Bill Text: MI HB4963 | 2009-2010 | 95th Legislature | Introduced
Bill Title: Transportation; funds; transit asset management; expand. Amends sec. 9a of 1951 PA 51 (MCL 247.659a).
Spectrum: Moderate Partisan Bill (Democrat 11-2)
Status: (Introduced - Dead) 2009-05-20 - Printed Bill Filed 05/20/2009 [HB4963 Detail]
Download: Michigan-2009-HB4963-Introduced.html
HOUSE BILL No. 4963
May 19, 2009, Introduced by Reps. Ball, Donigan, Bauer, Kandrevas, Gonzales, Polidori, LeBlanc, Geiss, Lahti, Wayne Schmidt, Melton, Byrnes and Dean and referred to the Committee on Transportation.
A bill to amend 1951 PA 51, entitled
"An act to provide for the classification of all public roads,
streets, and highways in this state, and for the revision of that
classification and for additions to and deletions from each
classification; to set up and establish the Michigan transportation
fund; to provide for the deposits in the Michigan transportation
fund of specific taxes on motor vehicles and motor vehicle fuels;
to provide for the allocation of funds from the Michigan
transportation fund and the use and administration of the fund for
transportation purposes; to set up and establish the truck safety
fund; to provide for the allocation of funds from the truck safety
fund and administration of the fund for truck safety purposes; to
set up and establish the Michigan truck safety commission; to
establish certain standards for road contracts for certain
businesses; to provide for the continuing review of transportation
needs within the state; to authorize the state transportation
commission, counties, cities, and villages to borrow money, issue
bonds, and make pledges of funds for transportation purposes; to
authorize counties to advance funds for the payment of deficiencies
necessary for the payment of bonds issued under this act; to
provide for the limitations, payment, retirement, and security of
the bonds and pledges; to provide for appropriations and tax levies
by counties and townships for county roads; to authorize
contributions by townships for county roads; to provide for the
establishment and administration of the state trunk line fund,
local bridge fund, comprehensive transportation fund, and certain
other funds; to provide for the deposits in the state trunk line
fund, critical bridge fund, comprehensive transportation fund, and
certain other funds of money raised by specific taxes and fees; to
provide for definitions of public transportation functions and
criteria; to define the purposes for which Michigan transportation
funds may be allocated; to provide for Michigan transportation fund
grants; to provide for review and approval of transportation
programs; to provide for submission of annual legislative requests
and reports; to provide for the establishment and functions of
certain advisory entities; to provide for conditions for grants; to
provide for the issuance of bonds and notes for transportation
purposes; to provide for the powers and duties of certain state and
local agencies and officials; to provide for the making of loans
for transportation purposes by the state transportation department
and for the receipt and repayment by local units and agencies of
those loans from certain specified sources; and to repeal acts and
parts of acts,"
by amending section 9a (MCL 247.659a), as amended by 2007 PA 199.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 9a. (1) As used in this section:
(a) "Asset management" means an ongoing process of
maintaining, upgrading, and operating physical assets cost-
effectively, based on a continuous physical inventory and condition
assessment.
(b) "Bridge" means a structure including supports erected over
a depression or an obstruction, such as water, a highway, or a
railway, for the purposes of carrying traffic or other moving
loads, and having an opening measuring along the center of the
roadway of more than 20 feet between undercopings of abutments or
spring lines of arches, or extreme ends of openings for multiple
boxes where the clear distance between openings is less than 1/2 of
the smaller contiguous opening.
(c) "Central storage data agency" means that agency or office
chosen by the council where the data collected is stored and
maintained.
(d) "Council" means the transportation asset management
council created by this section.
(e) "County road commission" means the board of county road
commissioners elected or appointed pursuant to section 6 of chapter
IV of 1909 PA 283, MCL 224.6, or, in the case of a charter county
with a population of 2,000,000 or more with an elected county
executive that does not have a board of county road commissioners,
the county executive for ministerial functions and the county
commission provided for in section 14(1)(d) of 1966 PA 293, MCL
45.514, for legislative functions.
(f) "Department" means the state transportation department.
(g) "Federal-aid eligible" means any public road or bridge
that is eligible for federal aid to be spent for the construction,
repair, or maintenance of that road or bridge.
(h) "Local road agency" means a county road commission or
designated county road agency or city or village that is
responsible for the construction or maintenance of public roads
within the state under this act.
(i) "Multiyear program" means a compilation of road and bridge
projects anticipated to be contracted for by the department or a
local road agency during a 3-year period. The multiyear program
shall include a listing of each project to be funded in whole or in
part with state or federal funds.
