Introduced by Rep. Roy Schmidt D-Grand Rapids on January 26, 2012
To make state funding of local road agencies contingent on their adopting “best practices,” including requiring employees to contribute a certain amount to their health insurance fringe benefit; providing new employees with 401k-type “defined contribution” retirement benefits rather than the “defined benefit” pensions still typical in most government agencies; adopting road safety plans based on signals and crash analyses; and adopting specified transparency and accountability measures. This is part of Gov. Rick Snyder’s road and transit tax proposal. Official Text and Analysis.
Referred to the House Transportation Committee on January 26, 2012
Reported in the House on May 30, 2012
With the recommendation that the substitute (H-4) be adopted and that the bill then pass.
Substitute offered in the House on June 6, 2012
To adopt a version that does not require local road agencies to eliminate "defined benefit" pensions for new employees, and makes other changes.
The substitute passed by voice vote in the House on June 6, 2012
To make state funding of county road agencies contingent on their adopting “best practices,” including capping employer contributions to new employee retiring benefits; restricting "pension spiking" schemes that boost a retirees pension benefits beyond what normal pension calculation formulas would provide; limiting the "multipliers" used in those formulas; and requiring employees to pay at least 20 percent of their health benefits. The bill also requires agencies to maintain a searchable website that includes agency budgetary information, employee data, a financial performance "dashboard" and more.
Received in the Senate on June 12, 2012
Referred to the Senate Transportation Committee on June 12, 2012
Reported in the Senate on November 29, 2012
With the recommendation that the substitute (S-2) be adopted and that the bill then pass.
Substitute offered in the Senate on December 5, 2012
The substitute passed by voice vote in the Senate on December 5, 2012