SENATE BILL No. 308

 

 

March 19, 2003, Introduced by Senator SCOTT and referred to the Committee on Appropriations.

 

 

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

    EXECUTIVE BUDGET BILL                                                       

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                     A bill to make appropriations for the family independence agency            

                                                                                

    and certain state purposes related to public welfare services for the       

                                                                                

    fiscal year ending September 30, 2004; to provide for the expenditure       

                                                                                

    of the appropriations; to create funds; to provide for the imposition       

                                                                                

    of fees; to provide for reports; to provide for the disposition of fees     

                                                                                

    and other income received by the state agency; and to provide for the       

                                                                                

    powers and duties of certain individuals, local governments, and state      

                                                                                

    departments, agencies, and officers.                                        

                                                                                

    THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                                  

                                                                                

1   PART 1                                                                      

                                                                                


                                                                                

1   LINE-ITEM APPROPRIATIONS                                                    

                                                                                

2       Sec. 101. Subject to the conditions set forth in this bill, the             

                                                                                

3   amounts listed in this part are appropriated for the family                 

                                                                                

4   independence agency for the fiscal year ending September 30, 2004, from     

                                                                                

5   the funds indicated in this part.  The following is a summary of the        

                                                                                

6   appropriations in this part:                                                

                                                                                

7   FAMILY INDEPENDENCE AGENCY                                                  

                                                                                

8 APPROPRIATONS SUMMARY:                                                         

...                                                                             

9                                                                                    Full-time equated classified positions     10,765.6                                                                    

                                                                                

10                                                                                   Full-time equated unclassified positions     6.0                                                                         

                                                                                

11                                                                                   Total full-time equated positions     10,771.6                                                                    

                                                                                

12      GROSS APPROPRIATION                                                              $    3,945,691,300                                                               

                                                                                

13  Interdepartmental grant revenues:                                           

                                                                                

14      Total interdepartmental grants and                                          

                                                                                

15                                                                                   intradepartmental transfers                                                          1,055,800                                                                   

                                                                                

16  ADJUSTED GROSS APPROPRIATION                                                     $    3,944,635,500                                                               

                                                                                

17  Federal revenues:                                                           

                                                                                

18      Total federal revenues                                                               2,697,630,071                                                               

                                                                                

19  Special revenue funds:                                                      

                                                                                

20      Total local revenues                                                                 65,097,100                                                                  

                                                                                

21      Total private revenues                                                               9,472,150                                                                   

                                                                                

22      Total other state restricted revenues                                                70,096,800                                                                  

                                                                                

23      State general fund/general purpose                                               $    1,102,339,379                                                               

                                                                                

24                                                                                   Sec. 102.  EXECUTIVE OPERATIONS                                             

                                                                                

25                                                                                   Total full-time equated positions     470.8                                                                       

                                                                                

26                                                                                   Full-time equated unclassified positions     6.0                                                                         

                                                                                

27                                                                                   Full-time equated classified positions     464.8                                                                       


                                                                                

1       Unclassified salaries--6.0 FTE positions                                         $    505,800                                                                     

                                                                                

2       Salaries and wages--354.8 FTE positions                                              18,181,700                                                                  

                                                                                

3       Contractual services, supplies, and materials                                        7,109,200                                                                   

                                                                                

4       Demonstration projects--7.0 FTE positions                                            7,804,100                                                                   

                                                                                

5       Commission on disability concerns--7.0 FTE positions                                 944,200                                                                     

                                                                                

6       Commission for the blind--96.0 FTE positions                                         17,461,200                                                                  

                                                                                

7       Youth low vision program                                                             260,000                                                                     

                                                                                

8       GROSS APPROPRIATION                                                              $    52,266,200                                                                  

                                                                                

9                                                                                    Appropriated from:                                                          

                                                                                

10  Federal revenues:                                                           

                                                                                

11      Total federal revenues                                                               34,769,600                                                                  

                                                                                

12  Special revenue funds:                                                      

                                                                                

13      Total local revenues                                                                 275,000                                                                     

                                                                                

14      Total private revenues                                                               1,340,000                                                                   

                                                                                

15      Total other state restricted revenues                                                477,300                                                                     

                                                                                

16      State general fund/general purpose                                               $    15,404,300                                                                  

                                                                                

17                                                                                   Sec. 103. FAMILY INDEPENDENCE SERVICES ADMINISTRATION                       

                                                                                

18                                                                                   Full-time equated classified positions .........102.8                       

                                                                                

19      Salaries and wages--71.7 FTE positions                                           $    3,802,400                                                                   

                                                                                

20      Contractual services, supplies, and materials                                        11,672,900                                                                  

                                                                                

21      Employment and training support services                                             19,689,100                                                                  

                                                                                

22      Wage employment verification reporting--2.0 FTE                             

                                                                                

23                                                                                   positions                                                                            1,907,500                                                                   

                                                                                

24      Urban and rural empowerment/enterprise zones                                         100                                                                         

                                                                                

25      Training and staff development--29.1 FTE positions                                   8,203,000                                                                   

                                                                                

26      Community services block grants                                                      24,350,000                                                                  

                                                                                

27      GROSS APPROPRIATION                                                              $    69,625,000                                                                  


                                                                                

1                                                                                    Appropriated from:                                                          

                                                                                

2   Federal revenues:                                                           

                                                                                

3       Total federal revenues                                                               58,942,700                                                                  

                                                                                

4   Special revenue funds:                                                      

                                                                                

5       State general fund/general purpose                                               $    10,682,300                                                                  

                                                                                

6                                                                                    Sec. 104. CHILD SUPPORT ENFORCEMENT                                         

                                                                                

7                                                                                    Full-time equated classified positions    200.0                                                                       

                                                                                

8       Child support enforcement operations--192.0 positions                            $    19,521,900                                                                  

                                                                                

9       Legal support contracts                                                              139,819,500                                                                 

                                                                                

10      Child support incentive payments                                                     32,409,600                                                                  

                                                                                

11      Child support distribution computer system--8.0 FTE                         

                                                                                

12                                                                                   positions                                                                            26,195,300                                                                  

                                                                                

13      GROSS APPROPRIATION                                                              $    217,946,300                                                                 

                                                                                

14                                                                                   Appropriated from:                                                          

                                                                                

15  Federal revenues:                                                           

                                                                                

16      Total federal revenues                                                               199,480,000                                                                 

                                                                                

17  Special revenue funds:                                                      

                                                                                

18      Total local revenues                                                                 340,000                                                                     

                                                                                

19      State general fund/general purpose                                               $    18,126,300                                                                  

                                                                                

20                                                                                   Sec. 105. CHILD AND FAMILY SERVICES                                         

                                                                                

21                                                                                   Full-time equated classified positions     94.8                                                                        

                                                                                

22      Salaries and wages--37.8 FTE positions                                           $    1,984,600                                                                   

                                                                                

23      Contractual services, supplies, and materials                                        1,407,500                                                                   

                                                                                

24      Refugee assistance program--3.0 FTE positions                                        12,642,300                                                                  

                                                                                

25      Foster care payments                                                                 143,224,100                                                                 

                                                                                

26      Wayne County foster care payments                                                    71,305,000                                                                  

                                                                                

27      Adoption subsidies                                                                   219,386,200                                                                 


                                                                                

1       Adoption support services--10.0 FTE positions                                        14,101,100                                                                  

                                                                                

2       Youth in transition--6.5 FTE positions                                               12,295,200                                                                  

                                                                                

3       Interstate compact                                                                   300,000                                                                     

                                                                                

4       Children's benefit fund donations                                                    21,000                                                                      

                                                                                

5       Domestic violence prevention and treatment--5.0 FTE                         

                                                                                

6                                                                                    positions                                                                            13,476,300                                                                  

                                                                                

7       Family preservation and prevention services--12.0 FTE                       

                                                                                

8                                                                                    positions                                                                            66,285,600                                                                  

                                                                                

9       Black child and family institute                                                     100,000                                                                     

                                                                                

10      Rape prevention and services                                                         2,600,000                                                                   

                                                                                

11      Children's trust fund administration--6.0 FTE positions                              439,200                                                                     

                                                                                

12      Children's trust fund grants                                                         3,615,000                                                                   

                                                                                

13      Attorney general contract                                                            2,481,000                                                                   

                                                                                

14      Guardian contract                                                                    600,000                                                                     

                                                                                

15      Prosecuting attorney contracts                                                       1,061,700                                                                   

                                                                                

16      Child care fund                                                                      143,200,000                                                                 

                                                                                

17      Enhanced child care fund reimbursement for community                        

                                                                                

18                                                                                   programs                                                                             50,000,000                                                                  

                                                                                