(j) "State planning and development regions" means those
agencies required by section 134(b) of title 23 of the United
States Code, 23 USC 134, and those agencies established by
Executive Directive 1968-1.
(k) "Transit agency" means a recipient of comprehensive
transportation funds under section 10e(4)(a) of this act.
(l) "Transit asset" means all rolling stock, all facilities
with value over $25,000.00, and all equipment with replacement
value over $100,000.00.
(2) In order to provide a coordinated, unified effort by the
various roadway agencies within the state, the transportation asset
management council is hereby created within the state
transportation commission and is charged with advising the
commission on a statewide asset management strategy and the
processes and necessary tools needed to implement such a strategy
beginning with the federal-aid eligible highway system, and once
completed, continuing on with the county road and municipal
systems, in a cost-effective, efficient manner. Nothing in this
section shall prohibit a local road agency from using an asset
management process on its non-federal-aid eligible system. The
council shall consist of 10 voting members appointed by the state
transportation commission. The council shall include 2 members from
the county road association of Michigan, 2 members from the
Michigan municipal league, 2 members from the state planning and
development regions, 1 member from the Michigan townships
association, 1 member from the Michigan association of counties,
and 2 members from the department. Nonvoting members shall include
1 person from the agency or office selected as the location for
central data storage. Each agency with voting rights shall submit a
list of 2 nominees to the state transportation commission from
which the appointments shall be made. The Michigan townships
association shall submit 1 name, and the Michigan association of
counties
shall submit 1 name. Names shall be submitted within 30
days
after the effective date of the 2002 amendatory act that
amended
this section. The state transportation commission shall
make
the appointments within 30 days after receipt of the lists.
(3) The positions for the department shall be permanent. The
position of the central data storage agency shall be nonvoting and
shall be for as long as the agency continues to serve as the data
storage repository. The member from the Michigan association of
counties shall be initially appointed for 2 years. The member from
the Michigan townships association shall be initially appointed for
3 years. Of the members first appointed from the county road
association of Michigan, the Michigan municipal league, and the
state planning and development regions, 1 member of each group
shall be appointed for 2 years and 1 member of each group shall be
appointed for 3 years. At the end of the initial appointment, all
terms shall be for 3 years. The chairperson shall be selected from
among the voting members of the council.
(4) The department shall provide qualified administrative
staff and the state planning and development regions shall provide
qualified technical assistance to the council.
(5) The council shall develop and present to the state
transportation commission for approval within 90 days after the
date of the first meeting such procedures and requirements as are
necessary for the administration of the asset management process.
This shall, at a minimum, include the areas of training, data
storage and collection, reporting, development of a multiyear
program, budgeting and funding, and other issues related to asset
management that may arise from time to time. All quality control
standards and protocols shall, at a minimum, be consistent with any
existing federal requirements and regulations and existing
government accounting standards.
(6) The council may appoint a technical advisory panel whose
members shall be representatives from the transportation
construction associations and related transportation road
interests. The asset management council shall select members to the
technical advisory panel from names submitted by the transportation
construction associations and related transportation road
interests. The technical advisory panel members shall be appointed
for 3 years. The asset management council shall determine the
research issues and assign projects to the technical advisory panel
to assist in the development of statewide policies. The technical
advisory panel's recommendations shall be advisory only and not
binding on the asset management council.
(7) The department, each county road commission, and each city
and village of this state shall annually submit a report to the
transportation asset management council. This report shall include
a multiyear program developed through the asset management process
described in this section. Projects contained in the department's
annual multiyear program shall be consistent with the department's
asset management process and shall be reported consistent with
categories established by the transportation asset management
council. Projects contained in the annual multiyear program of each
local road agency shall be consistent with the asset management
process of each local road agency and shall be reported consistent
with categories established by the transportation asset management
council.
(8) Funding necessary to support the activities described in
this section shall be provided by an annual appropriation from the
Michigan transportation fund to the state transportation
commission.
(9) The department and each local road agency shall keep
accurate and uniform records on all road and bridge work performed
and funds expended for the purposes of this section, according to
the procedures developed by the council. Each local road agency and
the department shall annually report to the council the mileage and
condition of the road and bridge system under their jurisdiction
and the receipts and disbursements of road and street funds in the
manner prescribed by the council, which shall be consistent with
any current accounting procedures. An annual report shall be
prepared by the staff assigned to the council regarding the results
of activities conducted during the preceding year and the
expenditure of funds related to the processes and activities
identified by the council. The report shall also include an
overview of the activities identified for the succeeding year. The
council shall submit this report to the state transportation
commission, the legislature, and the transportation committees of
the house and senate by May 2 of each year.
