This publication was produced and printed by the Department of Technology, Management and udgel. The puipose of lhe pulIicalion is lo infoin slale and IocaI ofhciaIs and cilizens aloul Coveinoi Snydeis ieconnended ludgel foi hscaI yeai 2O12 and piojeclions foi hscaI yeai 2O13. This docunenl is iequiied ly Iav MCLA 18.1363 and ly lhe Michigan Conslilulion, AilicIe V, Seclion 18. FISCAL YEARS 2013 AND 2014 EXECUTIVE BUDGET
TABLE OF CONTENTS
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Budget Overview ....................................................................... A 1 Department Detail ...................................................................... B 1 Background Information ........................................................... C 1
Web site address for this document: http://www.michigan.gov/budget
Budget Overview
February 9, 2012
My Fellow Michigan Citizens:
Successfully reinventing Michigan demands that we make thoughtful, strategic and long- term investments in our state that deliver real results for real people. The platform for doing so is the fiscal year 2013 budget, which I am proud to recommend for consideration.
This proposal differs significantly from our current-year budget. Last year, our fiscal house was still in disarray. Michigan was burdened with a $1.5 billion deficit and little effort had been made to pay down its long-term obligations. We were faced with difficult but necessary decisions that centered on budget cuts and major policy reforms. Working in partnership with the Legislature, we enacted a fiscally and structurally sound budget that laid the foundation for economic growth and prosperity while protecting our state's critical safety net.
Our work is paying off. Michigan is emerging as a stronger, more vibrant state. This recommended budget builds on that foundation for economic growth and job creation.
This proposed 2013 budget strategically invests in priorities such as education, our infrastructure, public safety, health and human services environment, and information technology while setting aside rainy day reserves and addressing legacy costs. Our focus is shifting from major policy reforms to one that is centered on good government and building for our future.
This budget again presents a balanced two-year plan that continues responsible management of taxpayer dollars. As promised, state spending is tied to measured outcomes through the use of performance metrics. We will be monitoring the performance metrics routinely throughout the year. This budget is the right balance of funding for the priorities and needs of our great state while ensuring that we maintain fiscal responsibility and structural balance. I look forward to working in partnership with the members of the Michigan House and Senate to enact the fiscal year 2013 budget and continue our state's drive to become a national model of success.
Sincerely,
Rick Snyder Governor
OVERVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation A-1 REINVENTING MICHIGAN -- INVESTING IN OUR FUTURE Executive Budget Recommendation for Fiscal Years 2013 and 2014 M ichigans ieinvenlion legan in eainesl Iasl yeai vilh Coveinoi Rick Snydeis hisl ludgel, vhich Iaid lhe foundalion foi a ieluin lo hscaI inlegiily and econonic giovlh. Thal nonenlun conlinues vilh lhe hscaI yeai 2O13 and piojecled 2O14 Lxeculive udgel Reconnendalion. The hscaI discipIine and poIicy iefoins ieecled in lhe cuiienl-yeai ludgel aie fundanenlaIIy changing discussions iegaiding lhe 2O13 pIan. Wilh lhe eIininalion of Iasl yeais $1.5 liIIion dehcil lhiough difhcuIl lul necessaiy decisions, Michigan is nov Iooking al ievenue giovlh and giealei oppoilunilies lo slialegicaIIy invesl in key piioiilies lhal deIivei ieaI iesuIls foi ieaI peopIe. Michigans fuluie depends on a piospeious econony and oppoilunilies foi cuiienl and fuluie geneialions. The goveinois pioposed 2O13 ludgel conlinues on lhe palh lhal cieales an enviionnenl of econonic success, piolecls oui nosl vuIneialIe iesidenls, enhances oui quaIily of Iife, and pionoles good goveinnenl. The lvo Lxeculive udgel liIIs piesenled foi IegisIalive inlioduclion aie again onnilus in naluie, vilh one liII incIuding aII depailnenlaI opeialions and lhe olhei focused on educalion. }usl as Iasl yeai, lhe ludgel piovides a laIanced, lvo-yeai spending pIan vilh ieconnended hscaI yeai 2O13 appiopiialions, as veII as anlicipaled appiopiialions foi hscaI yeai 2O14. The lvo-yeai appioach conlinues lhe connilnenl lo focus on success ovei lhe Iong hauI, achieving a slialegic appioach lo ludgeling vilh a vision lovaid lhe fuluie. Michigans Improving Economy A flei a decade of jol Ioss, high unenpIoynenl, and decIining slale revenues, the dark cloud that had been hanging over Michigan has given way to iays of sunIighl. In 2O11, lhe slale iecoided a signihcanl decIine in lhe unenpIoynenl iale acconpanied ly a gain in payioII jols. The annuaI aveiage unenpIoynenl iale in 2O11 feII ly noie lhan 2 fuII peicenlage poinls vhen conpaied lo 2O1O, fion 12.5 peicenl Its a new day in Michigan. Were leaving gridlock and ncga|iti|q in |nc pas|. Tnis jsca||q discip|incd, structurally balanced budget will let investors and job providers know that Michigans house is in crdcr. Rcs|cring |nis jsca| in|cgri|q crca|cs an economic environment that leads to more jobs for Michigan workers.
Governor Rick Snyder, May 19, 2011 OVERVIEW A-2 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc lo 1O.4 peicenl. Michigan added neaiIy 8O,OOO piivale-secloi jols Iasl yeai, jols lhal aie highei paying lhan lhe nalionaI aveiage. Michigan is lhe nunlei one slale in lhe nalion foi ieseaich and deveIopnenl faciIily piojecl announcenenls, lealing oul Ohio, IennsyIvania, Indiana, and Noilh CaioIina. Michigans sliong lase of engineeiing laIenl and lhe slienglh of ils ieseaich univeisilies aie ciled as lhe liggesl ieasons foi lhe sliong shoving in ieseaich and deveIopnenl. IinaIIy, lhe unaudiled look cIosing foi 2O11 shoved lhe slale had a suipIus. Thal suipIus, aIong vilh lhe foiecasled ievenue giovlh in 2O13 and 2O14, painls a nuch liighlei ludgel picluie vhen conpaied lo lhe pasl decade. States Supporting Role in Success M ichigans luinaiound isnl an accidenl. Tough decisions veie nade in Iasl yeais ludgel lo gel lhe slales hscaI house in oidei, shoving jol ciealois aiound lhe voiId lhal ve aie seiious aloul oui ieinvenlion. Sone of lhe key aclions lhal have fueIed lhe liansfoinalion lhal we are now witnessing include: - RepeaIing lhe jol-kiIIing Michigan usiness Tax and iepIacing il vilh a al 6-peicenl coipoiale incone lax lhal is sinpIe, faii and efhcienl. - Lnding lhe unfaii doulIe lax on snaII lusiness ovneis. - LeveIing lhe pIaying heId foi aII jol ciealois ly eIininaling lax IoophoIes. - Adding iuiaI deveIopnenl lo lhe Depailnenl of AgiicuIluie and RuiaI DeveIopnenls nission lo heIp luiId lhe econony in iuiaI aieas. - Refocusing lhe Michigan Lcononic DeveIopnenl Coipoialion lo piovide giealei assislance lo Michigan lusinesses. - Suppoiling Michigans louiisn indusliy ly insuiing slalIe funding foi lhe successfuI Iuie Michigan adveilising canpaign. - Launching Iuie Michigan usiness Connecl, iesuIling in $8 liIIion of inveslnenl and capilaI leing nade avaiIalIe lo Michigan lusinesses. - LslalIishing lhe CIolaI Michigan Innigialion Inilialive and lhe CuIluiaI Anlassadoi piogian lo alliacl and veIcone innigianls vilh advanced degiees lo Michigan. - Launching TaIenl Connecl lo heIp ieduce unenpIoynenl ly connecling laIenl lo jols. Governor Rick Snyder got Michigan back on the right track with a scrics cf |cq rcfcrns during nis jrs| qcar in cfjcc. Tncrc ui|| oc |ncsc who differ with parts of his agenda for this year as was the case in 2011 but hes right to keep the pressure on for infrastructure inprctcncn|s, oc||cr gctcrnncn| cfjcicncq a| a|| |ctc|s and |nc usc cf |ccnnc|cgq |c cxpand |carning. As nis cn|inc dasnocards indica|c, |nc uncnp|cqncn| ra|c is drcpping, |nc s|a|c ocnd ra|ing is rising and theres less violent crime.
The Detroit News, January 19, 2012 OVERVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation A-3 Budget Recommendation in Totality T he lolaI Lxeculive udgel Reconnendalion foi hscaI yeai 2O13, incIuding aII slale and fedeiaI ievenue souices, is $48.2 liIIion. This incIudes $47.6 liIIion in ongoing lase spending, vilh anolhei $6OO niIIion in one-line funding. Ovei 75 peicenl of lhe lolaI ludgel is devoled lo heaIlh, hunan seivices and educalion.
The Consensus Revenue Lslinaling Confeience heId in }anuaiy piojecled lhal ievenues viII le $9 liIIion in lhe geneiaI fund and $11.1 liIIion in lhe SchooI Aid Iund foi hscaI yeai 2O13, ieecling a conlined lolaI of $2O.1 liIIion. This ludgel cycIe slails vilh a lase inciease of $622.8 niIIion ovei pieviousIy adopled ievenue eslinales. In hscaI yeai 2O14, piojecled ievenues aie $9.2 liIIion in lhe geneiaI fund and $11.4 liIIion in lhe SchooI Aid Iund, foi a conlined lolaI of $2O.6 liIIion. Assuning enaclnenl of lhe Coveinois hscaI yeai 2O13 ieconnendalion, lhe hscaI yeai 2O14 ludgel is laIanced vilh a nodesl suipIus ienaining. The ludgel ieconnendalion conlinues the Governors focus on being accounlalIe lo lhe laxpayeis vilh neliics lo neasuie piogiess. Wilh a nev lax sliucluie nov hinIy in pIace and a ludgel lhal is sliucluiaIIy laIanced foi lhe Iong lein, lhis ludgel piovides lhe iighl laIance of funding for investing in Michigans future, with associaled neasuienenls so iesuIls can le noniloied. One of lhe key hnanciaI piincipIes used in lhe deveIopnenl of lhe ieconnended ludgel is lhal ongoing spending and one-line ievenues aie no Iongei conningIed. This nev ludgeling appioach is a najoi iefoin fion pasl piaclice, vheie one-line funding vas added lo lase spending ciealing lhe condilion foi sliucluiaI inlaIance. This nev appioach laIances cuiienl ievenues lo cuiienl expendiluies, enfoicing hscaI iesponsiliIily and keeping lhe slale on soIid hnanciaI fooling foi lhe fuluie. Al piesenl, lolh lhe geneiaI fund and lhe SchooI Aid Iund in hscaI yeai 2O12 aie laIanced, and no aclion is needed al lhis line lo ielaIance lhe enacled ludgel. If ievenues and expendiluies vaiianl ludgelaiy aclion in lhe cuiienl yeai, adjuslnenls viII le ieconnended lo ievise spending. Government Services 5% Jobs 11% Environment 2% Health and Human Services 45% Public Safety 6% Education 31% Over 75% of total budget devoted to health, human services and education spending Total FY 2013 Spending: $47.6 billion Total FY 2013 Ongoing Spending: $47.6 billion OVERVIEW A-4 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc Jobs and the Economy T he ieconnended ludgel piovides $195 niIIion in funding foi econonic deveIopnenl lo assisl Michigan lusinesses, vilh a conlinued focus on an econonic gaidening slialegy lo heIp IocaI lusinesses giov. Reinvenling Michigan and invesling in oui fuluie denands lhal ve ensuie caieei oppoilunilies foi fuluie geneialions. Thinking slialegicaIIy aloul lhe ieIalionship lelveen econonic deveIopnenl and a highIy skiIIed voikfoice, Coveinoi Snydeis speciaI nessage on laIenl deveIopnenl piovides lhe lIuepiinl lo ieinvenl lhe vay in vhich ve piepaie lhe cuiienl and nexl geneialion foi fuIhIIing caieeis. Il iedesigns lhe vay in vhich enpIoyeis ollain lhe skiIIs lhey need. Iuie Michigan TaIenl Connecl, lhe nev onIine looI al vvv.MiTaIenl.oig, is a vel- lased naikelpIace ained al ensuiing Michigans econonic deveIopnenl and laIenl enhancenenl aie occuiiing in landen. The Coveinoi ieconnends an addilionaI $15 niIIion in geneiaI fund lo suppoil econonic deveIopnenl in Michigans disliessed cilies. The TaIenl Iund foi }ol Tiaining and SkiIIs DeveIopnenl viII laigel connunilies vilh popuIalions lhal have a hisloiy of chionic unenpIoynenl, invesling in inilialives lhal assisl cilizens in accessing educalion, liaining, and enpIoynenl oppoilunilies. Education: K-12 and Beyond I n his speciaI nessage on educalion, Coveinoi Snydei pioposed iefoins ained al liansfoining Michigans educalionaI syslen fion one sliII iooled in lhe days of a noslIy fain-lased sociely lo one lhal piepaies sludenls foi lhe lechnoIogicaI age of loday and jols of lonoiiov. His nessage oulIined a dianalic shifl fion vieving diffeienl IeveIs of educalion as sepaiale slages lo vieving lhen as pail of an inlegialed syslen, leginning vilh early childhood education all the way through lhe conpIelion of an advanced degiee oi caieei liaining. In Iaying oul his case foi iefoin, lhe goveinoi noled lhal Michigan ianks 21sl in lhe counliy in lolaI cuiienl pei-pupiI expendiluies accoiding lo lhe nosl iecenl dala fion lhe NalionaI Cenlei foi Lducalion Slalislics, yel il ianks 39lh in lhe nalion vhen il cones lo fouilh giade nalh piohciency and 34lh in ieading piohciency. Ievei lhan 5O peicenl of sludenls aie piohcienl in viiling, and ACT lesl scoies need inpiovenenl. The liansfoinalion has aIieady slailed vilh lhe iecognilion lhal success in schooI slails veII lefoie a chiIds hisl day of cIass. To nake suie chiIdien aie deveIopnenlaIIy on liack, lhe goveinoi ciealed a nev Michigan Ofhce of Cieal Slail. The pioposed ludgel incIudes funding foi lhis ofhce of $2O9.2 niIIion, of vhich $41.2 niIIion is geneiaI fund. This is augnenled ly anolhei $115 niIIion in SchooI Aid funding foi eaiIy chiIdhood piogians. Read through Snyders proposed education rcfcrns, and i|s c|car nc undcrs|ands ncu qcu gc aocu| prcducing an cxcc||cn| prcduc|, unicn in |nc casc cf cduca|icn, ncans |ids who are ready to perform in the workforce.
Dan Calabrese, The Michigan View, April 29, 2011 OVERVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation A-5 The ieconnended ludgel suppoils lhe $1O.8 liIIion in avaiIalIe SchooI Aid Iund ievenues vilh an addilionaI $2OO niIIion in geneiaI fund foi lesl piaclices, and piolecls lhe pei-pupiI foundalion aIIovances. Due lo lhe piessuie pIaced on schooI disliicl ludgels ieIaled lo enpIoyee pension and heaIlh caie cosls, a lolaI of $179 niIIion in ongoing funding is piovided lo heIp IocaI schooIs defiay lhose cosls. Enhanced Best Practices for Education A lolaI of $2OO niIIion is designaled foi disliicls engaged in lesl piaclices and neeling iequiied peifoinance neliics. This iepiesenls an inciease of $46 niIIion fion hscaI yeai 2O12. Of lhis lolaI, $12O niIIion is ieconnended foi disliicls lhal neel hve of six lesl piaclices, vhich aie: lhe disliicl pulIishes a cilizens dashloaid, lhe disliicl seives as lhe poIicy hoIdei foi heaIlh caie lenehls, pailicipalion in schooIs of choice, lhe disliicl nonilois sludenl giovlh in each suljecl aiea al Ieasl lvice a yeai, lhe disliicl offeis duaI enioIInenl, Advanced IIacenenl couises, pailicipales in a niddIe coIIege, oi offeis olhei posl-secondaiy Ieaining oppoilunilies, oi lhe disliicl offeis onIine oi lIended Ieaining. A lolaI of $7O niIIion is ieconnended foi peifoinance funding focused on sludenl acadenic giovlh. Ieifoinance funding is aIIocaled lased on sludenl giovlh in nalhenalics foi giades 3-8, sludenl giovlh in ieading foi giades 3-8, and giovlh ovei a foui yeai peiiod in aII lesled suljecl aieas foi high schooI sludenls. The ieconnendalion aIso incIudes $1O niIIion in one-line funds foi conpelilive innovalion gianls lo heIp defiay liansilion cosls associaled vilh consoIidalion of shaied seivices effoils. olh IocaI and inleinediale schooI disliicls viII le eIigilIe lo conpele foi lhese funds. The ieconnended ludgel foi connunily coIIeges incIudes a nev peifoinance foinuIa lased on degiee conpIelions lo disliilule an addilionaI $8.5 niIIion lo connunily coIIeges. This 3 peicenl inciease is lo le disliiluled lased on associale degiee and ceilihcale conpIelions in ciilicaI skiII aieas. The Coveinois ieconnendalion foi highei educalion eslalIishes lolaI funding of $1.4 liIIion, of vhich $1.1 liIIion is geneiaI fund. Invesling an addilionaI $36.2 niIIion in slale univeisilies, lhis 3 peicenl funding inciease is disliiluled using a nev peifoinance foinuIa lased on foui neliics: lhe giovlh in lhe nunlei of undeigiaduale degiee conpIelions, lhe nunlei of undeigiaduale conpIelions in ciilicaI skiII aieas, lhe nunlei of undeigiaduale IeII Cianl iecipienls, and conpIiance vilh luilion iesliainl. Univeisilies doing a lellei jol of hoIding luilion cosls dovn viII ieceive giealei funding. Iunding foi aII sludenl gianls and hnanciaI aid is $98.2 niIIion. I believe the Governors plan goes a long uaq |cuard crca|ing |nc sqs|cn cf s|andards, measurements and accountability that Michigan so desperately needs.
Stephen Henderson, Detroit Free Press, April 28, 2011 OVERVIEW A-6 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc Protecting Michigan Residents R esidenls and lusinesses denand lhal goveinnenl piovide foi lhe safely of lhe pulIic. A key ioIe of goveinnenl is lo ensuie lhal cilizens aie safe and piolecled. Wilh foui of lhe lop 1O nosl vioIenl cilies in lhe nalion, and vilh an oveiaII ciine iale lhal is loo high, ve nusl do lellei. In Maich, lhe Coveinoi viII piesenl a speciaI nessage on pulIic safely, vilh key iefoins lo cieale a safei Michigan. The pioposed ludgel nakes a sliong inveslnenl in pulIic safely ly: - Iunding coie piogians foi lhe Michigan Slale IoIice (MSI) incIuding ioad palioI, noloi caiiiei enfoicenenl, invesligalive seivices, eneigency nanagenenl and honeIand secuiily, secondaiy ioad palioI gianl funding, and funding foi lhe Michigan Connission on Lav Lnfoicenenl Slandaids. The ieconnendalion adds a lolaI of $47 niIIion in geneiaI fund foi MSI, an inciease of 16 peicenl ovei lhe cuiienl yeai. - Iioviding $3.1 niIIion geneiaI fund foi addilionaI slafhng vilhin Ioiensic Sciences vilhin MSI, ieducing lhe nunlei of days foi piocessing foiensic lesls foi ciininaI invesligalions. - InpIenenling inpioved enfoicenenl of lolacco lax Iavs vilh nuIli-agency suppoil lolaIing $2.2 niIIion foi MSI, Tieasuiy, and Alloiney CeneiaI. - Reseiving an addilionaI $15 niIIion geneiaI fund foi Iav enfoicenenl enhancenenls lo le delaiIed in lhe Coveinois SpeciaI Message on IulIic Safely in Maich. - Adding $4.8 niIIion foi ciilicaI nainlenance needs al lhe 43 slale ainoiies lhioughoul lhe slale. - An addilionaI $15 niIIion is pioposed foi lhe ciininaI juslice syslen, incIuding funding foi anlicipaled cosls ieIaled lo lhe pulIic safely eneigency in IIinl and olhei disliessed cilies. The pioposaI incieases funding foi nenlaI heaIlh couils ly $1 niIIion. - Iunding lhe Depailnenl of MiIilaiy and Veleians Affaiis (DMVA) vilh $55.7 niIIion foi MiIilaiy Iiepaiedness, iepiesenling lhe Michigan NalionaI Cuaids liadilionaI nission of slale and nalionaI defense and honeIand secuiily. Advancing Health and Human Services; Protecting the Safety Net T he Coveinois speciaI nessage on heaIlh and veIIness poinls oul lhal good heaIlh is lhe foundalion foi oui slales econonic liansfoinalion and oveiaII quaIily of Iife. WhiIe oui slale is hone lo sone of lhe lesl heaIlh caie piovideis and seivices in lhe voiId, nany of oui cilizens sliII Iack access, knovIedge of and a connilnenl lo a heaIlhy IifeslyIe. Ciealing a heaIlhy Michigan neans giving peopIe lhe looIs lhey need lo nake infoined decisions lo access high- quaIily and affoidalIe heaIlh caie. The speciaI nessage encouiaged lhe expansion of lhe HeaIlhy Kids DenlaI piogian as a piioiily ilen duiing lhe hscaI yeai 2O13 ludgel cycIe. The piogian has leen highIy successfuI in lhe aieas in vhich il opeiales. UnfoilunaleIy, il is alsenl fion sone of oui nosl popuIous counlies vheie lhe giealesl dispaiilies in denlaI caie exisl. Lxpanding il lo OVERVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation A-7 aII 83 counlies vouId inpiove pievenlive caie and deciease visils lo eneigency ioons foi denlaI piolIens. A lolaI of $25 niIIion in lolh 2O13 and 2O14 is pioposed foi a phased-in expansion of lhe HeaIlhy Kids DenlaI piogian so lhal coveiage viII le avaiIalIe foi aII chiIdien ieceiving Medicaid ovei lhe nexl fev yeais. Michigan nusl aIso join lhe najoiily of slales in noie aggiessiveIy deaIing vilh lhe chaIIenges posed ly aulisn. Wilhoul liealnenl, lhe aveiage Iifeline cosl lo Michigan of a singIe peison suffeiing fion aulisn is $3.7 niIIion. Wilh eaiIy liealnenl, hovevei, chiIdien can achieve lellei oulcones and nany of lhese cosls can le avoided. Michigan is iecognized as one of lhe 1O voisl slales in vhich lo iaise a chiId vilh aulisn lecause evidence-lased liealnenl is IaigeIy excIuded fion insuiance coveiage. To dale, 27 olhei slales have changed lheii Iavs lo iequiie insuieis lo covei evidence-lased lheiapies foi aulisn lhal viII save laxpayeis liIIions of doIIais. WhiIe lhe LegisIaluie conlinues ils deIileialions aloul aulisn coveiage foi chiIdien, lhe Coveinois ludgel ieconnends a lolaI of $34.1 niIIion lo piovide expanded aulisn coveiage foi chiIdien eIigilIe foi Medicaid and MIChiId. Lach cilizen can signihcanlIy inpiove peisonaI heaIlh ly piaclicing foui key lehaviois: nainlaining a heaIlhy diel, engaging in ieguIai exeicise, gelling an annuaI physicaI exaninalion, and avoiding aII lolacco use. The foui key heaIlh neasuies cIoseIy lied lo lhe incidence of chionic disease aie: lody nass index (MI), lIood piessuie, choIesleioI IeveIs, and lIood sugai IeveIs. When consideied logelhei, lhese foui lehaviois and foui neasuies can le chaiacleiized as lhe Michigan 4x4 IIan. In addilion, infanl noilaIily is a ciilicaI indicaloi of lhe oveiaII heaIlh of Michigan, as veII as lhe quaIily and accessiliIily of pienalaI caie foi vonen. UnfoilunaleIy, lhe infanl noilaIily iale in Michigan has incieased ovei lhe pasl lhiee yeais. The pioposed ludgel incieases funding foi infanl noilaIily ieduclion and 4 x 4 WeIIness, vilh $5 niIIion in one-line funding, and $1 niIIion in ongoing funding. In suppoil of seniois and peopIe vilh disaliIilies, $14.1 niIIion is ieconnended lo ieduce lhe vailing Iisl foi lhe MIChoice Hone and Connunily ased Waivei Iiogian. This incieased suppoil foi hone and connunily-lased caie aIIovs lhe eIdeiIy lo ieceive needed seivices vhiIe honoiing lheii piefeience lo ienain in lheii hones oi connunilies, and suppoils liansilions fion nuising hones lo lhe vaivei piogian. This ludgel nainlains Medicaid eIigiliIily and uses fedeiaI funding lo inciease piovidei ieinluisenenl iales foi piinaiy caie piovideis. An appiopiialion of $282 niIIion in fedeiaI funds suppoils lhe piovidei iale inciease, inpioving access lo caie foi Medicaid iecipienls. The pioposed ludgel invesls ovei $942 niIIion in Michigans chiId veIfaie syslen. The iale paid lo foslei caie paienls and adoplive paienls is incieased ly $3 pei day lo heIp pay foi lasic Iiving expenses and lo encouiage ieciuilnenl of foslei and adoplive paienls. Inpiovenenls lo lhe chiId veIfaie syslen viII nainlain lhe focus on keeping chiIdien safe in lheii ovn hones, and vhen necessaiy, viII suppoil aIleinalive Iiving aiiangenenls incIuding foslei caie and adoplion. The ieconnendalion invesls $255 niIIion in fedeiaI and slale iesliicled funds lo suppoil healing assislance piogians, incIuding $195 niIIion in fedeiaI funds foi lhe hone healing ciedil, eneigy- ieIaled ciisis paynenls and vealheiizalion foi Iov-incone hone ovneis. The nev Hone OVERVIEW A-8 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc Healing Assislance foi lhe VuIneialIe Iund is suppoiled vilh $6O niIIion in slale iesliicled funds. Iunded lhiough uliIily iales and disliiluled lo IocaI agencies, lhese nev funds viII piovide healing assislance lo Iov-incone faniIies and individuaIs. Veleians, lheii faniIies, and Michigan connunilies aie seived in lhis ludgel lhiough oulieach piogians vilh $16.2 niIIion in funding. As pail of lhal funding, Veleians Seivice Oiganizalions viII ieceive $2.9 niIIion in slale-funded gianls lo counseI veleians and assisl lhen in ieceiving lenehls and seivices foi vhich lhey aie eIigilIe. In addilion, $65.6 niIIion is piovided lo suppoil lhe Ciand Rapids and D. }. }acolelli Veleians Hones, vhich piovide diiecl nuising caie foi 731 iesidenl veleians. Investing in our Infrastructure G oveinoi Snydei said il in his speciaI nessage on infiasliucluie: lellei ioads diive lellei jols. Inveslnenls in lhe slales infiasliucluie aie essenliaI lo lhe econony and lo lhe fuluie giovlh of oui slale. The Coveinois nessage focused on a nodein lianspoilalion syslen lhal noves peopIe and goods efhcienlIy, ieIialIy and safeIy, as veII as valei and sevei syslens lhal suppoil and piolecl Michigans iich enviionnenl. The pioposed lianspoilalion ludgel lolaIs $3.3 liIIion in lolh 2O13 and 2O14, incIuding $119 niIIion in one-line geneiaI fund appiopiialions in hscaI yeai 2O13 lo aIIov lhe IegisIaluie line lo deveIop a Iong-lein ioad funding soIulion. The $119 niIIion inveslnenl of geneiaI fund ievenues viII ensuie lhal Michigan nalches aII fedeiaI highvay and liansil aid in hscaI yeai 2O13. Ignoiing lhe slales deleiioialing infiasliucluie is nol an oplion, noi is aIIoving unnalched fedeiaI noney lo ov lo olhei slales. An exlensive package of liIIs iecenlIy inlioduced in lhe LegisIaluie piovides foi olhei necessaiy iefoins nenlioned in lhe speciaI nessage on infiasliucluie, incIuding lhe need foi addilionaI ievenues. The pioposed ludgel ieconnends an addilionaI $1O niIIion of iesliicled iehned pelioIeun fund foi enviionnenlaI cIeanup voik al Ieaking undeigiound sloiage lank siles. An addilionaI $5 niIIion is ieconnended foi use as slale nalch lo ollain fedeiaI gianl doIIais foi lhe diinking valei ievoIving fund piogian. The added funding viII piovide infiasliucluie Ioans lo pulIic valei suppIieis, enalIing an incieased peicenlage of connunilies lo le in conpIiance vilh fedeiaI heaIlh-lased slandaids. The ieconnendalion aIso incIudes $1 niIIion lo ieach lhe goaI of 5,OOO MALAI (Michigan AgiicuIluie LnviionnenlaI Assuiance Iiogian) fain veiihcalions ly 2O15, vhich viII iesuIl in noie suslainalIe syslens and incieased pioduclion foi lhe agiicuIluie indusliy. Resouices have leen incIuded lo slinuIale inveslnenls in Iaige sevei syslen inpiovenenl piojecls, vilh dell seivice funding lo acconnodale anlicipaled lond issuances of $125 niIIion in hscaI yeais 2O13 and 2O14. Governor Snyder is smart to be taking a ccnprcncnsitc apprcacn |cuard jxing |nc rcads, oridgcs, scucrs and ua|cr |incs |na| arc crumbling beneath our feet and wheels.
