HB-5858, As Passed House, November 10, 2010

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 5858

 

 

 

 

 

 

 

 

 

 

 

     A bill to provide for a capital outlay program; to set forth

 

the provisions for its implementation within the budgetary process;

 

to make appropriations for planning and construction at state

 

institutions and the acquisition of land; to provide for the

 

elimination of fire hazards at the institutions; to provide for

 

certain special maintenance, remodeling, alteration, renovation, or

 

demolition of and additions to projects at state institutions; to

 

provide for elimination of occupational safety and health hazards

 

at state agencies and institutions; to provide for the award of

 

contracts; and to provide for the expenditure thereof under the

 

supervision of the director of the department of management and

 

budget and the state administrative board.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:


 

PART 1

 

LINE-ITEM APPROPRIATIONS

 

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

 

amounts listed in this part are appropriated for certain capital

 

outlay projects at the various state agencies and institutions for

 

the fiscal year ending September 30, 2011, from the funds indicated

 

in this part. The following is a summary of the appropriations in

 

this part:

 

CAPITAL OUTLAY

 

GROSS APPROPRIATION.................................... $      9,003,600

 

   Interdepartmental grant revenues:

 

Total interdepartmental grants and intradepartmental

 

   transfers............................................                 0

 

ADJUSTED GROSS APPROPRIATION........................... $      9,003,600

 

   Federal revenues:

 

Total federal revenues.................................                 0

 

   Special revenue funds:

 

Total local revenues...................................                 0

 

Total private revenues.................................                 0

 

Total other state restricted revenues..................                 0

 

State general fund/general purpose..................... $      9,003,600

 

 

 

   Sec. 102.  STATE AGENCY, COMMUNITY COLLEGE, AND

 

UNIVERSITY PLANNING AUTHORIZATIONS

 

Central Michigan University - bio-sciences building  -

 

   for program and planning to be paid for from

 

   university resources (estimated total authorized


 

   cost $75,000,000; state share $38,000,000;

 

   university share $37,000,000)........................ $            100

 

Eastern Michigan University - Strong hall renovation -

 

   for program and planning to be paid for from

 

   university resources (estimated total authorized

 

   cost $38,000,000; state share $28,500,000;

 

   university share $9,500,000).........................               100

 

Ferris State University - college of pharmacy - Grand

 

   Rapids - for program and planning to be paid for

 

   from university resources (estimated total

 

   authorized cost $8,800,000; state share $6,600,000;

 

   university share $2,200,000).........................               100

 

Grand Valley State University - classroom/office

 

   additions - for program and planning to be paid for

 

   from university resources (estimated total

 

   authorized cost $55,000,000; state share

 

   $38,000,000; university share $17,000,000)...........               100

 

Lake Superior State University - school of business

 

   building - for program and planning to be paid for

 

   from university resources (estimated total

 

   authorized cost $20,000,000; state share

 

   $15,000,000; university share $5,000,000)............               100

 

Michigan State University - plant science facilities -

 

   bioeconomy additions and renovations - for program

 

   and planning to be paid for from university

 

   resources (estimated total authorized cost

 

   $193,600,000; state share $38,000,000; university


 

   share $155,600,000)..................................               100

 

Michigan Technological University - next generation

 

   energy complex - for program and planning to be paid

 

   for from university resources (estimated total

 

   authorized cost $29,500,000; state share

 

   $22,125,000; university share $7,375,000)............               100

 

Northern Michigan University - Jamrich hall

 

   modernization - for program and planning to be paid

 

   for from university resources (estimated total

 

   authorized cost $33,900,000; state share

 

   $25,425,000; university share $8,475,000)............               100

 

Saginaw Valley State University - Wickes hall

 

   renovations - for program and planning to be paid

 

   for from university resources (estimated total

 

   authorized cost $8,000,000; state share $6,000,000;

 

   university share $2,000,000).........................               100

 

University of Michigan - Ann Arbor - G.G. Brown

 

   memorial laboratories renovation - for program and

 

   planning to be paid for from university resources

 

   (estimated total authorized cost $64,000,000; state

 

   share $38,000,000; university share $26,000,000).....               100

 

University of Michigan - Dearborn - science and

 

   computer information science building renovations -

 

   for program and planning to be paid for from

 

   university resources (estimated total authorized

 

   cost $51,000,000; state share $38,000,000;

 

   university share $13,000,000)........................               100


 