19      Child care fund administration--7.5 FTE positions                                    884,000                                                                     

                                                                                

20      County juvenile officers                                                             3,754,000                                                                   

                                                                                

21      Community support services--7.0 FTE positions                                        1,479,400                                                                   

                                                                                

22      GROSS APPROPRIATION                                                              $    766,643,200                                                                 

                                                                                

23                                                                                   Appropriated from:                                                          

                                                                                

24  Federal revenues:                                                           

                                                                                

25      Total federal revenues                                                               432,559,100                                                                 

                                                                                

26  Special revenue funds:                                                      

                                                                                

27      Local funds - county payback                                                         34,918,000                                                                  


                                                                                

1       Private - children's benefit fund donations                                          21,000                                                                      

                                                                                

2       Private - collections                                                                5,033,900                                                                   

                                                                                

3       Children's trust fund                                                                3,271,800                                                                   

                                                                                

4       State general fund/general purpose                                               $    290,839,400                                                                 

                                                                                

5                                                                                    Sec. 106. JUVENILE JUSTICE SERVICES                                         

                                                                                

6                                                                                    Full-time equated classified positions                                       820.9                                                                           

                                                                                

7       Juvenile justice operations--800.9 FTE positions                                 $    69,354,900                                                                  

                                                                                

8       Federally funded activities--12.0 FTE positions                                      1,727,800                                                                   

                                                                                

9       W.J. Maxey memorial fund                                                             45,000                                                                      

                                                                                

10      Juvenile accountability incentive block grant--4.0 FTE                      

                                                                                

11                                                                                   positions                                                                            8,436,200                                                                   

                                                                                

12      Committee on juvenile justice administration--4.0 FTE                       

                                                                                

13                                                                                   positions                                                                            464,800                                                                     

                                                                                

14      Committee on juvenile justice grants                                                 5,000,000                                                                   

                                                                                

15      GROSS APPROPRIATION                                                              $    85,028,700                                                                  

                                                                                

16                                                                                   Appropriated from:                                                          

                                                                                

17  Federal revenues:                                                           

                                                                                

18      Total federal revenues                                                               18,154,900                                                                  

                                                                                

19  Special revenue funds:                                                      

                                                                                

20      Local funds - county payback                                                         29,068,600                                                                  

                                                                                

21      Total private revenues                                                               645,000                                                                     

                                                                                

22      State general fund/general purpose                                               $     37,160,200                                                                  

                                                                                

23                                                                                   Sec. 107. LOCAL OFFICE STAFF AND OPERATIONS                                 

                                                                                

24                                                                                   Full-time equated classified positions     8,468.4                                                                     

                                                                                

25      Field staff, salaries and wages--8,397.4 FTE positions                           $                                                                            336,299,400                                                                     

                                                                                

26      Contractual services, supplies, and materials                                        26,354,300                                                                  

                                                                                

27      Outstationed eligibility workers--60.0 FTE positions                                 4,664,500                                                                   


                                                                                

1       Food stamp reinvestment                                                              18,426,300                                                                  

                                                                                

2       Wayne County gifts and bequests                                                      100,000                                                                     

                                                                                

3       Volunteer services and reimbursement--11.0 FTE positions                         1,955,900                                                                   

                                                                                

4       GROSS APPROPRIATION                                                              $    387,800,400                                                                 

                                                                                

5                                                                                    Appropriated from:                                                          

                                                                                

6   Federal revenues:                                                           

                                                                                

7       Total federal revenues                                                               237,173,150                                                                 

                                                                                

8   Special revenue funds:                                                      

                                                                                

9       Local funds - donated funds                                                          191,100                                                                     

                                                                                

10      Private funds - Wayne County gifts                                                   100,000                                                                     

                                                                                

11      Private funds - hospital contributions                                                2,332,250                                                                   

                                                                                

12      State general fund/general purpose                                               $    148,003,900                                                                 

                                                                                

13                                                                                   Sec. 108. DISABILITY DETERMINATION SERVICES                                 

                                                                                

14                                                                                   Full-time equated classified positions     606.0                                                                       

                                                                                

15      Disability determination operations--580.0 FTE                              

                                                                                

16                                                                                   positions                                                                        $    68,756,100                                                                  

                                                                                

17      Medical consultation program--21.0 FTE positions                                     2,826,500                                                                   

                                                                                

18      Retirement disability determination--5.0 FTE positions                               828,800                                                                     

                                                                                

19      GROSS APPROPRIATION                                                              $    72,411,400                                                                  

                                                                                

20                                                                                   Appropriated from:                                                          

                                                                                

21  Interdepartmental grant revenues:                                           

                                                                                

22      Department of management and budget - office of                             

                                                                                

23                                                                                   retirement systems                                                                   1,055,800                                                                   

                                                                                

24  ADJUSTED GROSS APPROPRIATION                                                     $    71,355,600                                                                  

                                                                                

25  Federal revenues:                                                           

                                                                                

26      Total federal revenues                                                               68,534,100                                                                  

                                                                                

27  Special revenue funds:                                                      


                                                                                

1       State general fund/general purpose                                               $    2,821,500                                                                   

                                                                                

2                                                                                    Sec. 109.  CENTRAL SUPPORT ACCOUNTS                                         

                                                                                

3       Rent                                                                             $    44,645,700                                                                  

                                                                                

4       Occupancy charge                                                                     11,448,200                                                                  

                                                                                

5       Grand tower facility reimbursement                                                   1,905,000                                                                   

                                                                                

6       Travel                                                                               5,967,600                                                                   

                                                                                

7       Equipment                                                                            1,087,400                                                                   

                                                                                

8       Worker's compensation                                                                5,957,000                                                                   

                                                                                

9       Advisory commissions                                                                 17,900                                                                      

                                                                                

10      Payroll taxes and fringe benefits                                                    178,733,300                                                                 

                                                                                

11      GROSS APPROPRIATION                                                              $    249,762,100                                                                 

                                                                                

12                                                                                   Appropriated from:                                                          

                                                                                

13  Federal revenues:                                                           

                                                                                

14      Total federal revenues                                                               160,028,600                                                                 

                                                                                

15  Special revenue funds:                                                      

                                                                                

16      Local funds - county payback                                                         304,400                                                                     

                                                                                

17      State general fund/general purpose                                               $    89,429,100                                                                  

                                                                                

18                                                                                   Sec. 110.  PUBLIC ASSISTANCE                                                

                                                                                

19                                                                                   Full-time equated classified positions     7.9                                                                         

                                                                                

20      Family independence program                                                      $     334,899,600                                                                 

                                                                                

21      State disability assistance payments                                                 24,045,100                                                                  

                                                                                

22      Food assistance program benefits                                                     833,011,200                                                                 

                                                                                

23      State supplementation                                                                59,668,400                                                                  

                                                                                

24      State supplementation administration                                                 2,624,200                                                                   

                                                                                

25      Low-income energy assistance program--7.9 FTE                               

                                                                                

26                                                                                   positions                                                                            116,467,700                                                                 

                                                                                

27      State emergency relief                                                               41,408,200                                                                  


                                                                                

1       Weatherization assistance                                                            15,940,800                                                                  

                                                                                

2       Day care services                                                                    471,794,000                                                                 

                                                                                

3       GROSS APPROPRIATION                                                              $    1,899,859,200                                                               

                                                                                

4                                                                                    Appropriated from:                                                          

                                                                                

5   Federal revenues:                                                           

                                                                                

6       Total federal revenues                                                               1,395,871,900                                                               

                                                                                

7   Special revenue funds:                                                      

                                                                                

8       Child support collections                                                            47,710,700                                                                  

                                                                                

9       Supplemental security income recoveries                                              5,104,800                                                                   

                                                                                

10      Public assistance recoupment revenue                                                 2,500,000                                                                   

                                                                                

11      State general fund/general purpose                                               $    448,671,800                                                                 

                                                                                

12                                                                                   Sec. 111. INFORMATION TECHNOLOGY                                            

                                                                                

13      Information technology services and projects                                     $    45,467,700                                                                  

                                                                                

14      Child support automation                                                             70,000,000                                                                  

                                                                                

15      Client services system                                                               12,307,200                                                                  

                                                                                

16      Data system enhancement                                                              16,573,900                                                                  

                                                                                

17      GROSS APPROPRIATION                                                              $    144,348,800                                                                 

                                                                                

18                                                                                   Appropriated from:                                                          

                                                                                

19  Federal revenues:                                                           

                                                                                

20      Total federal revenues                                                               92,116,021                                                                  

                                                                                

21  Special revenue funds:                                                      

                                                                                

22      Total other state restricted revenues                                                11,032,200                                                                  

                                                                                