The Detroit News, October 27, 2011 OVERVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation A-9 Revenue Sharing C onslilulionaI ievenue shaiing paynenls foi cilies, viIIages, and lovnships aie incieased ly $13.6 niIIion (2 peicenl), lo $711.1 niIIion, lased on eslinaled saIes lax coIIeclions. The ludgel conlinues and slienglhens lhe Lcononic VilaIily Incenlive Iiogian (LVII) foi IocaI unils of goveinnenl, vilh $21O niIIion in funding foi hscaI yeai 2O13. Ained al encouiaging lesl piaclices foi cilies, viIIages, and lovnships, LVII funding viII again iequiie lhal IocaI unils of goveinnenl neel ceilain ciileiia lhal incIude accounlaliIily and lianspaiency iequiienenls, consoIidalion of seivices, and enpIoyee conpensalion iefoins. A nev incenlive-lased piogian foi counlies is ieconnended lo iepIace slaluloiy ievenue shaiing leginning in hscaI yeai 2O13, funded vilh $125.6 niIIion in saIes lax ievenue. Sixly-one counlies aie eslinaled lo exhausl lheii ievenue shaiing ieseive funds piioi lo, oi duiing, hscaI yeai 2O13. These counlies viII quaIify foi hnanciaI incenlive paynenls piovided lhey neel specihc slandaids and adopl lesl piaclices, consislenl vilh iequiienenls undei LVII foi cilies, viIIages, and lovnships. In addilion, a conpelilive gianl assislance piogian is funded in hscaI yeai 2O13 vilh $25 niIIion in saIes lax ievenue, using $5 niIIion in ongoing funding pIus a one-line augnenlalion of $2O niIIion. Cilies, viIIages, lovnships, oi counlies lhal eIecl lo conline goveinnenl opeialions nay appIy foi ieinluisenenl of cosls foi appioved piojecls. IiscaI yeai 2O13 funding iepiesenls a foui-foId inciease fion hscaI yeai 2O12 funding of $5 niIIion. The pioposed one-line inciease addiesses signihcanl inleiesl expiessed ly IocaI unils seeking heIp vilh liansilion cosls associaled vilh neigeis, inlei-IocaI agieenenls, and olhei coopeialive effoils. Good Government and Measuring for Success G oveinoi Snydeis hisl ludgel iequiied lough decisions lo achieve laIance foi lhe Iong lein. ecause lhal has leen acconpIished, a ieneved focus on good goveinnenl is nov in nolion, uliIizing neliics and neasuienenls lo noniloi piogiess and heIp nake infoined decisions. The connilnenl lo goveinnenl lianspaiency and accounlaliIily is sliong, and lhe goveinnenl cuIluie is fuIIy ingiained in lhe novenenl lo neasuie. Lasl yeai, lhe Cilizens Cuide lo Slale Coveinnenl piovided lhe hisl slep in naking il easiei foi Michigan cilizens lo undeisland hov and vheie lheii noney is spenl and vhelhei il is effeclive. The Coveinoi conlinued lhe piogiess in lianspaiency and accounlaliIily vilh lhe Michigan Dashloaid, pioviding a quick assessnenl of lhe slales peifoinance in key aieas incIuding: econonic slienglh, heaIlh and educalion, vaIue foi noney goveinnenl, quaIily of Iife, and pulIic safely. Sepaiale dashloaids veie ciealed foi neasuiing educalion, heaIlh and wellness, infrastructure, and laIenl. And nov, vilh the release of this budget and Snyder is hoping to end once and for all the status quo thinking that has continued long after local units of government could afford to pay for it More cooperation and outright consolidation make sense.
The Flint Journal, August 4, 2011 OVERVIEW A-10 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc iepiesenling lhe evoIulion of lhe oiiginaI Cilizens Cuide, lhe slale unveiIs ils nev dashloaid foi hnanciaI heaIlh, found al vvv.nichigan.gov/opennichigan. WhiIe lhe dashloaids neasuie hov Michigan as a vhoIe is doing vilhin key aieas, lheie aie aIso scoiecaids in pIace lhal liack hov Michigan goveinnenl is peifoining vilhin each of lhe agencies. Duiing ludgel deveIopnenl, lhe Slale udgel Ofhce voiked cIoseIy vilh slale depailnenls lo ensuie lhal funding is aIigned lo agency piioiilies. In doing so, each funding decision is exanined and oulcones aie evaIualed lased on hov lhey nove lhe needIe of peifoinance. The neasuienenls piovided ly lhe dashloaids and scoiecaids casl a spolIighl on hov Michigan is doing, and vhelhei veie liending in a posilive oi negalive diieclion. Wilhoul lhis focus on neasuienenl, ils inpossilIe lo knov vheie goveinnenl is succeeding oi faiIing so lhal lhe necessaiy couise adjuslnenls can le nade.
Investing in our Business Platforms and Physical Assets I n lines of ludgel ciisis, slales cannol nake necessaiy inveslnenls lo save noney ovei lhe Iong lein. Mosl slales acioss lhe counliy sliII hnd lhenseIves in lhis negalive silualion. Wilh Michigans hscaI house iesloied lo oidei, ve can nov nake laigeled inveslnenls lhal piolecl oui assels, luiId foi lhe fuluie, and Iead lo Iong-lein cosl savings. TechnoIogy pIays a najoi ioIe in ieaIizing goveinnenl efhciency, lul iequiies up-fionl inveslnenls lo achieve il. The pioposed ludgel incIudes $5O niIIion in ongoing funding foi infoinalion lechnoIogy piojecls designed lo addiess syslen upgiades and najoi oppoilunilies foi aulonalion. The Depailnenl of TechnoIogy, Managenenl and udgel viII conpIele an assessnenl of lhose syslens and aieas nosl in need of inveslnenl, ensuiing lhal lhe infoinalion lechnoIogy inveslnenl viII heIp slale voikeis do lheii jols, inpiove seivices foi cilizens, and pioduce Iong lein savings foi lhe slale. Coveinoi Snydei ieconnends addilionaI suppoil of Michigans univeisilies and connunily coIIeges ly advancing 18 capilaI oulIay consliuclion piojecls pieviousIy appioved foi pIanning ly lhe IegisIaluie. The ludgel aIso ieconnends sulslanliaI iefoin of lhe capilaI oulIay piocess in oidei lo ensuie spending decisions aie noie lianspaienl and neiil-lased foi fuluie piojecls. These iefoins viII assisl in slialegicaIIy aIigning capilaI inveslnenls vilh slalevide econonic deveIopnenl goaIs, vhiIe slieanIining lhe appiovaI piocess. OVERVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation A-11 Fiscal Order Restored J usl one yeai ago, Michigan faced a $1.5 liIIion dehcil vilh uniesoIved IialiIilies lhal had Iingeied foi yeais. Il vas an unheaIlhy ludgel silualion foi lolh laxpayeis and lusinesses. Tough decisions veie necessaiy lo gel Michigan goveinnenl lack inlo Iong-lein sliucluiaI laIance so iesidenls and lusinesses couId see lhal slale goveinnenl had ils hscaI house in oidei. Thiough a sliong pailneiship vilh lhe IegisIaluie, lhe dehcil is gone and lhe ludgel is in sliucluiaI laIance. Ioi lhe hisl line in aInosl a decade, slale goveinnenl is laIanced foi lhe fuluie, vilh ongoing expendiluies nov nalching ongoing ievenues. Reinvenling Michigan denanded a nev appioach lo ludgeling. Legacy Costs No Longer Ignored N ot only has the budget been pul inlo laIance foi lhe Iong lein, Coveinoi Snydeis 2O12 ludgel aIso look najoi sliides in addiessing lhe slales Iong-lein IialiIilies, incIuding posl-ieliiee heaIlh caie cosls. The slale paid off ils $3.2 liIIion Ioan lo lhe fedeiaI goveinnenl foi unenpIoynenl lenehls in oidei lo iehnance lhe IialiIily al a lellei iale. Successful negotiations with unions iepiesenling slale enpIoyees pioduced soIulions lo lellei nanage iockeling slale enpIoyee heaIlh caie cosls. In shoil, aflei loo nany yeais of pushing lhe piolIen dovn lhe ioad, lhe slale gol seiious aloul ils Iegacy cosls. One of lhe nosl signihcanl and nonunenlaI acconpIishnenls cane vilh lhe signing of IulIic Acls 264 and 265 in Decenlei 2O11 (connonIy iefeiied lo as lhe OIL IegisIalion, vheie OIL iefeis lo olhei posl-enpIoynenl lenehls). The nev Iavs ieduce lhe slales Iong-lein ieliiee heaIlh caie IialiIily, ensuiing lhal lhe posl-ieliienenl pionises nade lo enpIoyees can le kepl. Michigan has iesliucluied slale enpIoyee ieliiee lenehls, saving lhe slale $5.6 liIIion in Iong- lein IialiIilies. Iunding has leen incIuded in lhe lase ludgel lo fuIIy fund lhe anlicipaled acluaiiaIIy iequiied conliilulion (ARC) foi slale enpIoyee pensions and heaIlh caie. IuIIy funding lhe ARC is signihcanl, especiaIIy in Iighl of lhe OIL IegisIalion, lecause ils anolhei slep in paying dovn lhe IialiIily and naking good on lhe pionise lo slale enpIoyees. Lasl yeai aIso lioughl inpoilanl and signihcanl iefoins lo heaIlh caie cosls foi exisling slale enpIoyees. Aflei a successfuI laigaining piocess lelveen lhe slale and union Ieadeis iepiesenling slale enpIoyees, lhe Michigan CiviI Seivice Connission look aclion in appioving lhe conliacls oveivheIningIy ialihed ly lhe unions. As in lhe case of lhe OIL IegisIalion, lhe agieenenl piovided vins foi lolh lhe slale and slale enpIoyees. The nev conliacls piovide a 1 peicenl pay iaise lo slale enpIoyees in Oclolei, 2O12. In addilion, Iunp-sun paynenls viII lcr|ing |cgc|ncr, Micnigan sncucd grca| ccnni|ncn| |c dc not just what is easy but what is right. Not what is political but what is practical. Not what is partisan but what is princip|cd. lni|c nc| ctcrqcnc agrccd cn ctcrq apprcacn, uc worked hard to make sure our decisions were rooted in common scnsc. lc rcfuscd |c cngagc in |nc |ind cf jngcr-pcin|ing |na| stymies government from meeting its obligations to citizens.
Governor Rick Snyder, State of the State Address, January 18, 2012 OVERVIEW A-12 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc le nade in 2O12 and 2O13 lhal equaI 1 peicenl incieases, lul viII nol le added lo ongoing lase pay. In luin, union Ieadeis voiked in pailneiship vilh lhe slale lo iesoIve lhe hnanciaI sliess pIaced on lhe slale ieIaled lo funding heaIlh caie foi enpIoyees. As a iesuIl of lhe agieenenl, aII enpIoyees viII legin paying 2O peicenl of lheii heaIlh pIan pieniuns leginning in Oclolei 2O12, liinging lhe slale in Iine vilh lhe piivale secloi. Those hiied on oi aflei ApiiI 1, 2O1O aIieady pay 2O peicenl. Deferred Maintenance A nolhei conponenl of infiasliucluie lhal loo oflen goes unnoliced is nainlenance of slale luiIdings. The ludgel ieconnendalion incIudes $15 niIIion in ongoing funding foi slale luiIdings pIus $1O niIIion in one-line funding lo le adninisleied ly lhe Depailnenl of TechnoIogy, Managenenl and udgel (DTM). The pasl piaclice of londing foi iouline luiIding nainlenance defeis paynenl of cuiienl cosls lo lhe fuluie. The nev funding viII eIininale lhal piaclice and fund cuiienl needs vilh cuiienl iesouices. DTM viII deveIop a space consoIidalion pIan lhal viII nake lellei use of exisling slale ofhce space, pulling necessaiy inveslnenls inlo lhe ienovalion and upkeep of exisling slale ovned luiIdings, eIininaling lhe need foi sone of lhe exisling Ieased space paid foi ly lhe slale. The pioposed ludgel aIso incIudes funding foi ainoiy nainlenance vilh $2.4 niIIion in ongoing funding, pIus an addilionaI $2.4 niIIion in one-line funding. Maintaining Structural Balance; Reserves for a Rainy Day W hiIe lhis ludgel pIaces nev inveslnenls in oui fuluie, lhe inpoilance of nainlaining structural balance has not been and cannol le Iosl. Iunding foi piogians is ieconnended lased on lhe slales aliIily lo pay, naking suie lhal ievenues nalch expendiluies lo keep lhe slale in laIance foi lhe Iong lein. This ludgel ieconnendalion nakes anolhei deposil in lhe udgel SlaliIizalion Iund. ConnonIy iefeiied lo as lhe Rainy Day Iund, a deposil of $13O niIIion is ieconnended lo conlinue lo luiId lhe necessaiy ieseives in lhe evenl of an eneigency. This deposil, coupIed vilh lhe aclion laken Iasl yeai lo invesl $255 niIIion inlo lhe fund, pIaces lhe slales iainy day ieseives al $385 niIIion - a fai ciy fion jusl lvo shoil yeais ago vhen lhe fund had lolloned oul and lheie veie essenliaIIy no eneigency ieseives. |as| ]anuarq, Micnigan ran|cd a| cr ncar |nc oc||cn cf ncs| ncasurcs cf cccncnic ac|iti|q and a||rac|itcncss. Tcdaq, i|s rccctcrq is |cading |nc na|icn, and |nc pccp|c unc na|c decisions about where to invest are viewing the state in a far more favorable light...Using todays surpluses to further reduce Michigans future obligations is a good investment.
The Detroit News, December 27, 2011 OVERVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation A-13 External Validation W oiking in dog yeais coupIed vilh ieIenlIess posilive aclion have leen popuIai lhenes in aII aieas of lhe Snydei adninislialion, and lhose concepls have ceilainIy leen appIied lo lhe ludgel deveIopnenl piocess. Haid voik and a posilive allilude lovaid sliucluiaI laIance have Ied lhe ludgel piocess, and olheis oulside of Michigan have laken nole. In }uIy 2O11, Fitch Ratings announced that it had revised the State of Michigans Raling OulIook foi aII londs lo Iosilive fion SlalIe. Accoiding lo Iilch, conlinued evidence of a ieluin lo sliucluiaI laIance in lhe ludgel, conlinued piogiess lovaid ie-luiIding ieseive funds, and conlinued enpIoynenl iecoveiy couId liiggei a fuluie upgiade in Michigans ialing. Iilch Ralings aie nol lhe onIy ones vho have noliced lhe posilive sleps in Michigan. Ioonleig has Iong leen a iespecled Ieadei vhen il cones lo deIiveiing lusiness and hnanciaI infoinalion, nevs and insighl aiound lhe voiId. In Novenlei 2O11, Ioonleigs Lcononic LvaIualion of Slales ianked Michigan second in econonic heaIlh oul of aII 5O slales, sending a sliong nessage lhal Michigans econony is headed in lhe iighl diieclion. The Ioonleig anaIysis look inlo accounl inpoilanl econonic faclois such as peisonaI incone, lax ievenue, enpIoynenl, hone piices and olhei key indicalois, pIacing Michigan al lhe uppei echeIon of lhe ianking. The Ioonleig evaIualion piovides evidence lhal Michigan is iipe foi posilive giovlh in oui econony lhal viII nake a posilive diffeience foi Michigandeis. Sliong coipoiale peifoinance, coupIed vilh lhe facl lhal Michigans slale ludgel is nov laIanced foi lhe Iong lein, has pul Michigan in a soIid econonic posilion. Conclusion T his ludgel invesls in oui fuluie and funds lhe key piioiilies lo conlinue Michigans iecoveiy and ils palh lo fuilhei giovlh and success. In slaik conliasl lo Iasl yeais ludgel vheie culs and sliong iefoins veie necessaiy foi Iong-lein sliucluiaI laIance, lhis ludgel is focused on luiIding on lhal foundalion - a ludgel nade possilIe due lo lhe lough lul necessaiy decisions nade in lhe 2O12 ludgel. This lvo-yeai ludgel piesenled ly Coveinoi Snydei conlinues lhe pIan lhal viII Iead lo jol ciealion and a liighlei fuluie foi Michigans iesidenls. Il is a ludgel luiIl vilh neliics and neasuienenls so oui piogiess and iesuIls can le noniloied, found al vvv. nichigan.gov/opennichigan. The Snydei adninislialion slands ieady lo voik in pailneiship vilh lhe nenleis of lhe Michigan House of Repiesenlalives and Senale lo enacl a hscaI yeai 2O13 ludgel lhal viII Iead lo an even sliongei, noie piospeious slale. Tnc Pcsi|itc Ou||cc| rccc|s prudcn| budgeting and efforts to grow reserve levels in the context of an economy beginning to slowly rebound.
Fitch Ratings, July 2011 OVERVIEW A-14 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc
Department Detail
Agriculture and Rural Development B 1 Attorney General B 5 Civil Rights B 7 Community Colleges B 9 Community Health B 11 Corrections B 15 Education B 19 Environmental Quality B 21 Executive Office B 25 Higher Education B 27 Human Services B 31 Judiciary B 35 Legislature B 37 Licensing and Regulatory Affairs B 41 Military and Veterans Affairs B 45 Natural Resources B 49 Revenue Sharing B 51 School Aid B 53 State B 57 State Police B 59 Technology, Management & Budget B 63 Transportation B 65 Treasury B 67 AGRICULTURE AND RURAL DEVELOPMENT Fiscal Years 2013 and 2014 Executive Budget Recommendation B-1 Department of Agriculture and Rural Development T he Department of Agriculture and Rural Development (MDARD) provides services to Michigan citizens as well as the food and agriculture community through a variety of food safety, environmental protection, and animal and plant health programs. The Governors proposed oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $72 ni||icn cf unicn $31.9 ni||icn is gcncra| fund. |n addi|icn, cnc-|inc funding cf $2.5 ni||icn, $2.2 ni||icn gcncra| fund is rcccnncndcd. Tnc jsca| qcar 2014 rcccnncnda|icn inc|udcs $73.4 ni||icn, cf unicn $32.6 ni||icn is gcncra| fund. Highlights of Governors Budget Recommendation
- Funding for core programs of the department is maintained including food safety and consumer protection programs as well as plant and animal health, welfare, and disease response. - The Governor recommends an additional $1 million to reach the goal of 5,000 MAEAP (Michigan AgiicuIluie LnviionnenlaI Assuiance Iiogian) fain veiihcalions ly 2O15. MALAI veiihcalions viII iesuIl in Iong-lein enviionnenlaIIy suslainalIe syslens foi Michigan citizens and increased production for the agriculture industry. (MDARD metric ES-01) - An additional $400,000 is recommended to continue the departments partnership with the Department of Licensing and Regulatory Affairs, Department of Civil Rights, and the U.S. Depailnenl of Laloi lo eslalIish a singIe, cIeai and consislenl sel of iuIes foi lhe opeialion of nigianl Ialoi housing in Michigan. Migianl Ialoi housing inspeclions viII le conducled to identify health risks. Quality housing is necessary to attract a workforce with the skill, speed and stamina needed to support Michigan agriculture which will in turn lead to inpioved access lo affoidalIe, fiesh, heaIlhy food. (MDARD nc|rics |S-04 and |S-05) Food and Dairy 19% Farmland Acquisition 1% Animal Industry 13% Administration 9% Pesticide and Plant Pest Management 15% Rural Development 5% Environmental Stewardship 15% Laboratory Program 19% Horse Racing Awards 4% Funding Protects Public Health and the Environment Total: $72 million AGRICULTURE AND RURAL DEVELOPMENT B-2 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc - The Governor recommends an additional $600,000 for rural development activities. A nelvoik of slale, IocaI, and piivale pailneiships viII le Ieveiaged lo piovide lechnicaI expertise to food processors with water, energy, and infrastructure issues which will lead to an expansion of the food and agriculture industry. In addition, $1 million is recommended in the Department of Transportation to increase investment in rail to spur economic development for agriculture, mining and manufacturing in rural Michigan. (MDARD metrics RD-01, RD-02) - One-line funding of $1.5 million is recommended to allow the department to leverage federal and industry support to provide grants to hve iegionaI food huls acioss lhe slale iesuIling in nev naikel oppoilunilies foi Michigan producers and increased fresh and healthy food for Michigan residents. These resources will also assist in implementing new federal Food Safety Modernization Act requirements through producer training, inspections and testing. The department will assist owners of food pioducing aninaIs vilh lhe piopei use of anliliolics lo pievenl aninaI disease vhiIe nininizing anliliolics enleiing lhe food suppIy and assuie a safe and vhoIesone food suppIy lhiough Ialoialoiy lesling vaIidalion. (MDARD metric RD-03) - The Coveinoi ieconnends $5OO,OOO one-line funding lo ie-eslalIish IocaI access lo piofessionaI foiesleis acioss lhe slale. Iunding viII le used foi gianls lo conseivalion districts to provide private landowners with assistance in managing their forestland in oidei lo inciease lhe nunlei of acies undei a suslainalIe foiesliy nanagenenl pIan. (MDARD nc|rics RD-04, RD-05) In Michigan, railroads are critical to the success of agricu||ura| prcduc|icn, unc|ncr |ncqrc nau|ing inocund fcr|i|izcr cr cu|ocund grain. |rcign| rai| is nc| a |uxurq fcr |nc agricu||urc and agri-ousincss indus|rics - i| is a ncccssi|q.