University of Michigan - Flint - Murchie science

 

   laboratory building renovations - for program and

 

   planning to be paid for from university resources

 

   (estimated total authorized cost $22,170,000; state

 

   share $16,627,500; university share $5,542,500)......               100

 

Wayne State University - multi-disciplinary biomedical

 

   research building - for program and planning to be

 

   paid for from university resources (estimated total

 

   authorized cost $200,000,000; state share

 

   $38,000,000; university share $162,000,000)..........               100

 

Alpena Community College - electrical power technology

 

   education and training center addition - for program

 

   and planning to be paid for from community college

 

   resources (estimated total authorized cost

 

   $4,997,500; state share $2,498,750; community

 

   college share $2,498,750)............................               100

 

Bay de Noc Community College - nursing lab/lecture

 

   hall remodeling - for program and planning to be

 

   paid for from community college resources (estimated

 

   total authorized cost $1,500,000; state share

 

   $750,000; community college share $750,000)..........               100

 

Delta College - health and wellness - F wing

 

   renovations - for program and planning to be paid

 

   for from community college resources (estimated

 

   total authorized cost $19,984,000; state share

 

   $9,992,000; community college share $9,992,000)......               100

 

Gogebic Community College - building renovation - for


 

   program and planning to be paid for from community

 

   college resources (estimated total authorized cost

 

   $1,500,000; state share $750,000; community college

 

   share $750,000)......................................               100

 

Grand Rapids Community College - Cook academic hall

 

   renovation - for program and planning to be paid for

 

   from community college resources (estimated total

 

   authorized cost $10,000,000; state share $5,000,000;

 

   community college share $5,000,000)..................               100

 

Jackson Community College - student services and

 

   instructional classrooms - for program and planning

 

   to be paid for from community college resources

 

   (estimated total authorized cost $19,500,000; state

 

   share $9,750,000; community college share

 

   $9,750,000)..........................................               100

 

Kellogg Community College - student center - for

 

   program and planning to be paid for from community

 

   college resources (estimated total authorized cost

 

   $4,500,000; state share $2,250,000; community

 

   college share $2,250,000)............................               100

 

Kirtland Community College - student center renovation

 

   and addition - for program and planning to be paid

 

   for from community college resources (estimated

 

   total authorized cost $8,000,000; state share

 

   $4,000,000; community college share $4,000,000)......               100

 

Lake Michigan College - energy-saving renovation of

 

   the Napier avenue academic building - for program


 

   and planning to be paid for from community college

 

   resources (estimated total authorized cost

 

   $15,019,000; state share $7,509,500; community

 

   college share $7,509,500)............................               100

 

Lansing Community College - arts and sciences building

 

   renovation - for program and planning to be paid for

 

   from community college resources (estimated total

 

   authorized cost $19,950,000; state share $9,975,000;

 

   community college share $9,975,000)..................               100

 

Macomb Community College - health science and

 

   technology building, phase II - for program and

 

   planning to be paid for from community college

 

   resources (estimated total authorized cost

 

   $14,500,000; state share $7,250,000; community

 

   college share $7,250,000)............................               100

 

Mid Michigan Community College - Mt. Pleasant campus

 

   unification - for program and planning to be paid

 

   for from community college resources (estimated

 

   total authorized cost $17,704,500; state share

 

   $8,852,250; community college share $8,852,250)......               100

 

Mott Community College - southern lakes branch center: 

 

   rehabilitation - for program and planning to be paid

 

   for from college revenues (estimated total

 

   authorized cost $6,545,950; state share $3,272,975;

 

   community college share $3,272,975)..................               100

 

Muskegon Community College - art/media education

 

   center - for program and planning to be paid for


 

   from community college resources (estimated total

 

   authorized cost $7,500,000; state share $3,750,000;

 

   community college share $3,750,000)..................               100

 

North Central Michigan College - health education and

 

   science center project - for program and planning to

 

   be paid for from community college resources

 

   (estimated total authorized cost $10,428,400; state

 

   share $5,214,200; community college share

 

   $5,214,200)..........................................               100

 

Oakland Community College - interior

 

   renovation/building addition - building A - Auburn

 

   Hills campus - for program and planning to be paid

 

   for from community college resources (estimated

 

   total authorized cost $32,065,000; state share

 

   $16,032,500; community college share $16,032,500)....               100

 

