and the number of former department employees that were remitted severance pay during the fiscal year ending September 30, 2021.

(2) As used in this section, "severance pay" means compensation that is both payable or paid upon the termination of employment and in addition to either wages or benefits earned during the course of employment or generally applicable retirement benefits.

Sec. 222. Any department, agency, board, commission, subdivision, or other executive branch entity or official of this state that receives funding under part 1 shall not do the following:

(a) Require as a condition of accessing any state services or facilities that an individual provide proof that he or she has received a COVID-19 vaccine.

(b) Produce, develop, and issue a COVID-19 vaccine passport for the purpose of certifying that an individual has received a COVID-19 vaccine.

(c) Provide information of an individual's COVID-19 vaccine status to any person, company, or governmental entity for inclusion in a COVID-19 vaccine passport.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


Sec. 223. The department may carry into the succeeding fiscal year unexpended federal pass-through funds to local institutions and governments that do not require additional state matching funds. Federal pass-through funds to local institutions and governments that are received in amounts in addition to those included in part 1 and that do not require additional state matching funds are appropriated for the purposes intended. Within 14 days after the receipt of federal pass-through funds, the department shall notify the chairpersons of the subcommittees, the senate and house fiscal agencies, and the state budget director of pass-through funds appropriated under this section.

Sec. 224. (1) Grants supported with private revenues received by the department are appropriated upon receipt and are available for expenditure by the department, subject to subsection (3), for purposes specified within the grant agreement and as permitted under state and federal law.

(2) Within 10 days after the receipt of a private grant appropriated in subsection (1), the department shall notify the chairpersons of the subcommittees, the senate and house fiscal agencies, and the state budget director of the receipt of the grant, including the fund source, purpose, and amount of the grant.

(3) The amount appropriated under subsection (1) shall not exceed $1,500,000.00.

Sec. 225. (1) The department may charge registration fees to attendees of informational, training, or special events sponsored by the department, and related to activities that are under the department's purview.

(2) These fees shall reflect the costs for the department to sponsor the informational, training, or special events.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(3) Revenue generated by the registration fees is appropriated upon receipt and available for expenditure to cover the department's costs of sponsoring informational, training, or special events.

(4) Revenue generated by registration fees in excess of the department's costs of sponsoring informational, training, or special events shall carry forward to the subsequent fiscal year and not lapse to the general fund.

(5) The amount appropriated under subsection (3) shall not exceed $500,000.00.

Sec. 226. The department may make available to interested entities otherwise unavailable customized listings of nonconfidential information in its possession, such as names and addresses of licensees. The department may establish and collect a reasonable charge to provide this service. The revenue received from this service is appropriated when received and shall be used to offset expenses to provide the service. Any balance of this revenue collected and unexpended at the end of the fiscal year shall lapse to the appropriate restricted fund.

Sec. 227. (1) The department shall sell documents at a price not to exceed the cost of production and distribution. Money received from the sale of these documents shall revert to the department. In addition to the funds appropriated in part 1, these funds are available for expenditure when they are received by the department of treasury. This subsection applies only for the following documents:

(a) Corporation and securities division documents, reports, and papers required or permitted by law pursuant to section 1060(6) of the business corporation act, 1972 PA 284, MCL 450.2060.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(b) The Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1101 to 436.2303.

(c) The mobile home commission act, 1987 PA 96, MCL 125.2301 to 125.2350; the business corporation act, 1972 PA 284, MCL 450.1101 to 450.2098; the nonprofit corporation act, 1982 PA 162, MCL 450.2101 to 450.3192; and the uniform securities act (2002), 2008 PA 551, MCL 451.2101 to 451.2703.

(d) Construction code manuals.

(e) Copies of transcripts from administrative law hearings.

(2) In addition to the funds appropriated in part 1, funds appropriated for the department under sections 57, 58, and 59 of the administrative procedures act of 1969, 1969 PA 306, MCL 24.257, 24.258, and 24.259, and section 203 of the legislative council act, 1986 PA 268, MCL 4.1203, are appropriated for all expenses necessary to provide for the cost of publication and distribution.

(3) Unexpended funds at the end of the fiscal year shall carry forward to the subsequent fiscal year and not lapse to the general fund.