Special Message from Governor Snyder, Reinventing Michigans Infrastructure, October 26, 2011 AGRICULTURE AND RURAL DEVELOPMENT Fiscal Years 2013 and 2014 Executive Budget Recommendation B-3 FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $29,878.7 $74,683.0 $31,925.2 $72,044.3 $32,607.8 $73,400.8 % Change from Previous Year 6.8% -3.5% 2.1% 1.9% Laboratory Program $1,959.4 $13,902.4 $1,959.4 $13,902.4 Food and Dairy $9,152.4 $13,342.3 $9,152.4 $13,342.3 Pesticide and Plant Pest Management $3,883.4 $11,114.3 $3,883.4 $11,114.3 Environmental Stewardship $3,198.8 $10,805.1 $3,198.8 $10,805.1 Animal Industry $7,743.6 $8,956.7 $7,743.6 $8,956.7 Administration $4,946.9 $6,781.2 $5,629.5 $8,137.7 Rural Development $1,040.7 $3,500.6 $1,040.7 $3,500.6 Horse Racing Awards $0.0 $3,141.7 $0.0 $3,141.7 Farmland Acquisition Program $0.0 $500.0 $0.0 $500.0 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $31,925.2 $72,044.3 $32,607.8 $73,400.8 Healthy Food Program $1,500.0 $1,500.0 Private Forestry Program $500.0 $500.0 $235.3 $470.3 Total One-Time Appropriations $2,235.3 $2,470.3 $0.0 $0.0 Governor's Recommendation Department of Agriculture and Rural Development ($ in Thousands) Programs One-Time Appropriations State Employee Lump Sum Payments AGRICULTURE AND RURAL DEVELOPMENT B-4 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc ATTORNEY GENERAL Fiscal Years 2013 and 2014 Executive Budget Recommendation B-5 Attorney General T he Alloiney CeneiaI seives as lhe Slale of Michigans chief Iav enfoicenenl ofhcei and uphoIds and pieseives lhe slales IegaI inleiesls. The Alloiney CeneiaI piovides IegaI advice and iepiesenlalion lo slale ofhciaIs and agencies and, vhen vaiianled, iniliales IegaI aclion on lehaIf of lhe iesidenls of Michigan. The Alloiney CeneiaI aIso ieceives and invesligales consunei conpIainls and enfoices chiId suppoil oideis. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| year 2013 recommends total funding of $83.9 million, of which $33.3 million is general fund. A one- |inc apprcpria|icn cf $1 ni||icn, $393,300 gcncra| fund, is rcccnncndcd in jsca| qcar 2013 |c fund s|a|c cnp|cqcc |unp sun paqncn|s. An|icipa|cd funding fcr jsca| qcar 2014 is rcccnncndcd a| $85.9 ni||icn, cf which $34 million is general fund. Highlights of Governors Budget Recommendation - The Lxeculive Reconnendalion piovides aInosl $82 niIIion foi Alloiney CeneiaI Opeialions, vhich funds 25O alloineys vho piovide a vide aiiay of IegaI seivices incIuding iepiesenlalion of slale ofhciaIs and agencies, chiId aluse and negIecl, heaIlh caie fiaud, consunei pioleclion, and Iiligalion on lehaIf of lhe slale. - Ovei $2 niIIion is ieconnended foi lhe Iioseculing Alloineys Cooidinaling CounciI, an aulononous agency lhal piovides liaining, aulonalion suppoil, and IegaI ieseaich foi IocaI pioseculois lhioughoul lhe slale. - In oidei lo ieduce lackIogs foi oulslanding vaiianls in high ciine aieas of lhe slale and inciease pioseculions and incaiceialion of offendeis, $9OO,OOO is added lo lhe Alloiney CeneiaI ludgel lo fund addilionaI pioseculoiiaI seivices. This funding is one conponenl of lhe Coveinois pulIic safely inilialive, vhich is inlended lo ieduce ciine in high-iisk uilan aieas. As pail of lhis inilialive, addilionaI funding is aIso ieconnended foi lhe depailnenls of Coiieclions and Slale IoIice. - A nuIli-agency appioach invoIving lhe depailnenls of Slale IoIice, Tieasuiy, and lhe Alloiney CeneiaI viII le inpIenenled lo inpiove enfoicenenl of lolacco lax Iavs and enfoicenenl of lhe nuIli-slale lolacco sellIenenl agieenenl. The Coveinoi ieconnends $5OO,OOO foi lhe depailnenl of Alloiney CeneiaI lo suppoil lhese effoils, vhich viII yieId incieased invesligalions and pioseculions, vilh a sulsequenl giovlh in civiI assessnenls and lolacco lax ievenues. ATTORNEY GENERAL 8-6 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $29,836.3 $78,426.3 $33,297.2 $83,921.3 $34,042.5 $85,943.9 % Change from Previous Year 11.6% 7.0% 2.2% 2.4% Attorney General Operations $31,927.3 $81,887.9 $32,672.6 $83,910.5 Prosecuting Attorneys Coordinating Council $1,369.9 $2,033.4 $1,369.9 $2,033.4 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $33,297.2 $83,921.3 $34,042.5 $85,943.9 One-Time Appropriations $393.3 $1,025.9 Total One-Time Appropriations $393.3 $1,025.9 $0.0 $0.0 Governor's Recommendation Department of Attorney General ($ in Thousands) Programs State Employee Lump Sum Payments CIVIL RIGHTS Fiscal Years 2013 and 2014 Executive Budget Recommendation B-7 Department of Civil Rights T he Department of Civil Rights (MDCR) resolves and investigates discrimination complaints and works to prevent discrimination through educational programs that promote voluntary compliance with civil rights laws. The department administers programs for complaint investigation, outreach and education, mediation, partnerships, crisis intervention, contract compliance, various commissions and federal contracts. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| year 2013 recommends total funding of $14.2 million, of which $11.4 million is general fund. A one- |inc apprcpria|icn cf $128,900, $104,300 gcncra| fund, is rcccnncndcd fcr jsca| qcar 2013 |c fund s|a|c cnp|cqcc |unp sun paqncn|s. |cr jsca| qcar 2014, |nc Gctcrncr rcccnncnds |c|a| funding fcr |nc department of $14.5 million, of which $11.7 is general fund. Highlights of Governors Budget Recommendation - The Coveinoi ieconnends an incieased focus on enfoicenenl effoils and adds $287,8OO ($115,OOO geneiaI fund) foi lhis puipose. These funds viII le used lo ieduce aveiage piocessing line foi disciininalion conpIainls, pioviding lellei seivice lo Michigan residents. (MDCR metric I1) - The Lxeculive Reconnendalion incIudes $1OO,OOO in nev funding foi lhe Asian Iacihc Aneiican Affaiis Connission, as veII as conlinualion funding foi lhe Wonens Commission and the Hispanic/Latino Commission of Michigan. (MDCR metric L4) - The Lxeculive Reconnendalion aIso incIudes $12O,OOO geneiaI fund foi lhe Connission on DisaliIily Conceins lo heIp iepIace a decIine in fedeiaI funding. These funds viII le used lo neel lhe slaluloiy olIigalion lo lesl and ceilify aII sign Ianguage inleipieleis, as lhe depailnenl is iesponsilIe foi lhis aclivily acioss lhe slale. (MDCR metric I5) Operations 87% Commissions 7% Other 6% Increased Enforcement Efforts Address Allegations of Discrimination Total: $14.2 million CIVIL RIGHTS 8-8 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $11,187.1 $14,382.8 $11,416.4 $14,203.7 $11,675.0 $14,524.0 % Change from Previous Year 2.0% -1.2% 2.3% 2.3% Civil Rights Operations $11,416.4 $14,203.7 $11,675.0 $14,524.0 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $11,416.4 $14,203.7 $11,675.0 $14,524.0 One-Time Appropriations State Employee Lump Sum Payments $104.3 $128.9 Total One-Time Appropriations $104.3 $128.9 $0.0 $0.0 Governor's Recommendation Department of Civil Rights ($ in Thousands) Programs COMMUNITY COLLEGES Fiscal Years 2013 and 2014 Executive Budget Recommendation B-9 Community Colleges A key component of Michigans education system, the states 28 community colleges provide over 485,000 residents per year with affordable access to postsecondary education opportunities. The average annual college tuition for a full-time in-district student is approximately $2,600. These institutions are integral to attaining the Governors goal of ensuring that at least 60 percent of Michigan residents have a high-quality degree or credential by 2025. The Gctcrncrs prcpcscd oudgc| fcr jsca| qcars 2013 and 2014 rcccnncnds |c|a| funding cf $294.1 ni||icn, cf unicn $96.5 ni||icn is gcncra| fund. Highlights of Governors Budget Recommendation - A nev peifoinance foinuIa lased on degiee conpIelions is used lo disliilule an additional $8.5 million to community colleges. This 3 percent increase is distributed to community colleges based on their share of the total number of ceilihcale and associale degiee completions in critical skills areas, averaged over the past lhiee hscaI yeais. CiilicaI skiIIs aieas aie cuiienlIy dehned as lhose in scienlihc, lechnoIogicaI, engineering, mathematical, and heaIlh-ieIaled heIds. eginning in hscaI yeai 2O14, lhe connunily colleges funding formula will also recognize successful student transfers to four-year colleges or universities. (Michigan Education Dashboard) - In an effoil lo addiess lhe increasing strain of employee- related pension and health care costs on community colleges budgets, the Governor ieconnends funding of $1.7 million for the increased cost of health care for retirees of the Michigan Public School Employees Retirement System. - Slale uiIding Aulhoiily ienl paynenls of $26.3 niIIion, aII geneiaI fund, suppoil dell service for recently constructed community college building projects. Community College Operations Performance Funding Percent Increase Alpena $4,984.3 $168.4 3.4% Bay de Noc 5,040.2 139.9 2.8% Delta 13,336.2 583.1 4.4% Glen Oaks 2,320.9 72.8 3.1% Gogebic 4,140.5 103.4 2.5% Grand Rapids 16,649.7 333.4 2.0% Henry Ford 20,145.0 430.2 2.1% Jackson 11,219.7 331.6 3.0% Kalamazoo Valley 11,522.7 399.3 3.5% Kellogg 9,047.9 279.2 3.1% Kirtland 2,872.9 155.4 5.4% Lake Michigan 4,937.7 100.2 2.0% Lansing 28,651.9 919.8 3.2% Macomb 30,490.3 693.8 2.3% Mid Michigan 4,266.8 189.8 4.4% Monroe County 4,094.0 118.5 2.9% Montcalm 2,946.8 103.2 3.5% Mott 14,526.4 416.3 2.9% Muskegon 8,256.7 155.2 1.9% North Central MI 2,886.5 76.6 2.7% Northwestern MI 8,430.3 112.1 1.3% Oakland 19,455.9 478.9 2.5% St. Clair County 6,534.1 192.2 2.9% Schoolcraft 11,477.3 559.5 4.9% Southwestern MI 6,143.7 90.4 1.5% Washtenaw 11,827.3 990.9 8.4% Wayne County 15,425.9 277.4 1.8% West Shore 2,248.9 44.9 2.0% State Total: $283,880.5 $8,516.4 3.0% 1/29/12 10:50 AM FY 2013 Community Colleges Funding ($ in thousands) COMMUNITY COLLEGES B-10 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law Recommendation Recommendation State Funds All Funds State Funds All Funds State Funds All Funds $283,880.5 $283,880.5 $294,130.5 $294,130.5 $294,130.5 $294,130.5 % Change from Previous Year 3.6% 3.6% 0.0% 0.0% GF/GP All Funds GF/GP All Funds Community College Operations $88,000.0 $283,880.5 $88,000.0 $283,880.5 Community College Performance Funding $8,516.4 $8,516.4 $8,516.4 $8,516.4 Retiree Health Care Increase Premium $0.0 $1,733.6 $0.0 $1,733.6 Total Recommendation $96,516.4 $294,130.5 $96,516.4 $294,130.5 Governor's Recommendation Community Colleges ($ in Thousands) Programs COMMUNITY HEALTH Fiscal Years 2013 and 2014 Executive Budget Recommendation B-11 Department of Community Health T he Department of Community Health (DCH) is responsible for health policy and management of the states publicly funded health care systems. These programs include Medicaid health coverage for those with limited incomes; mental health services for people who have a mental illness or developmental disability; services for individuals who need substance abuse treatment; and services provided through local public health programs. The department also provides services to promote the independence and preserve the dignity of Michigans elderly through lhe Ofhce of Seivices lo lhe Aging. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $15 oi||icn, cf unicn $2.8 oi||icn is gcncra| fund. |n jsca| qcar 2013 |nc Gctcrncr a|sc recommends one-time funding of $49.7 million, of which $12 million general fund. The recommendation for jsca| qcar 2014 is $15.5 oi||icn, cf unicn $3 oi||icn is gcncra| fund. Highlights of Governors Budget Recommendation - To inpiove denlaI caie and oiaI heaIlh oulcones foi chiIdien, $25 niIIion ($8.4 niIIion geneiaI fund) is invesled lo expand lhe HeaIlhy Kids DenlaI Iiogian, cuiienlIy avaiIalIe in 65 noslIy iuiaI counlies. This expansion coveis 25 peicenl of chiIdien in lhe ienaining counties. Full statewide phase-in will be completed over the next several years. Current low Medicaid dental reimbursement rates discourage provider participation. Healthy Kids DenlaI incieases piovidei ieinluisenenl iales, encouiages piovidei pailicipalion and ensures that children receive good dental care. (DCH metric 1a) - LaiIy diagnosis and liealnenl of aulisn piovides lhe lesl oulcones foi aulislic chiIdien and lheii faniIies. Theiefoie, lhe Coveinoi ieconnends adding $34.1 niIIion ($1O.1 million general fund) to expand Medicaid and MIChild coverage to include the treatment of Aulisn Specliun Disoideis foi chiIdien undei age 6. The liealnenl foi aulisn, AppIied ehavioi AnaIysis, is consideied nosl effeclive foi eaiIy diagnosis and liealnenl. (DCH metric 2a) Medicaid Makes up 90% of DCH Budget Mental Health - Medicaid 20% Mental Health - Non Medicaid 3% Public Health 4% Medicaid 70% Other 2% Administration 1% Total: $13.0 billion Administration 2% State Psych Hospitals and Non-Medicaid Mental Health 6% Public Health Services 2% Children's and Family Services 4% Services to the Aging 1% Medicaid 70% Medicaid - Mental Health Services 15% Medicaid makes up 85% of the DCH budget Total: $15 billion COMMUNITY HEALTH B-12 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc - A nev inveslnenl of $6 niIIion geneiaI fund ($5 niIIion in one-line funds and $1 niIIion in ongoing funds) is made in Health and Wellness Initiatives that were included in the Coveinois Seplenlei 2O11 SpeciaI HeaIlh Message. These funds suppoil piogians lhal pionole heaIlhy lehaviois and veIIness, ieduce infanl noilaIily and ieduce olesily. Achieving posilive heaIlh oulcones inpioves Iives and saves noney foi aII Michigan residents. (Health and Wellness Dashboard) - Michigan conlinues ils Iong-slanding suppoil foi seiving lhe eIdeiIy and disalIed in community settings. While nursing homes provide a valuable and necessary service for lhose vilh high caie needs, hone caie can piovide aIleinalives lhal neel cIienl needs in a less costly community setting. (DCH metrics 4a and 4b) - To reduce the waiting list for the MIChoice Home and Community Based Waiver Iiogian, $11 niIIion ($3.7 niIIion geneiaI fund) is added lo lhe depailnenls ludgel. This increased support allows the elderly to receive needed services while remaining in their own homes or communities. - Transitions from nursing homes to the MIChoice Home and Community Based Waivei aie suppoiled vilh $3.1 niIIion ($1 niIIion geneiaI fund). These liansilions allow the elderly to return home with the provision of community care. - Iunded vilh $1.6 niIIion ($5OO,OOO geneiaI fund) in nuising hone savings, lhe Iiogian of AII-IncIusive Caie foi lhe LIdeiIy (IACL) is expanded lo eiiien Counly. IACL is a capilaled piogian lhal piovides acule caie and Iong-lein caie in a connunily selling. Lxisling piogian siles aie CaIhoun, Kenl, Muskegon and Wayne counties. Medical Services - Michigans heaIlh caie safely nel is piolecled in lhe Coveinois Lxeculive Recommendation. Medicaid eligibility is maintained and provider reimbursement rates aie incieased foi piinaiy caie piovideis. The DCH ludgel ieconnends $8.5 liIIion ($1 liIIion geneiaI fund) foi nedicaI seivices and $2.3 liIIion ($424.1 niIIion geneiaI fund) foi lhe Iong lein caie poilion of lhe Medicaid piogian. This iepiesenls a 4.3 peicenl inciease ovei hscaI yeai 2O12 due lo caseIoad incieases, uliIizalion and inalion, speciaI provider payments and funding for actuarial soundness. Medicaid provides health care seivices foi one oul of eveiy hve Michigan iesidenls. - IedeiaI Iav iequiies slales lo inciease Medicaid piinaiy caie piovidei iales lo 1OO peicenl of Medicaie iales. An appiopiialion of $282 niIIion in fedeiaI funds suppoils this provider rate increase for primary care/family physicians and pediatricians. These rate increases will improve access to primary care and health outcomes for Medicaid recipients. (DCH metric 5a) COMMUNITY HEALTH Fiscal Years 2013 and 2014 Executive Budget Recommendation B-13 26% 41% 28% 5% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% Aged and Disabled Low Income Children and Families Healthy Kids and Pregnant Women 19 & 20 year olds Children and parents make up 69% of the 1.9 million people receiving Medicaid Mental Health Services - MenlaI heaIlh seivices aie funded al ovei $3 liIIion consisling of $2.9 liIIion ($1.2 liIIion geneiaI fund) lo piovide connunily nenlaI heaIlh seivices, and $278.7 niIIion ($64 million general fund) to fund state-operated psychiatric hospitals and centers. Other Budget Initiatives - Depailnenl inilialives lo ieduce Medicaid fiaud, inciease piogian efhciencies and inpiove Medicaid seivice deIiveiy achieve $13.2 niIIion in geneiaI fund savings. (DCH metrics 6a and 6b) COMMUNITY HEALTH B-14 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law*^ Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $2,953,127.4 $14,589,624.5 $2,835,843.2 $15,045,744.8 $2,994,360.7 $15,461,169.2 % Change from Previous Year -4.0% 3.1% 5.6% 2.8% Medical Services $1,306,663.7 $10,532,763.5 $1,432,512.6 $10,862,841.7 Behavioral Health Services $1,178,481.4 $2,897,954.1 $1,198,958.7 $2,958,880.3 Children's and Family Services $133,560.8 $613,904.2 $139,056.2 $627,324.1 State Psychiatric Hospitals and Forensic Mental Health Services $63,956.5 $278,689.5 $63,956.5 $278,689.5 Public Health Services $51,332.0 $265,572.7 $51,332.0 $265,572.7 Medical Services Administration $24,353.1 $215,319.3 $24,353.1 $215,319.3 Central Administration $48,918.9 $149,388.8 $55,614.8 $160,388.9 Office of Services to the Aging $28,576.8 $92,152.7 $28,576.8 $92,152.7 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $2,835,843.2 $15,045,744.8 $2,994,360.7 $15,461,169.2 One-Time Appropriations CHAMPS ICD-10 Diagnostic Coding Project $4,000.0 $40,000.0 Health and Wellness Initiatives $5,000.0 $5,000.0 State Laboratory Equipment and Supplies $200.0 $200.0 Elder Abuse Training and Prevention Initiatives $250.0 $250.0 $2,571.5 $4,285.3 Total One-Time Appropriations $12,021.5 $49,735.3 $0.0 $0.0 Governor's Recommendation Department of Community Health ($ in Thousands) State Employee Lump Sum Payments Programs CORRECTIONS Fiscal Years 2013 and 2014 Executive Budget Recommendation B-15 Department of Corrections T he Department of Corrections (MDOC) contributes to public safety by providing custody and care for incarcerated felons while maintaining oversight and supervision of parolees and felony probationers. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcars 2013 and 2014 rcccnncnds |c|a| funding cf $2.1 oi||icn, cf unicn $2 oi||icn is gcncra| fund. |n addi|icn, fcr jsca| qcar 2013, |nc Gctcrncr proposes total one-time funding of $14.4 million, of which $14 million is general fund. Highlights of the Governors Budget Recommendation - The Lxeculive udgel incIudes $1.6 liIIion lo opeiale a safe and secuie piison syslen lhal currently houses 43,000 prisoners. - The Coveinois ludgel incIudes $357 niIIion in funding foi supeivision of paioIees and felony probationers as well as funding for community programs to provide cost-effective IocaI aIleinalives lo incaiceialion in lhe slales piison syslen. - As pail of a slalevide pulIic safely inilialive lo ieduce ciine, lhe Coveinoi ieconnends an addilionaI $4.5 niIIion geneiaI fund foi lhe Depailnenl of Coiieclions. This investment will provide critical assistance to help fund immediate jail space needs in high crime areas. The funding will be utilized by selected counties to purchase jail space from other counties that have available space. (MDOC metric 4) - The depailnenl is seeking lo ieduce cosls foi lhe piovision of heaIlh caie seivices lo prisoners by competitively bidding both physical and mental health services, including the operation of the Woodland Correctional Facility which specializes in services to prisoners with mental health problems. The competitive bidding process has been initiated and, aIlhough acluaI savings aie nol yel knovn, il is anlicipaled lhal a successfuI piocuienenl piocess viII iesuIl in eslinaled savings of $11.1 niIIion geneiaI fund in hscaI yeai 2O13. These savings have leen assuned in lhe Coveinois ludgel ieconnendalion. - The Lxeculive Reconnendalion incIudes $1O niIIion in geneiaI fund savings lhiough lhe eIininalion of 115 posilions in IaioIe and Iiolalion Seivices. The lolaI nunlei Administration 6% Parole, Probation & Community Services 17% Prison Operations 77% Nearly 80% of Corrections Costs are in Prison Operations Total: $2.1 billion CORRECTIONS B-16 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc 31,200 35,100 38,100 42,400 43,800 45,800 49,500 48,600 51,500 48,700 45,500 44,100 42,900 30,000 35,000 40,000 45,000 50,000 55,000 1990 1992 1994 1997 1998 2000 2002 2004 2006 2008 2009 2010 2011 Prison Population at Lowest Level Since 1997 of probationers and parolees has dropped by 9 percent in the last two years and this reduction allows for the elimination of these positions. - As pail of lhe cosl effeclive housing inilialive legun lhis yeai, lhe depailnenl is undeilaking a nunlei of efhciency neasuies lo ieduce cuslody cosls. The Lxeculive Reconnendalion incIudes savings of $21.4 niIIion geneiaI fund as a iesuIl of slafhng changes, prisoner clothing savings, technology savings, and other administrative cost savings. - The Coveinois ludgel incIudes $19.7 niIIion in slale iesliicled funds lo enhance safely inside lhe slales piisons ly updaling slaff peisonaI pioleclion syslens, faciIily secuiily cameras, and cell phone detection equipment. Investment in this equipment will reduce serious assaults by prisoners on staff or on other prisoners. (MDOC metrics 2 and 3) - The Lxeculive Reconnendalion adds $3.5 niIIion geneiaI fund foi nainlenance and upkeep al cIosed coiieclionaI faciIilies. As piisonei popuIalion has diopped and faciIilies have been closed, the costs to safely maintain these vacant facilities have increased and this funding will be used for the maintenance or demolition of vacant facilities. CORRECTIONS Fiscal Years 2013 and 2014 Executive Budget Recommendation B-17 FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $1,950,939.1 $2,014,499.4 $1,968,182.3 $2,050,142.5 $2,011,206.5 $2,085,246.8 % Change from Previous Year 0.9% 1.8% 2.2% 1.7% Prison Operations $1,525,488.2 $1,580,769.0 $1,525,052.0 $1,571,450.8 Parole, Probation & Community Services $339,011.1 $357,660.0 $339,011.1 $357,660.0 Administration $103,683.0 $111,713.5 $147,143.4 $156,136.0 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $1,968,182.3 $2,050,142.5 $2,011,206.5 $2,085,246.8 One-Time Appropriations Information Technology Adjustments $1,129.5 $1,129.5 State Employee Lump Sum Payments $12,873.8 $13,225.9 Total One-Time Appropriations $14,003.3 $14,355.4 $0.0 $0.0 Governor's Recommendation Department of Corrections ($ in Thousands) Programs CORRECTIONS B-18 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc EDUCATION Fiscal Years 2013 and 2014 Executive Budget Recommendation B-19 Department of Education L eadership for Michigans public education system is vested by the state Constitution in the elected members of the State Board of Education. The primary goal of the Board and the Department of Education (MDE) is to provide schools with the resources they need to better prepare all students to be college and career ready. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 recommends total funding of $330.3 million, of which $67.9 million is general fund. The Governors budget also recommends $624,300 for one-time appropriations, of which $114,100 is general fund. The Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2014 rcccnncnds |c|a| funding cf $331.8 ni||icn, cf unicn $68.2 million is general fund. Highlights of Governors Budget Recommendation - In 2O11, lhe Coveinoi established the Michigan Ofhce of Cieal Slail lo cieale a singIe, unihed ofhce for the states early childhood development programs. The Executive Budget includes funding for lhe Ofhce of Cieal Slail of $2O9.2 niIIion ($41.2 million general fund). (MDE metric C-5) - To suppoil effoils lo increase the proportion of Michigan residents with college degrees or high-quaIily ciedenliaIs, lhe Lxeculive udgel ieconnends $2 niIIion in nev geneiaI fund support for the Michigan College Access Network to place college advisors into urban and rural schools and to help families plan for college. - The Coveinois udgel incIudes $8OO,OOO geneiaI fund laigeled lo lhe expansion of onIine resources in the Michigan eLibrary for entrepreneurs and small business owners. Total funding foi lhe Liliaiy of Michigan incieases ly 7.7 peicenl lo $17 niIIion ($11.4 niIIion general fund). (MDE metric F-5) - The Lxeculive udgel incIudes incieases of $5OO,OOO geneiaI fund lo inpIenenl iecenl slaluloiy piovisions aIIoving foi noie chailei schooIs, $125,OOO geneiaI fund lo suppoil lhe peifoinance lased funding inilialive pioposed in lhe SchooI Aid ludgel, and $76O,OOO general fund to provide assistance to schools needing improvement. (MDE metrics P-3 and C-7) Office of Great Start Early Childhood Programs 63% Michigan Schools for the Deaf and Blind 4% Library Services 5% Leadership and Administration 10% School Support Services 14% Student Assessment 4% Total: $330.3 million Over 60 Percent of the Department Budget Supports Early Childhood Development Programs EDUCATION B-20 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $64,643.9 $326,559.8 $67,929.1 $330,328.6 $68,182.4 $331,819.7 % Change from Previous Year 5.1% 1.2% 0.4% 0.5% Early Childhood Development Programs $41,199.8 $209,175.9 $41,199.8 $209,175.9 School Support Services $4,444.6 $44,538.1 $4,444.6 $44,538.1 Leadership and Administration $8,261.8 $33,068.5 $8,515.1 $34,559.6 Library Services $11,388.5 $16,985.0 $11,388.5 $16,985.0 Student Assessment $2,634.4 $13,735.9 $2,634.4 $13,735.9 Michigan Schools for the Deaf and Blind $0.0 $12,825.2 $0.0 $12,825.2 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $67,929.1 $330,328.6 $68,182.4 $331,819.7 One-Time Appropriations $114.1 $624.3 Total One-Time Appropriations $114.1 $624.3 $0.0 $0.0 Governor's Recommendation Department of Education ($ in Thousands) Programs State Employee Lump Sum Payments ENVIRONMENTAL QUALITY Fiscal Years 2013 and 2014 Executive Budget Recommendation B-21 Department of Environmental Quality
F unding for the Department of Environmental Quality (DEQ) supports programs to restore and enhance Michigans environment and preserve our natural resources. The Governors proposed oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $426 ni||icn, cf unicn $25.2 ni||icn is gcncra| fund. |n addi|icn, cnc-|inc funding cf $5.5 ni||icn, $4.2 ni||icn gcncra| fund is rcccnncndcd. Tnc jsca| qcar 2014 rcccnncnda|icn inc|udcs $428.5 ni||icn, cf unicn $25.7 ni||icn is gcncra| fund. Highlights of Governors Budget Recommendation - The hscaI yeai 2O13 Lxeculive Reconnendalion conlinues lhe Coveinois focus on enfoicing laws that protect public health while effectively administering core programs of the department with an emphasis on restoring the quality of the environment. - Resouices have leen incIuded lo ieecl lhe ieconnendalions of lhe slaluloiiIy ciealed Slale Walei IoIIulion ConlioI RevoIving Iund Advisoiy Connillee. SpecihcaIIy, $725,OOO in slale iesliicled suppoil has leen piovided lo covei slafhng cosls associaled vilh adninisleiing a nev slale gianl piogian and expansion of lhe slale Ioan piogian, inlended lo slinuIale nuch needed inveslnenls in Iaige sevei syslen inpiovenenl piojecls. Slaluloiy changes viII le needed lo iepuipose sone $25O niIIion of lhe ienaining Cieal Lakes Walei QuaIily ond pioceeds. Coiiesponding dell seivice funding has leen added lo lhe Depailnenl of Tieasuiy ludgel lo acconnodale anlicipaled lond issuances of $125 niIIion in hscaI yeais 2O13 and 2O14. (DEQ metrics S2 and S4) - The Coveinoi ieconnends an addilionaI $1O niIIion of iesliicled iehned pelioIeun fund foi enviionnenlaI conlaninalion cIeanup voik al Ieaking undeigiound sloiage lank siles. Iunding is avaiIalIe ly iepIacing $1O niIIion in iehned pelioIeun fund cuiienlIy funding dell seivice paynenls in lhe Depailnenl of Tieasuiy vilh an equaI anounl of geneiaI fund. Wilh lhe addilionaI funding suppoil, lheie viII le an inciease in lhe peicenlage of oiphan siles lhal neel iisk ieduclions goaIs. (DEQ metric S9) Administration 7% Air Quality 6% Resource Management 35% Office of the Great Lakes 7% Environmental Assistance 2% Water Resources 13% Law Enforcement 1% Remediation 29% Environmental Quality Funding Restores and Enhances the Environment Total: $426 million ENVIRONMENTAL QUALITY B-22 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc
- One-line iesliicled funding of $2 niIIion is ieconnended lo enhance lhe NalionaI IoIIulanl Dischaige LIininalion Managenenl Syslen and conline il vilh lhe CoaslaI and InIand Waleis Ieinil Infoinalion Syslen lo foin a nev consoIidaled MiWaleis (Michigan Waleis) syslen. These syslens inpiovenenls viII deciease lhe anounl of line iequiied lo piocess peinil appIicalions, lheiely inpioving oveiaII cuslonei seivice. (D|Q nc|rics 84, S2 and S4) - An addilionaI $2.5 niIIion geneiaI fund is ieconnended foi use as slale nalch lo ollain fedeiaI gianl doIIais foi lhe diinking valei ievoIving fund piogian. The addilionaI funding will provide infrastructure loans to public water suppliers enabling an increased percentage of connunilies lo le in conpIiance vilh heaIlh-lased slandaids conlained in lhe IedeiaI Safe Diinking Walei Acl. An addilionaI $2.5 niIIion in one-line funding foi lhe sane puipose is aIso recommended. (D|Q nc|rics S8 and |3) - The valei vilhdiavaI piogian has opeialed using avaiIalIe fund laIance iesouices vhich viII nol le avaiIalIe in hscaI yeai 2O13. The Coveinoi pioposes lo inciease lhe annuaI valei use iepoiling fee fion $2OO lo $25O in oidei lo piolecl and iesloie lhe aqualic ecosyslen and piovide foi cIean and safe valei iesouices. The cuiienl fee geneiales appioxinaleIy $24O,OOO and lhe nev sliucluie viII geneiale an eslinaled $648,2OO. The fee viII appIy lo anyone naking one oi noie valei vilhdiavaIs of ovei 1OO,OOO gaIIons of valei pei day in a 3O-day peiiod. (DEQ metric S10) - One-line funding of $1.5 niIIion geneiaI fund as veII as $5OO,OOO of ongoing fedeiaI funding is recommended to offset restricted funds which are no longer available for the wetlands program. Slale iesliicled funds vhich have leen suppoiling lhe piogian foi lhe pasl lhiee yeais have leen depIeled pIacing al iisk lhe piocessing of consoIidaled Iand and valei inleiface peinils vilhin slaluloiy deadIines. The WelIands Advisoiy CounciI, eslalIished in 2OO9, is expecled lo nake Iong lein funding ieconnendalions in Augusl of 2O12. (DEQ metric B1)