St. Clair County Community College - center for health

 

   and human services  - for program and planning to be

 

   paid for from community college resources (estimated

 

   total authorized cost $7,000,000; state share

 

   $3,500,000; community college share $3,500,000)......               100

 

Southwestern Michigan College - science and allied

 

   health labs, classrooms, and related renovations -

 

   for program and planning to be paid for from

 

   community college resources (estimated total

 

   authorized cost $7,000,000; state share $3,500,000;

 

   community college share $3,500,000)..................               100

 

Washtenaw Community College - campus renovation


 

   projects - for program and planning to be paid for

 

   from community college resources (estimated total

 

   authorized cost $6,000,000; state share $3,000,000;

 

   community college share $3,000,000)..................               100

 

Wayne County Community College - eastern campus

 

   facility upgrade and site redevelopment project  -

 

   for program and planning to be paid for from

 

   community college resources (estimated total

 

   authorized cost $16,000,000; state share $8,000,000;

 

   community college share $8,000,000)..................               100

 

GROSS APPROPRIATION.................................... $          3,300

 

    Appropriated from:

 

State general fund/general purpose..................... $          3,300

 

 

 

   Sec. 103.  STATE BUILDING AUTHORITY FINANCED

 

CONSTRUCTION AUTHORIZATIONS

 

Henry Ford Community College - science building

 

   improvements project -  (total authorized cost

 

   $15,000,000; state building authority share

 

   $7,499,800; Henry Ford community college share

 

   $7,500,000; state general fund share $200)........... $            100

 

Department of technology, management, and budget -

 

   state facility preservation projects - phase IV

 

   (total authorized costs $100,410,000; state building

 

   authority share $100,409,900; state general fund

 

   share $100)..........................................               100

 

Department of state police - Detroit crime lab (total


 

   authorized cost $20,000,000; state building

 

   authority share $19,999,900; state general fund

 

   share $100)..........................................               100

 

GROSS APPROPRIATION.................................... $            300

 

    Appropriated from:

 

State general fund/general purpose..................... $            300

 

 

 

   Sec. 104.  GRANTS

 

Oscoda-Wurtsmith airport authority..................... $       9,000,000

 

GROSS APPROPRIATION.................................... $      9,000,000

 

    Appropriated from:

 

State general fund/general purpose..................... $      9,000,000

 

 

 

 

 

PART 2

 

PROVISIONS CONCERNING APPROPRIATIONS

 

GENERAL SECTIONS

 

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

 

constitution of 1963, total state spending from state resources

 

under part 1 for fiscal year 2010-2011 is $9,003,600.00 and state

 

spending from state resources to be paid to local units of

 

government for fiscal year 2010-2011 is $9,002,400.00.

 

     Sec. 202. The appropriations authorized under this act are

 

subject to the management and budget act, 1984 PA 431, MCL 18.1101

 

to 18.1594.

 

     Sec. 203. As used in this act:

 

     (a) "Board" means the state administrative board.


 

     (b) "Community college" does not include a state agency or

 

university.

 

     (c) "Department" means the department of technology,

 

management, and budget.

 

     (d) "Director" means the director of the department of

 

technology, management, and budget.

 

     (e) "Fiscal agencies" means the senate fiscal agency and the

 

house fiscal agency.

 

     (f) "IDG" means interdepartmental grant.

 

     (g) "JCOS" means the joint capital outlay subcommittee of the

 

appropriations committees.

 

     (h) "LEED" means the United States green building council's

 

leadership in energy and environmental design green building rating

 

system.

 

     (i) "State agency" means an agency of state government. State

 

agency does not include a community college or university.

 

     (j) "State building authority" means the authority created

 

under 1964 PA 183, MCL 830.411 to 830.425.

 

     (k) "University" means a 4-year university supported by the

 

state. University does not include a community college or a state

 

agency.

 

     Sec. 204. Funds appropriated in part 1 shall not be used for

 

the purchase of foreign goods or services, or both, if

 

competitively priced and of comparable quality American goods or

 

services, or both, are available. Preference should be given to

 

goods or services, or both, manufactured or provided by Michigan

 

businesses, if they are competitively priced and of comparable


 

quality. In addition, preference should be given to goods or

 

services, or both, that are manufactured or provided by Michigan

 

businesses owned and operated by veterans, if they are

 

competitively priced and of comparable quality.