23      State general fund/general purpose                                               $    41,200,579                                                                  

                                                                                

24  PART 2                                                                      

                                                                                

25  PROVISIONS CONCERNING APPROPRIATIONS                                        

                                                                                

26  GENERAL SECTIONS                                                            

                                                                                

27      Sec. 201. Pursuant to section 30 of article IX of the state                 


                                                                                

1   constitution of 1963, total state spending from state resources under       

                                                                                

2   part 1 for fiscal year 2003-2004 is $1,172,436,179.00 and state spending    

                                                                                

3   from state resources to be paid to units of local government for fiscal     

                                                                                

4   year 2003-2004 is $192,628,700.00.  The itemized statement below            

                                                                                

5   identifies appropriations from which spending to units of local             

                                                                                

6   government will occur:                                                      

                                                                                

7   FAMILY INDEPENDENCE AGENCY                                                  

                                                                                

8   CHILD AND FAMILY SERVICES                                                   

                                                                                

9       Adoption subsidies                                                               $    83,796,800                                                                  

                                                                                

10      Child care fund                                                                      97,200,000                                                                  

                                                                                

11      Enhanced child care fund reimbursement for community                        

                                                                                

12                                                                                   programs                                                                             7,500,000                                                                   

                                                                                

13      County juvenile officers                                                             2,973,200                                                                   

                                                                                

14  PUBLIC ASSISTANCE                                                           

                                                                                

15      State disability program.                                                            1,158,700                                                                   

                                                                                

16      TOTAL                                                                            $    192,628,700                                                                 

                                                                                

17      Sec. 202. The appropriations authorized under this bill are subject         

                                                                                

18  to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.      

                                                                                

19      Sec. 203. As used in this bill:                                             

                                                                                

20      (a) "Department" means the family independence agency.                      

                                                                                

21      (b) "FTE" means full-time equated.                                          

                                                                                

22      (c) "Temporary assistance for needy families" or "TANF" or "Title           

                                                                                

23  IV-A" means part A of title IV of the social security act, chapter 531,     

                                                                                

24  49 Stat. 620, 42 U.S.C. 601 to 604, 605 to 608, and 609 to 619.             

                                                                                

25      (d) "Title IV-D" means part D of title IV of the social security            

                                                                                

26  act, chapter 531, 49 Stat. 620, 42 U.S.C. 651 to 655, 656 to 660, and       

                                                                                

27  663 to 669b.                                                                


                                                                                

1       (e) "Title IV-E" means part E of title IV of the social security            

                                                                                

2   act, chapter 531, 49 Stat. 620, 42 U.S.C. 670 to 673, 673b to 679, and      

                                                                                

3   679b.                                                                       

                                                                                

4       Sec. 204. The department of civil service shall bill departments and        

                                                                                

5   agencies at the end of the first fiscal quarter for the 1% charge           

                                                                                

6   authorized by section 5 of article XI of the state constitution of          

                                                                                

7   1963.  Payments shall be made for the total amount of the billing by        

                                                                                

8   the end of the second fiscal quarter.                                       

                                                                                

9       Sec. 205. (1) A hiring freeze is imposed on the state classified            

                                                                                

10  civil service.  State departments and agencies are prohibited from          

                                                                                

11  hiring any new state classified civil service employees and prohibited      

                                                                                

12  from filling any vacant state classified civil service positions.  This     

                                                                                

13  hiring freeze does not apply to internal transfers of classified            

                                                                                

14  employees from 1 position to another within a department.                   

                                                                                

15      (2) The state budget director shall grant exceptions to this                

                                                                                

16  hiring freeze when the state budget director believes that the hiring       

                                                                                

17  freeze will result in rendering a state department or agency unable to      

                                                                                

18  deliver basic services, cause a loss of revenue to the state, result in     

                                                                                

19  the inability of the state to receive federal funds, or necessitate         

                                                                                

20  additional expenditures that exceed any savings from maintaining a          

                                                                                

21  vacancy.  The state budget director shall report quarterly to the           

                                                                                

22  chairpersons of the senate and house of representatives standing            

                                                                                

23  committees on appropriations the number of exceptions to the hiring         

                                                                                

24  freeze approved during the previous quarter and the reasons to justify      

                                                                                

25  the exception.                                                              

                                                                                

26      Sec. 206. (1) In addition to the funds appropriated in part 1, there        

                                                                                

27  is appropriated an amount not to exceed $200,000,000.00 for federal         


                                                                                

1   contingency funds.  These funds are not available for expenditure until     

                                                                                

2   they have been transferred to another line item in this bill under          

                                                                                

3   section 393(2) of the management and budget act, 1984 PA 431, MCL           

                                                                                

4   18.1393.                                                                    

                                                                                

5       (2) In addition to the funds appropriated in part 1, there is               

                                                                                

6   appropriated an amount not to exceed $20,000,000.00 for state restricted    

                                                                                

7   contingency funds.  These funds are not available for expenditure until     

                                                                                

8   they have been transferred to another line item in this bill under          

                                                                                

9   section 393(2) of the management and budget act, 1984 PA 431, MCL           

                                                                                

10  18.1393.                                                                    

                                                                                

11      (3) In addition to the funds appropriated in part 1, there is               

                                                                                

12  appropriated an amount not to exceed $20,000,000.00 for local               

                                                                                

13  contingency funds.  These funds are not available for expenditure until     

                                                                                

14  they have been transferred to another line item in this bill under          

                                                                                

15  section 393(2) of the management and budget act, 1984 PA 431, MCL           

                                                                                

16  18.1393.                                                                    

                                                                                

17      (4) In addition to the funds appropriated in part 1, there is               

                                                                                

18  appropriated an amount not to exceed $20,000,000.00 for private             

                                                                                

19  contingency funds.  These funds are not available for expenditure until     

                                                                                

20  they have been transferred to another line item in this bill under          

                                                                                

21  section 393(2) of the management and budget act, 1984 PA 431, MCL           

                                                                                

22  18.1393.                                                                    

                                                                                

23      Sec. 208. Unless otherwise specified, the department shall use the          

                                                                                

24  Internet to fulfill the reporting requirements of this bill.  This          

                                                                                

25  requirement may include transmission of reports via electronic mail to      

                                                                                

26  the recipients identified for each reporting requirement, or it may         

                                                                                

27  include placement of reports on an Internet or Intranet site.               


                                                                                

1       Sec. 211. The department may receive and expend advances or                 

                                                                                

2   reimbursements from the department of state police for the                  

                                                                                

3   administration of the individual and family grant disaster assistance       

                                                                                

4   program.  An account shall be established in the department for this        

                                                                                

5   purpose when a disaster is declared.  The authorization and allotment       

                                                                                

6   for the account shall be in the amount advanced or reimbursed from the      

                                                                                

7   department of state police.                                                 

                                                                                

8       Sec. 212. In addition to funds appropriated in part 1 for all               

                                                                                

9   programs and services, there is appropriated for write-offs of accounts     

                                                                                

10  receivable, deferrals, and for prior year obligations in excess of          

                                                                                

11  applicable prior year appropriations, an amount equal to total write-       

                                                                                

12  offs and prior year obligations, but not to exceed amounts available in     

                                                                                

13  prior year revenues or current year revenues that are in excess of the      

                                                                                

14  authorized amount.                                                          

                                                                                

15      Sec. 213. The department may retain all of the state's share of food        

                                                                                

16  assistance over issuance collections as an offset to general                

                                                                                

17  fund/general purpose costs.  Retained collections shall be applied          

                                                                                

18  against federal funds deductions in all appropriation units where           

                                                                                

19  department costs related to the investigation and recoupment of food        

                                                                                

20  assistance overissuances are incurred.  Retained collections in excess      

                                                                                

21  of such costs shall be applied against the federal funds deducted in        

                                                                                

22  the executive operations appropriation unit.                                

                                                                                

23      Sec. 214. (1) The department shall submit a report to the state             

                                                                                

24  budget director, the chairpersons of the senate and house appropriations    

                                                                                

25  subcommittees on the family independence agency budget, and to the          

                                                                                

26  senate and house fiscal agencies on the details of allocations within       

                                                                                

27  program budgeting line items and within the salaries and wages line         


                                                                                

1   items in the local office staff and operations appropriation unit.  The     

                                                                                

2   report shall include a listing, by account, dollar amount, and fund         

                                                                                

3   source, of salaries and wages; longevity and insurance; retirement;         

                                                                                

4   contractual services, supplies, and materials; equipment; travel; and       

                                                                                

5   grants within each program line item appropriated for the fiscal year       

                                                                                

6   ending September 30, 2004.                                                  

                                                                                

7       (2) On a bimonthly basis, the department shall report on the                

                                                                                

8   number of FTEs in pay status by type of staff.                              