ENVIRONMENTAL QUALITY Fiscal Years 2013 and 2014 Executive Budget Recommendation B-23 FY12 FY13 FY14 Current Law*^ Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $22,378.3 $422,987.1 $25,244.9 $425,979.0 $25,735.3 $428,460.8 % Change from Previous Year 12.8% 0.7% 1.9% 0.6% Resource Management $3,740.7 $151,674.5 $3,740.7 $151,674.5 Remediation Services $0.0 $122,475.5 $0.0 $122,475.5 Water Resources $11,869.4 $55,944.5 $11,869.4 $53,944.5 Administration $4,313.1 $31,488.1 $4,803.5 $35,969.9 Office of the Great Lakes $375.8 $29,556.6 $375.8 $29,556.6 Air Quality $4,404.8 $25,046.1 $4,404.8 $25,046.1 Office of Environmental Assistance $0.0 $7,082.6 $0.0 $7,082.6 Law Enforcement $541.1 $2,711.1 $541.1 $2,711.1 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $25,244.9 $425,979.0 $25,735.3 $428,460.8 One-Time Appropriations Drinking Water Revolving Fund State Match $2,500.0 $2,500.0 Wetlands Program $1,500.0 $1,500.0 $160.1 $1,549.2 Total One-Time Appropriations $4,160.1 $5,549.2 $0.0 $0.0 Governor's Recommendation Department of Environmental Quality ($ in Thousands) Programs State Employee Lump Sum Payments ENVIRONMENTAL QUALITY B-24 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc EXECUTIVE OFFICE Fiscal Years 2013 and 2014 Executive Budget Recommendation B-25 ([HFXWLYH2IFH T he Lxeculive Ofhce is lhe Ofhce of lhe Coveinoi. The ludgel piovides funding foi lhe Coveinoi and his innediale slaff, vho assisl hin in execuling his conslilulionaI iesponsiliIilies as chief execulive of lhe Slale of Michigan. The Lxeculive Ofhce aIso incIudes funding foi lhe Lieulenanl Coveinois ofhce. The Lieulenanl Coveinoi peifoins guleinaloiiaI funclions in lhe Coveinois alsence, piesides ovei lhe Senale, seives on lhe Slale Adninislialive oaid and iepiesenls lhe Coveinoi al seIecled IocaI, slale and nalionaI neelings. The Lxeculive Ofhce aIso conlains lhe Consliluenl Seivices Division, vhich seives as a iesouice foi lhe cilizens of Michigan lo connunicale lheii conceins and opinions diieclIy lo lhe Coveinoi. The Governors prcpcscd oudgc| fcr jsca| qcars 2013 and 2014 rcccnncnds |c|a| funding cf $4.8 ni||icn. EXECUTIVE OFFICE B-26 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $4,599.2 $4,599.2 $4,829.2 $4,829.2 $4,829.2 $4,829.2 % Change from Previous Year 5.0% 5.0% 0.0% 0.0% Executive Office Operations $4,829.2 $4,829.2 $4,829.2 $4,829.2 ^ Figures do not include one-time funding Total Recommendation $4,829.2 $4,829.2 $4,829.2 $4,829.2 One-Time Appropriations $58.7 $58.7 Total One-Time Appropriations $58.7 $58.7 $0.0 $0.0 Governor's Recommendation Executive Office ($ in Thousands) Programs State Employee Lump Sum Payments HIGHER EDUCATION Fiscal Years 2013 and 2014 Executive Budget Recommendation B-27 Higher Education T he Higher Education budget provides operating support to the states 15 public universities and aIso funds sludenl hnanciaI aid piogians. Slale univeisilies aie essenliaI lo lhe Governors goal of ensuring that at least 60 percent of Michigan citizens possess a high-quality degiee oi ciedenliaI ly 2O25. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcars 2013 and 2014 rcccnncnds total funding of $1.4 billion, of which $1.1 billion is general fund. Highlights of Governors Budget Recommendation - The ludgel invesls an addilionaI $36.2 niIIion in slale univeisilies, aII geneiaI fund. This 3 peicenl funding inciease is disliiluled using a nev peifoinance foinuIa lased on foui neliics: lhe giovlh in lhe nunlei of undeigiaduale degiee conpIelions, lhe nunlei of undeigiaduale conpIelions in ciilicaI skiIIs aieas, lhe nunlei of undeigiaduale IeII Cianl iecipienls, and conpIiance vilh luilion iesliainl. (Michigan Education Dashboard) - Univeisilies lhal lellei consliain luilion and fee incieases viII ieceive giealei funding. Tuition restraint funding will be allocated to qualifying universities once all institutions have sel lheii acadenic yeai 2O12-13 luilion iales. - In an effoil lo addiess lhe incieasing sliain of enpIoyee-ieIaled pension and heaIlh caie cosls on univeisilies ludgels, lhe Coveinoi ieconnends funding of $446,2OO foi lhe incieased cosl of heaIlh caie foi ieliiees in lhe Michigan IulIic SchooI LnpIoyees Reliienenl Syslen. University Operations Funding Performance Funding Percent Increase Central Michigan University $68,108.9 $2,571.8 3.8% Eastern Michigan University 64,619.1 1,499.3 2.3% Ferris State University 41,324.3 2,582.3 6.2% Grand Valley State University 52,677.4 3,996.1 7.6% Lake Superior State University 10,789.5 247.2 2.3% Michigan State University 241,120.8 3,297.8 1.4% Michigan Technological University 40,733.6 802.5 2.0% Northern Michigan University 38,367.4 1,292.3 3.4% Oakland University 43,145.0 1,599.6 3.7% Saginaw Valley State University 23,561.5 1,121.0 4.8% University of Michigan - Ann Arbor 268,803.3 3,892.2 1.4% University of Michigan - Dearborn 21,016.3 571.5 2.7% University of Michigan - Flint 17,762.4 568.5 3.2% Wayne State University 182,036.9 1,682.4 0.9% Western Michigan University 93,168.3 1,438.2 1.5% Unallocated Tuition Restraint Funds 9,054.3 Total: $1,207,234.7 $36,217.0 3.0% 2/5/12 2:59 PM FY 2013 State University Funding ($ in Thousands) HIGHER EDUCATION B-28 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc - Iunding foi aII sludenl gianl and hnanciaI aid piogians is $98.2 niIIion, $1.1 niIIion of vhich is geneiaI fund. - To ensuie lhal Iiniled sludenl hnanciaI aid iesouices iesuIl in successfuI sludenl oulcones, piivale inslilulions lhal ieceive Tuilion Cianl funding viII le iequiied lo conpIy vilh ceilain peifoinance iepoiling and dala sulnission lesl piaclices. - Slale uiIding Aulhoiily ienl paynenls of $124 niIIion, aII geneiaI fund, suppoil dell seivice foi iecenlIy consliucled univeisily luiIding piojecls. An addilionaI $2.3 niIIion geneiaI fund is appiopiialed foi dell seivice foi lhe IaciIily foi Raie Isolope eans al Michigan Slale Univeisily. HIGHER EDUCATION Fiscal Years 2013 and 2014 Executive Budget Recommendation B-29 FY12 FY13 FY14 Current Law^ Recommendation Recommendation State Funds All Funds State Funds All Funds State Funds All Funds $1,263,952.0 $1,362,278.4 $1,302,955.1 $1,399,981.5 $1,305,662.9 $1,402,689.3 % Change from Previous Year 3.1% 2.8% 0.2% 0.2% GF/GP All Funds GF/GP All Funds University Operations $1,007,215.2 $1,207,234.7 $1,007,215.2 $1,207,234.7 Student Financial Aid $1,100.0 $98,226.4 $1,100.0 $98,226.4 Agricultural Experiment and Cooperative Extension Services $52,625.8 $52,625.8 $52,625.8 $52,625.8 University Performance Funding $36,217.0 $36,217.0 $36,217.0 $36,217.0 Statewide Programs $2,891.5 $2,891.5 $2,891.5 $2,891.5 Facility for Rare Isotope Beams Debt Service $2,339.9 $2,339.9 $5,047.7 $5,047.7 Retiree Health Care Increase Premium $0.0 $446.2 $0.0 $446.2 ^ Figures do not include one-time funding Total Recommendation $1,102,389.4 $1,399,981.5 $1,105,097.2 $1,402,689.3 Governor's Recommendation Higher Education ($ in Thousands) Programs HIGHER EDUCATION B-30 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc HUMAN SERVICES Fiscal Years 2013 and 2014 Executive Budget Recommendation B-31 Department of Human Services T he Depailnenl of Hunan Seivices (DHS) heIps faniIies and individuaIs neel hnanciaI, nedicaI, and sociaI seivice needs. Depailnenl of Hunan Seivices piogians piovide hnanciaI and nedicaI assislance lo Michigans Iov-incone popuIalion, nove peopIe lovaid seIf-sufhciency lhiough enpIoynenl and liaining seivices, voik lo pievenl aluse, negIecl, and expIoilalion of chiIdien and vuIneialIe aduIls lhiough diiecl seivices, and ieguIale and Iicense aduIl and chiId caie agencies, faciIilies, and hones. Seivices aie piovided lhiough a nelvoik of counly-lased ofhces. Tnc Gctcrncrs prcpcscd oudgc|s fcr cacn cf jsca| qcars 2013 and 2014 rcccnncnd |c|a| funding of $6.6 billion, of which $1 billion is general fund. In addition, one-time funding of $16.2 million, $7.9 ni||icn gncra| fund, is rcccnncndcd fcr jsca| qcar 2013. Highlights of Governors Budget Recommendation - The Coveinois ludgel invesls ovei $942 niIIion ($359 niIIion geneiaI fund) in Michigans chiId veIfaie syslen. - ChiId veIfaie inpiovenenls conlinue lo le a piioiily foi hscaI yeai 2O13. Duiing lhe Iasl six yeais, Michigan has invesled $283 niIIion ($191 niIIion geneiaI fund) lo enhance chiId veIfaie seivices foi alused and negIecled chiIdien. These funds suppoil slaff foi chiId pioleclive seivices, foslei caie, adoplion and conliacl noniloiing, piivale agency slaff and adninislialive cosls, a needs assessnenl lo aid in seivice piovision, a fedeiaIIy iequiied chiId veIfaie aulonalion syslen and expansion of foslei caie piogian eIigiliIily lo age 21. Togelhei, lhese inpiovenenls lo lhe chiId veIfaie syslen heIp keep chiIdien safe in lheii ovn hones and, vhen necessaiy, suppoil aIleinalive Iiving aiiangenenls incIuding foslei caie and adoplion. (DHS metrics C-2 and C-5) Food Assistance 54% Other Public Assistance 10% Child Welfare Services 15% Administration and Field Operations 15% Child Support Operations 3% Other Services 3% Over Half of the Department Budget Provides Food Assistance to Low-Income Families Total: $6.6 billion HUMAN SERVICES B-32 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc - The ieconnended ludgel adds $2 niIIion in fedeiaI funds foi suppoiled visilalion, a hone-lased paienl educalion piogian lhal suppoils faniIy ieunihcalion. (DHS metric C-2) - The iale paid lo foslei paienls and adoplive paienls is incieased ly $3 pei day. Suppoiled vilh $11.3 niIIion ($6.3 niIIion geneiaI fund) in lhe Coveinois ieconnendalion, lhese funds pay foi lasic Iiving expenses foi foslei and adopled chiIdien, encouiaging and suppoiling peinanenl pIacenenls. These incieased iales can aIso aid in lhe ieciuilnenl of foslei and adoplive paienls. (DHS metric C-5) - A nev MoliIe Woikei Inilialive piovides snail phones and Iaplops foi chiId veIfaie, Iicensing and Inspecloi CeneiaI slaff lo suppoil voiking fion ienole Iocalions and fion hone. These voikeis spend consideialIe line voiking diieclIy vilh cIienls. This inilialive gives slaff lhe looIs lhey need lo conpIele lheii voik anyline - anyvheie - and naxinizes lhe anounl of line lhey have foi diiecl inleiaclion vilh cIienls. Snail phones aIso piovide a safely fealuie using push-lullon disliess caIIs and a CIS Iocaloi. This inilialive is funded using $935,OOO in adninislialive savings. (DHS metric P-1) - The Michigan Youlh Oppoilunily Inilialive conlines slaff and piogians lo focus iesouices on heIping youlh liansilion fion lhe chiId veIfaie syslen lo aduIl enpIoynenl and independence. This nev piogian is funded ly iediiecling $1.9 niIIion ($878,OOO geneiaI fund) in exisling chiId veIfaie appiopiialions. (DHS metric C-7) Other Highlights of the Governors Budget Incone Assislance Iiogians - The IaniIy Independence piogian piovides hnanciaI suppoil foi 61,85O faniIies al a cosl of $318 niIIion ($14O niIIion geneiaI fund). The 48 nonlh Iifeline Iinil on ieceipl of IaniIy Independence Iiogian lenehls, inpIenenled in hscaI yeai 2O12, is inlended lo encouiage enpIoynenl and seIf-sufhciency. The ieduclion of 7,13O cases lelveen hscaI yeais 2O12 and 2O13 is IaigeIy alliilulalIe lo lhis poIicy change. - To heIp nove IaniIy Independence Iiogian iecipienls lo seIf-sufhciency, a nev slialihed case nanagenenl inilialive is funded vilh $1.2 niIIion in fedeiaI funds. Casevoikeis viII conducl in-deplh cIienl needs assessnenls lo idenlify cash assislance faniIies vilh nuIlipIe laiiieis lo enpIoynenl and evenluaI seIf-sufhciency. Inlegialed seivice pIans viII le deveIoped and inpIenenled lhal liing logelhei exisling connunily iesouices lo deIivei seivices. Aulonaled noniloiing and liacking viII piovide dala on piogiess lovaid achieving posilive cIienl oulcones, incIuding incieased enpIoynenl and ieduced dependence on cash assislance. (DHS metric F-6) HUMAN SERVICES Fiscal Years 2013 and 2014 Executive Budget Recommendation B-33 - The Coveinois ludgel invesls $255 niIIion in fedeiaI and slale iesliicled funds lo suppoil healing assislance piogians. IncIuded in lhe Depailnenl of Hunan Seivices ludgel aie $195 niIIion in fedeiaI funds foi lhe hone healing ciedil, eneigy-ieIaled ciisis paynenls and vealheiizalion foi Iov-incone hone ovneis. The nev Hone Healing Assislance foi lhe VuIneialIe Iund in lhe Depailnenl of Licensing and ReguIaloiy Affaiis is suppoiled vilh $6O niIIion in slale iesliicled funds. Iunded lhiough uliIily iales and disliiluled lo IocaI agencies, lhese nev funds viII piovide healing assislance lo Iov-incone faniIies and individuaIs, incIuding Depailnenl of Hunan Seivices cIienls. (LARA metric 31) Child Support - To heIp Michigan chiIdien ollain hnanciaI suppoil fion alsenl paienls, ovei $227 niIIion ($35 niIIion geneiaI fund) is piovided foi lhe chiId suppoil piogian. In hscaI yeai 2O11, $1.3 liIIion in chiId suppoil vas coIIecled foi chiIdien and lheii faniIies. - A nev in-hospilaI paleinily lesling piogian is funded al $1.8 niIIion ($6OO,OOO geneiaI fund). Cenelic lesling al liilh incieases paleinily eslalIishnenls and chiId suppoil coIIeclions, and encouiages eaiIy paienlaI invoIvenenl. IaienlaI invoIvenenl and hnanciaI suppoil inciease lhe polenliaI foi posilive chiId oulcones. (DHS metric F-1) Adult Services - To heIp addiess gioving seivice denands as Michigans popuIalion ages, $2.9 niIIion ($9OO,OOO geneiaI fund) is ieconnended lo suppoil addilionaI AduIl Seivices slaff. AduIl Seivices piogians assisl lhe eIdeiIy and lhe disalIed lo Iive in lhe Ieasl iesliiclive selling, fiee fion aluse and expIoilalion. (DHS metric P-1A) 77,968 78,296 80,360 85,389 72,658 70,536 79,233 79,660 68,980 61,850 50,000 53,000 56,000 59,000 62,000 65,000 68,000 71,000 74,000 77,000 80,000 83,000 86,000 89,000 2004 2005 2006 2007 2008 2009 2010 2011 2012 Proj. 2013 Proj. A v e r a g e
M o n t h l y
C a s e l o a d Family Independence Program Caseloads have Declined Due to Recent Policy Changes Fiscal Year HUMAN SERVICES B-34 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc GF/GP All Funds GF/GP All Funds GF/GP All Funds $1,047,330.5 $6,748,089.8 $1,020,859.6 $6,576,644.9 $1,033,695.3 $6,593,834.1 % Change from Previous Year -2.5% -2.5% 1.3% 0.3% Public Assistance $241,909.4 $4,168,494.5 $242,539.3 $4,153,758.5 Food Assistance $0.0 $3,511,626.3 $0.0 $3,511,626.3 Other Public Assistance $241,909.4 $656,868.20 $242,539.3 $642,132.2 Administration and Field Operations $363,290.6 $1,020,445.7 $375,496.4 $1,052,370.9 Children's Services $378,139.0 $980,529.0 $378,139.0 $980,529.0 Child Support Operations $24,951.9 $185,631.0 $24,951.9 $185,631.0 Disability Determination Services $2,792.6 $94,294.3 $2,792.6 $94,294.3 Community Action and Economic Opportunity $0.0 $56,169.7 $0.0 $56,169.7 Adult and Family Services $4,729.8 $45,025.7 $4,729.8 $45,025.7 $5,046.3 $26,055.0 $5,046.3 $26,055.0 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $1,020,859.6 $6,576,644.9 $1,033,695.3 $6,593,834.1 One-Time Appropriations State Employee Lump Sum Payments $3,936.8 $10,541.9 Child Welfare Enhancements $4,000.0 $5,700.0 Total One-Time Appropriation $7,936.8 $16,241.9 $0.0 $0.0 Programs Licensing (Adult Foster Care, Children's Foster Care and Day Care) Governor's Recommendation Department of Human Services ($ in Thousands) FY12 FY13 FY14 Current Law* Recommendation^ Recommendation JUDICIARY Fiscal Years 2013 and 2014 Executive Budget Recommendation B-35 Judiciary T he Michigan Constitution vests the judicial power of the state exclusively in a court system composed of the Supreme Court, the Court of Appeals, the Circuit Court (which is the trial court of general jurisdiction, including the Family Court division), the Probate Court, and courts of limited jurisdiction such as the Court of Claims, District Court, and municipal courts. The statewide court system is administered by the Supreme Court Justices through the State Court Adninislialive Ofhce. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $265.4 ni||icn, cf unicn $160.4 ni||icn is gcncra| fund. |n addi|icn, fcr jsca| qcar 2013, |nc Gctcrncr prcpcscs |c|a| cnc-|inc funding cf $827,200 cf unicn $636,900 is gcncra| fund. |cr jsca| qcar 2014, |nc Governors proposed budget is $267 million, of which $161.9 million is general fund. Highlights of Governors Budget Recommendation - As pail of his IulIic Safely Inilialive, lhe Coveinoi ieconnends lhe addilion of $1 niIIion general fund for mental health courts. This investment will contribute to the maintenance of eight existing mental health courts, while allowing for further expansion of this successful specialty court program. Mental health courts serve as a valuable community alternative to more costly incarceration. - The Lxeculive Reconnendalion incIudes addilionaI funding of $225,OOO foi slaff alloineys foi lhe Slale AppeIIale Defendei Ofhce (SADO). These addilionaI alloineys viII heIp ensuie lhal SADO can successfuIIy nanage 25 peicenl of indigenl appeIIale defense cases, which is consistent with the statutory goal. - The Coveinoi ieconnends lhe inveslnenl of $16O,OOO geneiaI fund foi addilionaI slaff lo provide technical assistance to local courts undergoing consolidation as part of the right- sizing effoil of lhe }udiciaiy. The 2O11 }udiciaI Resouices Reconnendalions incIude lhe giaduaI eIininalion of 41 judgeships lhioughoul lhe slale and, if inpIenenled, viII save ovei $7 niIIion. The Coveinois ludgel incIudes savings of $42,1OO ieIaled lo eIininalion of judgeships incIuded in I. A. 3OO of 2O11. Judicial Operations 64% Justices' and Judges' Compensation 36% Two-Thirds of Budget Supports Judicial Operations Total: $265.4 million JUDICIARY B-36 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $154,740.3 $259,787.2 $160,379.5 $265,397.8 $161,857.1 $267,005.7 % Change from Previous Year 3.6% 2.2% 0.9% 0.6% Judicial Operations $73,092.0 $171,020.1 $74,569.6 $172,628.0 Justices' and Judges' Compensation $87,287.5 $94,377.7 $87,287.5 $94,377.7 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $160,379.5 $265,397.8 $161,857.1 $267,005.7 One-Time Appropriations State Employee Lump Sum Payments $636.9 $827.2 Total One-Time Appropriations $636.9 $827.2 $0.0 $0.0 Governor's Recommendation Judiciary ($ in Thousands) Programs LEGISLATURE Fiscal Years 2013 and 2014 Executive Budget Recommendation B-37 Legislature T he Michigan Constitution vests the states lawmaking power in a two-house Legislature consisting of a 38-member Senate and a 110-member House of Representatives. The Legislature is an independent branch of state government with the authority to enact laws that regulate and protect the actions and interests of the government and the people. The Governors prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $127.9 ni||icn, cf unicn $120.8 ni||icn is gcncra| fund. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2014 rcccnncnds |c|a| funding cf $128.4 ni||icn, cf unicn $121.2 ni||icn is gcncra| fund. Highlights of Governors Budget Recommendation - The Lxeculive Reconnendalion piovides $1O9.5 niIIion foi lhe LegisIaluie, incIuding lhe Senale, lhe House of Repiesenlalives, and suppoiling enlilies. - Moie lhan $18.4 niIIion is ieconnended foi lhe LegisIalive Audiloi CeneiaI and his slaff, vho assisl hin in execuling his conslilulionaI iesponsiliIilies lo conducl hnanciaI and performance audits of state government operations. - The Audiloi CeneiaI has ieconnended lhal lhe slale change ils audil scheduIe foi fedeiaI programs from biennial department audits to a statewide single audit. This approach is consislenl vilh lhe appioach laken in 47 olhei slales. Wilh lhis change, lhe Ofhce of lhe Audiloi CeneiaI viII le alIe lo iediiecl a signihcanl anounl of iesouices lo highei inpacl audits that will greatly increase State agency accountability and legislative audit oversight in aieas of inleiesl lo lhe Slale. The Coveinoi agiees vilh lhis ieconnendalion and has adjusled lhe Ofhce of lhe Audiloi CeneiaI ludgel in oidei lo inpIenenl lhe pioposaI. - The LegisIalive Coiieclions Onludsnan viII ieceive a diiecl appiopiialion inciease of $25O,OOO geneiaI fund, iepIacing an equaI inleidepailnenlaI gianl fion lhe Depailnenl of Corrections. House of Representatives 44% Senate 27% Legislative Council 12% Legislative Retirement System 3% Legislative Auditor General 14% Legislative Budget Supports Elected Officials and Their Staff Total: $127.9 million LEGISLATURE 8-38 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law* Recommendation Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $102,884.8 $104,644.6 $108,012.7 $109,522.5 $108,012.7 $109,522.5 % Change from Previous Year 5.0% 4.7% 0.0% 0.0% Legislature $108,012.7 $109,522.5 $108,012.7 $109,522.5 * Assumes passage of OPEB supplemental Total Recommendation $108,012.7 $109,522.5 $108,012.7 $109,522.5 Governor's Recommendation Legislature ($ in Thousands) Programs LEGISLATURE Fiscal Years 2013 and 2014 Executive Budget Recommendation 8-39 FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $11,624.1 $16,966.4 $12,820.1 $18,416.8 $13,157.1 $18,917.9 % Change from Previous Year 10.3% 8.5% 2.6% 2.7% Auditor General Operations $12,820.1 $18,416.8 $13,157.1 $18,917.9 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $12,820.1 $18,416.8 $13,157.1 $18,917.9 One-Time Appropriations $184.8 $270.9 Total One-Time Appropriations $184.8 $270.9 $0.0 $0.0 Governor's Recommendation Legislative Auditor General ($ in Thousands) Programs State Employee Lump Sum Payments LEGISLATURE B-40 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc LICENSING AND REGULATORY AFFAIRS Fiscal Years 2013 and 2014 Executive Budget Recommendation B-41 Department of Licensing and Regulatory Affairs T he Department of Licensing and Regulatory Affairs (LARA) serves as the states primary business regulatory and employment services agency. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| year 2013 recommends total funding of $827.5 million ($35.4 million general fund), as well as one-time funding cf $5 ni||icn ($177,500 gcncra| fund). Tnc prcpcscd jsca| qcar 2014 oudgc| inc|udcs $840 ni||icn, of which $35.9 million is general fund.
Highlights of Governors Budget Recommendation - The Coveinoi ieconnends a nev Hone Healing Assislance foi lhe VuIneialIe piogian as a permanent source of funding for heating assistance for the poor. Through $60 million in ievenue geneialed fion gas and eIecliic uliIily iales, lhis piogian viII heIp achieve lhe Coveinois oljeclive of ensuiing lhal Michigans nosl vuIneialIe househoIds have heal duiing lhe coId vealhei nonlhs. (LARA metric 31)
- The Lxeculive udgel incIudes $1.5 niIIion in addilionaI geneiaI fund suppoil foi Michigans Cenleis foi Independenl Living in oidei lo inciease lhe nunlei of peisons vilh disaliIilies vho achieve seIf-sufhciency and enpIoynenl. (LARA metric 32) - The Coveinois ludgel conlinues lhe effoils legun in lhe pievious hscaI yeai lo ieinvenl Michigans lusiness ieguIaloiy enviionnenl vilh $415,8OO in iesliicled fund suppoil foi lhe Ofhce of ReguIaloiy Reinvenlion (ORR). ORR is acliveIy voiking lo slieanIine lhe slales iuIes and ieguIalions in oidei lo foslei lusiness giovlh and jol ciealion. (LARA metric 3) Employment Services, 42% Licensing, Regulation, and Safety, 42% Administration and Information Technology, 11% Michigan Administrative Hearing System, 5% LARA Supports Employment and Business Regulatory Services Total: $827.5 million LICENSING AND REGULATORY AFFAIRS B-42 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc Unemployment Insurance System - In Decenlei 2O11, lhe Michigan Iinance Aulhoiily issued $3.3 liIIion in londs to stabilize the states unemployment insurance program and repay federal loans loiioved lo salisfy unenpIoynenl insuiance lenehls duiing lhe econonic dovnluin. This aclion iesloies Iong-lein soIvency lo lhe slales unenpIoynenl insuiance syslen and saves enpIoyeis an eslinaled $264 niIIion ly avoiding incieased fedeiaI unenpIoynenl insuiance lax olIigalions. LICENSING AND REGULATORY AFFAIRS Fiscal Years 2013 and 2014 Executive Budget Recommendation B-43 FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $42,024.1 $857,934.0 $35,393.4 $827,476.8 $35,949.4 $840,005.8 % Change from Previous Year -15.8% -3.6% 1.6% 1.5% Employment Services $25,086.7 $349,060.6 $25,086.7 $349,060.6 Licensing, Regulation, and Safety $7,184.6 $347,066.7 $7,184.6 $347,066.7 $2,109.4 $92,096.2 $2,665.4 $104,625.2 Michigan Administrative Hearing System $1,012.7 $39,253.3 $1,012.7 $39,253.3 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $35,393.4 $827,476.8 $35,949.4 $840,005.8 One-Time Appropriations State Employee Lump Sum Payments $177.5 $5,036.8 Total One-Time Appropriations $177.5 $5,036.8 $0.0 $0.0 Governor's Recommendation Department of Licensing and Regulatory Affairs ($ in Thousands) Programs Administration and Information Technology LICENSING AND REGULATORY AFFAIRS B-44 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc MILITARY AND VETERANS AFFAIRS Fiscal Years 2013 and 2014 Executive Budget Recommendation B-45 Department of Military and Veterans Affairs T he Department of Military and Veterans Affairs (DMVA) primary mission is military and emergency preparedness, as well as service to veterans. The department is a key partner with the federal government in defending sovereign interests of the United States globally and protects the lives and property of Michigan residents during times of natural disaster and civil unrest. There are approximately 11,700 members of the Michigan National Guard: 1,302 currently mobilized (1,244 Army and 58 Air) with an additional 926 scheduled to be deployed through March 2013. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $164.7 ni||icn, cf unicn $32.2 ni||icn is gcncra| fund. Onc-|inc funding cf $3.1 ni||icn, cf unicn $2.6 ni||icn is gcncra| fund, is a|sc rcccnncndcd. |cr jsca| qcar 2014, |nc Gctcrncrs prcpcscd oudgc| rcccnncnds |c|a| funding cf $155.1 ni||icn, $32.7 ni||icn cf unicn is gcncra| fund. Highlights of Governors Budget Recommendation - The ludgel incIudes $55.7 niIIion in funding foi niIilaiy piepaiedness, iepiesenling lhe Michigan National Guards traditional mission of state and national defense and homeland security. - Iunding lo addiess lhe lackIog of speciaI nainlenance needs al lhe depailnenls 43 ainoiies has leen incieased ly $4.8 niIIion, $2.4 niIIion of vhich is one-line funding foi hscaI yeai 2O13. This incieased funding viII enalIe lhe depailnenl lo updale ils ainoiies foi lellei liaining foi NalionaI Cuaid nenleis. Nev capilaI oulIay funding of $12 niIIion is ieconnended lo iepIace lhe anliqualed 87 yeai-oId IIinl Ainoiy, and $15 niIIion is available for special maintenance projects at federal military facilities in Michigan. (DMVA metric 2) - Veleians, lheii faniIies, and Michigan connunilies, lhiough lhe depailnenls oulieach piogians, aie seived vilh $16.2 niIIion in funding. As pail of lhal funding, Veleians Seivice Oiganizalions viII ieceive $2.9 niIIion in slale-funded gianls lo counseI veleians and assisl lhen in ieceiving lenehls and seivices foi vhich lhey aie eIigilIe. Military Preparedness 34% Veterans Services and Community Outreach 10% Veterans Homes 40% Maintenance at Military Facilities and Armory Replacement 16% 50% of Funding Supports Veterans' Services Total: $164.7 MILITARY AND VETERANS AFFAIRS 8-46 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc - The hscaI yeai 2O13 Lxeculive Reconnendalion piovides $65.6 niIIion in funding suppoil foi lhe Ciand Rapids and D. }. }acolelli Veleians Hones, vhich piovide diiecl nursing care for 731 resident veterans. - The Coveinoi ieconnends lhal lhe MiIilaiy Reliienenl piogian ($3.9 niIIion) le transferred to the Department of Technology, Management and Budget (DTMB). The Ofhce of Reliienenl Seivices vilhin DTM has lhe expeilise lo efhcienlIy opeiale lhis retirement program. MILITARY AND VETERANS AFFAIRS Fiscal Years 2013 and 2014 Executive Budget Recommendation 8-47 FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $33,983.7 $156,544.9 $32,177.5 $164,731.3 $32,713.1 $155,127.9 % Change from Previous Year -5.3% 5.2% 1.7% -5.8% Veterans Homes $15,321.4 $65,552.2 $15,321.4 $65,552.2 Military Preparedness $13,296.9 $55,739.1 $13,832.5 $58,135.7 Maintenance at Military Facilities and Armory Replacement $0.0 $27,250.0 $0.0 $15,250.0 Veterans Services and Community Outreach $3,559.2 $16,190.0 $3,559.2 $16,190.0 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $32,177.5 $164,731.3 $32,713.1 $155,127.9 One-Time Appropriations Armory Special Maintenance $2,400.0 $2,400.0 $155.9 $707.9 Total One-Time Appropriations $2,555.9 $3,107.9 $0.0 $0.0 Governor's Recommendation Department of Military and Veterans Affairs ($ in Thousands) Programs State Employee Lump Sum Payments MILITARY AND VETERANS AFFAIRS B-48 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc NATURAL RESOURCES Fiscal Years 2013 and 2014 Executive Budget Recommendation B-49 Department of Natural Resources
F unding for the Department of Natural Resources (DNR) supports programs for wildlife and hsheiies nanagenenl, slale paiks and ieciealion aieas, conseivalion and Iav enfoicenenl, and forest management. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding of $337.9 million, of which $19.5 million is general fund. In addition, one-time funding of $3.9 million, $2.1 ni||icn gcncra| fund is rcccnncndcd. Tnc jsca| qcar 2014 rcccnncnda|icn inc|udcs $340 ni||icn, cf which $19.8 million is general fund. Highlights of Governors Budget Recommendation - The hscaI yeai 2O13 Lxeculive Reconnendalion conlinues lhe Coveinois focus on lhe conseivalion, pioleclion, nanagenenl, accessilIe use and enjoynenl of lhe Slales natural resources. - The Coveinoi ieconnends a nev conpelilive gianl piogian lo assisl pulIic and piivale enlilies vilh dan ienovaI and nainlenance. One-line funding of $2 niIIion aIong vilh $5OO,OOO of ongoing funding is ieconnended lo pievenl lhe nosl al-iisk dans fion failing. (DNR metric A13) - The Coveinois recommendation includes $5 million to implement a sunnei youlh enpIoynenl inilialive foi al-iisk youlh with an emphasis in Ionliac, IIinl, Saginav and Delioil. This piogian viII piovide vaIualIe voik foi lhe slale vhiIe giving al-iisk youlh an eniiching expeiience vheie lhey aie exposed lo nev aclivilies and caieeis. Aclivilies viII foslei a Iove of science and lhe ouldoois, vhiIe olheis viII focus on ieciealion and voiking vilh youngei chiIdien lo insliII a sense of faii pIay and iesponsiliIily. The depailnenl viII expIoie pailneiships and iepIicale nodeI piogians lo ensuie lhe doIIais aie spenl in effeclive vays. (DNR metric A8) - An inciease lo lhe Off-Road VehicIe (ORV) Iicense fee is ieconnended lo enhance lhe ORV liaiIs piogian ly expanding liaiI iiding oppoilunilies, upgiading liaiI signage and inpioving safely educalion, Iav enfoicenenl, and enviionnenlaI iesloialion. The cuiienl fee of $16.25, Iasl incieased in 1996, is ieconnended lo inciease lo $35.OO in hscaI yeai 2O13. - The Coveinois ieconnendalion incIudes a lolaI of $6.3 niIIion foi valeivays loaling piojecls, incIuding $2.3 niIIion foi conlinued inpiovenenls lo lhe Ioil Auslin Slale Hailoi, and slale nalch foi IocaI naiina inpiovenenls al Iiesque IsIe and Munising.
