Congress Avoids One Disaster, Heading for More

Last week Congress passes another short term budget measure, a Continuing Resolution (CR) to fund federal programs at current levels through December 11th, 2015th. This happened a few hours before a federal shutdown would have begun. It was a narrow escape, but more difficult deadlines are approaching as the House leadership situation is not making things run smoothly at the moment. US Treasury Secretary Jacob Lew has given November 5th as a date for when the US will not be able to pay its bills unless the debt ceiling is raised. And this week President Obama stated firmly that he will not sign another short term spending bill. Many in Washington are talking about using the debt ceiling debate as a way to work a bigger deal for the budget and/or long term federal transportation funding. However, that seems like a big ask for Congress in the next 3 weeks.

Summer Minnick is the Director of External Relations and Federal Affairs. She can be reached at 517-908-0301 or sminnick@mml.org.

Senate Committee Takes Testimony on Rental Inspection Legislation, League Supports

This week, the Senate Local Government Committee took testimony on SB 394 S-1 (SB 394 S-1).  This legislation folds townships into the mix of those local communities who qualify for the act, clarifies that inspection programs are optional at the local level, and states a rental inspection fee cannot be required to be paid more than 6 months prior to the actual inspection.

In the past, this issue has been very contentious.  This session we worked closely with the Rental Property Owners Association (RPOA) and the Apartment Association of Michigan (AAM) to come to a solution that addressed some of their issues but also didn’t jeopardize current local programs or create a one size fits all program from the state.  Because of this, we were able to take a position of support on this legislation.

We appreciate Sen. Robertson and his staff for allowing us to work through this process.  I would also like to thank RPOA and the AAM for their willingness to sit down with us and discuss this really important issue. We look forward to continuing to work with these organizations in the future.

Nikki is a legislative associate for the League handling economic development, land use, and municipal services issues.  She can be reached at nbrown@mml.org or 517-908-0305.

House Committee Continues Conversation on Tax Increment Financing

The House Local Government Committee continued with presentations on Tax Increment Financing this week.  The League testified in regards to the importance of these types of economic development tools and their role in revitalizing not only local economies but economics surrounding it.  The lack of reporting compliance is continual discussed by many legislators and state departments.  The League discussed the importance of reporting compliance but also discussed some of the duplicity when it comes to reporting to the state that is currently happening with TIFs and that is causing confusion among many local units.  The Michigan Townships Association as well as the Michigan Downtown Association also testified in support of these tools.

There will be additional presentations next week.  Currently, there is not legislation introduced.

Nikki is a legislative associate for the League handling economic development, land use, and municipal services issues.  She can be reached at nbrown@mml.org or 517-908-0305.

Medical Marihuana Bills Pass House with Some Changes

This week, the Michigan House of Representatives passed the three bill package regulating Medical Marihuana.  A few changes were made on the House floor to gain the necessary votes to pass the package.

One of those changes is the annual registration fee cap a local can charge to assist in covering the additional costs to the community for having that type of activity within the community was increased from $1,000 to $5,000.

Additionally, the 8% excise tax that was in place as the bills passed out of committee was lowered to 3% with the distribution percentages changing (45% to counties and sheriffs, 30% to locals, and 25$ to the state).  Language was also added in stating if marihuana becomes legalized at some point in the future, the 3% excise tax will be eliminated on the medical marihuana.

The bills now move onto the Senate for additional work as it moves through the process.

Nikki is a legislative associate for the League handling economic development, land use, and municipal services issues.  She can be reached at nbrown@mml.org or 517-908-0305.

House Local Government Committee Begins Discussion on TIFs

This week the House Local Government Committee chaired by Rep. Lee Chatifield (R – Levering) began taking testimony on Tax Increment Financing authorities. The goal of each presentation, as requested by the chair, is to provide input as to what each stakeholder organization feels needs to be changed through legislation as well as what would be problematic.

This week, the Department of Treasury as well as the Department of Talent and Economic Growth provided testimony on what TIFs are, lack of reporting concerns, concern regarding the duration of some authorities, and reform efforts last session.  The Michigan Association of Counties testified regarding some of misuses and concerns they have including opt out of pre-1994 DDAs and resetting of baselines after so many years among others.

