Changes to MDOT Annual Certification of Employee-Related Conditions Signed by the Governor

Senate Bill 882 has been signed by the Governor and is now Public Act 301 of 2014. This has been a long process and the Michigan Municipal League would like to thank all of those have helped with the passage of this bill. They include Senator Casperson and his staff, Representative Schmidt, Representative Kosowski, policy staff, MDOT, Munetrix, and most importantly our members for all of the outreach they did on this issue.

The final version of this bill eliminates the requirement for cities and villages to post their current fiscal budget, list the number of transportation employees, and create an additional dashboard. It pushes the implementation date back to September 30, 2015 and maintains the requirement to certify with the department that you are in compliance with PA 152. It also requires that communities inform MDOT if they have opted out of PA 152. If you fail to send in your certification form to the department they may withhold your Act 51 funding.

John LaMacchia is a Legislative Associate for the League handling transportation and infrastructure issues. He can be reached at jlamacchia@mml.org or 517-908-0303

Changes to MDOT Annual Certification of Employee-Related Conditions Sent to the Governor

Senate Bill 882 was sent to the Governor for signature after the Senate unanimously concurred in the House changes. The Michigan Municipal League supported these changes and is very thankful for the work put into this legislation by Senator Casperson and his staff.

The final version of this bill eliminates the requirement for cities and villages to post their current fiscal budget, list the number of transportation employees, and create an additional dashboard. It pushes the implementation date back to September 30, 2015 and maintains the requirement to certify with the department that you are in compliance with PA 152. It also requires that communities inform MDOT if they have opted out of PA 152. If you fail to send in your certification form to the department they may withhold your Act 51 funding.

John LaMacchia is a Legislative Associate for the League handling transportation and infrastructure issues. He can be reached at jlamacchia@mml.org or 517-908-0303

House Passes Changes to MDOT Annual Certification of Employee-Related Conditions

The House passed SB 882 yesterday by a vote of 107-2. A floor amendment was adopted creating an additional change to the bill. The amendment states that when cities and villages certify to MDOT their compliance with PA 152 they will also have to inform MDOT if they opted out. Concurrence in the House changes should happen in the Senate this morning, followed by the Governor’s signature before the end of the day.

The final version of this bill eliminates the requirement for cities and villages to post their current fiscal budget, list the number of transportation employees, and create an additional dashboard. It pushes the implementation date back to September 30, 2015 and maintains the requirement to certify with the department that you are in compliance with PA 152 along with the additional information of whether or not you opted out. If you fail to send in your certification form to the department by September 30, 2015 they may withhold your Act 51 funding.

John LaMacchia is a Legislative Associate for the League handling transportation and infrastructure issues. He can be reached at jlamacchia@mml.org or 517-908-0303

Update: MDOT Annual Certification of Employee-Related Conditions

The Michigan Municipal League would like to offer a quick update on SB 882. Last week a blog was posted that explained the compromised the League had reached with the House and the anticipated vote today on the bill. As a result of a few key House Republicans being unable to attend session today, the House has decided not to take up any bills for a vote. This move was completely unexpected and out of our control. After following up with staff, they have indicated that a vote will take place on the bill tomorrow. As a result of this delay it appears that the Governor will not be presented with the opportunity to sign this legislation before Thursday.

The more difficult issue with this is that there will be a two day period where if you have not certified to the department that you are in compliance with current statute you may be at risk of losing Act 51 funding. In my discussions with the department I don’t believe that they will begin immediately enforcing this statute with a heavy hammer and are willing to work with us to bring all of our members into compliance. That being said the current statute does require that you comply no later than today, September 30.

Although today’s delay was not anticipated we remain confident this issue will be resolved before the end of the week.

John LaMacchia is a Legislative Associate for the League handling transportation and infrastructure issues. He can be reached at jlamacchia@mml.org or 517-908-0303

Repeal of MDOT Annual Certification of Employee-Related Conditions Awaits Final Passage in the House

Senate Bill 882 that repeals the MDOT Annual Certification of Employee-Related Conditions under Act 51 Section 18j is currently awaiting final passage in the House. This bill was voted out of the Senate just before the Legislature left for their summer break by a vote of 35-1. Upon their return in September we knew we would be working on a short timeline to get this bill out of the House. The first committee hearing on the bill was last week and our testimony was well received by the committee. Following committee there were a few questions that were brought up by policy staff in the House that we addressed and after some debate the bill was brought up for a vote in committee. It passed by a margin of 13-2.