Parks and Recreation 22% Communication and Customer Service 6% Infrastructure Improvements 5% Wildlife, Fisheries and Enforcement 27% Mackinac Island State Park Commission 1% Forest Management 15% Great Lakes Restoration 2% Grants to Local Governments 10% Administration 11% Summer Youth Initiative 1% DNR Funds a Variety of Recreational and Conservation Activities Total: $337.9 million NATURAL RESOURCES B-50 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law*^ Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $14,326.7 $340,141.1 $19,541.7 $337,869.5 $19,844.2 $339,958.5 % Change from Previous Year 36.4% -0.7% 1.5% 0.6% Wildlife, Fisheries and Enforcement $2,920.6 $90,265.1 $2,920.6 $90,265.1 Parks and Recreation $0.0 $75,474.7 $0.0 $75,474.7 Forest Management $3,772.0 $49,926.6 $3,772.0 $49,926.6 Administration $3,797.2 $38,216.7 $4,099.7 $43,727.9 Grants to Local Governments $350.0 $34,414.2 $350.0 $34,414.2 Communication and Customer Service $3,701.9 $18,723.8 $3,701.9 $18,723.8 Infrastructure Improvements $0.0 $18,376.5 $0.0 $14,954.3 Great Lakes Restoration $0.0 $5,500.0 $0.0 $5,500.0 Summer Youth Initiative $5,000.0 $5,000.0 $5,000.0 $5,000.0 Mackinac Island State Park Commission $0.0 $1,971.9 $0.0 $1,971.9 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $19,541.7 $337,869.5 $19,844.2 $339,958.5 Dam management grant program $2,000.0 $2,000.0 $96.2 $1,892.6 Total One-Time Appropriations $2,096.2 $3,892.6 $0.0 $0.0 Governor's Recommendation Department of Natural Resources ($ in Thousands) Programs State Employee Lump Sum Payments One-Time Appropriations REVENUE SHARING Fiscal Years 2013 and 2014 Executive Budget Recommendation B-51 Revenue Sharing M ichigans revenue sharing program distributes sales tax revenue collected by the State of Michigan to local units of government, allowing communities to determine how best to fund local services. There are two ways that local units share in a portion of state sales tax revenue: a constitutionally-dedicated portion is distributed to cities, villages, and townships; an additional portion of sales tax revenue is earmarked in state law to provide incentive-based payments that are subject to annual appropriation. |unding fcr jsca| qcar 2013 is rcccnncndcd a| $1.1 oi||icn, unicn inc|udcs $711.1 ni||icn fcr ccns|i|u|icna||q-rcquircd rctcnuc snaring paqncn|s, $210 ni||icn fcr |nc |ccncnic Vi|a|i|q |nccn|itc Prcgran, $25 ni||icn fcr assis|ancc gran|s, and $125.6 ni||icn fcr a ncu inccn|itc-oascd prcgran fcr ccun|ics. An|icipa|cd funding fcr jsca| qcar 2014 is rcccnncndcd a| $1.1 oi||icn, unicn inc|udcs $730.6 ni||icn fcr ccns|i|u|icna||q-rcquircd rctcnuc snaring paqncn|s. Highlights of Governors Budget Recommendation - ConslilulionaI ievenue shaiing paynenls foi cilies, viIIages, and lovnships aie incieased by $13.6 million (2 percent), to $711.1 million, based on estimated sales tax collections. - The Lcononic VilaIily Incenlive Iiogian is funded in hscaI yeai 2O13 vilh $21O niIIion in saIes lax ievenue. Cilies, viIIages, and lovnships ieceive hnanciaI incenlives if lhey neel specihc slandaids and adopl lesl piaclices. Ciileiia incIude accounlaliIily and transparency requirements, consolidation of services, and employee compensation reforms. Constitutional Revenue Sharing 66% Competitive Assistance Grants 2% County Incentive Program 12% Economic Vitality Incentive Program 20% 66% of Revenue Sharing Payments are Constitutionally-Dedicated Total: $1.1 billion REVENUE SHARING B-52 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc - eginning in hscaI yeai 2O13, a nev incenlive-lased piogian foi counlies is ieconnended to replace statutory revenue sharing, funded with $125.6 million in sales tax revenue. Sixty-one (61) counties are estimated to exhaust their revenue sharing reserve funds piioi lo, oi duiing, hscaI yeai 2O13. These counlies viII quaIify foi hnanciaI incenlive paynenls piovided lhey neel specihc slandaids and adopl lesl piaclices, consislenl vilh iequiienenls undei lhe Lcononic VilaIily Incenlive Iiogian foi cilies, viIIages, and townships. - A conpelilive gianl assislance piogian is funded in hscaI yeai 2O13 vilh $25 niIIion in sales tax revenue, utilizing $5 million in ongoing funding plus a one-time augmentation of $2O niIIion. Cilies, viIIages, lovnships, oi counlies lhal eIecl lo conline goveinnenl opeialions nay appIy foi ieinluisenenl of cosls foi appioved piojecls. IiscaI yeai 2O13 funding iepiesenls a foui-foId inciease fion hscaI yeai 2O12 funding of $5 niIIion. The pioposed one-line inciease addiesses signihcanl inleiesl expiessed ly IocaI unils seeking help with transition costs associated with mergers, inter-local agreements, and other cooperative efforts. SCHOOL AID Fiscal Years 2013 and 2014 Executive Budget Recommendation B-53 School Aid T he School Aid budget provides operational funding for the states public schools, which are charged with ensuring all students are college or career ready when they graduate from the K-12 system. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| cngcing funding cf $12.5 oi||icn, cf unicn $200 ni||icn is gcncra| fund. Tnc cs|ina|cd jsca| qcar 2014 oudgc| |c|a|s $12.6 oi||icn, inc|uding $18.6 ni||icn in gcncra| fund. Highlights of the Governors Budget Recommendation - To piolecl ciilicaI educalion piogians, lhe Lxeculive Reconnendalion foi hscaI yeai 2O13 augnenls lhe $1O.8 liIIion in avaiIalIe SchooI Aid Iund ievenues vilh an addilionaI $2OO niIIion in geneiaI fund suppoil foi schooIs. Iunding foi pei-pupiI foundalion aIIovances is nainlained al hscaI yeai 2O12 IeveIs, foi a lolaI of $8.7 liIIion. - In an effoil lo addiess lhe incieasing sliain of enpIoyee-ieIaled pension and heaIlh caie costs on school districts budgets, the Governors budget provides $155 million in ongoing funding to help defray pension costs and adds $24 million for anticipated increases in retiree health care costs. - The Coveinois ludgel invesls $19O niIIion foi incenlive paynenls lo disliicls lhal neel student performance standards or best practices criteria. Under the performance funding piovision, disliicls nay quaIify foi up lo $1OO pei pupiI foi denonslialing giovlh in sludenl scoies in nalh and ieading foi giades 3 lo 8 and on aII hve lesled suljecl aieas foi high schooI sludenls. AddilionaI paynenls of appioxinaleIy $75 pei pupiI viII le avaided lo disliicls lhal neel hve of six lesl piaclices ciileiia: pailicipaling in schooIs of choice programs, monitoring individual student growth, offering opportunities for postsecondary 72% 11% 14% 2% 1% Over 70% of Ongoing Funding for School Aid Supports Local School Operations Local School Operations Total: $12.5 billion Special Education Early Childhood Programs Support Services and School Meal Programs Debt Service and Other Required Payments SCHOOL AID B-54 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc coursework, offering online learning, publishing a citizens dashboard and serving as the poIicy-hoIdei foi heaIlh caie lenehls. (Michigan Education Dashboard) - The Lxeculive Reconnendalion aIso incIudes $1O niIIion in one-line funds foi competitive innovation grants to help defray transition costs associated with consolidation or shared services efforts. Both local and intermediate school districts will be eligible to compete for these funds. - WhiIe inleinediale schooI disliicls (ISDs) opeialions funding is nainlained al $62.1 million, the Governor continues his focus on best practices by setting aside 5 percent of lhal anounl lo le aIIocaled lo ISDs lhal neel foui of hve lesl piaclices: deveIoping seivice consoIidalion pIans, voiking in consoiliun vilh olhei ISDs lo deveIop delaiIed dala syslen specihcalions foi use ly disliicls, deveIoping cIassioon digilaI lechnoIogy plans; obtaining competitive bids for noninstructional services; and creating a citizens dashboard. - Lducalion doIIais have liadilionaIIy leen disliiluled lased on lhe line sludenls spend in a classroom. As the use of technology has transformed the education delivery model in recent years, the role of the Michigan Virtual University is redesigned to serve as the slalevide Ieadei in onIine Ieaining. In hscaI yeai 2O13, lhe Michigan ViiluaI Univeisily will conduct a pilot program for online learning where funding is based on student performance rather than instructional seat time. - In iesponse lo iecenlIy enacled leachei evaIualion iequiienenls, addilionaI funding of $1.8 niIIion is incIuded in lhe Coveinois ludgel lo suppoil piofessionaI deveIopnenl foi school principals related to methods of conducting fair and consistent teacher evaluations. - The hscaI yeai 2O13 SchooI Aid ludgel nainlains cuiienl yeai funding of ovei $115 niIIion foi eaiIy chiIdhood piogians. An addilionaI $2O9.2 niIIion ($41.2 niIIion geneiaI fund) is incIuded in lhe Depailnenl of Lducalion ludgel foi eaiIy Ieaining and chiId caie programs. - The hscaI yeai 2O13 ludgel incIudes ovei $1.4 liIIion in funding foi piogians lhal assisl ovei 67,OOO speciaI educalion sludenls in lhe slale. - The Coveinoi aIso nainlains spending of $1.2 liIIion foi coie sludenl suppIenenlaI piogians such as seivices foi acadenicaIIy al-iisk pupiIs ($3O9 niIIion), aduIl educalion ($22 niIIion), vocalionaI educalion ($35.6 niIIion) and added cosls foi educaling couil vaids ($8 niIIion). SCHOOL AID Fiscal Years 2013 and 2014 Executive Budget Recommendation B-55 FY12 FY13 FY14 Current Law^ Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $18,642.4 $12,198,795.0 $18,642.4 $12,505,657.2 $18,642.4 $12,603,634.8 % Change from Previous Year 0.0% 2.5% 0.0% 0.8% Basic Operations Support $3,432.2 $8,995,775.4 $3,432.2 $9,041,133.0 Special Education $0.0 $1,429,269.1 $0.0 $1,461,869.1 Supplemental and Support Services $5,691.8 $1,228,626.8 $5,691.8 $1,227,376.8 School Meal Programs $0.0 $434,626.1 $0.0 $434,626.1 Debt Service and Other Required Payments $0.0 $197,528.0 $0.0 $218,798.0 Early Childhood Programs $300.0 $115,475.0 $300.0 $115,475.0 Student Assessment and Accountability $9,218.4 $82,356.8 $9,218.4 $82,356.8 Adult Education $0.0 $22,000.0 $0.0 $22,000.0 ^ Figures do not include one-time funding Total Recommendation $18,642.4 $12,505,657.2 $18,642.4 $12,603,634.8 One-Time Appropriations Best Practices & Performance Funding $140,000.0 $140,000.0 Best Practices Innovation Grants $10,000.0 $10,000.0 $31,357.6 $31,357.6 Total One-Time Appropriations $181,357.6 $181,357.6 $0.0 $0.0 Governor's Recommendation School Aid ($ in Thousands) Programs General Fund Support for Operations SCHOOL AID 8-56 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc STATE Fiscal Years 2013 and 2014 Executive Budget Recommendation B-57 Department of State T he Department of State administers Michigans motor vehicle programs including titling, registering vehicles, licensing drivers, and monitoring driver performance. The Secretary of State also supervises statewide elections and administers the state election law. The Governors prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $219.1 ni||icn, cf unicn $13.6 ni||icn is gcncra| fund. |n addi|icn, fcr jsca| qcar 2013, |nc Gctcrncr prcpcscs |c|a| cnc-|inc funding cf $1.7 ni||icn, cf unicn $434,900 is gcncra| fund. |cr jsca| qcar 2014, |nc Gctcrncr rcccnncnds |c|a| funding fcr |nc dcpar|ncn| cf $223.1 ni||icn, cf unicn $13.8 is gcncra| fund. The Department of State collects over $2.1 billion in revenues. This includes $890 million in highway funds, $850 million in sales and use taxes, and $140 million in record look-up fees. The Department of State has contact with the majority of Michigan residents through registered vehicIes, diivei Iicenses oi peisonaI idenlihcalion caids, iegisleied valeiciafl and snovnoliIes and supervision of elections.
Highlights of Governors Budget Recommendation - The Coveinoi ieconnends a one-line appiopiialion of $15O,OOO in hscaI yeai 2O13 lo enhance marketing efforts to encourage residents to save time by conducting their Secretary of State business online. - The Lxeculive Reconnendalion incIudes $1 niIIion of iesliicled funds lo adninislei lhe Federal Motor Carrier Safety Administrations requirement that commercial drivers provide medical proof that they are healthy enough to drive. Funding is available by increasing lhe conneiciaI diivei Iicense fee fion $25 lo $35 and using lhe funds lo inpIenenl and administer this new federal mandate. Direct Customer Service 59% Administration 28% Regulation of Motor Vehicle Service Providers 10% Elections Oversight 3% The Department of State's Top Priority is Customer Service Total: $219.1 Million STATE 8-58 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law* Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $11,750.6 $219,758.1 $13,606.4 $219,128.1 $13,841.2 $223,132.4 % Change from Previous Year 15.8% -0.3% 1.7% 1.8% Customer Services $2,087.2 $131,032.9 $2,087.2 $131,032.9 Operational Support $5,707.6 $59,805.5 $5,942.4 $63,809.8 Regulatory Services $11.8 $21,709.9 $11.8 $21,709.9 Election Regulation $5,799.8 $6,579.8 $5,799.8 $6,579.8 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $13,606.4 $219,128.1 $13,841.2 $223,132.4 One-Time Appropriations State Employee Lump Sum Payments $284.9 $1,544.4 ExpressSOS Marketing $150.0 $150.0 Total One-Time Appropriations $434.9 $1,694.4 $0.0 $0.0 Governor's Recommendation Department of State ($ in Thousands) Programs STATE POLICE Fiscal Years 2013 and 2014 Executive Budget Recommendation B-59 Department of State Police T he Michigan State Police (MSP) delivers law enforcement services throughout the state. The Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $567.6 ni||icn, cf unicn $312.4 ni||icn is gcncra| fund. |n addi|icn, cnc-|inc funding cf $5.6 ni||icn, $4.5 ni||icn gcncra| fund is rcccnncndcd. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2014 rcccnncnds |c|a| funding cf $579.3 ni||icn, cf unicn $320.6 ni||icn is gcncra| fund. Highlights of Governors Budget Recommendation - Iunding foi coie piogians of lhe depailnenl is nainlained incIuding ioad palioI and motor carrier enforcement, investigative services, emergency management and homeland secuiily, secondaiy ioad palioI gianl funding, and funding foi lhe Michigan Connission on Lav Lnfoicenenl Slandaids. The Coveinois pioposed ludgel adds a lolaI of $47 niIIion geneiaI fund foi MSI, an inciease of 16 peicenl ovei lhe cuiienl yeai. These addilionaI funds viII le used lo enhance nuIlipIe facels of Iav enfoicenenl incIuding: foiensic sciences, lolacco lax enfoicenenl, assislance lo IocaI unils of goveinnenls, lhe RegionaI IoIicing IIan, and iepIacenenl of ciilicaI equipnenl. - In an effoil lo inpiove pulIic safely, $2.8 niIIion geneiaI fund is added foi palioI and invesligalive seivices. This funding is one conponenl of lhe Coveinois pulIic safely inilialive, vhich is inlended lo ieduce ciine in high-iisk uilan aieas. As pail of lhis inilialive, addilionaI funding is aIso ieconnended foi lhe Alloiney CeneiaI and lhe Depailnenl of Coiieclions. (MSP metric C-8) - The Lxeculive Reconnendalion incIudes $3.1 niIIion geneiaI fund foi addilionaI slafhng vilhin Ioiensic Sciences. This addilionaI funding viII deciease lhe aveiage nunlei of days foi piocessing foiensic lesls ieIaled lo ciininaI invesligalions. (MSP nc|ric C-6) Forensic Sciences 7% Criminal Justice Technology and Training 13% Troopers and Motor Carrier Officers 37% Investigative Services 7% Specialized Services 8% Administration 28% State Police Provides a Variety of Statewide Enforcement and Specialty Services Total: $567.6 million STATE POLICE 8-60 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc - An addilionaI $4.O niIIion geneiaI fund is incIuded lo fuIIy fund lhe depailnenls RegionaI IoIicing IIan vhich vas inpIenenled in lhe cuiienl yeai. SpecihcaIIy, lhis funding viII suppoil connunicalion and infoinalion lechnoIogy cosls associaled vilh shifling lo noliIe ofhces as veII as addilionaI eel cosls foi slaff assigned lo ioad palioI. AIso, lhe Lxeculive Reconnendalion incIudes $1.1 niIIion geneiaI fund lo iepIace noliIe iadios and dala conpuleis and eslalIish IifecycIe iepIacenenl piogians foi lolh. (MSP metric O-1) - A nuIli-agency appioach invoIving lhe depailnenls of Slale IoIice, Tieasuiy, and lhe Alloiney CeneiaI viII le inpIenenled lo inpiove enfoicenenl of lolacco lax Iavs and enfoicenenl of lhe nuIli-slale lolacco sellIenenl agieenenl. The Coveinoi ieconnends $2OO,OOO foi lhe depailnenl of Slale IoIice lo suppoil lhese effoils, vhich viII yieId incieased invesligalions and pioseculions, vilh a sulsequenl giovlh in civiI assessnenls and lolacco lax ievenues. (MSP nc|ric P-6) - The Coveinois Reconnendalion incIudes $9 niIIion geneiaI fund lo iepIace slale iesliicled and fedeiaI funding lhal is no Iongei avaiIalIe foi foiensic seivices and lhe opeialions of lhe Michigan InleIIigence Opeialions Cenlei and lhe Michigan IulIic Safely Connunicalions Syslen. - An addilionaI $15 niIIion geneiaI fund is incIuded foi a Iav enfoicenenl enhancenenl vhich viII le fuilhei delaiIed in lhe Coveinois upconing Maich 2O12 SpeciaI Message on IulIic Safely. STATE POLICE Fiscal Years 2013 and 2014 Executive Budget Recommendation 8-61 FY12 FY13 FY14 Current Law*^ Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $269,366.0 $532,940.3 $312,432.5 $567,550.1 $320,624.2 $579,260.6 % Change from Previous Year 16.0% 6.5% 2.6% 2.1% Troopers and Motor Carrier Officers $144,849.6 $208,151.9 $144,849.6 $208,151.9 Administration $42,939.5 $153,083.7 $51,131.2 $164,794.2 Criminal Justice Technology and Training $30,797.8 $73,317.9 $30,797.8 $73,317.9 Specialized Services $35,319.4 $43,542.9 $35,319.4 $43,542.9 Investigative Services $31,152.4 $42,170.5 $31,152.4 $42,170.5 Forensic Sciences $22,508.8 $41,826.7 $22,508.8 $41,826.7 Executive Direction $4,865.0 $5,456.5 $4,865.0 $5,456.5 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $312,432.5 $567,550.1 $320,624.2 $579,260.6 $2,085.2 $3,220.0 Replace Outdated Equipment/Protective Gear $1,623.7 $1,623.7 Rent and Building Occupancy Charges $750.0 $750.0 Total One-Time Appropriations $4,458.9 $5,593.7 $0.0 $0.0 Governor's Recommendation Department of State Police ($ in Thousands) Programs One-Time Appropriations State Employee Lump Sum Payments STATE POLICE 8-62 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc TECHNOLOGY, MANAGEMENT AND BUDGET Fiscal Years 2013 and 2014 Executive Budget Recommendation B-63 Department of Technology, Management and Budget T he Department of Technology, Management and Budget (DTMB) supports the business operations of state agencies through a variety of services. These services include building management and maintenance, technology services, centralized contracting, purchasing, space pIanning and Ieasing, consliuclion nanagenenl, noloi vehicIe eel nanagenenl, and lhe slale retirement system. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $1.1 oi||icn, cf unicn $384.1 ni||icn is gcncra| fund. |n addi|icn, fcr jsca| qcar 2013, |nc oudgc| inc|udcs |c|a| cnc-|inc funding cf $21.7 ni||icn, cf unicn $17.8 ni||icn is gcncra| fund. |cr jsca| qcar 2014, |nc Governors proposed budget is $1.1 billion, of which $387.5 million is general fund. Highlights of Governors Budget Recommendation - The Lxeculive Reconnendalion incIudes $466.2 niIIion foi infoinalion lechnoIogy support for all state departments, primarily funded with user fees from client agencies. In order to begin to address the risks associated with obsolete, outdated and vulnerable infoinalion syslens, lhe Coveinoi ieconnends inveslnenl of $5O niIIion geneiaI fund foi targeted technology upgrades and automation opportunities. The department is currently conducting an inventory of risks in the current statewide technology infrastructure. Once lhe sludy is conpIele, lhe nosl signihcanl iisk aieas viII le addiessed hisl in oidei lo protect the states information systems, safeguard citizen information and help state agencies achieve their customer service goals. (DTMB metric C-5) - The Lxeculive udgel advances lo consliuclion 18 univeisily and connunily coIIege projects authorized for planning in the prior legislative session. The total cost of these piojecls is $613.1 niIIion, incIuding $3O4.5 niIIion in slale shaie lo le hnanced lhiough lhe State Building Authority. - The Coveinoi ieconnends iefoins lo lhe capilaI oulIay piocess foi fuluie piojecls lhal will streamline approval, provide for transparent, merit-based evaluation of requests, and modernize statutory requirements. - In oidei lo addiess deleiioialion and nainlenance issues in slale luiIdings, lhe Coveinoi ieconnends an inveslnenl of $25 niIIion ($15 niIIion in ongoing funding and $1O niIIion in one-time funding). Delayed maintenance to state buildings has resulted in costly capital needs, a signihcanl inveslnenl is needed lo addiess heaIlh and safely issues, as veII as rehabilitation of valuable state assets. (DTMB metric C-6) - In oidei lo achieve voik efhciencies and cosl savings, lhe Coveinoi ieconnends a one- line inveslnenl of $7 niIIion lo consoIidale lhe slales ofhce space. The slale viII use piivale indusliy slandaids lo oplinize ooi space in as fev luiIdings as possilIe. Sone private leases that are not cost effective will be eliminated. It is anticipated that this one- time investment will pay for itself within four years. (DTMB metric C-4) - The Coveinoi ieconnends lhal lhe MiIilaiy Reliienenl piogian, cuiienlIy nanaged by the Department of Military and Veterans Affairs, be transferred to the Department of TechnoIogy, Managenenl and udgel. The Ofhce of Reliienenl Seivices vilhin DTM has lhe expeilise lo efhcienlIy opeiale lhis ieliienenl piogian. TECHNOLOGY, MANAGEMENT AND BUDGET B-64 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law *^ Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $313,303.1 $1,034,510.5 $384,124.0 $1,117,293.4 $387,505.9 $1,126,668.3 % Change from Previous Year 22.6% 8.0% 0.9% 0.8% $2,500.0 $509,692.1 $2,500.0 $509,692.1 State Building Authority Rent $256,870.6 $256,870.6 $256,870.6 $256,870.6 Management and Budget Operations $36,444.1 $212,521.8 $39,826.0 $221,896.7 Civil Service Commission $21,301.8 $66,780.0 $21,301.8 $66,780.0 Information Technology Investment $50,000.0 $50,000.0 $50,000.0 $50,000.0 $15,001.8 $17,001.8 $15,001.8 $17,001.8 Office of the State Employer $811.7 $3,233.1 $811.7 $3,233.1 Children's Ombudsman $1,194.0 $1,194.0 $1,194.0 $1,194.0 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $384,124.0 $1,117,293.4 $387,505.9 $1,126,668.3 One-Time Appropriations $792.2 $4,680.2 $10,000.0 $10,000.0 $7,000.0 $7,000.0 Total One-Time Appropriations $17,792.2 $21,680.2 $0.0 $0.0 . Space Consolidation Fund Governor's Recommendation Department of Technology, Management and Budget ($ in Thousands) Programs State Employee Lump Sum Payments Special Maintenance for State Buildings Special Maintenance for State Buildings Technology Services TRANSPORTATION Fiscal Years 2013 and FY 2014 Executive Budget Recommendation B-65 Department of Transportation T hrough investments in the states network of roads and bridges, public transportation systems, freight development, and aviation programs, the Department of Transportation (MDOT) voiks lo ensuie a safe, efhcienl and effeclive lianspoilalion infiasliucluie. The Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 and 2014 rcccnncnds |c|a| funding cf $3.3 oi||icn in cacn qcar, inc|uding $119 ni||icn in cnc-|inc gcncra| fund apprcpria|icns in jsca| qcar 2013. Highlights of Governors Budget Recommendation - Michigans lianspoilalion infrastructure is deteriorating from a Iack of inveslnenl. DecIining transportation revenues and increasing costs are undermining our ability to keep pace with infiasliucluie needs. Recenl sludies have determined that an additional $1.4 liIIion inveslnenl is needed each year just to sustain the current syslen condilion. In his SpeciaI Message on Transportation and Infiasliucluie, Coveinoi Snydei outlined the critical link between our transportation infrastructure and Michigans ieinvenlion. - One synplon of lhe lianspoilalion funding shoilfaII is lhal Michigan is in jeopaidy of nol nalching aII avaiIalIe fedeiaI aid vilhoul addilionaI inveslnenl. If Iefl unnalched, lhe fedeiaI aid vouId le ie-diiecled lo suppoil ioad and liidge piojecls in olhei slales. WhiIe the Legislature works on a long-term lianspoilalion funding soIulion, Coveinoi Snydeis hscaI yeai 2O13 ludgel incIudes $119 million of general fund revenues to ensure that we match all federal highway and transit aid avaiIalIe in hscaI yeai 2O13. Such a Iaige amount of general fund has never before been included in the transportation budget; the incIusion of lhis geneiaI fund in hscaI yeai 2O13 is a one-time measure to give the Legislature line lo deveIop a peinanenl funding soIulion. (MDOT nc|rics 8, 9 and 10)
- An exlensive package of liIIs vas iecenlIy inlioduced in lhe LegisIaluie lhal piovides foi necessaiy iefoins and addiesses lhe need foi addilionaI ievenues. The Coveinoi sliongIy suppoils lhese IegisIalive effoils lhal laigel efhciencies, lesl piaclices, and Iong-lein funding soIulions lo suppoil Michigans ieinvenlion. 68% 67% 61% 57% 53% 49% 46% 44% 41% 40% 39% 38% 37% 35% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 %
R o a d s
i n
G o o d / F a i r
C o n d i t i o n Year Unless Michigan Invests Additional Funds in Roads, 65% of Major Roadways Will Be in Poor Condition by 2023 Current Funding A sound and modern infrastructure is ti|a| |c a||ac|ing jcos. Tnc s|a|c |na| pu| the world on wheels needs to continue to oc a |ranspcr|a|icn |cadcr in crdcr |c s|aq ccnpc|i|itc in |cdaqs g|coa| cccncnq.
Special Message from Governor Snyder, Reinventing Michigans Infrastructure, October 26, 2011 TRANSPORTATION B-66 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc FY12 FY13 FY14 Current Law*^ Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $0.0 $3,344,437.2 $0.0 $3,329,829.5 $0.0 $3,321,979.2 % Change from Previous Year 0.0% -0.4% 0.0% -0.2% State Road & Bridge Construction $0.0 $1,294,152.0 $0.0 $1,281,400.5 Local Road & Bridge Construction $0.0 $1,237,774.3 $0.0 $1,255,846.9 Public Transportation & Freight Services $0.0 $337,415.4 $0.0 $319,483.8 Debt Service Obligations $0.0 $240,274.5 $0.0 $240,274.5 Administrative Support Services $0.0 $119,478.6 $0.0 $128,643.7 Building & Airport Capital Improvements $0.0 $100,734.7 $0.0 $96,329.8 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $0.0 $3,329,829.5 $0.0 $3,321,979.2 One-Time Appropriations General Fund for Federal Aid Match $119,000.0 $119,000.0 $0.0 $3,260.8 Total One-Time Appropriations $119,000.0 $122,260.8 $0.0 $0.0 Governor's Recommendation Department of Transportation ($ in Thousands) Programs State Employee Lump Sum Payments TREASURY Fiscal Years 2013 and 2014 Executive Budget Recommendation B-67 Department of Treasury T he Depailnenl of Tieasuiys najoi iesponsiliIilies incIude lhe faii and efhcienl adninislialion of the states tax system, investing state funds, safeguarding the credit rating of the state and local governments, forecasting state economic activity and revenue, administering property tax Iav, audiling counly and nunicipaI hnanciaI iecoids, naxinizing Iolleiy ievenue lo lhe SchooI Aid Fund and providing oversight of casino gaming operations. The departments budget also includes funding for the economic development and low-income housing programs administered ly lhe Michigan Slialegic Iund (MSI) and lhe Michigan Slale Housing DeveIopnenl Aulhoiily. Tnc Gctcrncrs prcpcscd oudgc| fcr jsca| qcar 2013 rcccnncnds |c|a| funding cf $2.6 oi||icn, cf unicn $331.2 ni||icn is gcncra| fund. |n jsca| qcar 2013, |nc oudgc| inc|udcs cnc-|inc funding cf $48.9 ni||icn, cf unicn $25.5 is gcncra| fund. |cr jsca| qcar 2014, |nc Gctcrncr rcccnncnds |c|a| funding cf $2.7 oi||icn, cf unicn $351.8 ni||icn is gcncra| fund.