                                                                                

9       Sec. 215. If a legislative objective of this bill or the social             

                                                                                

10  welfare act, 1939 PA 280, MCL 400.1 to 400.119b, cannot be implemented      

                                                                                

11  without loss of federal financial participation because implementation      

                                                                                

12  would conflict with or violate federal regulations, the department          

                                                                                

13  shall notify the state budget director, the house and senate                

                                                                                

14  appropriations committees, and the house and senate fiscal agencies of      

                                                                                

15  that fact.                                                                  

                                                                                

16      Sec. 218. The department shall prepare a semiannual report on the           

                                                                                

17  temporary assistance for needy families (TANF) federal block grant.         

                                                                                

18  The report shall include projected expenditures for the current fiscal      

                                                                                

19  year, an accounting of any previous year funds carried forward, and a       

                                                                                

20  summary of all interdepartmental or interagency agreements relating to      

                                                                                

21  the use of TANF funds.  The report shall be forwarded to the state          

                                                                                

22  budget director and the house and senate appropriations subcommittees       

                                                                                

23  on the family independence agency budget, the house and senate fiscal       

                                                                                

24  agencies, and policy offices on or before January 15, 2004 and May 15,      

                                                                                

25  2004.                                                                       

                                                                                

26      Sec. 219. If title IV-D-related child support collections are               

                                                                                

27  escheated, the state budget director is authorized to adjust the            


                                                                                

1   sources of financing for the funds appropriated in part 1 for legal         

                                                                                

2   support contracts to reduce federal authorization by 66% of the             

                                                                                

3   escheated amount and increase general fund/general purpose                  

                                                                                

4   authorization by the same amount.  This budget adjustment is required       

                                                                                

5   to offset the loss of federal revenue due to the escheated amount being     

                                                                                

6   counted as title IV-D program income in accordance with federal             

                                                                                

7   regulations at 45 C.F.R. 304.50.                                            

                                                                                

8      Sec. 221. If the revenue collected by the department from private        

                                                                                

9   and local sources exceeds the amount spent from amounts appropriated in     

                                                                                

10  part 1, the revenue may be carried forward, with approval from the          

                                                                                

11  state budget director, into the subsequent fiscal year.                     

                                                                                

12      Sec. 222. (1) In addition to the amounts appropriated in part 1, in         

                                                                                

13  order to encourage administrative efficiencies, there is appropriated       

                                                                                

14  to the family independence agency, an amount not to exceed one-half of      

                                                                                

15  the unexpended, unreserved general fund portions of fiscal year 2002-       

                                                                                

16  2003 appropriations made to the department for salaries and wages           

                                                                                

17  expenses, contractual services, supplies and materials expenses,            

                                                                                

18  information technology expenses and program operations costs.               

                                                                                

19      (2)     The appropriations contained in subsection (1) are subject to               

                                                                                

20  the approval of the state budget director and shall be spent for the        

                                                                                

21  same purposes for which the original appropriation was made in fiscal       

                                                                                

22  year 2002-2003.                                                             

                                                                                

23      Sec. 227. The family independence agency, with the approval of the          

                                                                                

24  state budget director, is authorized to realign sources of financing        

                                                                                

25  authorizations in order to maximize temporary assistance for needy          

                                                                                

26  families' maintenance of effort countable expenditures.  This               

                                                                                

27  realignment of financing shall not be made until 15 days after              


                                                                                

1   notifying the chairs of the house and senate appropriations                 

                                                                                

2   subcommittees on the family independence agency and house and senate        

                                                                                

3   fiscal agencies, and shall not produce an increase or decrease in any       

                                                                                

4   line-item expenditure authorization.                                        

                                                                                

5       Sec. 259. From the funds appropriated in part 1 for information             

                                                                                

6   technology, the department shall pay user fees to the department of         

                                                                                

7   information technology for technology-related services and projects.        

                                                                                

8   Such user fees shall be subject to provisions of an interagency             

                                                                                

9   agreement between the department and the department of information          

                                                                                

10  technology.                                                                 

                                                                                

11      Sec. 260. Amounts appropriated in part 1 for information technology         

                                                                                

12  may be designated as work projects and carried forward to support           

                                                                                

13  family independence agency projects under the direction of the              

                                                                                

14  department of information technology.  Funds designated in this manner      

                                                                                

15  are not available for expenditure until approved as work projects under     

                                                                                

16  section 451a of the management and budget act, 1984 PA 431, MCL             

                                                                                

17  18.1451a.                                                                   

                                                                                

18      Sec. 264. Provided that an employee does not violate federal or state       

                                                                                

19  laws, breach confidentiality, violate civil service rules, or               

                                                                                

20  represent a formal department position without prior written                

                                                                                

21  authorization, the family independence agency shall ensure that all         

                                                                                

22  department employees, while on their personal time, are permitted to        

                                                                                

23  have appropriate communications with legislators and their staff.           

                                                                                

24  EXECUTIVE OPERATIONS                                                        

                                                                                

25      Sec. 302. The appropriation in part 1 for the Michigan commission           

                                                                                

26  for the blind includes funds for case services.  These funds may be         

                                                                                

27  used for tuition payments for blind clients for the school year             

                                                                                

28  beginning September 2003.                                                   


                                                                                

1   FAMILY INDEPENDENCE SERVICES ADMINISTRATION                                 

                                                                                

2       Sec. 403. Not later than September 30 of each year, the department          

                                                                                

3   shall submit for public hearing to the chairpersons of the house and        

                                                                                

4   senate appropriations subcommittees dealing with appropriations for the     

                                                                                

5   family independence agency the proposed use and distribution plan for       

                                                                                

6   community services block grant funds appropriated in part 1 for the         

                                                                                

7   succeeding fiscal year.                                                     

                                                                                

8       Sec. 404. The department shall develop a plan based on                      

                                                                                

9   recommendations from the department of civil rights and from Native         

                                                                                

10  American organizations to assure that the community services block          

                                                                                

11  grant funds are equitably distributed.  The plan must be developed by       

                                                                                

12  October 31, 2003, and the plan shall be delivered to the appropriations     

                                                                                

13  subcommittees on the family independence agency in the house and            

                                                                                

14  senate.                                                                     

                                                                                

15      Sec. 414. (1) Of the funds appropriated in part 1 for community             

                                                                                

16  services block grants, $2,350,000.00 represents TANF funding earmarked      

                                                                                

17  for community action agencies.                                              

                                                                                

18      (2) From the funds appropriated in part 1 for community services            

                                                                                

19  block grants, the department is authorized to make allocations of TANF      

                                                                                

20  funds only to the community action agencies that report necessary data      

                                                                                

21  to the department for the purpose of meeting TANF eligibility reporting     

                                                                                

22  requirements.  The use of TANF funds under this section should not be       

                                                                                

23  considered an ongoing commitment of funding.                                

                                                                                

24  CHILD AND FAMILY SERVICES                                                   

                                                                                

25      Sec. 501. The following goal is established by state law.  During           

                                                                                

26  the fiscal year ending September 30, 2004, not more than 3,000 children     

                                                                                

27  supervised by the department shall remain in foster care longer than 24     


                                                                                

1   months.  The department shall give priority to reducing the number of       

                                                                                

2   children under 1 year of age in foster care.                                

                                                                                

3       Sec. 502. From the funds appropriated in part 1 for foster care, the        

                                                                                

4   department shall provide 50% reimbursement to Indian tribal governments     

                                                                                

5   for foster care expenditures for children who are under the jurisdiction    

                                                                                

6   of Indian tribal courts and who are not otherwise eligible for federal      

                                                                                

7   foster care cost sharing.                                                   

                                                                                

8       Sec. 503. The department shall continue adoption subsidy payments to        

                                                                                

9   families after the eighteenth birthday of an adoptee who meets the          

                                                                                

10  following criteria:                                                         

                                                                                

11      (a) Has not yet graduated from high school or passed a high                 

                                                                                

12  school equivalency examination.                                             

                                                                                

13      (b) Is making progress toward completing high school.                       

                                                                                

14      (c) Has not yet reached his or her nineteenth birthday.                     

                                                                                

15      Sec. 504. The department's ability to satisfy appropriation deducts         

                                                                                

16  in part 1 for foster care private collections shall not be limited to       

                                                                                

17  collections and accruals pertaining to services provided only in the        

                                                                                

18  current fiscal year but shall include revenues collected during the         

                                                                                

19  fiscal year in excess of the amount specified in part 1.                    