Sec. 228. (1) Not later than December 31, the department shall submit a report to the subcommittees, the senate and house fiscal agencies, and the state budget director pertaining to licensing and regulatory programs during the previous 3 fiscal years, if available, for the following agencies:

(a) Liquor control commission.

(b) Bureau of fire services.

(c) Bureau of construction codes.

(d) Corporations, securities, and commercial licensing bureau.

(e) Bureau of professional licensing.

(f) Bureau of community and health systems.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(2) The report shall be in a format that is consistent between the agencies listed in subsection (1) and shall provide, but is not limited to, the following information for the 3 previous fiscal years, as applicable, for each agency; agencies listed in subsection (1)(a) and (b) shall report by regulated activity and agencies listed in subsection (1)(c), (d), (e), and (f) shall report by regulatory product or regulated activity, or both:

(a) Revenue generated by and expenditures disbursed by regulatory fund.

(b) Revenue generated by regulatory product or regulated activity.

(c) The renewal cycle and amount of each fee charged.

(d) Number of initial applications.

(e) Number of initial applications denied.

(f) Number of license renewals.

(g) Average amount of time to approve or deny completed applications.

(h) Number of examinations proctored for initial applications.

(i) A description of the types of complaints received.

(j) A description of the process used to resolve complaints.

(k) Number of complaints received.

(l) Number of complaints investigated.

(m) Number of complaints closed with no action.

(n) Number of complaints resulting in administrative actions or citations.

(o) Average amount of time to complete investigations.

(p) Number of enforcement actions, including license revocations, suspensions, and fines.

(q) A description of the types of enforcement actions taken


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


against licensees.

(r) Number of administrative hearing adjudications.

(3) As used in subsection (2), "regulatory product" means each occupation, profession, trade, or program, which includes licensure, certification, registration, inspection, review, permitting, approval, or any other regulatory service provided by the agencies specified in subsection (1) for each regulated activity. As used in this subsection and subsection (2), "regulated activity" means the particular activities, entities, facilities, and industries regulated by the agencies specified in subsection (1).

Sec. 229. It is the intent of the legislature that the department establish an employee performance monitoring process that is consistent throughout the department in addition to current civil service commission evaluations. By April 1, the department shall submit a report to the state budget office, the subcommittees, and the senate and house fiscal agencies on changes to the employee performance monitoring process that are planned or implemented, as well as the number of employee evaluations performed.

Sec. 230. Unless prohibited by law, the department may accept credit card or other electronic means of payment for licenses, fees, or permits.

Sec. 231. The department shall submit a report to the subcommittees, the senate and house fiscal agencies, and the state budget director by September 30 detailing any expenditure of funds for a television or radio production that was made to a third-party vendor in the fiscal year ending September 30, 2022. The report must include the following information for each expenditure:


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(a) Total amount of the expenditure.

(b) Fund source for the expenditure.

(c) Name of the vendor(s) that created the production and the amount paid to the vendor(s).

(d) Purpose of the production.

Sec. 232. Pending litigation must not delay investigations and licensing actions taken by the department under its statutory authority.

 

PUBLIC SERVICE COMMISSION

Sec. 301. The public service commission administers the low-income energy assistance grant program on behalf of the Michigan department of health and human services via an interagency agreement. Funds supporting the grant program are appropriated in the department upon awarding of grants and may be expended for grant payments and administrative related expenses incurred in the operation of the program.

 

LIQUOR CONTROL COMMISSION

Sec. 401. (1) From the appropriations in part 1 from the direct shipper enforcement revolving fund, the liquor control commission shall expend these funds as required under section 203(11) of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1203, to investigate and audit unlawful direct shipments of wine by unlicensed wineries and retailers, with priority directed toward unlicensed out-of-state retailers and third-party marketers. In addition to other investigative methods, the commission shall use shipping records available to it under section 203(21) of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1203, to


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


assist with this effort. The liquor control commission must refer all unlicensed out-of-state retailers and third-party marketers identified with the shipping records to the attorney general.

(2) By February 1, the liquor control commission shall provide a report to the legislature, the subcommittees, and the state budget director detailing the commission's activities to investigate and audit the illegal shipping of wine and the results of these activities. The report shall include the following:

(a) Work hours spent, specific actions undertaken, and the number of FTEs dedicated to identifying and stopping unlicensed out-of-state retailers, third-party marketers, and wineries that ship illegally in Michigan.