 

     Sec. 205. Unless otherwise specified, departments and agencies

 

receiving appropriations in part 1 shall use the Internet to

 

fulfill the reporting requirements of this act. This requirement

 

may include transmission of reports via electronic mail to the

 

recipients identified for each reporting requirement, or it may

 

include placement of reports on an Internet or Intranet site.

 

 

 

CAPITAL OUTLAY PROCESSES, PROCEDURES AND REPORTS

 

     Sec. 401. Each capital outlay project authorized in this act

 

or any previous capital outlay act shall comply with the procedures

 

required by the management and budget act, 1984 PA 431, MCL 18.1101

 

to 18.1594.

 

     Sec. 402. A statement of a proposed facility's operating cost

 

shall be included with the facility's program statement and

 

planning documents when the plans are presented to JCOS for

 

approval.

 

     Sec. 403. (1) Before proceeding with final planning and

 

construction for projects at community colleges and universities

 

included in an appropriations act, the community college or

 

university shall sign an agreement with the department that

 

includes the following provisions:

 

     (a) The university or community college agrees to construct

 

the project within the total authorized cost established by the


 

legislature pursuant to the management and budget act, 1984 PA 431,

 

MCL 18.1101 to 18.1594, and an appropriations act.

 

     (b) The design and program scope of the project shall not

 

deviate from the design and program scope represented in the

 

program statement and preliminary planning documents approved by

 

the department.

 

     (c) Any other items as identified by the department that are

 

necessary to complete the project.

 

     (2) The department retains the authority and responsibility

 

normally associated with the prudent maintenance of the public's

 

financial and policy interests relative to the state-financed

 

construction projects managed by a community college or university.

 

     Sec. 404. (1) The department shall provide the JCOS, the state

 

budget director, and the fiscal agencies with reports as considered

 

necessary relative to the status of each planning or construction

 

project financed by the state building authority, by this act, or

 

by previous acts.

 

     (2) Before the end of each fiscal year, the department shall

 

report to the JCOS, the state budget director, and the fiscal

 

agencies for each capital outlay project other than lump sums all

 

of the following:

 

     (a) The account number and name of each construction project.

 

     (b) The balance remaining in each account.

 

     (c) The date of the last expenditure from the account.

 

     (d) The anticipated date of occupancy if the project is under

 

construction.

 

     (e) The appropriations history for the project.


 

     (f) The professional service contractor.

 

     (g) The amount of a project financed with federal funds.

 

     (h) The amount of a project financed through the state

 

building authority.

 

     (i) The total authorized cost for the project and the state

 

authorized share if different than the total.

 

     (3) Before the end of each fiscal year, the department shall

 

report the following for each project by a state agency,

 

university, or community college that is authorized for planning

 

but is not yet authorized for construction:

 

     (a) The name of the project and account number.

 

     (b) Whether a program statement is approved.

 

     (c) Whether schematics are approved by the department.

 

     (d) Whether preliminary plans are approved by the department.

 

     (e) The name of the professional service contractor.

 

     (4) As used in this section, "project" includes appropriation

 

line items made for purchase of real estate.

 

     Sec. 405. A state agency, college, or university shall take

 

steps necessary to make available federal and other money indicated

 

in this act, to make available federal or other money that may

 

become available for the purposes for which appropriations are made

 

in this act, and to use any part or all of the appropriations to

 

meet matching requirements that are considered to be in the best

 

interest of this state. However, the purpose, scope, and total

 

estimated cost of a project shall not be altered to meet the

 

matching requirements.

 

     Sec. 410. Pursuant to section 242(2) of the management and


 

budget act, 1984 PA 431, MCL 18.1242, the department shall submit

 

5-year capital outlay plans and capital outlay priority requests

 

developed by state agencies (and as approved by the department of

 

technology, management, and budget), universities, and community

 

colleges to the chairperson and ranking vice-chairperson of JCOS

 

and the fiscal agencies upon the release of the executive budget

 

recommendation.

 

 

 

COLLEGES AND UNIVERSITIES

 

     Sec. 601. (1) This section applies only to projects for

 

community colleges.

 

     (2) State support is directed towards the remodeling and

 

additions, special maintenance, or construction of certain

 

community college buildings. The community college shall obtain or

 

provide for site acquisition and initial main utility installation

 

to operate the facility. Funding shall be comprised of local and

 

state shares, and the state share shall include 50% of any federal

 

money awarded for projects appropriated in this act. Not more than

 

50% of a capital outlay project, not including a lump-sum special

 

maintenance project or remodeling and addition project, for a

 

community college shall be appropriated from state and federal

 

funds, unless otherwise appropriated by the legislature.