The League will be testifying next week along with a few other stakeholder organizations.

Nikki Brown is a legislative associate for the League handling economic development, land use, and municipal services.  She can be reached at nbrown@mml.org or 517-908-0305.

Medical Marihuana Legislation Passes House Committee

Three bills creating a medical marihuana regulatory framework passed out of the House Judiciary committee this week, HB 4209, HB 4210 and HB 4827.  HB 4209 (Rep. Callton) provides for state and local regulations of medical marihuana provisioning centers/dispensaries.  HB 4210 (Rep. Lyons) allows for and regulates marihuana infused products.  HB 4827 provides for a seed-to-sale tracking system within the state.

There are still outstanding issues that need to be addressed as this legislation continues through the process but this week’s action is one step in the process of moving the legislation forward.

The League has been active on this issue with the bill sponsors in addressing local concerns such as keeping local control intact, addressing the funding mechanism as well as others.  We appreciate the ability to be involved in the process and look forward to continuing that work in the next few months.

Nikki Brown is a legislative associate for the League handling economic development, land use and municipal services issues.  She can be reached at nbrown@mml.org or 517-908-0305.

Congress Making Strides to Avert Shutdown This Week

The United States Senate appears to be making the first move in avoiding a federal government shutdown this Friday, with Senator Thad Cochran (R-Miss) introducing a Continuing Resolution that would fund the government through December 11, 2015. This is being done, allegedly, to provide time for Republican leaders to negotiate a larger budget deal which might include trade-offs on the debt ceiling, long term transportation funding and other issues by the end of the year. This week, Republican leaders in both the House and the Senate stated they hope to negotiate directly with President Obama, rather than Democratic leaders in Congress over the course of the next few weeks to come to a resolution on these significant looming issues.

Summer Minnick is the Director of External Relations and Federal Affairs. She can be reached at 517-908-0301.

Apply Now for National League of Cities Advocacy Committees

Get more involved in shaping federal advocacy efforts by applying to serve on one of the National League of Cities’ advocacy committees! There are seven federal advocacy committees and you must be from an NLC member city to serve. In addition, the Chairs of the Committees will serve as a member of the Board of Trustees for the NLC during their term (this is different from prior years). The applications are online and can be found here. They are due by October 14th so apply today! If you have any questions about this process, please don’t hesitate to contact Summer Minnick at 517-908-0301 or sminnick@mml.org.

Summer Minnick is the Director of External Relations and Federal Affairs. She can be reached at 517-908-0301 or sminnick@mml.org.

 

Act 51 Compliance Requirements Due September 30th

Act 51 compliance requirements are due September 30th as a result of changes that were made to the compliance requirements of Public Act 51 of 1951, Section 18j, MCL 247.668j related to funding from the Michigan Department of Transportation for roadways within local units of government.

To comply, by September 30, 2015, a certificate regarding the compensation plans for your local transportation employees must be completed, signed, submitted to the State Department of Transportation and posted on your municipal website. MDOT has summarized the compliance requirements in FAQ form.

If this form is not submitted by September 30th MDOT may withhold Act 51 funding for non-compliance.

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

After Serious Negotiations It Is Back To The Drawing Board On Transportation Funding

Legislators spent the majority of the week once again trying to find a way to invest more money in Michigan’s roads. Talks began with the most serious negotiations of the summer and at one point there was some belief that a deal was close. At the end of the day though a final compromise was unable to be reached and the Governor and legislative leaders are back to the drawing board.

The potential deal was a plan based around increasing road funding by $1.2 billion, with $600 million coming from new revenue and $600 coming from existing revenue. The new revenue would come from a combination of gas taxes and registration fee increases. The $600 million in cuts to existing revenue remained undefined and was one of the major sticking points with many legislators.

Talks have already begun on finding a way to solve this problem but further action will not take place until after Labor Day at the earliest. The League has continued to voice our concerns over the use of a significant amount of unidentified existing revenue, the need to invest in transit, and that any solution should not put an unnecessary amount of new reporting requirements on our members

The League will be working hard to ensure our voice is heard as we move closer to a deal. We will continue to update you on any new details and how you can engage members of the Legislature in the coming weeks.

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