2002 House Bill 5646 / Public Act 528

Introduced in the House

Feb. 14, 2002

Introduced by Rep. John Pappageorge (R-41)

The executive proposal for the FY 2002-2003 general government budget, which funds the Attorney General, Departments of Civil Rights, Civil Service, Management and Budget, State, Treasury, and Information Technology, the Executive office, and the Legislature. This would appropriate $2.912 billion in gross spending (funded from all sources, including special state "restricted" fund and federal pass-through dollars), compared to $2.684 billion, which was the FY 2001-2002 amount enacted in 2001, excluding any supplemental appropriations. Of this, $373.6 million would come from the General Fund (funded by actual state tax revenues), compared to the current year’s $504.8 million. Part of the decline in GF spending is due to a transfer of $107 million in transportation tax revenue to the Department of State, the Attorney General, and the Auditor General. This budget also includes $337.4 million in funding for the newly created Department of Information Technology. The new department will provide information technology services to other state departments, and its personnel and funding are to be transferred from other departments.

Referred to the Committee on Appropriations

March 20, 2002

Substitute offered

To replace the executive recommendation for the budget with a version which makes minor changes in the funding amounts, and minor changes in certain “boilerplate” language requiring or prohibiting various conditions and actions. The biggest change is the elimination of a $10.2 million transfer of transportation tax revenue to the Department of Treasury, and a $20.4 reduction in a similar transfer to the Department of State.

The substitute passed by voice vote

Amendment offered by Rep. John Pappageorge (R-41)

To make a technical correction in a Department of Treasury line item.

The amendment passed by voice vote

Amendment offered by Rep. John Pappageorge (R-41)

To reduce a transfer of transportation tax revenue to the Secretary of State, and remove the money from a branch office appropriation line item.

The amendment passed by voice vote

Amendment offered by Rep. Bruce Patterson (R-21)

To increase revenue sharing appropriations by $112 million.

The amendment failed by voice vote

Amendment offered by Rep. Bruce Patterson (R-21)

To require forms used by Department of Management and Budget which reference townships to do so in the same size print and same font as is used for cities or villages.

The amendment passed by voice vote

Amendment offered by Rep. Triette Reeves (D-13)

To insert a specific definition of “information technology services”.

The amendment passed by voice vote

Amendment offered by Rep. Triette Reeves (D-13)

To require a person who lives in an area formerly served by a closed Secretary of State office to register to vote on the same day as an election.

The amendment failed 45 to 58 (details)

Amendment offered by Rep. Michael Murphy (D-69)

To reduce information technology appropriations, and use the money to increase funding for Secretary of State branch offices.

The amendment failed by voice vote

Amendment offered by Rep. Michael Murphy (D-69)

To use unspent "e-Michigan" money to increase funding for Secretary of State branch offices.

The amendment failed 47 to 57 (details)

Amendment offered by Rep. Michael Switalski (D-27)

To increase revenue sharing appropriations by $25 million.

The amendment failed 38 to 52 (details)

Amendment offered by Rep. Michael Murphy (D-69)

To require the Department of Treasury to use undisbursed revenue sharing funds to establish a children’s trustee office which would have control over and be responsible for the proper distribution of undisbursed child support payments.

The amendment failed 35 to 57 (details)

Amendment offered by Rep. Michael Murphy (D-69)

To reduce information technology appropriations and use the money to increase funding for Secretary of State branch offices.

The amendment failed 39 to 54 (details)

Amendment offered by Rep. A.T. Frank (D-96)

To increase funding by $905,000 to the Auditor General.

The amendment failed 44 to 52 (details)

Amendment offered by Rep. A.T. Frank (D-96)

To prohibit the Department of Information Technology from paying a state contractor convicted of a criminal offense in connection with fulfilling the contract with the state, and require the department to request an audit of any state contractor convicted of a criminal offense.