                                                                                

20      Sec. 508. (1) In addition to the amount appropriated in part 1 for          

                                                                                

21  children's trust fund grants, money granted or money received as gifts      

                                                                                

22  or donations to the children's trust fund created by 1982 PA 249, MCL       

                                                                                

23  21.171 to 21.172, is appropriated for expenditure in an amount not to       

                                                                                

24  exceed $800,000.00.                                                         

                                                                                

25      (2) The state child abuse and neglect prevention board may                  

                                                                                

26  initiate a joint project with another state agency to the extent that       

                                                                                

27  the project supports the programmatic goals of both the state child         


                                                                                

1   abuse and neglect prevention board and the state agency.  The department    

                                                                                

2   may invoice the state agency for shared costs of a joint project in an      

                                                                                

3   amount authorized by the state agency, and the state child abuse and        

                                                                                

4   neglect prevention board may receive and expend funds for shared costs      

                                                                                

5   of a joint project in addition to those authorized by part 1.               

                                                                                

6       (3) From the funds appropriated in part 1 for children's trust              

                                                                                

7   fund, the department may utilize interest and investment revenue from       

                                                                                

8   the current fiscal year only for programs, administration, services, or     

                                                                                

9   all sanctioned by the child abuse and neglect prevention board.             

                                                                                

10      Sec. 509. (1) From the funds appropriated in part 1, the department         

                                                                                

11  shall not expend funds to preserve or reunite a family, unless there is     

                                                                                

12  a court order requiring the preservation or reuniting of the family or      

                                                                                

13  the court denies the petition, if either of the following would result:     

                                                                                

14      (a) A child would be living in the same household with a parent             

                                                                                

15  or other adult who has been convicted of criminal sexual conduct against    

                                                                                

16  a child.                                                                    

                                                                                

17      (b) A child would be living in the same household with a parent             

                                                                                

18  or other adult against whom there is a substantiated charge of sexual       

                                                                                

19  abuse against a child.                                                      

                                                                                

20      (2) Notwithstanding subsection (1), this section shall not                  

                                                                                

21  prohibit counseling or other services provided by the department, if        

                                                                                

22  the service is not directed toward influencing the child to remain in       

                                                                                

23  an abusive environment, justifying the actions of the abuser, or            

                                                                                

24  reuniting the family.                                                       

                                                                                

25      Sec. 510. The department shall not be required to put up for bids           

                                                                                

26  contracts with service providers if currently only 1 provider in the        

                                                                                

27  service area exists.                                                        


                                                                                

1       Sec. 513. The department shall not expend funds appropriated in part        

                                                                                

2   1 to pay for the placement of a child in an out-of-state facility unless    

                                                                                

3   all of the following conditions are met:                                    

                                                                                

4       (a) There is no appropriate placement available in this state.              

                                                                                

5       (b) The out-of-state facility meets all of the licensing                    

                                                                                

6   standards of this state for a comparable facility.                          

                                                                                

7       (c) The out-of-state facility meets all of the applicable                   

                                                                                

8   licensing standards of the state in which it is located.                    

                                                                                

9       (d) The department has done an on-site visit to the out-of-state            

                                                                                

10  facility, reviewed the facility records, and reviewed licensing records     

                                                                                

11  and reports on the facility and believes that the facility is an            

                                                                                

12  appropriate placement for the child.                                        

                                                                                

13      Sec. 515. From the funds appropriated in part 1 for foster care             

                                                                                

14  payments and related administrative costs, the department may incur         

                                                                                

15  costs and make payments required to finish and close out the federally      

                                                                                

16  approved title IV-E child welfare waiver managed care demonstration         

                                                                                

17  project.                                                                    

                                                                                

18      Sec. 517. (1) From the funds appropriated in part 1 for family              

                                                                                

19  preservation and prevention services, the department is authorized to       

                                                                                

20  allocate funds to multipurpose collaborative bodies to address issues       

                                                                                

21  raised in the Binsfeld children's commission report issued in July 1996.    

                                                                                

22  Priority for activities and services may be given to at-risk children       

                                                                                

23  and families and cases classified by the department as category III or      

                                                                                

24  category IV under sections 8 and 8d of the child protection law, 1975 PA    

                                                                                

25  238, MCL 722.628 and 722.628d.                                              

                                                                                

26      (2) From the funds appropriated in part 1 for family preservation           

                                                                                

27  and prevention services, up to $4,000,000.00 may be used to fund            


                                                                                

1   community-based collaborative prevention services designed to do any of     

                                                                                

2   the following:                                                              

                                                                                

3       (a) Foster positive parenting skills especially for parents of              

                                                                                

4   children under 3 years of age.                                              

                                                                                

5       (b) Improve parent/child interaction.                                       

                                                                                

6       (c) Promote access to needed community services.                            

                                                                                

7       (d) Increase local capacity to serve families at risk.                      

                                                                                

8       (e) Improve school readiness.                                               

                                                                                

9       (f) Support healthy family environments that discourage alcohol,            

                                                                                

10  tobacco, and other drug use.                                                

                                                                                

11      (3) The allocation provided for in subsection (2) may fund                  

                                                                                

12  secondary prevention programs as defined in the children's trust fund's     

                                                                                

13  pre-application materials for fiscal year 2003-2004 direct services         

                                                                                

14  grants.                                                                     

                                                                                

15      (4) Projects funded through the allocation provided for in                  

                                                                                

16  subsection (2) may be required to meet the following criteria:              

                                                                                

17      (a) Be awarded through a joint request for proposal process                 

                                                                                

18  established by the department in conjunction with the children's trust      

                                                                                

19  fund and the state human services directors.                                

                                                                                

20      (b) Be secondary prevention initiatives. Funds are not intended             

                                                                                

21  to be expended in cases in which neglect or abuse has been                  

                                                                                

22  substantiated.                                                              

                                                                                

23      (c) Demonstrate that the planned services are part of a                     

                                                                                

24  community's integrated comprehensive family support strategy endorsed by    

                                                                                

25  the local multipurpose collaborative body.                                  

                                                                                

26      (d) Provide a 25% local match of which not more than 10% is in-             

                                                                                

27  kind goods or services unless the maximum percentage is waived by the       


                                                                                

1   state human services directors.                                             

                                                                                

2       (5) As used in this section, "state human services directors"               

                                                                                

3   means the director of the department of community health, the director      

                                                                                

4   of the department of education, and the director of the family              

                                                                                

5   independence agency.                                                        

                                                                                

6       Sec. 521. Foster care administrative rates shall be reduced by a            

                                                                                

7   total of  $453,000.00 in a manner that results in more uniform rates.       

                                                                                

8       Sec. 523. From the funds appropriated in part 1 for youth in                

                                                                                

9   transition and domestic violence prevention and treatment, the              

                                                                                

10  department is authorized to make allocations of TANF funds only to the      

                                                                                

11  agencies that report necessary data to the department for the purpose of    

                                                                                

12  meeting TANF eligibility reporting requirements.  The use of TANF funds     

                                                                                

13  under this section should not be considered an ongoing commitment of        

                                                                                

14  funding.                                                                    

                                                                                

15      Sec. 531. (1) From the funds appropriated in part 1, the family             

                                                                                

16  independence agency may make claims for and pay to local units of           

                                                                                

17  government a portion of federal title IV-E revenues earned as a result      

                                                                                

18  of eligible costs incurred by local units of government.                    

                                                                                

19      (2) The family independence agency shall make payments under                

                                                                                

20  subsection (1) only to local units of government which have entered into    

                                                                                

21  formal agreements with the family independence agency.  Such agreement      

                                                                                

22  must include all of the following:                                          

                                                                                

23      (a) Provide for the family independence agency to retain 50% of             

                                                                                

24  the federal revenues earned.                                                

                                                                                

25      (b) Provide for agency review and approval of the local unit's              

                                                                                

26  plan for allocating costs to title IV-E.                                    

                                                                                

27      (c) Provide for the local unit of government to submit bills at             


                                                                                

1   times, and in the format, specified by the family independence agency.      

                                                                                

2       (d) Specify that the local unit of government is responsible for            

                                                                                

3   meeting all federal title IV-E regulation requirements, including           

                                                                                

4   reporting requirements, with regard to the activities and costs being       

                                                                                

5   billed to title IV-E.                                                       

                                                                                

6       (e) Provide for the local unit of government to pay the state for           

                                                                                

7   the amount of any federal revenues paid to the local unit which may         

                                                                                

8   subsequently be disallowed by the federal government.                       

                                                                                

9       (f) Be signed by the director of the department, the chief                  

                                                                                

10  executive officer of the local government agency providing the title        

                                                                                

11  IV-E services, the chair of the county board of commissioners, and the      

                                                                                

12  chief executive officer of the county.                                      

                                                                                

13      Sec. 540. (1) From the funds appropriated in part 1, the department         

                                                                                

14  may pay to units of local government a portion of federal TANF revenues     

                                                                                

15  earned as a result of claims made for TANF eligible in-home care            

                                                                                

16  programs operated and funded through the child care fund.                   