(b) General overview of expenditures associated with efforts to identify and stop unlicensed out-of-state retailers, third-party marketers, and wineries that ship illegally in Michigan.

(c) Number of out-of-state entities found to have illegally shipped wine into Michigan and total number of bottles (750 ml), number of cases with 750 ml bottles, number of liters, number of gallons, or weight of illegally shipped wine. These items must be broken down by total number of retailers and total number of wineries.

(d) Suggested areas of focus on how to address direct shipper enforcement and illegal importation in the future.

(e) Number of unlicensed out-of-state entities found to have illegally shipped wine into Michigan identified with the shipping records under subsection (1).

(f) Number of notices sent under subsection (3).

(3) From the appropriations in part 1 from the direct shipper enforcement revolving fund, the liquor control commission shall


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


send a notice to each unlicensed out-of-state entity found to have illegally shipped wine into Michigan that has been identified via the shipping records under subsection (1). The notice must include all of the following:

(a) Notification that shipping wine into Michigan by retailers and third-party marketers is illegal, and wineries shipping into Michigan must obtain a direct shipper license.

(b) Under section 909 of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.1909, making unlawful shipments of wine into Michigan may be a felony punishable by imprisonment for not more than 4 years or a fine of not more than $5,000.00, or both.

(c) Notice that the matter has been referred to the attorney general.

 

OCCUPATIONAL REGULATION

Sec. 501. Money appropriated under this part and part 1 for the bureau of fire services shall not be expended unless, in accordance with section 2c of the fire prevention code, 1941 PA 207, MCL 29.2c, inspection and plan review fees will be charged according to the following schedule:

Operation and maintenance inspection fee

Facility type

Facility size

Fee

Hospitals

Any

$8.00 per bed

Plan review and construction inspection fees for

hospitals and schools

Project cost range

Fee

$101,000.00 or less

minimum fee of $155.00

$101,001.00 to $1,500,000.00

$1.60 per $1,000.00

$1,500,001.00 to $10,000,000.00

$1.30 per $1,000.00


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29

$10,000,001.00 or more

$1.10 per $1,000.00

 

or a maximum fee of $60,000.00.

Sec. 502. The funds collected by the department for licenses, permits, and other elevator regulation fees set forth in the Michigan Administrative Code and as determined under section 8 of 1976 PA 333, MCL 338.2158, and section 16 of 1967 PA 227, MCL 408.816, that are unexpended at the end of the fiscal year shall carry forward to the subsequent fiscal year.

Sec. 503. Not later than February 15, the department shall submit a report to the subcommittees, the senate and house fiscal agencies, and the state budget director providing the following information:

(a) The number of veterans who were separated from service in the Armed Forces of the United States with an honorable character of service or under honorable conditions (general) character of service, individually or if a majority interest of a corporation or limited liability company, that were exempted from paying licensure, registration, filing, or any other fees collected under each licensure or regulatory program administered by the bureau of construction codes, the bureau of professional licensing, and the corporations, securities, and commercial licensing bureau during the preceding fiscal year.

(b) The specific fees and total amount of revenue exempted under each licensure or regulatory program administered by the bureau of construction codes, the bureau of professional licensing, and the corporations, securities, and commercial licensing bureau during the preceding fiscal year.

(c) The actual costs of providing licensing and other regulatory services to veterans exempted from paying licensure,


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


registration, filing, or any other fees during the preceding fiscal year and a description of how these costs were calculated.

(d) The estimated amount of revenue that will be exempted under each licensure or regulatory program administered by the bureau of construction codes, the bureau of professional licensing, and the corporations, securities, and commercial licensing bureau in both the current and subsequent fiscal years and a description of how the exempted revenue was estimated.

Sec. 504. The department shall submit a comprehensive annual report for all programs administered by the marijuana regulatory agency by January 31 to the standing committees on appropriations of the senate and house of representatives, the senate and house fiscal agencies, and the state budget director. This report shall include, but is not limited to, all of the following information for the prior fiscal year regarding the marihuana programs under the Michigan Medical Marihuana Act, 2008 IL 1, MCL 333.26421 to 333.26430; the Medical Marihuana Facilities Licensing Act, 2016 PA 281, MCL 333.27101 to 333.27801, and the Michigan Regulation and Taxation of Marihuana Act, 2018 IL 1, MCL 333.27951 to 333.27967:

(a) The number of initial applications received, by license category.