Highlights of Governors Budget Recommendation for Michigan Strategic Fund - To conlinue gioving Michigans econony, lhe Lxeculive Reconnendalion conveils lhe one-time $50 million general fund appropriation for business attraction and economic gardening to an on-going source of funding. With a total permanent budget of $100 million, this program helps create jobs by attracting, supporting, and strengthening businesses in the state. (MS| nc|rics 3 and 5) - The Coveinoi ieconnends an addilionaI $15 niIIion geneiaI fund lo suppoil econonic deveIopnenl in Michigans disliessed cilies. The TaIenl Iund foi }ol Tiaining and SkiIIs Development will target communities with populations that have a history of chronic unenpIoynenl and invesl in inilialives lhal assisl cilizens in accessing educalion, liaining, and employment opportunities. (MS| nc|ric 14) Debt Service 9% Grants and Payments in Lieu of Taxes 9% Lottery/Casino Gaming 5% Tax Programs 6% Michigan Strategic Fund 46% Michigan State Housing Development Authority 15% Authorities and Investments 4% Banking and Management Services 3% Local Government Programs 1% Administration 2% Other 10% Treasury Budget Supports a Variety of Financial and Economic Development Programs Total: $1.6 billion (Does not include revenue sharing or incentive grants to local governments) TREASURY 8-68 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc - The Lxeculive Reconnendalion incieases geneiaI fund suppoil foi ails and cuIluiaI gianls from $1.4 million to $5 million. This increased funding will help enhance the Quality of Place for local communities in Michigan through increased investments in arts and cultural programs. (MS| nc|ric 12) Highlights of Governors Budget Recommendation for Treasury Operations - The pioposed ludgel incIudes $4.5 niIIion geneiaI fund foi a nev Ofhce of IiscaI ResponsiliIily vhich viII piovide lechnicaI assislance, guidance, and suppoil lo al-iisk local units of government in an effort to avoid insolvency. (Trcasurq nc|ric C7) - The Coveinoi ieconnends $14O.6 niIIion foi dell seivice paynenls. This incIudes iepIacing $1O niIIion in iehned pelioIeun funds vilh an equaI anounl of geneiaI fund, which will increase the funding available for environmental clean-up efforts within the Depailnenl of LnviionnenlaI QuaIily. (D|Q nc|ric S9) - A nuIli-agency appioach invoIving lhe depailnenls of Alloiney CeneiaI, Slale IoIice and Treasury will be implemented to improve enforcement of tobacco tax laws and enforcement of lhe nuIli-slale lolacco sellIenenl agieenenl. The Coveinoi ieconnends $1.5 niIIion for the Department of Treasury to support these efforts, which will increase tobacco tax revenues. (Trcasurq nc|ric P5) TREASURY Fiscal Years 2013 and 2014 Executive Budget Recommendation 8-69 FY12 FY13 FY14 Current Law*^ Recommendation^ Recommendation GF/GP All Funds GF/GP All Funds GF/GP All Funds $254,028.9 $2,514,598.4 $331,221.4 $2,600,220.3 $351,821.2 $2,656,805.0 % Change from Previous Year 30.4% 3.4% 6.2% 2.2% Constitutional Revenue Sharing $0.0 $711,119.7 $0.0 $730,616.0 Michigan Strategic Fund $128,560.7 $710,731.2 $128,945.2 $713,120.0 Local Government Incentive Programs $0.0 $340,600.0 $0.0 $350,100.0 $0.0 $230,382.2 $0.0 $230,382.2 Authority Debt Service Payments $135,040.4 $140,554.9 $154,449.5 $159,964.0 Grants and Payments in Lieu of Taxes $20,601.0 $135,252.7 $20,601.0 $135,252.7 Administration of Tax Programs $20,203.4 $100,992.3 $20,203.4 $100,992.3 Authorities and Investments $1,836.9 $62,828.2 $1,836.9 $62,828.2 Bureau of State Lottery $0.0 $47,000.1 $0.0 $47,000.1 Banking and Management Services $4,437.0 $41,663.3 $4,437.0 $41,663.3 Casino Regulation $0.0 $28,582.9 $0.0 $28,582.9 Administration $7,861.0 $26,939.3 $8,667.2 $32,729.8 Local Government Programs $12,681.0 $23,573.5 $12,681.0 $23,573.5 * Assumes passage of OPEB supplemental ^ Figures do not include one-time funding Total Recommendation $331,221.4 $2,600,220.3 $351,821.2 $2,656,805.0 One-Time Appropriations Film Incentive Funding $25,000.0 $25,000.0 Competitive Grant Assistance Program $0.0 $20,000.0 $452.4 $3,878.4 Total One-Time Appropriations $25,452.4 $48,878.4 $0.0 $0.0 Governor's Recommendation Department of Treasury ($ in Thousands) Programs State Employee Lump Sum Payments Michigan State Housing Development TREASURY B-70 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc
Background Information
Page
Revenues and Expenditures C 1 Consensus Economic Outlook C 3 Revenue Estimates C 7 Revenue Review C 8 Capped Federal Funds Shared Between Departments C 19 Special Revenue Funds Shared Between Departments C 21 State Restricted Revenue and Expenditure Projections C 23 Summary of Expenditure Recommendation C 33 Budget Schedule by Agency C 35 Historical Expenditures/Appropriations C 37 Civil Service Pay Recommendations C 39 Legislation Needed to Implement FY 2013 Executive Budget C 43
Web site address for this document: http://www.michigan.gov/budget REVENUES AND EXPENDITURES Fiscal Years 2013 and 2014 Executive Budget Recommendation C-1 Fiscal Years 2013 and 2014 Sources and Uses of General Fund/General Purpose (in millions) Fiscal Year Fiscal Year 2013 2014 Ongoing Revenues: January Consensus Revenues $9,034.6 $9,236.0 Proposed Adjustments: Payments to Local Government ($360.6) ($350.1) Charge School Aid Fund for Short-term Borrowing $10.0 $20.0 Total Sources of Ongoing Revenues $8,684.0 $8,905.9 Fiscal Year 2013 Executive Recommendation $8,626.8 Fiscal Year 2014 Executive Recommendation $8,881.9 Total Uses of Ongoing Revenues $8,626.8 $8,881.9 Ongoing Revenue Balance $57.2 $24.0 One-Time Revenues: Estimated Beginning Fund Balance, October 1 $541.9 $0.0 * Total Sources of One-Time Revenues $541.9 $0.0 Fiscal Year 2013 Executive Recommendation $525.2 Fiscal Year 2014 Executive Recommendation $13.6 Total Uses of One-Time Revenues $525.2 $13.6 One-Time Revenue Balance $16.7 ($13.6) Ending Fund Balance, September 30 $73.9 * $10.4 * Reserved for additional initiatives, including special messages. REVENUES AND EXPENDITURES C-2 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc Fiscal Year Fiscal Year 2013 2014 Estimated Beginning Unassigned Fund Balances, October 1 $1,807.4 $1,334.7 REVENUES: FY 2013 and Fiscal Year 2014 Revenue Estimates $46,869.2 $47,781.0 Total Sources of Funds $48,676.6 $49,115.7 EXPENDITURES: Fiscal Year 2013 Executive Recommendation $48,845.8 Less: Interdepartmental Grants and Transfers (792.0) Fiscal Year 2013 Executive Recommendation $49,018.1 Less: Interdepartmental Grants and Transfers (793.9) Total Uses of Funds $48,053.8 $48,224.2 Excess of Sources Over Uses $622.8 $891.5 Fiscal Years 2013 and 2014 Sources and Uses of All Funds (in millions) CONSENSUS ECONOMIC OUTLOOK Fiscal Years 2013 and 2014 Executive Budget Recommendation C-3 Consensus Economic Outlook The economic outlooks for 2012, 2013, and 2014 were agreed to at the January 13, 2012, Consensus Revenue Estimating Conference by the Administration, House Fiscal Agency, and Senate Fiscal Agency. 2011 U.S. Economic Review U.S. real gross domestic product (GDP) increased 1.7% in calendar year 2011, which was much slower than the 3.0 percent rate of growth experienced in 2010. During the first quarter of 2011, real GDP growth was very weak, but the rate of growth accelerated during each of the remaining three quarters. The labor market finally began to improve in 2011. In 2010, U.S. wage and salary employment dropped for the third straight year -- the first time in over 60 years that U.S. employment fell for three consecutive years. In 2011, U.S. wage and salary employment rose an estimated 1.0 percent and the increase in December 2011 marked the 15 th straight monthly employment gain. After the U.S. unemployment rate rose to 9.6 percent in 2010 (the highest annual rate since 1982), the rate dropped to an estimated 9.0 percent in 2011. In addition, the December 2011 unemployment rate of 8.5 percent marked the lowest monthly rate in nearly three years. The housing market remained weak in 2011. While housing starts increased slightly in 2011 to 606,900 starts from the 2010 figure of 586,900 starts, they were the third lowest annual level ever recorded and marked the fourth consecutive year they remained below one million units. New home sales totaled 302,000 units in 2011, down 6 percent from 2010. Light vehicle sales increased from 11.6 million units in 2010 to 12.8 million units in 2011, an increase of 10.3 percent. The pace of light vehicle sales increased throughout the year, selling at a 12.6 million annual average sales rate in January 2011 and finishing at a 13.5 million annual average sales rate in December 2011. Financial markets continued to slowly recover in 2011. In July 2011, the Federal Open Market Committee stated it would leave interest rates low through mid-2013. Later in the year, the Federal Reserve announced it would purchase $400 billion longer-term Treasuries and sell $400 million in shorter-term Treasuries through June 2012 in order to continue to reduce longer-term interest rates, in an attempt to help boost economic activity. In August 2011, the U.S. Federal government avoided default on its debt by agreeing to raise the debt ceiling; however, the failure of Congress to reach an agreement until the government was on the brink of default, caused instability in the financial markets. Shortly after the agreement, Standard and Poors downgraded the U.S. Federal governments bond rating for the first time in history, as the rating agency was pessimistic that the U.S. government would be successful in implementing the plan to reduce its debt. CONSENSUS ECONOMIC OUTLOOK C-4 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc Europes debt problems continued to disrupt world financial markets in 2011. The threat of Greece defaulting on its debt was a prominent risk throughout the year. The situation grew more severe as other larger European countries sovereign debt situations deteriorated. Oil prices remained relatively high in 2011. In January 2011, oil prices averaged $89 a barrel and by April were up to $110 a barrel. By December, oil prices were back under $100 a barrel averaging $99 per barrel. 2011 Michigan Economic Review In 2011, Michigan wage and salary employment increased an estimated 1.7 percent, which was the first annual growth in employment in a decade. Despite this increase, Michigan employment was still more than 15 percent below than the States previous peak level recorded in 2000. Similarly, while Michigan employment gained a net 66,000 jobs between the end of 2010 and 2011, December 2011 employment was more than 750,000 jobs below the States peak monthly employment level recorded in April 2000. The increase in jobs helped reduce Michigans unemployment rate to an estimated 10.7 percent in 2011 from 12.5 percent in 2010. Michigan motor vehicle production increased by 22 percent in 2011 compared to 2010. Approximately 1,925,000 vehicles were produced in 2011 compared to the 1,577,000 vehicles produced in 2010. Michigans 2011 vehicle production was 68 percent above the historically low 1,146,000 units produced in 2009. As a result of strong growth in the motor vehicle sector, Michigan manufacturing employment rose 5.5 percent between December 2010 and December 2011 marking the second straight year of year-over-year manufacturing employment growth. Nevertheless, manufacturing employment remains well below peak levels seen in 2000. In 2011, wage and salary payments to Michigan workers rose an estimated 5.4 percent much stronger than the 1.7 percent growth in 2010. Overall personal income grew an estimated 5.5 percent in 2011, up from the 3.3 percent rate of growth in 2010. With 3.4 percent inflation, real (inflation adjusted) personal income rose an estimated 2.0 percent in 2011. U.S. Consensus Economic Outlook: 2012 - 2014 Real GDP is forecast to rise 2.0 percent in 2012, 2.2 percent in 2013, and 2.7 percent in 2014 (See Table 1). Light vehicle sales are forecast to increase to 13.7 million units in 2012, 14.5 million units in 2013, and in 2014, light vehicle sales are forecast to increase to 15.1 million units. The 2012 U.S. unemployment rate is projected to increase slightly to 9.1 percent from 9.0 percent in 2011. In 2013, the unemployment rate is forecast to edge down to 8.9 percent. By 2014, the unemployment rate is projected to decrease further to 8.4 percent. Consumer prices, as measured by the U.S. Consumer Price Index (CPI), are expected to rise 2.2 percent in 2012 and increase 1.9 percent in both 2013 and 2014. CONSENSUS ECONOMIC OUTLOOK Fiscal Years 2013 and 2014 Executive Budget Recommendation C-5 Michigan Consensus Economic Outlook: 2012 - 2014 In 2012, Michigan wage and salary employment is expected to increase by 0.7 percent followed by a 0.8 percent rise in 2013 and 1.2 percent in 2014. Michigans unemployment rate is expected to fall from 10.7 percent in 2011 to 10.4 percent in 2012. The jobless rate is forecast to decline in 2013 to 10.2 percent and then fall to 9.8 percent in 2014. Michigan personal income is expected to rise 3.0 percent in 2012, 2.8 percent in 2013, and 4.6 percent in 2014. Inflation is forecast to increase 2.3 percent in 2012, and 1.8 percent in both 2013 and 2014. As a result, real Michigan personal income is expected to rise 0.7 percent in 2012, 1.0 percent in 2013 and 2.7 percent in 2014. Forecast Risks Europes growing financial crises may become more severe than expected and this could significantly weaken the continents economic activity and create serious repercussions on the U.S. financial sector and overall economy. Higher than forecast oil prices leading to higher gasoline costs would lower consumers discretionary income, increase many businesses costs and depress economic activity. Unrest and political instability in the Middle East may cause supply concerns. On the other hand, a slowdown in economic activity in Europe and other parts of the world could slow the demand for oil and keep prices lower than expected, which could benefit the U.S. economy. Lack of cohesive governmental policies and continued fighting over budget matters in the United States could further damage consumer confidence and lead to further instability for financial markets. Continued job growth remains central to sustaining recent gains across the economy and to combating dampening factors such as weak consumer confidence. Continued growth in light vehicle sales is central for stabilizing and increasing manufacturing employment in Michigan. CONSENSUS ECONOMIC OUTLOOK C-6 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc Table 1 Consensus Economic Forecast January 2012 Percent Percent Percent Percent Calendar Calendar Change Calendar Change Calendar Change Calendar Change 2010 2011 from Prior 2012 from Prior 2013 from Prior 2014 from Prior Actual Forecast Year Forecast Year Forecast Year Forecast Year United States Real Gross Domestic Product $13,088 $13,310 1.7% $13,576 2.0% $13,875 2.2% $14,250 2.7% (Billions of Chained 2005 Dollars) Implicit Price Deflator GDP 110.7 113.1 2.2% 115.0 1.7% 117.0 1.7% 118.9 1.6% (2005 = 100) Consumer Price Index 218.1 225.0 3.2% 230.0 2.2% 234.4 1.9% 238.9 1.9% (1982-84 = 100) Consumer Price Index - Fiscal Year 217.4 223.1 2.7% 228.9 2.6% 233.2 1.9% 237.6 1.9% (1982-84 = 100) Personal Consumption Deflator 111.1 113.9 2.5% 115.6 1.5% 117.3 1.5% 119.1 1.5% (2005 = 100) 3-month Treasury Bills 0.1 0.1 0.1 0.2 0.6 Interest Rate (percent) Aaa Corporate Bonds 4.9 4.7 4.0 4.2 4.4 Interest Rate (percent) Unemployment Rate - Civilian 9.6 9.0 9.1 8.9 8.4 (percent) Wage and Salary Employment 129.818 131.159 1.0% 132.340 0.9% 133.530 0.9% 135.400 1.4% (millions) Housing Starts 0.585 0.597 2.0% 0.700 17.3% 0.873 24.7% 1.036 18.7% (millions of starts) Light Vehicle Sales 11.6 12.7 9.5% 13.7 7.9% 14.5 5.8% 15.1 4.1% (millions of units) Passenger Car Sales 5.7 6.2 8.8% 6.7 8.1% 7.1 6.0% 7.4 4.2% (millions of units) Light Truck Sales 5.8 6.5 12.1% 7.0 7.7% 7.4 5.7% 7.7 4.1% (millions of units) Big 3 Share of Light Vehicles 44.2 46.2 45.3 45.3 45.3 (percent) Michigan Wage and Salary Employment 3,861 3,927 1.7% 3,954 0.7% 3,986 0.8% 4,034 1.2% (thousands) Unemployment Rate 12.5 10.7 10.4 10.2 9.8 (percent) Personal Income $342,663 $361,510 5.5% $372,355 3.0% $382,781 2.8% $400,389 4.6% (millions of dollars) Real Personal Income $167,083 $170,443 2.0% $171,592 0.7% $173,282 1.0% $178,030 2.7% (millions of 1982-84 dollars) Wages and Salaries $173,642 $183,019 5.4% $188,692 3.1% $195,297 3.5% $202,913 3.9% (millions of dollars) Detroit Consumer Price Index 205.1 212.1 3.4% 217.0 2.3% 220.9 1.8% 224.9 1.8% (1982-84 = 100) REVENUE ESTIMATES Fiscal Years 2013 and 2014 Executive Budget Recommendation C-7
Revenue Estimates
Fiscal Year 2011 Revenue
Michigan experienced an increase in employment in 2011 for the first time since 2000 and this increase in economic activity helped boost tax collections and other revenue. On a consensus basis, FY 2011 General Fund/General Purpose (GF/GP) revenue totaled $8,813.0 million, which was up 14.8 percent from FY 2010. Including transfers and other one-time revenue not included in the consensus base, GF/GP revenue totaled $9,210.4 million. School Aid Fund (SAF) revenue increased 4.0 percent in FY 2011 to $11,248.2 million on a consensus basis. Including federal aid and other budget measures, SAF revenue totaled $13,784.1 million.
Revenue Estimates: Fiscal Year 2012, Fiscal Year 2013, and Fiscal Year 2014
On January 13, 2012, the Administration and the House and Senate Fiscal Agencies reached a consensus on projected revenues for FY 2012, FY 2013, and FY 2014, and these estimates are used for the Governors FY 2013-FY 2014 Executive Budget. As reflected in these estimates, the Michigan economy is expected to continue to improve in 2012 through 2014, which will help boost tax and other revenue collections; however, some of this increase will be offset by the impact of the significant tax reform that was enacted in 2011 and became effective January 1, 2012.
In FY 2012, GF/GP revenue on a consensus basis will increase an estimated 2.5 percent to $9,030.5 million and after factoring in transfers and other budget items, GF/GP revenue will total an estimated $8,910.1 million. On a consensus basis, SAF revenue will decline an estimated 4.3 percent to $10,763.6 million. This decline reflects the repeal of the MBT earmark to the SAF. Including federal aid and other budget measures, SAF revenue will total an estimated $12,540.3 million.
In FY 2013, consensus based GF/GP revenue will total an estimated $9,034.6 million, which is essentially unchanged from FY 2012. Including transfers and other budget items, GF/GP revenue will total an estimated $8,684.0 million. Consensus based SAF revenue will increase 2.7 percent to $11,055.0 million in FY 2013; however, after factoring in federal aid and other budget measures, SAF revenue is expected to total $12,956.0 million.
In FY 2014, GF/GP revenue is projected to increase 2.2 percent to $9,236.0 million on a consensus basis and will total an estimated $8,905.9 million including transfers and other budget items. School Aid Fund will increase an estimated 2.8 percent to $11,359.5 million on a consensus basis and including federal aid and other budget items will total an estimated $13,079.2 million.
Overall Revenue: FY 2012, FY 2013, and FY 2014