                                                                                

17      (2) Unless otherwise prohibited by law, the department may                  

                                                                                

18  reimburse units of local government for 75% of the cost of in-home care     

                                                                                

19  programs that achieve outcomes and other criteria established by the        

                                                                                

20  department, up to the amount appropriated in part 1 for enhanced child      

                                                                                

21  care fund reimbursement for community programs.  If expenditures under      

                                                                                

22  this subsection are expected to exceed the amount appropriated in part      

                                                                                

23  1 for enhanced child care fund reimbursement for community programs,        

                                                                                

24  reimbursement shall be prorated as necessary to manage to the               

                                                                                

25  appropriation, but in no case shall be less than 50%.                       

                                                                                

26      (3) To qualify for the 75% reimbursement, the units of local                

                                                                                

27  government shall submit a separate application using forms and in           


                                                                                

1   compliance with policies established by the department, and shall enter     

                                                                                

2   into a memorandum of understanding with the department.  Continuation       

                                                                                

3   of the enhanced reimbursement shall be based on the achievement of          

                                                                                

4   outcomes.  The use of TANF funds under this section should not be           

                                                                                

5   considered an ongoing commitment of funding.                                

                                                                                

6       Sec. 541. In order to be reimbursed for child care fund                     

                                                                                

7   expenditures, counties are required to submit department developed          

                                                                                

8   reports to enable the department to document potential federally            

                                                                                

9   claimable expenditures.  This requirement is in accordance with the         

                                                                                

10  reporting requirements specified in section 117a(7) of the social           

                                                                                

11  welfare act, 1939 PA 280, MCL 400.117a.                                     

                                                                                

12      Sec. 542. As a condition of receiving funds appropriated in part 1          

                                                                                

13  for the child care fund, by February 15, 2004, counties shall have an       

                                                                                

14  approved service spending plan for the fiscal year ending September 30,     

                                                                                

15  2004.  Counties must submit the service spending plan to the department     

                                                                                

16  by December 15, 2003 for approval.                                          

                                                                                

17  PUBLIC ASSISTANCE                                                           

                                                                                

18      Sec. 601. (1) The department may terminate a vendor payment for             

                                                                                

19  shelter upon written notice from the appropriate local unit of              

                                                                                

20  government that a recipient's rental unit is not in compliance with         

                                                                                

21  applicable local housing codes or when the landlord is delinquent on        

                                                                                

22  property tax payments.  A landlord shall be considered to be in             

                                                                                

23  compliance with local housing codes when the department receives from       

                                                                                

24  the landlord a signed statement stating that the rental unit is in          

                                                                                

25  compliance with local housing codes and that statement is not               

                                                                                

26  contradicted by the recipient and the local housing authority.  The         

                                                                                

27  department shall terminate vendor payments if a taxing authority            


                                                                                

1   notifies the department that taxes are delinquent.                          

                                                                                

2       (2) Whenever a client agrees to the release of his or her name              

                                                                                

3   and address to the local housing authority, the department shall request    

                                                                                

4   from the local housing authority information regarding whether the          

                                                                                

5   housing unit for which vendoring has been requested meets applicable        

                                                                                

6   local housing codes. Vendoring shall be terminated for those units that     

                                                                                

7   the local authority indicates in writing do not meet local housing codes    

                                                                                

8   until such time as the local authority indicates in writing that local      

                                                                                

9   housing codes have been met.                                                

                                                                                

10      (3) In order to participate in the rent vendoring programs of the           

                                                                                

11  department, a landlord shall cooperate in weatherization and                

                                                                                

12  conservation efforts directed by the department or by an energy             

                                                                                

13  provider participating in an agreement with the department when the         

                                                                                

14  landlord's property has been identified as needing services.                

                                                                                

15      Sec. 603. (1) The department, as it determines is appropriate, shall        

                                                                                

16  enter into agreements with energy providers by which cash assistance        

                                                                                

17  recipients and the energy providers agree to permit the department to       

                                                                                

18  make direct payments to the energy providers on behalf of the recipient.    

                                                                                

19  The payments may include heat and electric payment requirements from        

                                                                                

20  recipient grants and amounts in excess of the payment requirements.         

                                                                                

21      (2) The department shall establish caps for natural gas, wood,              

                                                                                

22  electric heat service, deliverable fuel heat services, and for electric     

                                                                                

23  service based on available federal funds.                                   

                                                                                

24      (3) The department may review and adjust the standard utility               

                                                                                

25  allowance for the state food assistance program to ensure that it           

                                                                                

26  reflects current energy costs in the state.                                 

                                                                                

27      Sec. 604. (1) The department shall operate a state disability               


                                                                                

1   assistance program. Except as provided in subsection (3), persons           

                                                                                

2   eligible for this program shall include needy citizens of the United        

                                                                                

3   States or aliens exempted from the supplemental security income             

                                                                                

4   citizenship requirement who are at least 18 years of age or emancipated     

                                                                                

5   minors meeting 1 or more of the following requirements:                     

                                                                                

6       (a) A recipient of supplemental security income, social security,           

                                                                                

7   or medical assistance due to disability or 65 years of age or older.        

                                                                                

8       (b) A person with a physical or mental impairment which meets               

                                                                                

9   federal supplemental security income disability standards, except that      

                                                                                

10  the minimum duration of the disability shall be 90 days.  Substance         

                                                                                

11  abuse alone is not defined as a basis for eligibility.                      

                                                                                

12      (c) A resident of an adult foster care facility, a home for the             

                                                                                

13  aged, a county infirmary, or a substance abuse treatment center.            

                                                                                

14      (d) A person receiving 30-day postresidential substance abuse               

                                                                                

15  treatment.                                                                  

                                                                                

16      (e) A person diagnosed as having acquired immunodeficiency                  

                                                                                

17  syndrome.                                                                   

                                                                                

18      (f) A person receiving special education services through the               

                                                                                

19  local intermediate school district.                                         

                                                                                

20      (g) A caretaker of a disabled person as defined in subdivision              

                                                                                

21  (a), (b), (e), or (f) above.                                                

                                                                                

22      (2) Applicants for and recipients of the state disability                   

                                                                                

23  assistance program shall be considered needy if they:                       

                                                                                

24      (a) Meet the same asset test as is applied to applicants for the            

                                                                                

25  family independence program.                                                

                                                                                

26      (b) Have a monthly budgetable income that is less than the                  

                                                                                

27  payment standards.                                                          


                                                                                

1       (3) Except for a person described in subsection (1)(c) or (d), a            

                                                                                

2   person is not disabled for purposes of this section if his or her drug      

                                                                                

3   addiction or alcoholism is a contributing factor material to the            

                                                                                

4   determination of disability.  "Material to the determination of             

                                                                                

5   disability" means that, if the person stopped using drugs or alcohol,       

                                                                                

6   his or her remaining physical or mental limitations would not be            

                                                                                

7   disabling.  If his or her remaining physical or mental limitations would    

                                                                                

8   be disabling, then the drug addiction or alcoholism is not material to      

                                                                                

9   the determination of disability and the person may receive state            

                                                                                

10  disability assistance.  Such a person must actively participate in a        

                                                                                

11  substance abuse treatment program, and the assistance must be paid to a     

                                                                                

12  third party or through vendor payments.  For purposes of this section,      

                                                                                

13  substance abuse treatment includes receipt of inpatient or outpatient       

                                                                                

14  services or participation in alcoholics anonymous or a similar program.     

                                                                                

15      (4) A refugee or asylee who loses his or her eligibility for the            

                                                                                

16  federal supplemental security income program by virtue of exceeding the     

                                                                                

17  maximum time limit for eligibility as delineated in section 402 of          

                                                                                

18  title IV of the personal responsibility and work opportunity                

                                                                                

19  reconciliation act of 1996, Public Law 104-193, 8 U.S.C. 1612, and who      

                                                                                

20  otherwise meets the eligibility criteria under this section shall be        

                                                                                

21  eligible to receive benefits under the state disability assistance          

                                                                                

22  program.                                                                    

                                                                                

23      Sec. 605. The level of reimbursement provided to state disability           

                                                                                

24  assistance recipients in licensed adult foster care facilities shall be     

                                                                                

25  the same as the prevailing supplemental security income rate under the      

                                                                                

26  personal care category.                                                     

                                                                                

27      Sec. 606. County family independence agencies shall require each            


                                                                                

1   recipient of state disability assistance who has applied with the           

                                                                                

2   social security administration for supplemental security income to sign     

                                                                                

3   a contract to repay any assistance rendered through the state               

                                                                                

4   disability assistance program upon receipt of retroactive supplemental      

                                                                                

5   security income benefits.                                                   

                                                                                

6       Sec. 607. The department's ability to satisfy appropriation                 

                                                                                

7   deductions in part 1 for state disability assistance/supplemental           

                                                                                

8   security income recoveries and public assistance recoupment revenues        

                                                                                

9   shall not be limited to recoveries and accruals pertaining to state         

                                                                                

10  disability assistance, or family independence assistance grant payments     

                                                                                

11  provided only in the current fiscal year, but shall include all related     

                                                                                

12  net recoveries received during the current fiscal year.                     