The amendment failed 42 to 53 (details)

Amendment offered by Rep. Keith Stallworth (D-12)

To require reimbursements of sales tax paid on diesel fuel to come from the state general fund, not from transportation tax revenues.

The amendment failed 41 to 54 (details)

Amendment offered by Rep. A.T. Frank (D-96)

To reduce funds for state lottery promotion by $10 million.

The amendment failed 43 to 55 (details)

Passed in the House 55 to 46 (details)

The House version of the FY 2002-2003 general government budget, which funds the Attorney General, Departments of Civil Rights, Civil Service, Management and Budget, State, Treasury, and Information Technology, the Executive office, and the Legislature. This would appropriate $2.912 billion in gross spending (funded from all sources, including special state "restricted" fund and federal pass-through dollars), compared to $2.684 billion, which was the FY 2001-2002 amount enacted in 2001, excluding any supplemental appropriations. Of this, $373.6 million would come from the General Fund (funded by actual state tax revenues), compared to the current year’s $504.8 million. Part of the decline in GF spending is due to a increased transfers totaling $77 million in transportation tax revenue to the Department of State, the Attorney General, and the Auditor General. This budget also includes $337.4 million in funding for the newly created Department of Information Technology. The new department will provide information technology services to other state departments, and its personnel and funding are to be transferred from other departments.

Received in the Senate

March 20, 2002

May 15, 2002

Substitute offered

To replace the House-passed version of the bill with a version which makes minor changes in the funding amounts, and in certain “boilerplate” language requiring or prohibiting various conditions and actions. The substitute was amended to prohibit statutory revenue sharing payments (as opposed to those required by the Constitution) to localities that limit bidding on public construction projects to either unionized or non-unionized firms ("project labor agreements" or "PLAs").

The substitute passed by voice vote

May 16, 2002

Amendment offered by Sen. Joe Young, Jr. (D-1)

To continue to prohibit Sunday lottery drawings.

The amendment failed 15 to 22 (details)

Amendment offered by Sen. Joe Young, Jr. (D-1)

To prohibit selling lottery ticket through vending machines, or a "changeplay" lottery game, in which retail customers are invited to gamble the small change from merchandise purchases (between 25 and 99 cents) on a lottery game.

The amendment passed 30 to 7 (details)

Amendment offered by Sen. Bob Emerson (D-29)

To narrow the scope of a provision which would prohibit disbursing statutory revenue sharing payments to localities that limit bidding on public construction projects to either unionized or non-unionized firms ("project labor agreements" or "PLA"). The amendment would require non-union bidders to abide by all other contract requirements imposed by a PLA, which could include pay or other requirements eliminating potential non-union cost advantages.

The amendment passed by voice vote

Passed in the Senate 35 to 2 (details)

The Senate version of the FY 2002-2003 general government budget, which funds the Attorney General, Departments of Civil Rights, Civil Service, Management and Budget, State, Treasury, and Information Technology, the Executive office, and the Legislature. This would appropriate $3.014 billion in gross spending (funded from all sources, including special state "restricted" fund and federal pass-through dollars), compared to $2.684 billion, which was the FY 2001-2002 amount enacted in 2001, excluding any supplemental appropriations. Of this, $377.4 million would come from the General Fund (funded by actual state tax revenues), compared to the current year’s $504.8 million. Part of the decline in GF spending is due to a increased transfers totaling $77 million in transportation tax revenue to the Department of State, the Attorney General, and the Auditor General. This budget also includes $427.5 million in funding for the newly created Department of Information Technology. The new department will provide information technology services to other state departments, and its personnel and funding are to be transferred from other departments.

Received in the House

May 16, 2002

May 22, 2002

Failed in the House 0 to 97 (details)

To concur with a Senate-passed version of the bill. The vote sends the bill to a House-Senate conference committee to work out the differences.