Total net revenue for all funds is estimated to be $48,556.8 million in FY 2012, $48,676.6 million in FY 2013, and $49,131.0 million in FY 2014. A summary of revenues by fund is presented on page C-8. The Detailed Statement of General and Special Revenue Funds on pages C-9 to C-17 presents information for FY 2010 through FY 2014. REVENUE REVIEW C-8 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc Projected Revenues FY 2013 & FY 2014 (millions) FY 2012 - 2013 FY 2013 - 2014 General Fund - General Purpose Consensus Estimate 9,034.6 9,236.0 Total Adjustments (350.6) (330.1) Total General Fund - General Purpose 8,684.0 8,905.9 School Aid Fund Consensus Estimate 11,055.0 11,359.5 Transfers and Federal Aid 1,901.0 1,719.7 Total SAF Revenue 12,956.0 13,079.2 Transportation Funds 4,156.7 4,177.0 Special Revenue & Permanent Funds 5,168.1 5,256.3 Federal Aid (Not Elsewhere Itemized) 16,998.5 17,279.3 Sub-Total All Funds 47,963.2 48,697.8 Fund Balances Available 1,807.5 1,349.8 Gross Total All Resources 49,770.7 50,047.6 Less Interfund Transfers (excluding GF-GP) (1,094.1) (916.6) Net Total All Resources 48,676.6 $ 49,131.0 $ Amounts may not tie to totals due to rounding. REVENUE REVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation C-9 D E T A I L E D
S T A T E M E N T
O F
G E N E R A L
A N D
S P E C I A L
R E V E N U E
F U N D S A C T U A L A C T U A L E S T I M A T E S E S T I M A T E S E S T I M A T E S F Y
A c c o u n t 6 6 , 4 9 6 , 3 9 8 6 5 , 3 0 1 , 6 7 7 6 3 , 3 5 8 , 3 0 0 6 2 , 4 9 0 , 5 0 0 6 1 , 6 1 4 , 1 0 1 REVENUE REVIEW C-12 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc D E T A I L E D
S T A T E M E N T
O F
G E N E R A L
A N D
S P E C I A L
R E V E N U E
F U N D S A C T U A L A C T U A L E S T I M A T E S E S T I M A T E S E S T I M A T E S F Y
F u n d 1 2 , 9 6 3 , 4 8 5 7 , 5 0 9 , 8 6 4 7 , 5 0 1 , 7 0 0 1 3 , 0 8 0 , 9 5 0 7 , 5 0 1 , 7 0 0 REVENUE REVIEW C-14 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc D E T A I L E D
S T A T E M E N T
O F
G E N E R A L
A N D
S P E C I A L
R E V E N U E
F U N D S A C T U A L A C T U A L E S T I M A T E S E S T I M A T E S E S T I M A T E S F Y
F U N D 1 , 7 9 6 , 6 1 0 , 9 9 6 1 , 8 6 4 , 8 4 6 , 7 5 1 1 , 8 6 0 , 7 0 9 , 2 0 0 1 , 8 3 8 , 8 1 7 , 9 0 0 1 , 8 4 4 , 0 9 9 , 0 0 0 T R A N S P O R T A T I O N :
B L U E
W A T E R
B R I D G E
F U N D
1 1 8
T o l l s
a n d
R e n t a l s 1 9 , 0 7 2 , 7 0 5 2 1 , 8 6 5 , 8 6 0 2 2 , 8 0 0 , 0 0 0 2 3 , 5 0 0 , 0 0 0 2 4 , 0 0 0 , 0 0 0
I n t e r e s t
F r o m
C o m m o n
C a s h
I n v e s t m e n t
a n d
O t h e r 6 0 , 0 9 8 6 7 , 9 4 8 7 1 , 0 0 0 7 3 , 0 0 0 2 1 0 , 0 0 0
T O T A L
B L U E
W A T E R
B R I D G E
T R A N S P O R T A T I O N
F U N D
1 9 , 1 3 2 , 8 0 3 2 1 , 9 3 3 , 8 0 8 2 2 , 8 7 1 , 0 0 0 2 3 , 5 7 3 , 0 0 0 2 4 , 2 1 0 , 0 0 0 T R A N S P O R T A T I O N :
T r a n s f e r s ( 9 6 6 , 9 7 3 , 7 3 1 ) ( 9 5 9 , 5 4 5 , 1 2 5 ) ( 8 3 6 , 0 3 4 , 5 0 0 ) ( 8 4 0 , 0 0 1 , 0 0 0 ) ( 8 4 4 , 4 9 7 , 2 0 0 ) N E T
T O T A L
T R A N S P O R T A T I O N
R E V E N U E
A f t e r
T r a n s f e r s 3 , 1 9 2 , 9 4 1 , 4 6 1 3 , 2 7 9 , 1 2 3 , 3 0 1 3 , 4 4 8 , 0 9 1 , 2 0 0 3 , 3 1 6 , 6 7 6 , 1 0 0 3 , 3 3 2 , 5 4 4 , 1 0 0 REVENUE REVIEW Fiscal Years 2013 and 2014 Executive Budget Recommendation C-17 D E T A I L E D
S T A T E M E N T
O F
G E N E R A L
A N D
S P E C I A L
R E V E N U E
F U N D S A C T U A L A C T U A L E S T I M A T E S E S T I M A T E S E S T I M A T E S F Y
T r a n s f e r s ( 1 , 3 6 3 , 6 5 0 , 2 9 1 ) ( 1 , 0 8 8 , 4 4 6 , 5 6 9 ) ( 1 , 0 1 0 , 5 0 6 , 6 2 1 ) ( 1 , 0 9 4 , 0 5 3 , 0 1 5 ) ( 9 1 6 , 5 9 9 , 3 7 3 ) N E T
T O T A L
R E V E N U E
a f t e r
t r a n s f e r s 4 6 , 0 5 3 , 4 0 8 , 6 8 9 4 8 , 5 2 0 , 1 1 3 , 4 6 6 4 6 , 3 8 8 , 9 0 2 , 3 2 1 4 6 , 8 6 9 , 1 9 0 , 3 8 1 4 7 , 7 8 1 , 1 6 4 , 3 1 0 O T H E R
R E V E N U E
O R
N O N - C U R R E N T
Y E A R
S O U R C E S
O F
F I N A N C I N G
G e n e r a l
F u n d
( U n a s s i g n e d ) 1 7 7 , 2 4 4 , 2 0 0 1 8 7 , 2 0 0 , 0 0 0 5 6 6 , 6 0 0 , 0 0 0 5 4 1 , 9 0 0 , 0 0 0 7 8 , 7 0 0 , 0 0 0
R e s t r i c t e d
F u n d
S u b f u n d s
o f
t h e
G e n e r a l
F u n d
( U n o b l i g a t e d ) 3 8 1 , 0 2 9 , 8 0 0 3 6 6 , 2 2 2 , 9 8 0 6 6 5 , 3 7 0 , 0 0 0 6 6 5 , 3 7 0 , 0 0 0 6 6 5 , 3 7 0 , 0 0 0
B u d g e t
S t a b i l i z a t i o n
F u n d
( U n o b l i g a t e d ) 2 , 1 7 8 , 9 0 0 2 , 1 5 5 , 8 0 7 2 , 1 8 9 , 0 0 0 2 6 1 , 0 8 5 , 0 0 0 3 9 5 , 7 7 8 , 0 0 0
S c h o o l
A i d
S t a b i l i z a t i o n
F u n d
( U n o b l i g a t e d ) 2 3 8 , 2 0 0 , 0 0 0 2 5 5 , 9 0 0 , 0 0 0 7 2 4 , 7 0 0 , 0 0 0 1 2 9 , 1 0 0 , 0 0 0 0
S p e c i a l
R e v e n u e
a n d
P e r m a n e n t
F u n d s
B a l a n c e s
( A v a i l a b l e ) 1 8 5 , 9 2 8 , 7 0 6 1 7 2 , 6 5 3 , 2 8 2 2 0 9 , 0 2 8 , 0 0 0 2 1 0 , 0 0 0 , 0 0 0 2 1 0 , 0 0 0 , 0 0 0 S u b - T o t a l
F u n d
B a l a n c e s 9 8 4 , 5 8 1 , 6 0 6 9 8 4 , 1 3 2 , 0 6 9 2 , 1 6 7 , 8 8 7 , 0 0 0 1 , 8 0 7 , 4 5 5 , 0 0 0 1 , 3 4 9 , 8 4 8 , 0 0 0 N E T
T O T A L
R E S O U R C E S 4 7 , 0 3 7 , 9 9 0 , 2 9 5 4 9 , 5 0 4 , 2 4 5 , 5 3 5 4 8 , 5 5 6 , 7 8 9 , 3 2 1 4 8 , 6 7 6 , 6 4 5 , 3 8 1 4 9 , 1 3 1 , 0 1 2 , 3 1 0 N o t e :
I n d i v i d u a l
a m o u n t s
m a y
n o t
a d d
t o
t o t a l s
d u e
t o
r o u n d i n g . CAPPED FEDERAL FUNDS SHARED BETWEEN DEPARTMENTS Fiscal Years 2013 and 2014 Executive Budget Recommendation C-19
CAPPED SOURCES OF FEDERAL FUNDS SHARED BETWEEN STATE DEPARTMENTS CFDA FY 2013 Budget FY 2014 Budget Number Title Recommendation Recommendation 10.664 Cooperative Forestry Assistance Grantee: Natural Resources 13,178,700 13,178,700 Grantee: Agriculture & Rural Development 1,119,500 1,119,500 16.588 Violence Against Women Formula Grants Grantee: Human Services 3,866,000 3,866,000 Subrecipient State Agency: State Police 175,000 175,000 17.503 Occupational Safety and Health-State Program Grantee: Licensing & Regulatory Affairs 15,443,200 15,443,200 Subrecipient State Agency: Attorney General 106,000 106,000
20.600 State and Community Highway Safety Grantee: State Police 7,998,700 7,998,700 Subrecipient State Agency: Judiciary 1,300,000 1,300,000
66.460 Nonpoint Source Implementation Grants Grantee: Environmental Quality 6,500,000 6,500,000 Subrecipient State Agency: Agriculture & Rural Development 361,200 361,200
84.002 Adult Education-State Program Grantee: Michigan Strategic Fund 20,000,000 20,000,000 Subrecipient State Agency: Corrections 911,200 919,000 Subrecipient State Agency: Human Services 34,700 34,700
84.010 Title I Grants Disadvantaged Grantee: Education 7,966,400 7,966,400 Subrecipient State Agency: Education via School Aid Budget 591,500,000 591,500,000 84.013 Title I Program for Neglected and Delinquent Children Grantee: Education 10,500 10,500 Subrecipient State Agency: Corrections 533,500 538,000 Subrecipient State Agency: Human Services 100,000 100,000 84.027 Special Education-Grants to States Grantee: Education 14,457,300 14,457,300 Subrecipient State Agency: Education via School Aid Budget 365,000,000 365,000,000 Subrecipient State Agency: Human Services 149,400 149,400 Subrecipient State Agency: Corrections 110,200 111,100
84.048 Vocational Education-Basic Grants to States Grantee: Education 2,549,200 2,549,200 Subrecipient State Agency: Education via School Aid Budget 28,500,000 28,500,000 Subrecipient State Agency: Michigan Strategic Fund 19,000,000 19,000,000 Subrecipient State Agency: Corrections 283,100 286,800 Subrecipient State Agency: Human Services 93,800 93,800 84.181 Special Ed-Grants for Infants and Families with Disabilities Grantee: Education 932,600 932,600 Subrecipient State Agency: Education via School Aid Budget 15,000,000 15,000,000 Subrecipient State Agency: Human Services 74,600 74,600 84.186 Safe and Drug-Free Schools and Communities-State Grants Grantee: Education 1,822,500 1,822,500 Subrecipient State Agency: Education via School Aid Budget 10,808,600 10,808,600 Printed: 2/5/2012 6:47 PM CAPPED FEDERAL FUNDS SHARED BETWEEN DEPARTMENTS C-20 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc
CAPPED SOURCES OF FEDERAL FUNDS SHARED BETWEEN STATE DEPARTMENTS CFDA FY 2013 Budget FY 2014 Budget Number Title Recommendation Recommendation 84.196 Homeless Children and Youth Grants Grantee: Education 484,000 484,000 Subrecipient State Agency: Education via School Aid Budget 1,814,100 1,814,100 84.336 Improving Teacher Quality Grantee: Education 3,031,000 3,031,000 Subrecipient State Agency: Education via School Aid Budget 111,111,900 111,111,900 84.365 English Language Acquisition Grants Grantee: Education 803,300 803,300 Subrecipient State Agency: Education via School Aid Budget 12,200,000 1,220,000 84.369 State Assessments Grantee: Education 10,044,100 10,044,100 Subrecipient State Agency: Education via School Aid Budget 5,000,000 5,000,000 93.558 Temporary Assistance For Needy Families Grantee: Human Services 655,330,300 640,116,000 Subrecipient State Agency: Higher Education 93,826,400 93,826,400 Subrecipient State Agency: Michigan Strategic Fund 64,898,800 64,898,800 Subrecipient State Agency: Community Health 19,341,500 19,341,500 Subrecipient State Agency: Education 11,820,600 11,820,600
93.568 Low-Income Home Energy Assistance Grantee: Human Services 172,064,300 172,064,300 Subrecipient State Agency: Treasury 2,887,300 2,887,300 93.596 Child Care and Development Block Grant-Mandatory and Matching Grantee: Education 123,434,300 123,434,300 Subrecipient State Agency: Human Services 28,713,800 28,713,800 93.991 Preventive Health and Health Services Block Grant Grantee: Community Health 3,583,800 3,583,800 Subrecipient State Agency: Human Services 1,300,000 1,300,000 Printed: 2/5/2012 6:48 PM SPECIAL REVENUE FUNDS SHARED BETWEEN DEPARTMENTS Fiscal Years 2013 and 2014 Executive Budget Recommendation C-21
SPECIAL REVENUE FUNDS SHARED BETWEEN STATE DEPARTMENTS
Bottle Deposits Fund Environmental Quality 23,122,400 23,122,400 Treasury 250,000 250,000 Comprehensive Transportation Fund Transportation 265,247,300 247,829,200 Attorney General 200,900 200,900 Civil Service Commission 200,000 200,000 Technology, Management, and Budget 44,100 44,100 Legislative Auditor General 29,600 29,600 Treasury 5,500 5,500
Forest Development Fund Natural Resources 36,136,200 36,136,200 Technology, Management, and Budget 351,500 351,500 Treasury 2,700 2,700
Game and Fish Protection Account Natural Resources 69,697,300 69,697,300 Treasury 1,205,500 1,205,500 Attorney General 838,000 838,000 Technology, Management, and Budget 475,400 475,400 Legislative Auditor General 25,800 25,800
Game and Fish Protection Trust Fund Natural Resources 6,000,000 6,000,000 Treasury 114,700 114,700 Health Insurance Claims Assessment Community Health 398,051,600 398,051,600 Treasury 1,948,400 1,948,400 Michigan Merit Award Trust Fund Community Health 81,202,200 79,191,800 Human Services 30,100,000 30,100,000 Treasury 1,092,500 1,092,500 State Police 716,200 716,200 Attorney General 463,100 463,100 Michigan Natural Resources Trust Fund Natural Resources 1,217,300 1,217,300 Treasury 2,898,600 2,898,600
Michigan Nongame Fish and Wildlife Fund Natural Resources 687,400 687,400 Treasury 3,900 3,900
Michigan State Parks Endowment Fund Natural Resources 26,920,600 26,920,600 Technology, Management, and Budget 132,400 132,400 Treasury 92,500 92,500 Printed: 2/5/2012 6:51 PM SPECIAL REVENUE FUNDS SHARED BETWEEN DEPARTMENTS C-22 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc
SPECIAL REVENUE FUNDS SHARED BETWEEN STATE DEPARTMENTS
C o l l e g e s 2 9 4 , 1 3 0 , 5 0 0 0 2 9 4 , 1 3 0 , 5 0 0 0 0 0 1 9 7 , 6 1 4 , 1 0 0 9 6 , 5 1 6 , 4 0 0 2 9 4 , 1 3 0 , 5 0 0 2 9 4 , 1 3 0 , 5 0 0 U n i v e r s i t i e s
&
F i n a n c i a l
A i d 1 , 3 9 9 , 9 8 1 , 5 0 0 0 1 , 3 9 9 , 9 8 1 , 5 0 0 9 7 , 0 2 6 , 4 0 0 0 0 2 0 0 , 5 6 5 , 7 0 0 1 , 1 0 2 , 3 8 9 , 4 0 0 1 , 3 0 2 , 9 5 5 , 1 0 0 0 S c h o o l
A i d 1 2 , 5 0 5 , 6 5 7 , 2 0 0 0 1 2 , 5 0 5 , 6 5 7 , 2 0 0 1 , 7 0 1 , 0 4 1 , 4 0 0 0 0 1 0 , 7 8 5 , 9 7 3 , 4 0 0 1 8 , 6 4 2 , 4 0 0 1 0 , 8 0 4 , 6 1 5 , 8 0 0 1 0 , 8 4 1 , 6 7 7 , 5 0 0 S u b t o t a l
-
E d u c a t i o n
O m n i b u s 1 4 , 1 9 9 , 7 6 9 , 2 0 0 0 1 4 , 1 9 9 , 7 6 9 , 2 0 0 1 , 7 9 8 , 0 6 7 , 8 0 0 0 0 1 1 , 1 8 4 , 1 5 3 , 2 0 0 1 , 2 1 7 , 5 4 8 , 2 0 0 1 2 , 4 0 1 , 7 0 1 , 4 0 0 1 1 , 1 3 5 , 8 0 8 , 0 0 0 O n e - T i m e
B o i l e r p l a t e
A p p r o p r i a t i o n s 1 8 1 , 3 5 7 , 6 0 0 0 1 8 1 , 3 5 7 , 6 0 0 0 0 0 0 1 8 1 , 3 5 7 , 6 0 0 1 8 1 , 3 5 7 , 6 0 0 0 T o t a l
R E C O M M E N D A T I O N SUMMARY OF EXPENDITURE RECOMMENDATION C-34 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc D E P A R T M E N T / A G E N C Y G R O S S I D G / I D T A D J U S T E D
G R O S S F E D E R A L L O C A L P R I V A T E S T A T E
R E S T R I C T E D G F / G P S T A T E
S P E N D I N G
F R O M
S T A T E
S O U R C E S P A Y M E N T S
T O
L O C A L S A g r i c u l t u r e
&
R u r a l
D e v e l o p m e n t 7 3 , 4 0 0 , 8 0 0 3 1 6 , 9 0 0 7 3 , 0 8 3 , 9 0 0 1 1 , 4 8 8 , 5 0 0 0 1 7 4 , 3 0 0 2 8 , 8 1 3 , 3 0 0 3 2 , 6 0 7 , 8 0 0 6 1 , 4 2 1 , 1 0 0 1 , 5 0 0 , 0 0 0 A t t o r n e y
G e n e r a l 8 5 , 9 4 3 , 9 0 0 2 4 , 4 0 0 , 1 0 0 6 1 , 5 4 3 , 8 0 0 1 0 , 0 7 0 , 4 0 0 0 0 1 7 , 4 3 0 , 9 0 0 3 4 , 0 4 2 , 5 0 0 5 1 , 4 7 3 , 4 0 0 0 C i v i l
R i g h t s 1 4 , 5 2 4 , 0 0 0 0 1 4 , 5 2 4 , 0 0 0 2 , 6 7 8 , 4 0 0 0 1 8 , 7 0 0 1 5 1 , 9 0 0 1 1 , 6 7 5 , 0 0 0 1 1 , 8 2 6 , 9 0 0 0 C o m m u n i t y
H e a l t h 1 5 , 4 6 1 , 1 6 9 , 2 0 0 1 0 , 0 0 4 , 1 0 0 1 5 , 4 5 1 , 1 6 5 , 1 0 0 9 , 9 7 4 , 1 4 7 , 2 0 0 2 5 7 , 1 2 9 , 7 0 0 9 3 , 2 6 3 , 2 0 0 2 , 1 3 2 , 2 6 4 , 3 0 0 2 , 9 9 4 , 3 6 0 , 7 0 0 5 , 1 2 6 , 6 2 5 , 0 0 0 1 , 2 1 2 , 0 0 7 , 9 0 0 C o r r e c t i o n s 2 , 0 8 5 , 2 4 6 , 8 0 0 1 , 0 0 2 , 6 0 0 2 , 0 8 4 , 2 4 4 , 2 0 0 8 , 9 3 1 , 9 0 0 2 6 7 , 8 0 0 0 6 3 , 8 3 8 , 0 0 0 2 , 0 1 1 , 2 0 6 , 5 0 0 2 , 0 7 5 , 0 4 4 , 5 0 0 9 1 , 1 6 6 , 4 0 0 E d u c a t i o n 3 3 1 , 8 1 9 , 7 0 0 0 3 3 1 , 8 1 9 , 7 0 0 2 4 7 , 5 2 6 , 2 0 0 5 , 5 8 9 , 9 0 0 2 , 8 2 8 , 7 0 0 7 , 6 9 2 , 5 0 0 6 8 , 1 8 2 , 4 0 0 7 5 , 8 7 4 , 9 0 0 5 , 4 4 5 , 7 0 0 E n v i r o n m e n t a l
Q u a l i t y 4 2 8 , 4 6 0 , 8 0 0 8 , 9 7 2 , 4 0 0 4 1 9 , 4 8 8 , 4 0 0 1 6 1 , 2 7 1 , 8 0 0 0 5 2 9 , 0 0 0 2 3 1 , 9 5 2 , 3 0 0 2 5 , 7 3 5 , 3 0 0 2 5 7 , 6 8 7 , 6 0 0 2 , 7 7 5 , 0 0 0 E x e c u t i v e
O f f i c e 4 , 8 2 9 , 2 0 0 0 4 , 8 2 9 , 2 0 0 0 0 0 0 4 , 8 2 9 , 2 0 0 4 , 8 2 9 , 2 0 0 0 H u m a n
S e r v i c e s 6 , 5 9 3 , 8 3 4 , 1 0 0 3 1 , 2 4 1 , 7 0 0 6 , 5 6 2 , 5 9 2 , 4 0 0 5 , 3 9 0 , 1 2 5 , 1 0 0 3 3 , 5 4 9 , 2 0 0 1 6 , 3 7 5 , 8 0 0 8 8 , 8 4 7 , 0 0 0 1 , 0 3 3 , 6 9 5 , 3 0 0 1 , 1 2 2 , 5 4 2 , 3 0 0 9 4 , 3 3 9 , 3 0 0 J u d i c i a r y 2 6 7 , 0 0 5 , 7 0 0 2 , 6 3 1 , 7 0 0 2 6 4 , 3 7 4 , 0 0 0 6 , 0 0 5 , 6 0 0 7 , 0 3 5 , 7 0 0 9 1 9 , 7 0 0 8 8 , 5 5 5 , 9 0 0 1 6 1 , 8 5 7 , 1 0 0 2 5 0 , 4 1 3 , 0 0 0 1 1 9 , 8 1 1 , 5 0 0 L e g i s l a t i v e
A u d i t o r
G e n e r a l 1 8 , 9 1 7 , 9 0 0 3 , 8 4 2 , 5 0 0 1 5 , 0 7 5 , 4 0 0 0 0 0 1 , 9 1 8 , 3 0 0 1 3 , 1 5 7 , 1 0 0 1 5 , 0 7 5 , 4 0 0 0 L e g i s l a t u r e 1 0 9 , 5 2 2 , 5 0 0 0 1 0 9 , 5 2 2 , 5 0 0 0 0 4 0 0 , 0 0 0 1 , 1 0 9 , 8 0 0 1 0 8 , 0 1 2 , 7 0 0 1 0 9 , 1 2 2 , 5 0 0 0 L i c e n s i n g
a n d
R e g u l a t o r y
A f f a i r s 8 4 0 , 0 0 5 , 8 0 0 1 3 , 7 7 3 , 7 0 0 8 2 6 , 2 3 2 , 1 0 0 3 9 5 , 1 8 4 , 1 0 0 7 , 1 5 9 , 9 0 0 5 , 4 2 7 , 8 0 0 3 8 2 , 5 1 0 , 9 0 0 3 5 , 9 4 9 , 4 0 0 4 1 8 , 4 6 0 , 3 0 0 2 1 , 6 2 5 , 7 0 0 M i l i t a r y
a n d
V e t e r a n s
A f f a i r s 1 5 5 , 1 2 7 , 9 0 0 1 , 1 6 5 , 8 0 0 1 5 3 , 9 6 2 , 1 0 0 9 1 , 6 9 2 , 9 0 0 7 6 5 , 6 0 0 1 , 4 9 9 , 5 0 0 2 7 , 2 9 1 , 0 0 0 3 2 , 7 1 3 , 1 0 0 6 0 , 0 0 4 , 1 0 0 1 2 0 , 0 0 0 N a t u r a l
C o l l e g e s 2 9 4 , 1 3 0 , 5 0 0 0 2 9 4 , 1 3 0 , 5 0 0 0 0 0 1 9 7 , 6 1 4 , 1 0 0 9 6 , 5 1 6 , 4 0 0 2 9 4 , 1 3 0 , 5 0 0 2 9 4 , 1 3 0 , 5 0 0 U n i v e r s i t i e s
&
F i n a n c i a l
A i d 1 , 4 0 2 , 6 8 9 , 3 0 0 0 1 , 4 0 2 , 6 8 9 , 3 0 0 9 7 , 0 2 6 , 4 0 0 0 0 2 0 0 , 5 6 5 , 7 0 0 1 , 1 0 5 , 0 9 7 , 2 0 0 1 , 3 0 5 , 6 6 2 , 9 0 0 0 S c h o o l
R E C O M M E N D A T I O N BUDGET SCHEDULE BY AGENCY Fiscal Year 2013 and 2014 Executive Budget Recommendation C-35 D E P A R T M E N T / A G E N C Y F Y 1 2 C u r r e n t
L a w * F Y 1 3 B a s e l i n e A d j u s t m e n t s F Y 1 3 B a s e l i n e S p e n d i n g F Y 1 3 G o v e r n o r ' s
R e c o m m e n d e d D i f f e r e n c e
F Y 1 3
G o v e r n o r ' s
R e c . f r o m
F Y 1 2 C u r r e n t
L a w %
C h a n g e
F Y 1 3
G o v e r n o r ' s
R e c . f r o m
F Y 1 2 C u r r e n t
L a w F Y 1 4 G o v e r n o r ' s
R e c o m m e n d e d D i f f e r e n c e
F Y 1 4
G o v e r n o r ' s
R e c . f r o m
F Y 1 3 G o v e r n o r ' s
R e c . %
C h a n g e
F Y 1 4
G o v e r n o r ' s
R e c . f r o m
F Y 1 3 G o v e r n o r ' s
R e c . A g r i c u l t u r e
&
R u r a l
D e v e l o p m e n t 2 8 , 7 0 2 . 7 1 , 2 2 2 . 5 2 9 , 9 2 5 . 2 3 1 , 9 2 5 . 2 3 , 2 2 2 . 5 1 1 . 2 % 3 2 , 6 0 7 . 8 6 8 2 . 6 2 . 1 % A t t o r n e y
G e n e r a l 2 8 , 3 6 7 . 6 3 , 5 2 9 . 6 3 1 , 8 9 7 . 2 3 3 , 2 9 7 . 2 4 , 9 2 9 . 6 1 7 . 4 % 3 4 , 0 4 2 . 5 7 4 5 . 3 2 . 2 % C i v i l
R i g h t s 1 0 , 6 7 9 . 0 4 0 2 . 4 1 1 , 0 8 1 . 4 1 1 , 4 1 6 . 4 7 3 7 . 4 6 . 9 % 1 1 , 6 7 5 . 0 2 5 8 . 6 2 . 3 % C o m m u n i t y
H e a l t h 2 , 9 3 9 , 8 7 4 . 6 ( 1 1 6 , 6 3 1 . 6 ) 2 , 8 2 3 , 2 4 3 . 0 2 , 8 3 5 , 8 4 3 . 2 ( 1 0 4 , 0 3 1 . 4 ) - 3 . 5 % 2 , 9 9 4 , 3 6 0 . 7 1 5 8 , 5 1 7 . 5 5 . 6 % C o r r e c t i o n s 1 , 8 7 4 , 8 3 6 . 2 8 8 , 8 4 6 . 1 1 , 9 6 3 , 6 8 2 . 3 1 , 9 6 8 , 1 8 2 . 3 9 3 , 3 4 6 . 1 5 . 0 % 2 , 0 1 1 , 2 0 6 . 5 4 3 , 0 2 4 . 2 2 . 2 % E d u c a t i o n 6 4 , 0 5 9 . 0 ( 2 , 2 1 4 . 9 ) 6 1 , 8 4 4 . 1 6 7 , 9 2 9 . 1 3 , 8 7 0 . 1 6 . 0 % 6 8 , 1 8 2 . 4 2 5 3 . 3 0 . 4 % E n v i r o n m e n t a l
Q u a l i t y 2 1 , 4 9 1 . 6 1 , 2 0 3 . 3 2 2 , 6 9 4 . 9 2 5 , 2 4 4 . 9 3 , 7 5 3 . 3 1 7 . 5 % 2 5 , 7 3 5 . 3 4 9 0 . 4 1 . 9 % E x e c u t i v e
O f f i c e 4 , 5 9 9 . 2 2 3 0 . 0 4 , 8 2 9 . 2 4 , 8 2 9 . 2 2 3 0 . 0 5 . 0 % 4 , 8 2 9 . 2 0 . 0 0 . 0 % H u m a n
S e r v i c e s 1 , 0 2 4 , 6 3 9 . 4 ( 1 0 , 7 9 0 . 1 ) 1 , 0 1 3 , 8 4 9 . 3 1 , 0 2 0 , 8 5 9 . 6 ( 3 , 7 7 9 . 8 ) - 0 . 4 % 1 , 0 3 3 , 6 9 5 . 3 1 2 , 8 3 5 . 7 1 . 3 % J u d i c i a r y 1 5 2 , 5 3 4 . 3 6 , 5 0 2 . 3 1 5 9 , 0 3 6 . 6 1 6 0 , 3 7 9 . 5 7 , 8 4 5 . 2 5 . 1 % 1 6 1 , 8 5 7 . 1 1 , 4 7 7 . 6 0 . 9 % L e g i s l a t i v e
A u d i t o r
G e n e r a l 1 0 , 9 9 0 . 9 1 , 4 8 9 . 2 1 2 , 4 8 0 . 1 1 2 , 8 2 0 . 1 1 , 8 2 9 . 2 1 0 . 3 % 1 3 , 1 5 7 . 1 3 3 7 . 0 2 . 6 % L e g i s l a t u r e 9 9 , 0 4 3 . 4 4 , 0 9 1 . 4 1 0 3 , 1 3 4 . 8 1 0 8 , 0 1 2 . 7 8 , 9 6 9 . 3 5 . 0 % 1 0 8 , 0 1 2 . 7 0 . 0 0 . 0 % L i c e n s i n g
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R e g u l a t o r y
A f f a i r s 4 1 , 0 7 2 . 8 ( 7 , 1 7 9 . 4 ) 3 3 , 8 9 3 . 4 3 5 , 3 9 3 . 4 ( 5 , 6 7 9 . 4 ) - 1 3 . 8 % 3 5 , 9 4 9 . 4 5 5 6 . 0 1 . 6 % M i l i t a r y
a n d
V e t e r a n s
A f f a i r s 3 3 , 0 4 4 . 9 ( 3 , 2 6 7 . 4 ) 2 9 , 7 7 7 . 5 3 2 , 1 7 7 . 5 ( 8 6 7 . 4 ) - 2 . 6 % 3 2 , 7 1 3 . 1 5 3 5 . 6 1 . 7 % N a t u r a l
R e s o u r c e s 1 3 , 8 3 1 . 2 2 1 0 . 5 1 4 , 0 4 1 . 7 1 9 , 5 4 1 . 7 5 , 7 1 0 . 5 4 1 . 3 % 1 9 , 8 4 4 . 2 3 0 2 . 5 1 . 5 % S t a t e 1 1 , 2 8 6 . 2 2 , 3 2 0 . 2 1 3 , 6 0 6 . 4 1 3 , 6 0 6 . 4 2 , 3 2 0 . 2 2 0 . 6 % 1 3 , 8 4 1 . 2 2 3 4 . 8 1 . 7 % S t a t e
P o l i c e 2 6 4 , 6 7 6 . 0 2 4 , 1 7 8 . 8 2 8 8 , 8 5 4 . 8 3 1 2 , 4 3 2 . 5 4 7 , 7 5 6 . 5 1 8 . 0 % 3 2 0 , 6 2 4 . 2 8 , 1 9 1 . 7 2 . 6 % T e c h n o l o g y ,
