Category Archives: Legislative Link Articles

Governor Snyder Approves Financial Assistance to Local Governments Affected by Spring Flooding, Deep Freeze

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Governor Rick Snyder has approved more than $2.7 million from the Disaster and Emergency Contingency Fund to provide financial assistance to Michigan counties and communities impacted by last spring’s flooding disaster and deep freeze emergency.

Eligible local governments affected by the flooding or deep freeze were allowed to apply for assistance grants for up to $100,000 or 10 percent of the previous year’s operating budget, whichever is less.

The Disaster and Emergency Contingency Fund is used when communities demonstrate an exhaustion of local resources during a disaster or emergency. The money can be applied toward the immediate prevention, response and recovery of a disaster or emergency, as well as cover overtime for public employees, contracts used during the response, shelter supplies, gasoline used during the response and repair of public buildings and infrastructure.

Under extraordinary circumstances, the governor may authorize reimbursement from the fund to provide state assistance to counties and municipalities when federal assistance is not available.

Snyder declared a “state of disaster” on April 17 for Newaygo and Osceola counties due to severe weather and widespread flooding. On May 7, the disaster declaration was amended to include Isabella, Mecosta, Missaukee, Muskegon, Roscommon and Wexford counties.

Snyder declared a “state of emergency” for Marquette County on April 17 due to the damage caused by last winter’s extremely cold temperatures and deep frost levels. On May 7, the emergency declaration was amended to include Charlevoix, Cheboygan, Chippewa, Delta, Emmet, Gogebic, Luce and Mackinac counties.

In July, the Michigan State Police, Emergency Management and Homeland Security Division was notified by the Federal Emergency Management Agency that northern Michigan communities affected by the deep freeze did not meet the required statewide federal threshold for consideration for a presidential disaster declaration.

In October, the Michigan Strategic Fund approved more than $7.6 million in aid to communities in northern Michigan and the Upper Peninsula through the Community Development Block Grant program to assist in repairing critical infrastructure damaged by last winter’s deep freeze.

The state of Michigan continues to monitor the situation and is looking at all options to ensure communities recover and rebuild after these incidents.

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

Transportation Funding Bills Sent to Conference

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In the second to last week of lame duck session, tensions were high as transportation talks continued. The House and Senate sent the transportation bills to conference committees where a small bi-partisan group of six legislators will ultimately vote on the conference report being negotiated by legislative leadership and the Governor. The conferees in the Senate are Sen. Arlan Meekhof (R-Holland), Sen. Mike Kowall (R-White Lake) and Sen. Jim Ananich (D-Flint). The House conferees are Rep. Jim Stamas (R-Midland), Rep. Rob VerHeulen (R-Walker) and Rep. Marilyn Lane (D-Fraser). The legislative leadership and Governor have met for several hours in each of the last few days on this issue, and we anticipate some sort of resolution next 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

Speaker Bolger Road Funding Plan Voted Out of the House

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House Speaker Jase Bolger’s (R-Marshall) transportation funding plan, which would shift dollars that currently go to local governments, schools, transit, and the general fund to roads, was voted out of the House without a single democratic vote.

The plan relies on projected revenue increases, which supporters say will more than counter-balance the revenue shift. In an attempt to keep local funding at current levels, language was added to the bill that says if state spending on local governments falls below the previous year, the sales tax phase-out would be repealed. The League has very serious concerns and is continuing to express its strong opposition to this plan. Holding communities harmless and not allowing them to benefit from a growing economy by shifting money over to road funding is not the comprehensive solution for which the League is advocating.

Members voted 56-53 for HB 4539, which would phase out the sales tax on gasoline over six years. The bill would remove 1 percent of the 6 percent sales tax each year from 2016 to 2020. HB 5477 would gradually increase the state’s gasoline tax to balance out the drop in the sales tax over that same time period. Eventually, the sales tax on gas would be 0 percent and the state’s new wholesale gasoline tax would be 13.5 percent, resulting in a $1.1 billion increase in Act 51 allocation. This plan also results is a $48 million cut to the Comprehensive Transportation Fund (CTF), which funds public transit, by 2020.

Additionally, all new transportation revenue generated under the plan would go to only the State Trunk Line Fund, counties, cities and villages. The CTF would lose out on another $97 million in new revenue by not allocating the money to the full Act 51 formula. At a time when we should be investing in public transit in Michigan as a way to attract and retain talent, this plan significantly reduces the current investment in public transit.

For the fiscal analysis please click here.

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.