                                                                                

13      Sec. 608. Adult foster care facilities providing domiciliary care or        

                                                                                

14  personal care to residents receiving supplemental security income or        

                                                                                

15  homes for the aged serving residents receiving supplemental security        

                                                                                

16  income shall not require those residents to reimburse the home or           

                                                                                

17  facility for care at rates in excess of those legislatively authorized.     

                                                                                

18  To the extent permitted by federal law, adult foster care facilities        

                                                                                

19  and homes for the aged serving residents receiving supplemental             

                                                                                

20  security income shall not be prohibited from accepting third-party          

                                                                                

21  payments in addition to supplemental security income provided that the      

                                                                                

22  payments are not for food, clothing, shelter, or result in a reduction      

                                                                                

23  in the recipient's supplemental security income payment.                    

                                                                                

24      Sec. 610. In developing good cause criteria for the state emergency         

                                                                                

25  relief program, the department shall grant exemptions if the emergency      

                                                                                

26  resulted from unexpected expenses related to maintaining or securing        

                                                                                

27  employment.                                                                 


                                                                                

1       Sec. 611. (1) The department shall not require providers of burial          

                                                                                

2   services to accept state payment for indigent burials as payments in        

                                                                                

3   full.  Each provider shall be permitted to collect additional payment       

                                                                                

4   from relatives or other persons on behalf of the deceased.  The total in    

                                                                                

5   additional payments shall not exceed $2,600.00.                             

                                                                                

6       (2) Any additional payment collected pursuant to subsection (1)             

                                                                                

7   shall not increase the maximum charge limit for state payment as            

                                                                                

8   established by law.                                                         

                                                                                

9       Sec. 612. For purposes of determining housing affordability                 

                                                                                

10  eligibility for state emergency relief, a group is considered to have       

                                                                                

11  sufficient income to meet ongoing housing expenses if their total           

                                                                                

12  housing obligation does not exceed 75% of their total net income.           

                                                                                

13      Sec. 613. From the funds appropriated in part 1 for state emergency         

                                                                                

14  relief, the maximum allowable charge limit for indigent burials shall be    

                                                                                

15  $947.00The funds shall be distributed as follows: $603.00 for funeral    

                                                                                

16  directors; $200.00 for cemeteries or crematoriums; and $144.00 for the      

                                                                                

17  provider of the vault.                                                      

                                                                                

18      Sec. 614. The funds available in part 1 for burial services shall be        

                                                                                

19  available if the deceased was an eligible recipient and an application      

                                                                                

20  for emergency relief funds was made within 10 days of the burial or         

                                                                                

21  cremation of the deceased person.  Each provider of burial services         

                                                                                

22  shall be paid directly by the department.                                   

                                                                                

23      Sec. 615. Except as required by federal law or regulations, funds           

                                                                                

24  appropriated in part 1 shall not be used to provide public assistance       

                                                                                

25  to a person who is an illegal alien.  This section shall not prohibit       

                                                                                

26  the department from entering into contracts with food banks or              

                                                                                

27  emergency shelter providers who may, as a normal part of doing              


                                                                                

1   business, provide food or emergency shelter to individuals.                 

                                                                                

2       Sec. 616. The appropriation in part 1 for the weatherization program        

                                                                                

3   shall be expended in such a manner that at least 25% of the households      

                                                                                

4   weatherized under the program shall be households of families receiving     

                                                                                

5   1 or more of the following:                                                 

                                                                                

6       (a) Family independence assistance.                                         

                                                                                

7       (b) State disability assistance.                                            

                                                                                

8       (c) Food assistance.                                                        

                                                                                

9       (d) Supplemental security income.                                           

                                                                                

10      Sec. 617. In operating the family independence program with funds           

                                                                                

11  appropriated in part 1, the department shall not approve as a minor         

                                                                                

12  parent's adult supervised household a living arrangement in which the       

                                                                                

13  minor parent lives with his or her partner as the supervising adult.        

                                                                                

14      Sec. 618. The department may only reduce, terminate, or suspend             

                                                                                

15  assistance provided under the social welfare act, 1939 PA 280, MCL 400.1    

                                                                                

16  to 400.119b, without prior notice in 1 or more of the following             

                                                                                

17  situations:                                                                 

                                                                                

18      (a) The only eligible recipient has died.                                   

                                                                                

19      (b) A recipient member of a program group or family independence            

                                                                                

20  assistance group has died.                                                  

                                                                                

21      (c) A recipient child is removed from his or her family home by             

                                                                                

22  court action.                                                               

                                                                                

23      (d) A recipient requests in writing that his or her assistance be           

                                                                                

24  reduced, terminated, or suspended.                                          

                                                                                

25      (e) A recipient has been approved to receive assistance in                  

                                                                                

26  another state.                                                              

                                                                                

27      (f) A change in either state or federal law that requires                   

                                                                                

28  automatic grant adjustments for classes of recipients.                      


                                                                                

1       Sec. 619. The department shall exempt from the denial of title IV-A         

                                                                                

2   assistance and food assistance benefits, contained in section 115 of        

                                                                                

3   title I of the personal responsibility and work opportunity                 

                                                                                

4   reconciliation act of 1996, Public Law 104-193, 21 U.S.C. 862a, any         

                                                                                

5   individual who has been convicted of a felony that included the             

                                                                                

6   possession, use, or distribution of a controlled substance, after August    

                                                                                

7   22, 1996, provided that the individual is not in violation of his or her    

                                                                                

8   probation or parole requirements.  Benefits shall be provided to such       

                                                                                

9   individuals as follows:                                                     

                                                                                

10      (a) A third-party payee or vendor shall be required for any cash            

                                                                                

11  benefits provided.                                                          

                                                                                

12      (b) An authorized representative shall be required for food                 

                                                                                

13  assistance receipt.                                                         

                                                                                

14      Sec. 621. Funds appropriated in part 1 may be used to support               

                                                                                

15  multicultural assimilation and support services.  The department shall      

                                                                                

16  distribute all of the funds described in this section based on assessed     

                                                                                

17  community needs.                                                            

                                                                                

18      Sec. 627. (1) From the funds appropriated in part 1 for day care            

                                                                                

19  services, the department shall contract to administer an amount not to      

                                                                                

20  exceed $1,350,000.00 for the "enhance quality improvement program"          

                                                                                

21  (EQUIP) grants.  A priority for the expenditure of EQUIP funds shall be     

                                                                                

22  given to providers to expand access to child care, specifically 24-hour     

                                                                                

23  care and weekend care.  A child care program shall not be eligible for      

                                                                                

24  an EQUIP grant unless 25% or more of its clients receive day care           

                                                                                

25  payments from the department.                                               

                                                                                

26      (2) From the funds appropriated in part 1 for day care services,            

                                                                                

27  the department shall establish an additional fund of at least               


                                                                                

1   $350,000.00 for a grant pool for an "enhance quality improvement            

                                                                                

2   program" (EQUIP) specifically to establish new family and group home        

                                                                                

3   day care providers.                                                         

                                                                                

4       Sec. 631. The department shall maintain policies and procedures to          

                                                                                

5   achieve all of the following:                                               

                                                                                

6       (a) The identification of individuals on entry into the system              

                                                                                

7   who have a history of domestic violence, while maintaining the              

                                                                                

8   confidentiality of that information.                                        

                                                                                

9       (b) Referral of persons so identified to counseling and                     

                                                                                

10  supportive services.                                                        

                                                                                

11      (c) In accordance with a determination of good cause, the waiving           

                                                                                

12  of certain requirements of family independence programs where               

                                                                                

13  compliance with those requirements would make it more difficult for the     

                                                                                

14  individual to escape domestic violence or would unfairly penalize           

                                                                                

15  individuals who have been victims of domestic violence or who are at        

                                                                                

16  risk of further domestic violence.                                          

                                                                                

17      Sec. 643. As a condition of receipt of federal TANF funds, homeless         

                                                                                

18  shelters shall collaborate with the family independence agency to           

                                                                                

19  obtain necessary TANF eligibility information on families as soon as        

                                                                                

20  possible after admitting a family to the homeless shelter.  From the        

                                                                                

21  funds appropriated in part 1 for homeless shelters within state             

                                                                                

22  emergency relief, the department is authorized to make allocations of       

                                                                                

23  TANF funds only to the agencies that report necessary data to the           

                                                                                

24  department for the purpose of meeting TANF eligibility reporting            

                                                                                

25  requirements.  Homeless shelters that do not report necessary data to       

                                                                                

26  the department for the purpose of meeting TANF eligibility reporting        

                                                                                

27  requirements will not receive reimbursements which exceed the per diem      


                                                                                

1   amount they received in fiscal year 2000.  The use of TANF funds under      

                                                                                

2   this section should not be considered an ongoing commitment of funding.     

