HOUSE BILL No. 5930

 

March 9, 2010, Introduced by Reps. Donigan, Meadows, Liss, Geiss, Hammel and Durhal and referred to the Committee on Intergovernmental and Regional Affairs.

 

     A bill to create intergovernmental advisory office and to

 

provide for its powers and duties; to create certain funds; to

 

provide for certain powers and duties of certain state and local

 

officers and agencies; and to repeal acts and parts of acts.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"intergovernmental advisory office act".

 

     Sec. 2. As used in this act:

 

     (a) "Fund" means the intergovernmental agency grant and loan

 

fund created in section 9.

 

     (b) "Local unit of government" means a political subdivision

 

of this state, including, but not limited to, a county, city,

 

village, township, district, local authority, intergovernmental

 


authority, or intergovernmental entity.

 

     (c) "Office" means the intergovernmental advisory office

 

created in section 3.

 

     Sec. 3. (1) The intergovernmental advisory office is created.

 

The head of the office is the director, who shall be appointed by

 

the governor and shall serve at the pleasure of the governor.

 

     (2) The director, subject to annual appropriations for that

 

purpose, may appoint deputies or other employees to assist in

 

carrying out the duties of the office.

 

     Sec. 4. The office shall do all of the following:

 

     (a) Serve as the central state agency that connects local

 

governments to services provided by various state departments and

 

agencies. For this purpose, each state department shall designate

 

an officer or employee to be the local government liaison for that

 

department. Each designated local government liaison shall meet

 

periodically with the director of the office to ensure that

 

services and programs offered to local governments by each state

 

department are delivered efficiently.

 

     (b) Develop common minimum operational standards for all local

 

units of government, including accounting standards.

 

     (c) Evaluate the laws of this state to determine whether state

 

statutes may create impediments or barriers to collaboration and

 

cooperation between local units of government, and how those

 

statutes could be amended or supplemented to provide incentives for

 

local cooperation and collaboration based on local control rather

 

than state control. The office shall draft suggested legislation

 

for purposes of this subdivision and shall provide copies of the

 


suggested legislation to the secretary of the senate and the clerk

 

of the house of representatives.

 

     (d) Identify, categorize, and prioritize opportunities for

 

shared services, collaborative efforts, and consolidation and

 

increased efficiency among local and regional government agencies.

 

     (e) Identify and prioritize real barriers to local cooperation

 

and collaboration.

 

     (f) Work with state departments and representative

 

nongovernmental organizations to catalogue, record, and track

 

activities relating to local cooperation, consolidation, and shared

 

services across the state to optimize success and avoid duplication

 

and conflict.

 

     (g) Identify and catalogue specific base-level services

 

rendered by local government as a basis for revenue sharing.

 

     (h) Review and recommend changes to constitutional and

 

statutory revenue sharing that supports specific base-level

 

services rendered by local government units, rather than providing

 

unrestricted funds.

 

     (i) Recommend methods for local governments to increase their

 

authority to tax their citizens for the desired services and beyond

 

the base-level services that all local units provide.

 

     (j) Provide grants to be used for consultant services as

 

needed.

 

     Sec. 5. The office shall support local governmental

 

coordination and collaboration efforts including, but not limited

 

to, all of the following:

 

     (a) Consolidation of local units or services.

 


     (b) The formation and operation of regional commissions,

 

agencies, and councils.

 

     (c) Mutual aid pacts between local governments.

 

     (d) Joint service agreements.

 

     (e) Joint purchasing agreements.

 

     (f) Contracts for performing governmental functions and

 

providing governmental services to residents.

 

     (g) The formation of special authorities.

 

     Sec. 6. The office shall develop and provide a variety of

 

innovative tools and services to help municipalities consolidate

 

and coordinate the delivery of essential services to residents and

 

businesses in local governmental units, including, but not limited

 

to, the following:

 

     (a) State-financed bonds.

 

     (b) Public-private partnerships for local governmental units

 

for brick and mortar projects.

 

     (c) Public investment infrastructure funding.

 

     (d) The services of qualified consultants who have

 

demonstrated proven success.

 

     (e) Financial models and incentives that local governments can

 

replicate to achieve coordinated and cooperative ventures that

 

would not overburden taxpayers and that recognize the uniqueness

 

and complexity of large urban, small urban, suburban, village,

 

township, and rural governments. Financial models must include,

 

where applicable, all of the following:

 

     (i) Fixed costs.

