SENATE BILL No. 1192

 

 

March 23, 2006, Introduced by Senators GILBERT, TOY, VAN WOERKOM and GEORGE 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 11e (MCL 247.661e), as added by 1992 PA 223.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 11e. (1) There is created within the state trunk line

 

fund a local program fund for the purpose of receiving funds

 

allocated from the Michigan transportation fund and from the state

 

trunk line fund. Funds  so  received shall be distributed 64.2% to

 

the county road commissions of the state to be administered

 

according to section 12 and 35.8% to the cities and villages of the

 

state to be administered according to section 13.

 

     (2) There is created within the state trunk line fund a local

 

federal match program for the purpose of receiving the proceeds of

 

bonds issued under section 18b that are to be repaid under section

 

11(1)(a)(iii). Funds received shall be granted to local

 

municipalities and other local agencies to match federal aid

 

projects as provided in this subsection. Funds deposited into the

 

local federal match program in the aggregate shall not exceed

 

$80,000,000.00. Projects shall be submitted to the state

 

transportation department by the local municipality or other

 


agency. Subject to subsection (3), if the projects meet the

 

criteria, the state transportation department shall award grants to

 

the extent of available funds. An individual grant shall not exceed

 

25% of the amount of federal funds available for the project.

 

Projects selected for funding shall meet all of the following

 

criteria:

 

     (a) The project shall be under construction or contract for

 

construction by September 30, 2007.

 

     (b) The applicant shall have identified all of the necessary

 

funding to complete the project.

 

     (c) The project shall be for the opening, widening, improving,

 

construction, and reconstruction of a federal aid eligible road or

 

street, including the work incidental to that opening, widening,

 

improving, construction, and reconstruction.

 

     (3) If the number of eligible federally funded projects

 

exceeds the amount of available funds in the local federal fund

 

program, the department, in consultation with local municipalities

 

and local agencies, shall establish additional criteria for

 

determining final project selection taking into account the needs

 

of highway, road, and street systems and an equitable allocation of

 

available funds. All bond proceeds not needed to fund grants

 

awarded by September 30, 2007 are appropriated for the purposes

 

described in section 11(1)(f).