                                                                                

3       Sec. 645. An individual or family is considered homeless, for               

                                                                                

4   purposes of eligibility for state emergency relief, if living               

                                                                                

5   temporarily with others in order to escape domestic violence.  For          

                                                                                

6   purposes of this section, domestic violence is defined and verified in      

                                                                                

7   the same manner as in the family independence agency's policies on good     

                                                                                

8   cause for not cooperating with child support and paternity                  

                                                                                

9   requirements.                                                               

                                                                                

10      Sec. 648. From the funds appropriated in part 1 for assistance              

                                                                                

11  payments, the department shall continue to make assistance payments to      

                                                                                

12  recipients beyond the federal 5-year limit set under the personal           

                                                                                

13  responsibility and work opportunity reconciliation act of 1996, Public      

                                                                                

14  Law 104-193, 110 Stat. 2105, providing the recipient is complying with      

                                                                                

15  asset, income, and participation standards set as a condition of            

                                                                                

16  eligibility to receive assistance.                                          

                                                                                

17      Sec. 649. (1) The department may distribute cash and food assistance        

                                                                                

18  to recipients electronically by using debit cards.                          

                                                                                

19      (2) The department shall allocate up to $4,300,000.00 for the               

                                                                                

20  annual school clothing allowance.  The allowance shall be granted to        

                                                                                

21  all eligible children 4 to 18 years of age.                                 

                                                                                

22      Sec. 653. From the funds appropriated in part 1 for food assistance,        

                                                                                

23  an individual who is the victim of domestic violence and does not           

                                                                                

24  qualify for any other exemption may be exempt from the 3-month in 36-       

                                                                                

25  month limit on receiving food assistance under section 6(o)(6) of the       

                                                                                

26  food stamp act of 1977, Public Law 88-525, 7 U.S.C. 2015.  This             

                                                                                

27  exemption can be extended an additional 3 months upon demonstration of      


                                                                                

1   continuing need.                                                            

                                                                                

2       Sec. 660. From the funds appropriated in part 1 for food bank               

                                                                                

3   council activities within state emergency relief, the department is         

                                                                                

4   authorized to make allocations of TANF funds only to the agencies that      

                                                                                

5   report necessary data to the department for the purpose of meeting TANF     

                                                                                

6   eligibility reporting requirements.  The agencies that do not report        

                                                                                

7   necessary data to the department for the purpose of meeting TANF            

                                                                                

8   eligibility reporting requirements will not receive allocations in          

                                                                                

9   excess of those received in fiscal year 2000.  The use of TANF funds        

                                                                                

10  under this section should not be considered an ongoing commitment of        

                                                                                

11  funding.                                                                    

                                                                                

12      Sec. 666. The department shall develop and implement a plan to              

                                                                                

13  increase the participation of eligible family independence program          

                                                                                

14  recipients in the federal earned income tax credit.                         

                                                                                

15      Sec. 667. The department may expend funds necessary to perform child        

                                                                                

16  day care provider background checks from fees collected.                    

                                                                                

17  JUVENILE JUSTICE SERVICES                                                   

                                                                                

18      Sec. 706. Counties shall be subject to 50% charge back for the use          

                                                                                

19  of alternative regional detention services, if those detention services     

                                                                                

20  do not fall under the basic provision of section 117e of the social         

                                                                                

21  welfare act, 1939 PA 280, MCL 400.117e, or if a county operates those       

                                                                                

22  detention services programs primarily with professional rather than         

                                                                                

23  volunteer staff.                                                            

                                                                                

24      Sec. 713. (1) The department shall work cooperatively with judiciary        

                                                                                

25  and with the departments of community health and career development to      

                                                                                

26  coordinate and improve the delivery of mental health and substance abuse    

                                                                                

27  treatment and education and training services to individuals leaving the    


                                                                                

1   juvenile justice system, especially those aging out of the system           

                                                                                

2   identified as continuing to pose a serious risk to themselves or others.    

                                                                                

3       (2) As required by section 18 of chapter XIIA of the probate code           

                                                                                

4   of 1939, 1939 PA 288, MCL 712A.18, juveniles committed to an                

                                                                                

5   institution operated by the department shall receive medical, dental,       

                                                                                

6   surgical, or other health care as necessary.  The Medicaid reimbursable     

                                                                                

7   rate scale shall be used as the standard for allowable charges for          

                                                                                

8   services rendered.  The family independence agency shall reimburse          

                                                                                

9   providers for the actual charges less than or equal to the Medicaid         

                                                                                

10  reimbursable rate scale for each service provided.                          

                                                                                

11  DISABILITY DETERMINATION SERVICES                                           

                                                                                

12      Sec. 801. The family independence agency disability determination           

                                                                                

13  services in agreement with the department of management and budget          

                                                                                

14  office of retirement systems will develop the medical information and       

                                                                                

15  determine eligibility of medical disability retirement for state            

                                                                                

16  employees, state police, judges, and school teachers.                       

                                                                                

17  CHILD SUPPORT ENFORCEMENT                                                   

                                                                                

18      Sec. 901. (1) From the federal money received for child support             

                                                                                

19  incentive payments, up to $15,397,400.00 shall be retained by the state     

                                                                                

20  and expended for legal support contracts and child support program          

                                                                                

21  expenses.                                                                   

                                                                                

22      (2) In addition to the amount retained in subsection (1),                   

                                                                                

23  additional incentives may be retained and used by the state for special,    

                                                                                

24  enhanced, or centralized initiatives or services that are reasonably        

                                                                                

25  calculated by the department, in consultation with the state court          

                                                                                

26  administrative office and the state budget office, to result in an          

                                                                                

27  equivalent or greater increase in child support collections or child        


                                                                                

1   support incentive payments received from the federal government.  If        

                                                                                

2   payment from the federal government for collection performance              

                                                                                

3   incentives exceeds the amount received by the state for the fiscal year     

                                                                                

4   2000, the total amount paid to counties shall be no less than the total     

                                                                                

5   amount paid from federal performance incentives in fiscal year 2001.        

                                                                                

6       (3) At the end of the current fiscal year, the department may,              

                                                                                

7   when it is cost beneficial to the state and counties, withhold from         

                                                                                

8   submitting to the federal office of child support administrative            

                                                                                

9   expenses eligible for federal financial participation.  The department      

                                                                                

10  may recoup earned but unclaimed federal funds from the resulting            

                                                                                

11  increased federal child support incentive.  The recoupment by the           

                                                                                

12  department shall be made prior to distribution of the increased             

                                                                                

13  incentive to the counties.  Any incentive funds retained by the state       

                                                                                

14  under this section shall be separate and apart from incentive funds         

                                                                                

15  retained in any other section of this bill.                                 

                                                                                

16      (4) A county shall not be penalized due to the failure to comply            

                                                                                

17  with federal child support enforcement system requirements if the           

                                                                                

18  department determines that all of the following conditions are met:         

                                                                                

19      (a) The county, friend of the court, and the department have a              

                                                                                

20  written agreement that outlines the county's commitment to participate      

                                                                                

21  in the system.                                                              

                                                                                

22      (b) The county and the friend of the court are fully and timely             

                                                                                

23  cooperating with the work plan outlined in the child support enforcement    

                                                                                

24  memorandum of understanding between the department and the county.          

                                                                                

25      (c) The county and the friend of the court are implementing the             

                                                                                

26  child support enforcement system required for federal certification.        

                                                                                

27      (d) The friend of the court and county prosecuting attorney's               


                                                                                

1   office use the statewide system upon availability to monitor and process    

                                                                                

2   title IV-D cases.                                                           

                                                                                

3.. (5) In addition to the amount specified in subsection (1),                      

...                                                                             

4 the family independence agency may retain any federal title IV-D               

...                                                                             

5 incentive payment revenues withheld from counties pursuant to the              

...                                                                             

6 imposition of financial penalties, and may use the federal revenues            

...                                                                             

7 retained for any child support program purpose.