(10) A transit asset management committee shall be established
in the state transportation commission. The committee shall receive
guidance and technical assistance from the council, yet shall
operate independently of the council. The committee shall consist
of 12 voting members appointed by the state transportation
commission. The committee shall include 3 members from the Michigan
public transit association. Of the members from the Michigan public
transit association, 1 shall be from a large transit agency that
serves a population of over 200,000, 1 shall be from a small urban
transit agency that serves a population of over 50,000 and under
200,000, and 1 shall be from a nonurban transit agency that serves
a population of under 50,000. Two members shall be from the
Michigan association of transportation systems. Of the members from
the Michigan association of transportation systems, 1 shall be from
a small urban transit agency and 1 shall be from a nonurban transit
agency. Two members shall be from the department. Two members shall
be from the state planning and development regions, and 1 member
from each of the following: Michigan municipal league, Michigan
association of counties, and Michigan township association. Each
agency shall submit a list of nominees equal to twice the number of
membership positions to the state transportation commission from
which the appointments shall be made. Names shall be submitted
within 90 days after the effective date of the amendatory act that
added this subsection. The state transportation commission shall
make the appointments within 90 days after receipt of the lists.
The transit asset management program shall provide a framework for
an individual transit agency to attempt to ensure that a
disproportionate fraction of its assets do not become due for
replacement or major repair at the same time and that no single
asset deteriorates into disrepair. The transit asset management
program shall strive to collect, tabulate, and analyze data in
sufficient detail to enable each transit agency or authority to
know the true state of repair of the assets under its control and
the department to know the condition of transit assets statewide.
Data shall be collected at intervals or from samples determined to
be the most cost-effective. The council shall provide the committee
with the technical guidance and training needed to conduct asset
management in accordance with this section.
(11) The Michigan public transit association and Michigan
association of transit systems members shall be either a transit
CEO or transit board member. The members from the Michigan
association of counties, Michigan municipal league, and Michigan
townships association shall be initially appointed for 3 years. Of
the members first appointed from the Michigan public transit
association, the Michigan association of transit systems, and the
state planning and development regions, 50% of the members of each
group shall be appointed for 2 years and 50% shall be appointed for
3 years. At the end of the initial appointment, all terms shall be
for 3 years. The chairperson shall be selected from among the
voting members of the committee. The positions for the department
shall be permanent. The department shall serve as the central data
storage agency and shall have a nonvoting member, in addition to
the 2 voting members.
(12) The department shall provide qualified administrative
staff and state planning and development regions shall provide
qualified technical assistance to the committee. The committee
shall develop and oversee an asset management program for the
Michigan transit system.
(13) The committee, with assistance from the council, shall
develop and submit all of the following items to the state
transportation commission for review and approval:
(a) A framework for a transit agency asset management plan. To
the maximum degree possible, data needed for the plan should take
advantage of existing federal transit administration and department
reporting requirements and existing government accounting
standards.
(b) A draft plan for training, data storage and collection,
reporting, budgeting, and funding.
(c) A framework for measuring the condition of transit assets.
To the maximum degree possible, data needed for condition
measurement should take advantage of existing federal transit
administration and department reporting requirements and existing
government accounting standards.
(14) The committee shall establish a deadline by which each
transit agency shall submit an asset management plan to the
committee and the department. The dates established by the
committee shall be reviewed and approved by the state
transportation commission. For each plan submitted, the department
shall review the plan and provide its comments to the committee.
The committee may conduct meetings to review plans with each
submitting agency and may request revisions to the plan. When the
committee is satisfied with each plan, it shall certify the plan.
On an annual basis, the committee shall report progress to the
state transportation commission on the status of plan review and
certification.
(15) Each transit agency shall keep accurate and uniform
records on implementation of its plan, including all capital and
preventative maintenance investments. By a date established by the
committee, each agency shall submit an annual report that includes
an inventory of its assets and an accounting of the capital and
preventative maintenance investments made in the preceding year.
The committee shall also establish a date by which the annual
report shall also include the condition of each asset under the
transit agency's control using the framework established by the
committee in subsection (13). The dates established by the
committee shall be reviewed and approved by the state
transportation commission.
(16) The committee shall establish a date by which the
department shall begin submitting an annual report that provides a
statewide summary of the condition of transit assets. The date
established by the committee shall be reviewed and approved by the
state transportation commission. Each annual report shall be
approved by the committee and submitted to the state transportation
commission.
(17) Compliance with the requirements of this section is an
eligible expense under section 10e(4)(a) of this act.
(18) The department may withhold comprehensive transportation
fund payments provided for under section 10e(4)(a) for a transit
agency's failure to comply with this section including reporting
requirements established by the committee.