 

     (ii) Ongoing operational costs.

 


     (iii) Taxation.

 

     (iv) Variable costs.

 

     (v) Transaction costs.

 

     (vi) Shared risk and liability.

 

     (f) Legal services.

 

     (g) Teams of experts that can assist local governments in

 

intergovernmental efforts. The office shall assemble and oversee

 

teams of qualified individuals from the public and private sectors

 

to assist coordination and consolidation efforts as needed. Team

 

members shall have the full force of the state behind them and have

 

the full range of state resources to assist them. Team members

 

shall include, but are not limited to, the following:

 

     (i) Attorneys.

 

     (ii) Certified public accountants.

 

     (iii) Labor negotiations.

 

     (iv) Financial analysts.

 

     (v) Former school superintendents.

 

     (vi) Former city managers and financial officers.

 

     (vii) Municipal planning experts.

 

     (viii) Private sector professionals who have experience or

 

expertise in local government.

 

     (ix) Consultants who have been certified by the state as

 

experts in the field of local government issues and who have

 

achieved verifiable success with consolidation efforts.

 

     Sec. 7. The office shall promote the integration of services

 

provided by local units of government whenever that integration

 

would provide a more economical and efficient use of resources. The

 


services the office shall review include, but are not limited to,

 

all of the following:

 

     (a) 9-1-1 emergency services.

 

     (b) Fire and police services, including dispatch services and

 

regional and central lockup facilities.

 

     (c) Court services.

 

     (d) The collection of taxes and fees.

 

     (e) Property assessment and equalization.

 

     (f) Regional and shared libraries.

 

     (g) Parks and recreation services.

 

     (h) Accounting.

 

     (i) Human resources.

 

     (j) Significant capital expenditures.

 

     (k) General administrative functions.

 

     Sec. 8. The director of the office shall regularly meet with,

 

and seek the cooperation and advice of, all of the following in

 

conducting the activities of the office under this act:

 

     (a) The director of the department of treasury or his or her

 

designee.

 

     (b) The director of the department of management and budget or

 

his or her designee.

 

     (c) The director of the department of natural resources and

 

environment or his or her designee.

 

     (d) The director of the state transportation department or his

 

or her designee.

 

     (e) The lieutenant governor or his or her designee.

 

     (f) The attorney general or his or her designee.

 


     (g) The Michigan municipal league.

 

     (h) The Michigan townships association.

 

     (i) The Michigan association of counties.

 

     Sec. 9. (1) The intergovernmental grant and loan fund is

 

created in the state treasury.

 

     (2) The state treasurer may receive money or other assets from

 

any source for deposit into the fund. The state treasurer shall

 

direct the investment of the fund. The state treasurer shall credit

 

to the fund interest and earnings from fund investments.

 

     (3) Money in the fund at the close of the fiscal year shall

 

remain in the fund and shall not lapse to the general fund.

 

     (4) The department of treasury shall be the administrator of

 

the fund for auditing purposes.

 

     (5) At the direction of the office, the state treasurer shall

 

expend money from the fund, upon appropriation, only for the

 

purposes described in section 10.

 

     Sec. 10. (1) The office shall utilize the money in the fund

 

for all of the following purposes:

 

     (a) Awarding grants to local units of government to support

 

innovative pilot programs that implement cooperation and

 

collaboration between the participating local units of government.

 

     (b) Awarding grants to local units of government to support

 

joint ventures by those local units of government to deliver

 

governmental services.

 

     (c) Making loans to local units of government that collaborate

 

on the purchase or construction of capital-intensive items.

 

     (2) An application for a grant or a loan under this section

 


shall be submitted jointly by the local units of government that

 

propose to participate in the endeavor that is the subject of the

 

grant or loan. The forms and requirements for the application and

 

the terms of the grant or loan shall be determined by the office.

 

     Sec. 11. The office shall create an interactive website that

 

is available to the public to assist local units of government in

 

participating in the activities authorized under this act.

 

     Sec. 12. Not later than January 1, 2011 and each year after

 

that, the office shall report on its activities and recommendations

 

to the chairpersons of the standing committees of the senate and

 

house of representatives that consider legislation affecting local

 

governmental activities and to the chairpersons of the senate and

 

house appropriations committees.

 

     Enacting section 1. This act is repealed 2 years after the

 

date on which it was enacted.