M a n a g e m e n t
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B u d g e t 5 3 , 9 8 7 . 2 8 , 2 6 4 . 4 6 2 , 2 5 1 . 6 7 7 , 2 5 3 . 4 2 3 , 2 6 6 . 2 4 3 . 1 % 8 0 , 6 3 5 . 3 3 , 3 8 1 . 9 4 . 4 % I n f o r m a t i o n
T e c h n o l o g y
I n v e s t m e n t s 0 . 0 0 . 0 0 . 0 5 0 , 0 0 0 . 0 5 0 , 0 0 0 . 0 0 . 0 % 5 0 , 0 0 0 . 0 0 . 0 0 . 0 % S t a t e
B u i l d i n g
A u t h o r i t y 2 5 6 , 8 7 0 . 6 0 . 0 2 5 6 , 8 7 0 . 6 2 5 6 , 8 7 0 . 6 0 . 0 0 . 0 % 2 5 6 , 8 7 0 . 6 0 . 0 0 . 0 % T r a n s p o r t a t i o n 0 . 0 0 . 0 0 . 0 0 . 0 0 . 0 0 . 0 % 0 . 0 0 . 0 0 . 0 % T r e a s u r y O p e r a t i o n s 6 7 , 5 9 8 . 9 ( 6 , 1 7 8 . 6 ) 6 1 , 4 2 0 . 3 6 7 , 6 2 0 . 3 2 1 . 4 0 . 0 % 6 8 , 4 2 6 . 4 8 0 6 . 1 1 . 2 % D e b t
S e r v i c e 1 2 5 , 4 1 3 . 5 ( 3 7 3 . 1 ) 1 2 5 , 0 4 0 . 4 1 3 5 , 0 4 0 . 4 9 , 6 2 6 . 9 7 . 7 % 1 5 4 , 4 4 9 . 5 1 9 , 4 0 9 . 1 1 4 . 4 % M i c h i g a n
S t r a t e g i c
F u n d 5 8 , 9 6 3 . 7 1 , 0 1 4 . 4 5 9 , 9 7 8 . 1 1 2 8 , 5 6 0 . 7 6 9 , 5 9 7 . 0 1 1 8 . 0 % 1 2 8 , 9 4 5 . 2 3 8 4 . 5 0 . 3 % R e v e n u e
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I n c e n t i v e
G r a n t s 0 . 0 0 . 0 0 . 0 0 . 0 0 . 0 0 . 0 % 0 . 0 0 . 0 0 . 0 % S u b t o t a l
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N o n - E d u c a t i o n
O m n i b u s 7 , 1 8 6 , 5 6 2 . 9 ( 3 , 1 3 0 . 0 ) 7 , 1 8 3 , 4 3 2 . 9 7 , 4 0 9 , 2 3 6 . 3 2 2 2 , 6 7 3 . 4 3 . 1 % 7 , 6 6 1 , 6 6 0 . 7 2 5 2 , 4 2 4 . 4 3 . 4 % O n e - T i m e
B o i l e r p l a t e
A p p r o p r i a t i o n s 4 2 5 , 4 5 0 . 0 0 . 0 4 2 5 , 4 5 0 . 0 3 4 3 , 8 1 7 . 1 ( 8 1 , 6 3 2 . 9 ) - 1 9 . 2 % 0 . 0 0 . 0 0 . 0 % T o t a l
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N o n - E d u c a t i o n
O m n i b u s $ 7 , 6 1 2 , 0 1 2 . 9 ( $ 3 , 1 3 0 . 0 ) $ 7 , 6 0 8 , 8 8 2 . 9 $ 7 , 7 5 3 , 0 5 3 . 4 $ 1 4 1 , 0 4 0 . 5 1 . 9 % $ 7 , 6 6 1 , 6 6 0 . 7 $ 2 5 2 , 4 2 4 . 4 3 . 3 % H i g h e r
E d u c a t i o n C o m m u n i t y
C o l l e g e s 8 8 , 0 0 0 . 0 0 . 0 8 8 , 0 0 0 . 0 9 6 , 5 1 6 . 4 8 , 5 1 6 . 4 9 . 7 % 9 6 , 5 1 6 . 4 0 . 0 0 . 0 % U n i v e r s i t i e s
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F i n a n c i a l
A i d 1 , 0 6 3 , 7 3 2 . 5 2 , 4 3 9 . 9 1 , 0 6 6 , 1 7 2 . 4 1 , 1 0 2 , 3 8 9 . 4 3 8 , 6 5 6 . 9 3 . 6 % 1 , 1 0 5 , 0 9 7 . 2 2 , 7 0 7 . 8 0 . 2 % S c h o o l
A i d 1 8 , 6 4 2 . 4 0 . 0 1 8 , 6 4 2 . 4 1 8 , 6 4 2 . 4 0 . 0 0 . 0 % 1 8 , 6 4 2 . 4 0 . 0 0 . 0 % S u b t o t a l
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E d u c a t i o n
O m n i b u s 1 , 1 7 0 , 3 7 4 . 9 2 , 4 3 9 . 9 1 , 1 7 2 , 8 1 4 . 8 1 , 2 1 7 , 5 4 8 . 2 4 7 , 1 7 3 . 3 4 . 0 % 1 , 2 2 0 , 2 5 6 . 0 2 , 7 0 7 . 8 0 . 2 % O n e - T i m e
B o i l e r p l a t e
A p p r o p r i a t i o n s 1 0 1 , 9 0 0 . 0 0 . 0 1 0 1 , 9 0 0 . 0 1 8 1 , 3 5 7 . 6 7 9 , 4 5 7 . 6 7 8 . 0 % 0 . 0 0 . 0 0 . 0 % T o t a l
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E d u c a t i o n
O m n i b u s $ 1 , 2 7 2 , 2 7 4 . 9 $ 2 , 4 3 9 . 9 $ 1 , 2 7 4 , 7 1 4 . 8 $ 1 , 3 9 8 , 9 0 5 . 8 1 2 6 , 6 3 0 . 9 1 0 . 0 % $ 1 , 2 2 0 , 2 5 6 . 0 $ 2 , 7 0 7 . 8 0 . 2 % G R A N D
T O T A L $ 8 , 8 8 4 , 2 8 7 . 8 ( $ 6 9 0 . 1 ) $ 8 , 8 8 3 , 5 9 7 . 7 $ 9 , 1 5 1 , 9 5 9 . 2 2 6 7 , 6 7 1 . 4 3 . 0 % $ 8 , 8 8 1 , 9 1 6 . 7 $ 2 5 5 , 1 3 2 . 2 2 . 8 % * A d j u s t e d
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R u r a l
D e v e l o p m e n t 7 2 , 2 1 9 . 3 ( 2 , 1 7 5 . 0 ) 7 0 , 0 4 4 . 3 7 2 , 0 4 4 . 3 ( 1 7 5 . 0 ) - 0 . 2 % 7 3 , 4 0 0 . 8 1 , 3 5 6 . 5 1 . 9 % A t t o r n e y
G e n e r a l 7 4 , 5 9 0 . 9 7 , 9 3 0 . 4 8 2 , 5 2 1 . 3 8 3 , 9 2 1 . 3 9 , 3 3 0 . 4 1 2 . 5 % 8 5 , 9 4 3 . 9 2 , 0 2 2 . 6 2 . 4 % C i v i l
R i g h t s 1 3 , 7 3 0 . 2 ( 3 4 . 3 ) 1 3 , 6 9 5 . 9 1 4 , 2 0 3 . 7 4 7 3 . 5 3 . 4 % 1 4 , 5 2 4 . 0 3 2 0 . 3 2 . 3 % C o m m u n i t y
H e a l t h 1 4 , 5 6 1 , 7 6 2 . 5 1 4 3 , 9 9 0 . 6 1 4 , 7 0 5 , 7 5 3 . 1 1 5 , 0 4 5 , 7 4 4 . 8 4 8 3 , 9 8 2 . 3 3 . 3 % 1 5 , 4 6 1 , 1 6 9 . 2 4 1 5 , 4 2 4 . 4 2 . 8 % C o r r e c t i o n s 1 , 9 3 6 , 5 7 3 . 8 8 9 , 8 8 6 . 7 2 , 0 2 6 , 4 6 0 . 5 2 , 0 5 0 , 1 4 2 . 5 1 1 3 , 5 6 8 . 7 5 . 9 % 2 , 0 8 5 , 2 4 6 . 8 3 5 , 1 0 4 . 3 1 . 7 % E d u c a t i o n 3 2 3 , 5 9 8 . 8 2 , 6 4 4 . 8 3 2 6 , 2 4 3 . 6 3 3 0 , 3 2 8 . 6 6 , 7 2 9 . 8 2 . 1 % 3 3 1 , 8 1 9 . 7 1 , 4 9 1 . 1 0 . 5 % E n v i r o n m e n t a l
Q u a l i t y 4 1 4 , 5 2 0 . 0 ( 4 , 0 1 9 . 9 ) 4 1 0 , 5 0 0 . 1 4 2 5 , 9 7 9 . 0 1 1 , 4 5 9 . 0 2 . 8 % 4 2 8 , 4 6 0 . 8 2 , 4 8 1 . 8 0 . 6 % E x e c u t i v e
O f f i c e 4 , 5 9 9 . 2 2 3 0 . 0 4 , 8 2 9 . 2 4 , 8 2 9 . 2 2 3 0 . 0 5 . 0 % 4 , 8 2 9 . 2 0 . 0 0 . 0 % H u m a n
S e r v i c e s 6 , 6 8 6 , 8 4 6 . 9 ( 1 2 8 , 9 0 9 . 7 ) 6 , 5 5 7 , 9 3 7 . 2 6 , 5 7 6 , 6 4 4 . 9 ( 1 1 0 , 2 0 2 . 0 ) - 1 . 6 % 6 , 5 9 3 , 8 3 4 . 1 1 7 , 1 8 9 . 2 0 . 3 % J u d i c i a r y 2 5 6 , 9 7 3 . 2 7 , 0 8 1 . 7 2 6 4 , 0 5 4 . 9 2 6 5 , 3 9 7 . 8 8 , 4 2 4 . 6 3 . 3 % 2 6 7 , 0 0 5 . 7 1 , 6 0 7 . 9 0 . 6 % L e g i s l a t i v e
A u d i t o r
G e n e r a l 1 6 , 0 3 2 . 3 2 , 3 8 4 . 5 1 8 , 4 1 6 . 8 1 8 , 4 1 6 . 8 2 , 3 8 4 . 5 8 . 5 % 1 8 , 9 1 7 . 9 5 0 1 . 1 2 . 7 % L e g i s l a t u r e 1 0 0 , 8 0 3 . 2 3 , 8 4 1 . 4 1 0 4 , 6 4 4 . 6 1 0 9 , 5 2 2 . 5 8 , 7 1 9 . 3 4 . 7 % 1 0 9 , 5 2 2 . 5 0 . 0 0 . 0 % L i c e n s i n g
a n d
R e g u l a t o r y
A f f a i r s 8 3 4 , 4 9 0 . 4 ( 6 9 , 0 9 8 . 6 ) 7 6 5 , 3 9 1 . 8 8 2 7 , 4 7 6 . 8 ( 7 , 0 1 3 . 6 ) - 0 . 8 % 8 4 0 , 0 0 5 . 8 1 2 , 5 2 9 . 0 1 . 5 % M i l i t a r y
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V e t e r a n s
A f f a i r s 1 5 2 , 4 8 3 . 5 ( 2 , 4 0 2 . 2 ) 1 5 0 , 0 8 1 . 3 1 6 4 , 7 3 1 . 3 1 2 , 2 4 7 . 8 8 . 0 % 1 5 5 , 1 2 7 . 9 ( 9 , 6 0 3 . 4 ) - 5 . 8 % N a t u r a l
R e s o u r c e s 3 3 0 , 1 9 5 . 8 ( 4 7 7 . 4 ) 3 2 9 , 7 1 8 . 4 3 3 7 , 8 6 9 . 5 7 , 6 7 3 . 7 2 . 3 % 3 3 9 , 9 5 8 . 5 2 , 0 8 9 . 0 0 . 6 % S t a t e 2 1 1 , 8 8 5 . 0 6 , 2 4 3 . 1 2 1 8 , 1 2 8 . 1 2 1 9 , 1 2 8 . 1 7 , 2 4 3 . 1 3 . 4 % 2 2 3 , 1 3 2 . 4 4 , 0 0 4 . 3 1 . 8 % S t a t e
P o l i c e 5 2 4 , 2 8 2 . 7 1 9 , 4 4 0 . 7 5 4 3 , 7 2 3 . 4 5 6 7 , 5 5 0 . 1 4 3 , 2 6 7 . 4 8 . 3 % 5 7 9 , 2 6 0 . 6 1 1 , 7 1 0 . 5 2 . 1 % T e c h n o l o g y ,
M a n a g e m e n t
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B u d g e t 7 6 0 , 3 1 3 . 7 3 4 , 0 2 1 . 6 7 9 4 , 3 3 5 . 3 8 1 0 , 4 2 2 . 8 5 0 , 1 0 9 . 1 6 . 6 % 8 1 9 , 7 9 7 . 7 9 , 3 7 4 . 9 1 . 2 % I n f o r m a t i o n
T e c h n o l o g y
I n v e s t m e n t s 0 . 0 0 . 0 0 . 0 5 0 , 0 0 0 . 0 5 0 , 0 0 0 . 0 0 . 0 % 5 0 , 0 0 0 . 0 0 . 0 0 . 0 % S t a t e
B u i l d i n g
A u t h o r i t y 2 5 6 , 8 7 0 . 6 0 . 0 2 5 6 , 8 7 0 . 6 2 5 6 , 8 7 0 . 6 0 . 0 0 . 0 % 2 5 6 , 8 7 0 . 6 0 . 0 0 . 0 % T r a n s p o r t a t i o n 3 , 3 2 7 , 7 7 0 . 7 2 , 0 5 8 . 8 3 , 3 2 9 , 8 2 9 . 5 3 , 3 2 9 , 8 2 9 . 5 2 , 0 5 8 . 8 0 . 1 % 3 , 3 2 1 , 9 7 9 . 2 ( 7 , 8 5 0 . 3 ) - 0 . 2 % T r e a s u r y O p e r a t i o n s 4 5 2 , 0 7 4 . 6 6 , 1 7 7 . 5 4 5 8 , 2 5 2 . 1 4 6 6 , 8 3 2 . 3 1 4 , 7 5 7 . 7 3 . 3 % 4 7 2 , 6 2 2 . 8 5 , 7 9 0 . 5 1 . 2 % D e b t
S e r v i c e 1 4 0 , 9 2 8 . 0 ( 3 7 3 . 1 ) 1 4 0 , 5 5 4 . 9 1 4 0 , 5 5 4 . 9 ( 3 7 3 . 1 ) - 0 . 3 % 1 5 9 , 9 6 4 . 0 1 9 , 4 0 9 . 1 1 3 . 8 % M i c h i g a n
S t r a t e g i c
F u n d 9 0 8 , 8 1 8 . 9 ( 3 6 , 2 8 8 . 1 ) 8 7 2 , 5 3 0 . 8 9 4 1 , 1 1 3 . 4 3 2 , 2 9 4 . 5 3 . 6 % 9 4 3 , 5 0 2 . 2 2 , 3 8 8 . 8 0 . 3 % R e v e n u e
S h a r i n g
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I n c e n t i v e
G r a n t s 9 9 7 , 5 0 0 . 5 2 4 , 2 1 9 . 2 1 , 0 2 1 , 7 1 9 . 7 1 , 0 5 1 , 7 1 9 . 7 5 4 , 2 1 9 . 2 5 . 4 % 1 , 0 8 0 , 7 1 6 . 0 2 8 , 9 9 6 . 3 2 . 8 % S u b t o t a l
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N o n - E d u c a t i o n
O m n i b u s 3 3 , 3 5 9 , 8 6 4 . 7 1 0 6 , 3 7 2 . 7 3 3 , 4 6 6 , 2 3 7 . 4 3 4 , 1 6 1 , 2 7 4 . 4 8 0 1 , 4 0 9 . 7 2 . 4 % 3 4 , 7 1 7 , 6 1 2 . 3 5 5 6 , 3 3 7 . 9 1 . 6 % O n e - T i m e
B o i l e r p l a t e
A p p r o p r i a t i o n s 4 6 2 , 1 7 7 . 9 0 . 0 4 6 2 , 1 7 7 . 9 4 3 3 , 4 3 2 . 8 ( 2 8 , 7 4 5 . 1 ) - 6 . 2 % 0 . 0 0 . 0 0 . 0 % T o t a l
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N o n - E d u c a t i o n
O m n i b u s $ 3 3 , 8 2 2 , 0 4 2 . 6 $ 1 0 6 , 3 7 2 . 7 $ 3 3 , 9 2 8 , 4 1 5 . 3 $ 3 4 , 5 9 4 , 7 0 7 . 2 $ 7 7 2 , 6 6 4 . 6 2 . 3 % $ 3 4 , 7 1 7 , 6 1 2 . 3 $ 5 5 6 , 3 3 7 . 9 1 . 6 % H i g h e r
E d u c a t i o n C o m m u n i t y
C o l l e g e s 2 8 3 , 8 8 0 . 5 0 . 0 2 8 3 , 8 8 0 . 5 2 9 4 , 1 3 0 . 5 1 0 , 2 5 0 . 0 3 . 6 % 2 9 4 , 1 3 0 . 5 0 . 0 0 . 0 % U n i v e r s i t i e s
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F i n a n c i a l
A i d 1 , 3 6 2 , 2 7 8 . 4 1 , 0 3 9 . 9 1 , 3 6 3 , 3 1 8 . 3 1 , 3 9 9 , 9 8 1 . 5 3 7 , 7 0 3 . 1 2 . 8 % 1 , 4 0 2 , 6 8 9 . 3 2 , 7 0 7 . 8 0 . 2 % S c h o o l
A i d 1 2 , 1 9 8 , 7 9 5 . 0 7 6 , 1 1 2 . 2 1 2 , 2 7 4 , 9 0 7 . 2 1 2 , 5 0 5 , 6 5 7 . 2 3 0 6 , 8 6 2 . 2 2 . 5 % 1 2 , 6 0 3 , 6 3 4 . 8 9 7 , 9 7 7 . 6 0 . 8 % S u b t o t a l
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E d u c a t i o n
O m n i b u s 1 3 , 8 4 4 , 9 5 3 . 9 7 7 , 1 5 2 . 1 1 3 , 9 2 2 , 1 0 6 . 0 1 4 , 1 9 9 , 7 6 9 . 2 3 5 4 , 8 1 5 . 3 2 . 6 % 1 4 , 3 0 0 , 4 5 4 . 6 1 0 0 , 6 8 5 . 4 0 . 7 % O n e - T i m e
B o i l e r p l a t e
A p p r o p r i a t i o n s 4 8 6 , 3 1 2 . 8 0 . 0 4 8 6 , 3 1 2 . 8 1 8 1 , 3 5 7 . 6 ( 3 0 4 , 9 5 5 . 2 ) - 6 2 . 7 % 0 . 0 0 . 0 0 . 0 % T o t a l
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E d u c a t i o n
O m n i b u s $ 1 4 , 3 3 1 , 2 6 6 . 7 $ 7 7 , 1 5 2 . 1 $ 1 4 , 4 0 8 , 4 1 8 . 8 $ 1 4 , 3 8 1 , 1 2 6 . 8 4 9 , 8 6 0 . 1 0 . 3 % $ 1 4 , 3 0 0 , 4 5 4 . 6 $ 1 0 0 , 6 8 5 . 4 0 . 7 % G R A N D
T O T A L $ 4 8 , 1 5 3 , 3 0 9 . 3 $ 1 8 3 , 5 2 4 . 8 $ 4 8 , 3 3 6 , 8 3 4 . 1 $ 4 8 , 9 7 5 , 8 3 4 . 0 8 2 2 , 5 2 4 . 7 1 . 7 % $ 4 9 , 0 1 8 , 0 6 6 . 9 $ 6 5 7 , 0 2 3 . 3 1 . 3 % * A d j u s t e d
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P r o g r a m
T r a n s f e r s A L L
F U N D S ( $
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T h o u s a n d s ) HISTORICAL EXPENDITURES/APPROPRIATIONS Fiscal Years 2013 and 2014 Executive Budget Recommendation C-37 D E P A R T M E N T / A G E N C Y F Y
2 0 0 5 E x p e n d i t u r e s F Y
2 0 0 6 E x p e n d i t u r e s F Y
2 0 0 7 E x p e n d i t u r e s F Y
2 0 0 8 E x p e n d i t u r e s F Y
2 0 0 9 E x p e n d i t u r e s F Y
2 0 1 0 E x p e n d i t u r e s F Y
2 0 1 1 E x p e n d i t u r e s 1 F Y
2 0 1 2 C u r r e n t
L a w F Y
2 0 1 3 E x e c u t i v e
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R e c o m m e n d a t i o n A g r i c u l t u r e
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R u r a l
D e v e l o p m e n t 3 0 , 3 7 1 , 7 4 8 2 8 , 6 4 2 , 1 3 7 2 8 , 8 3 0 , 5 4 1 3 1 , 3 4 3 , 6 4 1 2 8 , 7 8 9 , 2 9 3 2 9 , 4 9 1 , 6 8 6 2 8 , 7 4 3 , 0 9 1 2 8 , 7 0 2 , 7 0 0 3 1 , 9 2 5 , 2 0 0 3 2 , 6 0 7 , 8 0 0 A t t o r n e y
G e n e r a l 3 0 , 5 9 7 , 5 3 8 3 2 , 3 0 1 , 4 5 1 3 0 , 3 3 9 , 0 2 2 3 1 , 4 7 9 , 0 2 9 3 0 , 4 0 2 , 8 4 7 2 8 , 4 3 1 , 4 8 4 2 6 , 6 0 6 , 3 0 7 2 8 , 3 6 7 , 6 0 0 3 3 , 2 9 7 , 2 0 0 3 4 , 0 4 2 , 5 0 0 C a p i t a l
O u t l a y 2 2 4 4 , 1 7 7 , 8 2 5 7 , 4 9 7 , 9 0 8 2 3 5 , 3 5 8 , 4 9 2 2 2 0 , 4 2 1 , 2 8 6 2 3 1 , 6 2 2 , 6 9 1 2 3 0 , 8 8 5 , 8 6 2 2 3 3 , 7 6 7 , 2 2 0 0 0 0 C i v i l
R i g h t s 1 1 , 4 3 4 , 9 4 3 1 2 , 0 7 3 , 5 5 2 1 1 , 4 4 5 , 4 3 0 1 1 , 7 7 1 , 1 6 1 1 1 , 5 7 3 , 3 3 5 9 , 7 8 8 , 7 4 4 9 , 9 7 5 , 0 1 8 1 0 , 6 7 9 , 0 0 0 1 1 , 4 1 6 , 4 0 0 1 1 , 6 7 5 , 0 0 0 C i v i l
S e r v i c e 6 , 8 8 5 , 6 2 2 6 , 5 1 6 , 5 1 8 5 , 8 4 7 , 2 9 0 5 , 5 9 0 , 4 3 3 C o m m u n i t y
Q u a l i t y 3 1 , 4 4 4 , 5 8 4 3 1 , 2 7 7 , 5 6 0 3 0 , 5 3 0 , 5 5 1 4 2 , 4 5 2 , 2 0 8 3 8 , 4 6 7 , 0 5 7 2 4 , 3 1 5 , 3 1 7 2 1 , 4 9 1 , 6 0 0 2 5 , 2 4 4 , 9 0 0 2 5 , 7 3 5 , 3 0 0 E x e c u t i v e
O f f i c e 5 , 1 6 3 , 4 5 4 5 , 3 1 1 , 8 6 7 5 , 1 3 4 , 3 4 6 5 , 1 7 0 , 3 7 1 4 , 9 7 7 , 8 6 7 4 , 6 7 6 , 3 9 1 4 , 5 1 2 , 1 3 5 4 , 5 9 9 , 2 0 0 4 , 8 2 9 , 2 0 0 4 , 8 2 9 , 2 0 0 H i g h e r
E d u c a t i o n C o m m u n i t y
C o l l e g e s 2 9 4 , 1 0 5 , 8 5 1 2 8 1 , 2 3 0 , 3 7 5 2 4 7 , 6 6 5 , 1 8 1 3 1 8 , 9 3 8 , 4 6 5 2 9 8 , 9 6 6 , 9 8 9 9 0 , 6 2 5 , 4 3 5 2 9 5 , 8 8 0 , 5 0 0 8 8 , 0 0 0 , 0 0 0 9 6 , 5 1 6 , 4 0 0 9 6 , 5 1 6 , 4 0 0 C o l l e g e s
&
U n i v e r s i t i e s 1 , 6 2 5 , 8 9 6 , 3 2 2 1 , 5 7 6 , 7 2 5 , 6 0 2 1 , 3 6 4 , 7 9 1 , 3 3 0 1 , 6 7 0 , 7 0 4 , 2 1 5 1 , 5 4 3 , 7 2 4 , 4 7 4 1 , 4 5 6 , 6 4 0 , 5 0 0 1 , 4 8 2 , 2 6 0 , 6 0 0 1 , 0 6 3 , 7 3 2 , 5 0 0 1 , 1 0 2 , 3 8 9 , 4 0 0 1 , 1 0 5 , 0 9 7 , 2 0 0 F i n a n c i a l
A i d 3 , 5 4 0 , 2 7 3 3 , 7 2 8 , 2 4 8 H i s t o r y ,
A r t s
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L i b r a r i e s 4 5 , 1 9 6 , 0 1 1 4 1 , 8 4 6 , 7 9 2 3 8 , 3 3 0 , 4 6 9 3 8 , 7 7 3 , 7 1 1 3 8 , 4 2 6 , 8 9 0 4 8 , 0 7 4 H u m a n
S e r v i c e s 1 , 1 0 8 , 1 4 6 , 4 6 0 1 , 1 6 6 , 3 5 9 , 3 2 7 1 , 2 2 0 , 3 4 3 , 3 3 6 1 , 3 1 4 , 6 7 5 , 7 4 6 1 , 1 8 8 , 6 1 7 , 8 9 0 8 6 1 , 8 7 2 , 4 7 5 9 1 5 , 6 0 3 , 7 7 0 1 , 0 2 4 , 6 3 9 , 4 0 0 1 , 0 2 0 , 8 5 9 , 6 0 0 1 , 0 3 3 , 6 9 5 , 3 0 0 I n f o r m a t i o n
T e c h n o l o g y 0 0 0 0 0 J u d i c i a r y 1 6 0 , 2 6 2 , 5 1 7 1 5 6 , 8 4 2 , 1 4 6 1 5 7 , 5 6 4 , 0 0 0 1 5 7 , 6 9 0 , 1 3 7 1 5 6 , 3 0 4 , 2 5 4 1 5 2 , 2 5 2 , 5 0 4 1 4 7 , 9 3 6 , 6 5 5 1 5 2 , 5 3 4 , 3 0 0 1 6 0 , 3 7 9 , 5 0 0 1 6 1 , 8 5 7 , 1 0 0 L e g i s l a t i v e
A u d i t o r
G e n e r a l 1 1 , 3 7 7 , 7 8 8 1 2 , 5 6 3 , 4 2 8 1 1 , 5 4 1 , 8 6 7 1 2 , 2 1 6 , 5 3 5 1 2 , 0 2 5 , 8 3 1 1 1 , 5 6 5 , 9 1 2 1 0 , 9 7 1 , 0 5 2 1 0 , 9 9 0 , 9 0 0 1 2 , 8 2 0 , 1 0 0 1 3 , 1 5 7 , 1 0 0 L e g i s l a t u r e 1 0 5 , 8 5 9 , 2 0 3 1 1 0 , 9 5 0 , 6 3 5 1 1 4 , 0 0 6 , 0 5 9 1 1 1 , 8 9 8 , 0 5 4 1 0 8 , 5 3 8 , 1 9 1 1 0 4 , 2 8 4 , 9 3 8 1 0 4 , 4 7 5 , 0 8 3 9 9 , 0 4 3 , 4 0 0 1 0 8 , 0 1 2 , 7 0 0 1 0 8 , 0 1 2 , 7 0 0 L i c e n s i n g
&
R e g u l a t o r y
A f f a i r s 4 5 , 3 3 7 , 1 0 1 4 2 , 9 2 1 , 1 4 8 3 9 , 9 9 2 , 1 6 5 4 4 , 3 1 8 , 7 2 7 5 9 , 3 1 6 , 4 7 3 4 5 , 2 8 8 , 6 4 1 5 5 , 5 4 5 , 2 0 2 4 1 , 0 7 2 , 8 0 0 3 5 , 3 9 3 , 4 0 0 3 5 , 9 4 9 , 4 0 0 M a n a g e m e n t
a n d
B u d g e t 3 4 , 0 7 7 , 7 5 7 3 3 , 7 6 3 , 1 0 7 3 2 , 8 5 4 , 1 5 7 3 7 , 0 1 6 , 9 8 9 5 7 , 9 0 2 , 8 9 0 M i c h i g a n
S t r a t e g i c
F u n d 5 3 , 6 9 7 , 5 3 5 3 2 , 9 7 1 , 5 4 4 2 9 , 2 4 9 , 9 2 3 3 2 , 9 6 2 , 4 4 8 2 7 , 7 0 4 , 0 7 2 2 6 , 9 8 9 , 3 2 8 3 2 , 1 0 4 , 4 6 5 5 8 , 9 6 3 , 7 0 0 1 2 8 , 5 6 0 , 7 0 0 1 2 8 , 9 4 5 , 2 0 0 M i l i t a r y
a n d
V e t e r a n s
A f f a i r s 3 6 , 8 9 7 , 3 4 5 3 9 , 4 1 8 , 5 2 8 3 7 , 7 7 1 , 2 0 9 3 9 , 5 3 8 , 4 7 1 3 6 , 8 6 9 , 7 9 1 3 5 , 2 2 4 , 0 2 4 3 5 , 4 1 3 , 1 8 7 3 3 , 0 4 4 , 9 0 0 3 2 , 1 7 7 , 5 0 0 3 2 , 7 1 3 , 1 0 0 N a t u r a l
R e s o u r c e s 2 8 , 7 0 6 , 1 0 6 2 6 , 0 1 0 , 5 6 4 3 1 , 8 4 3 , 3 9 4 2 3 , 6 7 9 , 6 0 9 9 , 8 6 5 , 5 3 8 1 5 , 4 1 7 , 7 4 0 1 3 , 8 3 1 , 2 0 0 1 9 , 5 4 1 , 7 0 0 1 9 , 8 4 4 , 2 0 0 N a t u r a l
R e s o u r c e s
&
E n v i r o n m e n t 4 4 , 0 2 0 , 3 6 0 S c h o o l
E X P E N D I T U R E S / A P P R O P R I A T I O N S A L L
F U N D S GEORGE W. ROMNEY BUILDING 111 SOUTH CAPITOL AVENUE LANSING, MICHIGAN 48909 .www.michigan.gov
February 9, 2012
Ladies and Gentlemen of the Legislature and Citizens of the State of Michigan:
Article XI, Section 5, of the Michigan Constitution of 1963, requires the Civil Service Commission to provide notice to the Governor of increases in rates of compensation authorized by the Commission. The attached summary of costs associated with fiscal year 2013 compensation increases was prepared by the Office of the State Employer. The total additional cost is estimated to be approximately $124.4 million.
Sincerely,
Rick Snyder Governor
Attachment
STATE OF MICHIGAN RICK SNYDER OFFICE OF THE GOVERNOR BRIAN CALLEY GOVERNOR LANSING LT. GOVERNOR
Fiscal Year 2013 and 2014 Executive Budget Recommendation C-41 S u m m a r y M i c h i g a n
S t a t e
C l a s s i f i e d
S e r v i c e F i s c a l
Y e a r
2 0 1 3 ( 1 0 / 1 / 2 0 1 2
-
9 / 3 0 / 2 0 1 3 ) A - 0 2 M S E A S a f .
&
R e g . 1 A - 3 1 M S E A L a b o r
&
T r a d e s 1 C - 1 2 M C O S e c u r i t y 1 E - 4 2 S E I U
5 1 7 M H u m a n
S r v . S u p p o r t 1 H - 2 1 S E I U
5 1 7 M S c i e n t i f i c
& E n g i n e e r i n g 1
L - 3 2 S E I U
5 1 7 M T e c h n i c a l 1 T - 0 1 M S P T A S t a t e
P o l i c e E n l i s t e d 1 0 U - 1 1 A F S C M E I n s t i t u t i o n a l 1 W - 2 2
U A W H u m a n
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S u p t . 1
M S C ' s & N E R E ' s 2 T O T A L A L L U N I T S 3
r a t e ) . LEGISLATION NEEDED Fiscal Years 2013 and 2014 Executive Budget Recommendation C-43 LEGISLATION NEEDED TO IMPLEMENT FISCAL YEAR 2013 BUDGET RECOMMENDATION DEPARTMENT PURPOSE MICHIGAN COMPILED LAW (MCL) BEING AMENDED Agriculture and Rural Development Maintain nursery license fee 286.209 Maintain pesticide applicator fee 324.8317 Maintain livestock dealer fee 287.123 Capital Outlay Capital Outlay process reform 18.1237a, 830.413 Community Health Implement comprehensive estate recovery program 400.112g - j, 700.3983 Update Medicaid preferred drug list 400.109h, 333.9709 Airport parking tax adjustments related to health care 207.377a Corrections Eliminate Special Alternative Incarceration Program sunset 791.234a(13) Environmental Quality Extend Refined Petroleum Fund sunset 324.21550 Adjust large quantity water withdrawal fee and exemptions 324.32707 Human Services Implement case management stratification 408.115, 408.123, 400.57a,b Legislature Implement single statewide audit 18.1461 Licensing and Regulatory Affairs
Maintain Business Corporation Act reporting fee 450.2060 Maintain Nonprofit Corporation Act reporting fee 450.3060 Maintain electrician examination and license fees 338.883 Maintain plumber examination and license fees 338.3541, 338.3545 Maintain Limited Liability Company annual resident agent/registered office fee 450.5101 LEGISLATION NEEDED C-44 Rcintcn|ing Micnigan |ntcs|ing in cur |u|urc LEGISLATION NEEDED TO IMPLEMENT FISCAL YEAR 2013 BUDGET RECOMMENDATION DEPARTMENT PURPOSE MICHIGAN COMPILED LAW (MCL) BEING AMENDED Licensing and Regulatory Affairs (Cont.) Maintain building officials and examiners registration fee 338.2313 Maintain mechanical contractor examination fee 338.980 Maintain Uniform Securities Act application fees 451.2410 Maintain occupational license fees 338.2203, 338.2213, 338.2215, et al Amend low income heating assistance program 460.9q, 460.9t Natural Resources Establish shooting range fees 324.503(d) Adjust contribution from Off-Road Vehicle Account to ORV training program 324.81117 Establish duplicate recreational safety certificate fee 324.503(c) Adjust dealer commission for sale of off- road vehicle licenses 324.81119 Adjust off-road vehicle license fee 324.81116 School Aid Codify Education Achievement Authority 380.3-6, 380.1260, 380.1280c, new sections State Adjust Commercial Driver License group fee 251.312e(7), 257.312e(13) State Police Eliminate fingerprint and criminal background fee sunsets 28.273 Complete transfer of Officer's Survivor Tuition Program to Higher Education 390.1242 Transportation Dedicate TEDF drivers license fee revenue to State Trunkline Fund 947.911