August 15, 2012, Introduced by Rep. Kowall and referred to the Committee on Appropriations.
A bill to amend 1984 PA 431, entitled
"The management and budget act,"
by amending sections 248 and 249 (MCL 18.1248 and 18.1249), section
248 as amended by 1999 PA 8.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 248. (1) This section applies to all capital outlay
projects appropriated in any budget act. This section does not
apply to lump sums other than planning projects.
(2) Appropriations made in any budget act for a planning
project shall not lapse to the fund from which appropriated at the
end of the fiscal year, but shall continue until the purposes for
which the sums were appropriated are completed. However, each
project
which has been authorized for planning for 3 4 years
or
more and which has not been authorized for final design and
construction shall be terminated, unless the project is
specifically reauthorized in a budget act.
(3) Appropriations made in any budget act for final design and
construction shall not lapse to the fund from which they are
appropriated at the end of the fiscal year, but shall continue
until the purposes for which the sums were appropriated are
completed. However, each project that has been authorized for final
design
and construction for 3 4 years or more and where
construction has not commenced shall be terminated, unless the
project is specifically reauthorized in a budget act.
(4) Except as otherwise provided in this section, the balance
of any capital outlay project other than a planning project shall
not lapse at the end of the fiscal year for which the appropriation
was made, but shall continue for not more than 2 fiscal years
occurring after the fiscal year for which the appropriation for the
project is made.
(5)
A capital outlay project may be continued beyond 3 4
fiscal years if the bid for the start of construction of the
project is awarded before the end of the second fiscal year
occurring after the fiscal year for which the appropriation for the
project is made.
(6) A capital outlay project which is for purchase of property
may
be continued beyond 3 4 fiscal years if a contract to purchase
property is entered into before the end of the second fiscal year
occurring after the fiscal year for which the appropriation for the
purchase is made but only the amount necessary to complete the
purchase of the property pursuant to the contract shall be carried
forward.
(7)
A capital outlay project may be continued beyond 3 4
fiscal years if a federal grant award is pending and the federal
rules preclude the award of the bid before the end of the second
fiscal year occurring after the fiscal year for which the
appropriation for the project was made, but shall not be continued
beyond an additional year unless the bid for the start of
construction of the project is awarded.
(8) If the bid for the start of construction of the project is
awarded before the appropriations for the project are scheduled to
lapse pursuant to subsection (4) or (6), the unobligated balance of
the appropriations for the project shall not lapse but shall
continue for 23 months after a project is substantially completed.
(9) If a capital outlay project is subject to a legal action,
the balance shall lapse pursuant to subsections (2) to (8), or 30
days after the legal action is settled, or 30 days after a final
order is entered, whichever is later.
(10) An unexpended balance which is to lapse pursuant to this
section shall lapse to the fund from which the appropriation is
made.
(11) A grant or grant-in-aid appropriated for the demolition,
acquisition, construction, repair, or maintenance of capital assets
shall not be reduced, adjusted, delayed, impounded, lapsed, or
otherwise altered by the director for any purpose without
legislative approval and shall be carried forward until awarded, in
full, to the recipient of the appropriation consistent with
legislative intent.
Sec. 249. (1) If matching revenues for a capital outlay
project are received in an amount less than the appropriations
contained in a budget act, the state portion of the appropriation
shall be reduced in proportion to the amount of matching revenue
received.
(2) A state agency, community college, or university shall
take the steps necessary to make available federal matching
revenues received in conjunction with a capital outlay project. Any
federal matching revenues received to support the construction of a
project shall be applied to the total authorized cost, with state,
community college, or university financing shares proportionally
adjusted.