Reach Out! Encourage House Members to Vote Yes on the Senate Passed Transportation Funding Package

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On Tuesday (11/25) Speaker of the House, Jase Bolger, put forward a new transportation funding plan. The plan would remove the 6% sales tax now charged on fuel sales (at 1% per year), while at the same time converting the 19-cent-per-gallon fuel tax to a percentage rate that would gradually increase over the same period. The result would be an extra $1 billion a year in revenue that would be devoted to roads. The plan does not provide for a replacement for the lost sales tax revenue that goes to local government and schools ($75M for constitutional revenue sharing alone). The Speaker theorizes that sales tax revenue is projected to grow by more than $200 million annually because of economic growth in Michigan, meaning schools and local governments would not be hurt by the gradual removal of the 6% sales tax from gasoline sales.

This plan is significantly different than the package of bills passed by the Senate that would increase transportation funding by nearly $1.5 billion over the next four years and is currently awaiting a vote in the House. Please consider reaching out to your Representative and ask them to support the transportation funding plan passed by the Senate. The message to your state Representative is simple:

  • Vote yes on the Senate passed transportation funding package.
  • We need a real increase in funds for roads, bridges and transit and we will not support any plan that would jeopardize local revenue.
  • Pass the increase approved by the Senate and we in local government will support your vote!

Please click on the following link for more information on the Senate plan and a breakdown of the increase in revenue each municipality would receive from HB 5477, which brings in the bulk of the new revenue by increasing the gas tax incrementally over 4 years. Transportation Package Information Sheet

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 Signed by the Governor

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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

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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

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

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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

Smart Growth America Offering a Limited Number of Technical Assistant Workshops

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Is your community interested in creating vibrant, walkable neighborhoods, but not sure where to start?

Smart Growth America’s technical assistance workshops can help. Our experts can work with your community to understand your goals, show how development strategies can help achieve goals, and provide ideas to make it happen.

Each year Smart Growth America offers a limited number of these workshops at no charge, and we’re proud to announce that applications are now open for our 2015 free technical assistance workshops.

Now in its fourth year, our free technical assistance program has helped over 50 communities grow in ways that benefit residents and businesses while protecting the environment and preserving a sense of place.

Visit our website to learn about this year’s opportunity, including the types of workshops available and information about how to apply. Applications are due by October 23, 2014 at 5:00 PM EDT.

For more information or to apply click here.

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

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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 Makes Significant Upgrades to Act 51 Reporting Portal and the Investment Reporting Tool

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The Michigan Municipal League would like to inform you that the Michigan’s Transportation Asset Management Council (TAMC) has made some significant updates to Michigan’s Act 51 Reporting Portal (MITRP) specific to completed project reporting requirements within both the Investment Reporting Tool (IRT) and Act 51 Distribution andReporting System (ADARS). Both systems can be accessed via this link: www.mcgi.state.mi.us/MITRP/.

The Michigan Department of Transportation (MDOT) and each local road agency has a responsibility to annually submit a report to the TAMC that includes, road and bridge projects anticipated to be contracted within the next three years and completed projects (open to traffic) for the fiscal year being reported. In 2006, the TAMC developed the Web-based IRT to facilitate the collection of project location information related to planned and completed projects for local agencies. In 2011, in an effort to gather meaningful cost information from local agencies, the TAMC partnered with MDOT to add an asset management page to the Web-based ADARS system. Unfortunately, this had an unintended consequence that caused many local agencies to have to manually re-enter duplicate project information into both systems.

This situation has been corrected and as of September 3, 2014, both the IRT and ADARS Asset Management page will be fully integrated to allow for the completed project information reported within the IRT to be automatically “synced” to the reporting categories within the ADARS page.

Initially, there will be a “soft” roll-out of this update for agencies with fiscal years ending on/after October 1, 2014 – September 30, 2015. During the roll-out MDOT will focus on training and educating local agencies on the project reporting process and you will still be able to submit Act 51 reports by clicking the “No Treatments to Report” button. However, on/after October 1, 2015, the TAMC will expect the project information requested in both the IRT and ADARS to be complete. Failure to report this information could result in non-compliance with Act 51 reporting requirements and funds withheld until such a time that compliance can be determined.

If you have any questions, please contact Brian Sanada, TAMC Coordinator, at 517-373-2220 or sanadab@michigan.gov.

The following is a link to the letter that was sent out by the Transportation Asset Management Council regarding these changes. TAMC Letter to IRT-ADARS Users 9 3 14

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.