Received

July 3, 2002

Passed in the House 63 to 38 (details)

The House-Senate conference report for the FY 2002-2003 Department of Consumer and Industry Services budget. This appropriates $554.9 million in adjusted gross spending (funded from all sources, including special state restricted fund and federal pass-through dollars, minus interdepartmental transfers), compared to $569.8 million, which was the FY 2001-2002 amount enacted in 2001, excluding any supplemental appropriations. Of this, $35.9 million will come from the General Fund (funded by actual state tax revenues), compared to $42.7 million in FY 2001-2002. Note: The FY 2001-2002 figures do not include supplemental appropriations, interdepartmental program shifts, funding source shifts, or cuts made by executive order later in the fiscal year, if any. These can be substantial, and will change the appearance of year-to-year comparisons. The conference report includes a number of specific line item cuts but states that these would restored if a tobacco tax is approved. It also provides for a one-percent department-wide operational expenses cut, with the specifics to be determined by the department.

Received in the Senate

July 9, 2002

Passed in the Senate 20 to 16 (details)

The House-Senate conference report for the FY 2002-2003 Department of Consumer and Industry Services budget. This appropriates $554.9 million in adjusted gross spending (funded from all sources, including special state restricted fund and federal pass-through dollars, minus interdepartmental transfers), compared to $569.8 million, which was the FY 2001-2002 amount enacted in 2001, excluding any supplemental appropriations. Of this, $35.9 million will come from the General Fund (funded by actual state tax revenues), compared to $42.7 million in FY 2001-2002. Note: The FY 2001-2002 figures do not include supplemental appropriations, interdepartmental program shifts, funding source shifts, or cuts made by executive order later in the fiscal year, if any. These can be substantial, and will change the appearance of year-to-year comparisons. The conference report includes a number of specific line item cuts, but states that these would be suspended if the tobacco and cigarette tax is increased. This tax increase has been approved, so the actual appropriations will be higher than the nominal line item amounts. It also provides for a one-percent department-wide operational expenses cut, with the specifics to be determined by the department.

Signed with line-item veto by Gov. John Engler

July 25, 2002

Received in the House

Aug. 13, 2002

Passed in the House 105 to 1 (details)

To override the line item veto of $854 million in statutory revenue sharing grants to local governments, $9.9 million in grants to cities with declining population, and $1 million to implement the vertical drivers license program proposed by Senate Bills 924 and 925. The governor vetoed these items to “send a message” that adoption by voters of three ballot initiatives in November would make it more difficult to balance future budgets, because they contain certain spending mandates that would remove budget discretion from the legislature. The three initiatives would: Amend the Constitution to require that fixed amounts from the tobacco lawsuit settlement be spent on specified health care and anti-tobacco programs; mandate binding arbitration for state employees; amend the Constitution to establish an independent commission to set penalties for convicted drug users, with drug treatment programs instead of prison time. Note: The tobacco lawsuit settlement money is now spent on a wide variety of programs, most notably the $2,500 merit college scholarship awards for high school students who do well on the state MEAP test.

In the Senate

Aug. 13, 2002

Amendment offered by Sen. Dan DeGrow (R-27)

To "call the question," which ends any further debate on the issue and sends it to an immediate vote.

The amendment passed 23 to 14 (details)

Received

Passed in the Senate 36 to 1 (details)

To override the line item veto of $854 million in statutory revenue sharing grants to local governments, $9.9 million in grants to cities with declining population, and $1 million to implement the vertical drivers license program proposed by Senate Bills 924 and 925. The governor vetoed these items to “send a message” that adoption by voters of three ballot initiatives in November would make it more difficult to balance future budgets, because they contain certain spending mandates that would remove budget discretion from the legislature. The three initiatives would: Amend the Constitution to require that fixed amounts from the tobacco lawsuit settlement be spent on specified health care and anti-tobacco programs; mandate binding arbitration for state employees; amend the Constitution to establish an independent commission to set penalties for convicted drug users, with drug treatment programs instead of prison time. Note: The tobacco lawsuit settlement money is now spent on a wide variety of programs, most notably the $2,500 merit college scholarship awards for high school students who do well on the state MEAP test.