 

     (3) An expenditure under this act is authorized when the

 

release of the appropriation is approved by the board upon the

 

recommendation of the director. The director may recommend to the

 

board the release of any appropriation in part 1 only after the

 

director is assured that the legal entity operating the community


 

college to which the appropriation is made has complied with this

 

act and has matched the amounts appropriated as required by this

 

act. A release of funds in part 1 shall not exceed 50% of the total

 

cost of planning and construction of any project, not including

 

lump-sum remodeling and additions and special maintenance, unless

 

otherwise appropriated by the legislature. Further planning and

 

construction of a project authorized by this act or applicable

 

sections of the management and budget act, 1984 PA 431, MCL 18.1101

 

to 18.1594, shall be in accordance with the purpose and scope as

 

defined and delineated in the approved program statements and

 

planning documents. This act is applicable to all projects for

 

which planning appropriations were made in previous acts.

 

     (4) The community college shall take the steps necessary to

 

secure available federal construction and equipment money for

 

projects funded for construction in this act if an application was

 

not previously made. If there is a reasonable expectation that a

 

prior year unfunded application may receive federal money in a

 

subsequent year, the college shall take whatever action necessary

 

to keep the application active. If federal money is received, the

 

state share shall be adjusted accordingly as provided by this act.

 

     Sec. 602. If matching revenues are received in an amount less

 

than the appropriations contained in this act, the state funds of

 

the appropriation shall be reduced in proportion to the amount of

 

matching revenue received.

 

     Sec. 603. (1) The director may require that community colleges

 

and universities that have an authorized project listed in part 1

 

submit documentation regarding the project match and governing


 

board approval of the authorized project not more than 60 days

 

after the beginning of the fiscal year.

 

     (2) If the documentation required by the director under

 

subsection (1) is not submitted, or does not adequately

 

authenticate the availability of the project match or board

 

approval of the authorized project, the authorization may

 

terminate. The authorization terminates 30 days after the director

 

notifies the JCOS of the intent to terminate the project unless the

 

JCOS convenes to extend the authorization.

 

     Sec. 604. The appropriation included in section 102 for

 

university and community college planning project authorizations

 

allow for the completion of program statements and schematic

 

planning documents. These projects will not receive cost and

 

construction authorizations in subsequent budget acts unless there

 

is sufficient bonding capacity available under the state building

 

authority's statutory bond capacity limit.

 

     Sec. 605. The Oakland University human health building project

 

was authorized in 2010 PA 27 with a total project cost of

 

$61,748,100.00. Oakland University has been awarded grants for the

 

specific purpose of implementing enhanced geothermal technologies

 

and other sustainable design features in the human health building

 

project. Oakland University has estimated that the total cost to

 

construct the human health building project with the enhanced

 

geothermal technologies and other sustainable design features for

 

which grant funds were awarded has increased to $64,561,200.00.

 

Oakland University will fund the increase in the project cost of

 

$2,813,100.00 with federal and private foundation grant resources


 

awarded to Oakland University, with the total state commitment

 

remaining at $40,000,000.00. Therefore, pursuant to section 246 of

 

the management and budget act, 1984 PA 431, MCL 18.1246, the total

 

authorized cost for the Oakland University human health building

 

project is increased from $61,748,100.00 to an amount not to exceed

 

$64,561,200.00, with the Oakland University share being

 

$24,561,200.00, the state building authority share being

 

$39,999,800.00, and the state general fund/general purpose share

 

being $200.00.

 

     Sec. 606. The Western Michigan University Sangren hall

 

replacement project was authorized in 2008 PA 278 and 2010 PA 111

 

with a total project cost of $60,000,000.00; state building

 

authority share $11,699,800.00; Western Michigan University share

 

$48,300,000.00; and state general fund share $200.00. Pursuant to

 

section 246 of the management and budget act, 1984 PA 431, MCL

 

18.1246, the total authorized cost for the Western Michigan

 

University Sangren hall replacement project is adjusted as follows:

 

total authorized cost is unchanged at an amount not to exceed

 

$60,000,000.00, with the Western Michigan University share being

 

decreased to $22,000,000.00, the state building authority share

 

being increased to $37,999,800.00, and the state general

 

fund/general purpose share being maintained at $200.00.