(b) The number of initial applications approved and the number of initial applications denied, by license category.

(c) The average amount of time, from receipt to approval or denial, to process an initial application, by license category.

(d) The number of renewal applications approved, by license category and by county.

(e) The number of renewal applications received, by license category, and by county, if applicable.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(f) The number of renewal applications denied, by license category and by county.

(g) The average amount of time, from receipt to approval or denial, to process a renewal application, by license category, if applicable.

(h) The percentage of initial applications not approved or denied within the time requirements established in the respective act, by license category, if applicable.

(i) The percentage of renewal applications not approved or denied within the time requirements established in the respective act, by license category, if applicable.

(j) The total amount collected from application fees or established regulatory assessment and the specific fund this amount is deposited into, by license category.

(k) The costs of administering the licensing program under each of the above-referenced acts.

(l) The registered name and addresses of all facilities licensed under the above-referenced acts, by license category and by county.

(m) Number of complaints received pertaining to the above-referenced acts, by license type or regulatory activity.

(n) A description of the types of complaints received.

(o) A description of the process used to resolve complaints.

(p) Number of investigations opened pertaining to each license category.

(q) Number of investigations closed pertaining to each license category.

(r) Average amount of time to complete investigations pertaining to each license category.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(s) Number of enforcement actions pertaining to each license category.

(t) A description of the types of enforcement actions taken against licensees.

(u) Number of administrative hearing adjudications pertaining to each license type.

(v) A list of the fees charged for license applications, license renewals, and registry cards.

Sec. 505. If the revenue collected by the department for health systems administration from fees and collections exceeds the amount appropriated in part 1, the revenue may be carried forward into the subsequent fiscal year. The revenue carried forward under this section shall be used as the first source of funds in the subsequent fiscal year.

Sec. 506. Not later than February 1, the department shall submit a report to the subcommittees, the senate and house fiscal agencies, and state budget director providing the following information:

(a) The total amount of reimbursements made to local units of government for delegated inspections of fireworks retail locations pursuant to section 11 of the Michigan fireworks safety act, 2011 PA 256, MCL 28.461, from the funds appropriated in part 1 for the bureau of fire services during the preceding fiscal year.

(b) The amount of reimbursement for delegated inspections of fireworks retail locations for each local unit of government that received reimbursement from the funds appropriated in part 1 for the bureau of fire services during the preceding fiscal year.

Sec. 507. (1) Beginning October 1, for the purpose of defraying the costs associated with responding to false final


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


inspection appointments and to discourage the practice of calling for final inspections when the project is incomplete or noncompliant with a plan of correction previously provided by the bureau of fire services, the bureau of fire services may assess a fee not to exceed $200.00 for responding to a second or subsequent confirmed false inspection appointment. Fees collected under this section shall be deposited into the restricted account referenced by section 2c(2) of the fire prevention code, 1941 PA 207, MCL 29.2c, and explicitly identified within the statewide integrated governmental management applications system.

(2) Not later than September 30, the department shall prepare a report that provides the amount of the fee assessed under subsection (1), the number of fees assessed and issued per region, the cost allocation for the work performed and reduced as a result of this section, and any recommendations for consideration by the legislature. The department shall submit this information to the state budget director, the subcommittees, and the senate and house fiscal agencies.

Sec. 508. The department shall submit a report on the Michigan automated prescription system to the senate and house appropriations committees, the senate and house fiscal agencies, and the state budget director by November 30. The report shall include, but is not limited to, the following:

(a) Total number of licensed health professionals registered to the Michigan automated prescription system.

(b) Total number of dispensers registered to the Michigan automated prescription system.

(c) Total number of prescribers using the Michigan automated prescription system.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


(d) Total number of dispensers using the Michigan automated prescription system.

(e) Number of cases related to overprescribing, overdispensing, and drug diversion where the department took administrative action as a result of information and data generated from the Michigan automated prescription system.

(f) The number of hospitals, doctor's offices, pharmacies, and other health facilities that have integrated the Michigan automated prescription system into their electronic health records systems.

(g) Total number of delegate users registered to the Michigan automated prescription system.