There continued to be some questions raised by a few legislators about the need to repeal requirements placed on local government. As a result further movement on the bill was suspended and discussions and negotiations resumed. Yesterday the League supported compromise with the House that would remove the requirements for additional dashboards and financial reporting but would still require us to certify to MDOT on an annual basis that we are in compliance with PA 152. The legislation would also push the implementation date back a year to September 30, 2015. Please click on the following link for the most recent version of the bill. 2014-SCVBH-0882-14645

After reaching the compromise, the House moved the bill from 2nd reading to 3rd reading but did not vote on it. They will not return to session again until next Tuesday September 30th, the current implementation date in statute. In our discussions with the House they have indicated that when they return next Tuesday they will vote on the bill with the changes mention above and send it back to the Senate for concurrence. The plan is for the Senate to concur in the changes to the bill later that day, send it to the governor for signature, and just narrowly beat the deadline.

The bill does not represent the full repeal that we pushed for but we believe it is a very good compromise at the end of the day.

As you know nothing is guaranteed until the Governor’s signature is dry, but at this point, based on the conversations we have had with legislators and staff, we are confident that SB 882 will be passed on Tuesday.

John LaMacchia is a Legislative Associate for the League handling transportation and infrastructure issues. He can be reached at jlamacchia@mml.org or 517-908-0303

Repeal of MDOTs Annual Certification of Employee-Related Conditions Receives Committee Hearing

Today House Transportation Committee took testimony on SB 882 that would repeal the annual certification of employee related conditions requirement for cities and villages under Act 51. The League expressed its strong support for the legislation and addressed the need to act on this quickly. The Chairman acknowledge the importance of moving quickly on this legislation and plans to have another committee meeting on this bill next week and vote it out. We will continue to work with the Chairman and members of the committee on this issue in an effort to secure its passage before the end of the month.

The League continues to deliver the message that certifying to MDOT that we are in compliance with PA 152, which by law we are required to be in compliance with, is redundant, unnecessary, and an inefficient use of time. We have also advocated that the creation of another dashboard is unnecessary because of the public access to our current dashboards, F65 Forms, audits, and our comprehensive annual financial reports. With the commitment from the Chairman to move this bill out of committee next week we remain hopeful that this legislation will pass before September 30th but there is no guarantee. We encourage you to prepare as if this requirements will be due on September 30, 2014 and we will continue to update you on the progress of this legislation.

John LaMacchia is a Legislative Associate for the League handling transportation and infrastructure issues. He can be reached at jlamacchia@mml.org or 517-908-0303

MDOT Annual Certification of Employee-Related Conditions Due September 30th

Beginning September 30, 2014, and annually each September 30 thereafter, certification must be made for compliance to Section 18j of Public Act 51 of 1951, MCL 247.668j. A local road agency must certify that it has developed an employee compensation plan for its transportation employees as described OR the local road agency must certify that medical benefits are offered to its transportation employees or elected public officials in compliance with the publicly funded health insurance contribution act, 2011 PA 152, MCL 15.561 to 15.569, OR, that it does not offer medical benefits to its transportation employees or elected public officials. For a copy of the annual certification form please click here.

In addition, a local road agency shall maintain a searchable website accessible by the public at no cost, or the local road agency may reference this state’s central transparency website as the source for the information required. The information required includes all of the following, current fiscal year budget, the number of active transportation employees of the local road agency by job classification and wage rate, a financial performance dashboard that contains information on revenues, expenditures, and unfunded liabilities, the names and contact information for the governing body of the local road agency, and a copy of the annual certification form. If you elect to reference the state’s central transparency website the email to send a searchable pdf of the information to is MDOT-Outreach@michigan.gov. The website that should be used as a link the central transparency website on your webpage is www.michigan.gov/act51 and it will be part of the Legislative Reports under the Resources heading.

If a local road agency does not have a website, you may send a searchable pdf of your information to jlamacchia@mml.org at the Michigan Municipal League and it will be posted to their web page.

For more information please read Section 18j Frequently Asked Questions provided by MDOT.

The League continues to advocate that certifying to MDOT that we are in compliance with PA 152, which by law we are required to be in compliance with, is redundant, unnecessary, and an inefficient use of time. We have also advocated that the creation of another dashboard is unnecessary because of the public access to our current dashboards, F65 Forms, audits, and our comprehensive annual financial reports. SB 882 that would repeal these requirements has passed the Senate and awaits a hearing in the House. We are still hopeful that this legislation will pass before September 30th but there is no guarantee. We encourage you to prepare as if this requirements will continue to be due on September 30, 2014.

John LaMacchia is a Legislative Associate for the League handling transportation and infrastructure issues. He can be reached at jlamacchia@mml.org or 517-908-0303