HOUSE BILL NO. 4800

A bill to amend 1984 PA 431, entitled

"The management and budget act,"

by amending section 451a (MCL 18.1451a), as added by 1999 PA 8.

the people of the state of michigan enact:

Sec. 451a. (1) Except as provided in section 248, a work project appropriation continues to be available until completion of the work or 48 24 months after the last day of the fiscal year in which the appropriation was originally made, whichever comes first, then the remaining balance lapses to the state fund from which it was appropriated. For work projects established before the effective date of the amendatory act that added this section, the 48-month time period described in this subsection begins on the last day of the fiscal year in the year the amendatory act that added this section takes effect. To be designated as a work project on or after the effective date of the amendatory act that added subdivision (e), a work project shall must meet all of the following criteria:

(a) The work project shall be Be for a specific purpose.

(b) The work project shall contain Contain a specific plan to accomplish its objective.

(c) The work project shall have Have an estimated completion cost.

(d) The work project shall have Have an estimated completion date.

(e) Have been approved by the appropriations committees. For purposes of this subdivision, the appropriations committees shall approve or deny a work project submitted to the committee by not later than 30 days after the submission is received.

(2) The director has the authority to may issue directives to lapse existing work project accounts at any time. The director shall notify each member of the senate and house appropriations committees and the fiscal agencies of work projects that the director has ordered to lapse. These directives may be disapproved by either the senate or house appropriations committee within A directive is not effective unless, not later than 30 days after the date of notification, and, if disapproved within that time, shall not be effective.the appropriations committees approve the directive.

(3) Not later than 45 10 days after the conclusion of the fiscal year, the director shall notify the senate and house appropriations committees and the fiscal agencies of appropriations proposed to be designated as work projects in accordance with the definition contained in this act. These designations may be disapproved by either appropriations committee within A designation is not effective unless, not later than 30 days after the date of notification, and, if disapproved within that time, shall not be effective. the appropriations committees approve the designation. The notification shall must include an estimate of the dollar amount of the funds to be designated as work projects and a description of all work projects designated in an appropriations act.

(4) Not later than 120 days after the conclusion of the fiscal year, the Each quarter, the director shall prepare and deliver to the senate and house appropriations committees and the fiscal agencies a report that summarizes current work project accounts. This report shall contain a listing must include all of the following:

(a) A list of all work project accounts. , the

(b) The balance in each account. , the

(c) The amount of funds that lapsed from any previously designated work projects and the name and description of the work project. , and the

(d) The funds that received these lapses.

(5) If the appropriations committees determine that either of the following conditions applies to funds designated as a work project, the entity to which the funds were appropriated shall not spend or otherwise distribute any of the funds or shall immediately cease spending or otherwise distributing the funds, as applicable:

(a) The entity spent or otherwise distributed the funds for a purpose other than the purpose for which the funds were appropriated.

(b) The entity did not or has not spent or otherwise distributed the funds in a timely manner.