Sec. 509. From the amount appropriated in part 1 for bureau of community and health systems administration, upon receipt of the order of suspension of a licensed adult foster care home, home for the aged, or nursing home, the department shall serve the facility and provide contemporaneous notice to the offices of legislators representing a district where the licensed facility is situated and to the senate and house subcommittees on health and human services.

Sec. 510. Funds appropriated in part 1 for urban search and rescue must be distributed by the bureau of fire services to support activities by the Michigan Task Force 1 in response to emergencies and other situations that require technical rescue expertise and equipment.

Sec. 511. The department shall submit biannual reports to the subcommittees, the senate and house fiscal agencies, and the state budget director containing inspector feedback and input from inspectors within the bureau of community and health systems regarding the adequacy of federal and state guidelines pertaining to entities regulated by the bureau.


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


Sec. 512. From the funds appropriated in part 1 for recreational marihuana regulation, and utilized for the marijuana social equity program, the department must offer individuals seeking licensure in the adult-use marijuana industry who do not have a criminal history the same, or greater, percentage reductions on any fees or fines offered under the marijuana social equity program as it offers to individuals under the same circumstances who have a criminal history, with regard to felonies, misdemeanors, and civil infractions.

GRANTS

Sec. 901. (1) The department shall expend the funds appropriated in part 1 for medical marihuana operation and oversight grants for grants to counties for education and outreach programs relating to the Michigan medical marihuana program pursuant to section 6(l) of the Michigan Medical Marihuana Act, 2008 IL 1, MCL 333.26426. These grants shall be distributed proportionately based on the number of registry identification cards issued to or renewed for the residents of each county that applied for a grant under subsection (2). For the purposes of this subsection, operation and oversight grants are for education, communication, and outreach regarding the Michigan Medical Marihuana Act, 2008 IL 1, MCL 333.26421 to 333.26430. Grants provided under this section must not be used for law enforcement purposes.

(2) Not later than December 1, the department shall post a listing of potential grant money available to each county on its website. In addition, the department shall work collaboratively with counties regarding the availability of these grant funds. A county requesting a grant shall apply on a form developed by the


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29


department and available on its website. The form shall contain the county's specific projected plan for use of the money and its agreement to maintain all records and to submit documentation to the department to support the use of the grant money.

(3) In order to be eligible to receive a grant under subsection (1), a county shall apply not later than January 1 and agree to report how the grant was expended and to provide that report to the department not later than September 15. The department shall submit a report not later than October 15 of the subsequent fiscal year to the state budget director, the subcommittees, and the senate and house fiscal agencies detailing the grant amounts by recipient and the reported uses of the grants in the preceding fiscal year.

Sec. 902. (1) The amount appropriated in part 1 for firefighter training grants shall only be expended for payments to counties to reimburse organized fire departments for firefighter training and other activities required under the firefighters training council act, 1966 PA 291, MCL 29.361 to 29.377.

(2) If the amount appropriated in part 1 for firefighter training grants is expended by the firefighters training council, established in section 3 of the firefighters training council act, 1966 PA 291, MCL 29.363, for payments to counties under section 14 of the firefighters training council act, 1966 PA 291, MCL 29.374, it is the intent of the legislature that:

(a) The amount appropriated in part 1 for firefighter training grants shall be allocated pursuant to section 14(2) of the firefighters training council act, 1966 PA 291, MCL 29.374.

(b) If the amount allocated to any county under subdivision (a) is less than $5,000.00, the amounts disbursed to each county


1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

 

 

 

 

 

 

 

 

 


under subdivision (a) shall be adjusted to provide for a minimum payment of $5,000.00 to each county.

(3) Not later than February 1, the department shall submit a financial report to the subcommittees, the senate and house fiscal agencies, and the state budget director identifying the following information for the preceding fiscal year:

(a) The amount of the payments that would be made to each county if the distribution formula described by the first sentence of section 14(2) of the firefighters training council act, 1966 PA 291, MCL 29.374, would have been utilized to allocate the total amount appropriated in part 1 for firefighter training grants.

(b) The amount of the payments approved by the firefighters training council for allocation to each county.

(c) The amount of the payments actually expended or encumbered within each county.

(d) A description of any other payments or expenditures made under the authority of the firefighters training council.

(e) The amount of payments approved for allocations to counties that was not expended or encumbered and lapsed back to the fireworks safety fund.