ADULT FOSTER CARE LICENSE FEES S.B. 567:

SUMMARY OF DISCHARGED BILL

Senate Bill 567 (as discharged)

Sponsor: Senator Sarah Anthony

Committee: Appropriations (discharged)

CONTENT

The bill would amend the Adult Foster Care Facility Licensing Act to create the Adult Foster Care Facility Licenses Fund in the State Treasury and increase fees collected from Adult Foster Care Facilities.

The Act requires a person, partnership, corporation, association, or a department or agency of the State, county, city, or other political subdivision to obtain a license from The Department of Licensing and Regulatory Affairs to establish or maintain an adult foster care facility. The Department must collect fees for the enforcement of the Act. These fees include application fees for temporary licenses, which vary depending on the type of facility seeking licensure.

The bill would create the Adult Foster Care Facilities Licenses Fund in the State Treasury. The State Treasurer would have to credit all fees collected under the bill to the Fund and could receive money or other assets from any source for deposit into the Fund. The State Treasurer also would have to credit to the Fund interest and earnings from Fund investments. Money in the Fund at the close of the fiscal year would have to remain in the Fund and would not lapse to the General Fund. The Department would be the administrator of the Adult Foster Care Facilities Licenses Fund for auditing purposes. The Department would have to spend money from the Fund, upon appropriation, only to implement the programs described under the Act.

At the beginning of each State fiscal year, the Department could increase the fees collected under the Act by a percentage amount up to the average percentage wage and salary increase granted for that fiscal year to the Department’s classified civil service employees. If the Department increased fees, the increase would be effective for that fiscal year. The Department would have to use the increased fees as the basis for calculating fee increases in subsequent fiscal years. By August 1 of each year, the Department would have to provide to the Director of the Department of Technology, Management, and Budget and to the chairpersons of the appropriations committees of the Senate and House of Representatives, a complete schedule of fees to be collected under the bill for the following fiscal year.

MCL 400.713a

FISCAL IMPACT

The bill would have a positive fiscal impact on State government and no fiscal impact on local government. The total impact is indeterminate and would depend on the fee increase, which the Department would determine.

Date Completed: 9-25-25 Fiscal Analyst: Nathan Leaman

Floor\sb567

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.