Legislative Report

April 2010

Apparently, a sense of urgency regarding affairs of state has not arrived in the legislative halls in Lansing. As of this writing, both houses of the legislature are on spring break and won’t return until April 13. Supposedly, legislators are “studying” some of the major issues they are facing during this break. There already has been slippage in the passage of key legislation proposed by Governor Granholm. A major component of her 2011 budget recommendation was the early retirement incentives for both state and school employees. Some $87 million in savings potentially could be realized thru the retirement of 7,000 state employees. The legislation to implement the provisions of this proposal was to be passed by April 1 in order to allow the establishment of a window period for employees to indicate their intentions to retire. The legislature failed to pass the implementation legislation before going on a two week break.

Another example of there being no urgency built into the legislative timetable can be found in the progress being made on the 2011 appropriation bills. The Governor had requested completion of the 2011 budget by July 1. It does not appear that this will be achieved inasmuch as there is no agreement on what the level of appropriations will be for 2011. Budget bills are being passed based on assumptions that may not come to pass. For example, the budget bills which the Senate passed contain cuts which ignore the Governor’s proposal to increase revenue by cutting the state sales tax to 5.5% while expanding it to include tax on services. There has been no action on this important element in the budgetary process. Similarly, the Senate appropriation bills, which have now gone to the House for action, are based on the assumption that the 3% pay increase for state employees will be rescinded by a two-thirds vote of both the House and the Senate. The Senate has tried to rescind the pay raise twice and failed both times in achieving the necessary two-thirds vote. It appears that this is a moot issue now inasmuch as the rejection vote had to be done by April 11. The legislature will not return until April 13. So Nero fiddled while Rome burned.

It appears that the same budget scenario that played out last October may again be played out this year. The ideological difference between the two political parties prevent them from coming together to once and for all resolve the structural deficit which has plagued the state for years. The Republicans are opposed to revenue increases and believe services should be reduced to come within available revenue. Democrats believe the level of available revenue is inadequate and further cutbacks are not sustainable. Thus we are faced with a piecemeal approach to state budgeting. The fact that this is an election year will not make resolution of the problem any easier. This is especially true when key players in the process are running for higher office. What we get is political posturing by those seeking higher office.

Not many bills acted upon during the month of March appeared to be of direct interest to senior/retirees. The following are those which may be of interest:

Prohibition against health care providers reusing single use medical devicesSB 528 is now Public Act 25 which prohibits a health care provider from reusing, recycling, refurbishing for reuse, or providing for reuse any single use medical device. Obviously, the intent of this law is to prevent the spread of disease and putting patients at risk. The prohibition would not apply to a health care provider who uses a device that had been reprocessed by an entity which was registered as a reprocessor and was regulated by the U.S Food and Drug Administration. The act also provides for both administrative and criminal sanctions against health care professionals violating this new law.

Parks passport feeSB 389 is now Public Act 10. This new law amended the Michigan Vehicle Code to provide for a state park and state-operated public boating access site recreation passport that Michigan residents may obtain by paying an additional fee when registering a motor vehicle. The additional costs for entry into a state park or state-operated public boating site would be $5 for a motorcycle and $10 for all other vehicles, except for commercial motor vehicles. The vehicle registration form will include the following statements: “I elect to pay this $10.00 fee” and “ I elect not to pay this $10.00 fee. This vehicle will not be used to enter any state park or recreation area during the registration period.” The vehicle owner would have to check one of the statements. The Secretary of State will retain 0.5% of the fee for administrative costs and the remainder will go to the Department of Natural Resources and Environment for support of the state parks as provided in SB 388, now Public Act 197 of 2009.

Texting while driving — HB4394 bans text messaging while operating a motor vehicle and classified the infraction as a secondary offense when it was passed by the House and sent to the Senate for consideration. The Senate amended the House version of the bill by making text messaging a primary offense, meaning that law enforcement may cite a driver solely for the offense of text messaging while driving. Under the House version of the bill, a driver could only be cited for texting while driving if he or she had been stopped for some other traffic infraction. The bill now goes back to the House for its concurrence with the Senate change.

Elimination of health care coverage for future retired judges and othersSB 132 — would eliminate health care coverage for Supreme Court justices, judges, the governor, lieutenant governor, secretary of state, attorney general, auditor general and state court administrator who are elected after November 1, 2010. The bill would not have an impact on currently elected or appointed officials, but would be prospective in terms of its application. The bill has passed the Senate and been reported out of the House Committee on Reforms and Restructuring and is now on the House floor for consideration.

Changes in possessions limits for fish taking and establish a 72 hour fishing licenseHB 5481 is now Public Act 30 which eliminates specific daily taking and possession limits on particular fish species, requires the Department of Natural Resources and Environment to issue an order establishing possession limits of fish, and prohibits a person from exceeding daily possession limits where the fish were taken and en route to his or her means of land transportation, residence, or freezing in a solid state. HB 5662 is now Public Act 29 and includes the possession of aquatic species in certain provision applicable to the taking of aquatic species, defines what species that may not be taken with a restricted fishing license, and allows for the purchase of a 72 hour fishing license beginning in 2010, and establishes a license fee of $9 for senior citizens and $21 for all others.

Conflict of interest guidelines for legislatorsHB 4379 is a bill which prohibits a legislator with a substantial conflict of interest from voting on a bill, and requires the legislator to state the conflict on the record. If a violation occurred, the legislator would be subject to disciplinary action by the house of which he or she is a member. The bill defines a conflict of interest where through the enactment or defeat of legislation, a legislator will realize a direct pecuniary gain or experience a direct pecuniary loss. The potential impact of a gain or loss also extends to the legislator’s family members in terms of there being a conflict of interest. The bill has passed both houses of the legislature and is on its way to the Governor for signature.

Miscellany

Implementation of federal health care bill in Michigan — With the passage of the federal health care bill, Governor Granholm has issued an Executive Order 2010-4 which puts into place processes for implementing the plan within Michigan state government. The Executive Order names Ken Ross, head of the Office of Financial and Insurance Regulation, as the state’s insurance Ombudsman. It also creates the Health Insurance Reform Coordinating Council chaired by Department of Community Health Director, Janet Olszewski, to oversee the implementation of applicable sections of the federal law in Michigan. One of the first duties of the Council will be to analyze and explain the applicable contents of the federal legislation and the impact it will have on Michigan residents.

Cox joins in lawsuit against federal health care law — Attorney General Mike Cox has joined twelve other attorneys general in filing a lawsuit against the provision in the federal health care law requiring the uninsured to purchase health insurance. The lawsuit, initiated by the Florida attorney general, alleges the new federal law violates Section 10 of the U.S. Constitution by mandating state residents purchase insurance or face a fine. They believe the federal government does not have the authority to mandate such action. The federal government is usurping states’ rights in so doing. Governor Granholm challenged Attorney General Cox’s authority to join in such a lawsuit without consulting with her as the Chief Executive. She further directed that Mr. Cox provide legal representation for the citizens of Michigan in support of the law Mr. Cox is challenging. It now appears that Michigan will make legal arguments both for and against the federal health care law in the lawsuit which has been filed in the federal District Court for the Northern District of Florida. Most legal experts believe there is little likelihood that the attorneys general will prevail in their lawsuit.

Constitutional Convention issues come to forefront — As we get closer to the November election, we begin to hear more about the pros and cons of the ballot question of whether or not we should have a Constitutional Convention (Con Con). Every 16 years, voters are asked this question. The question will be asked and answered this year. In recent weeks, there have been polls taken regarding this issue as well as various interest groups expressing their opinions on the issue. For example, one recent poll indicated that the majority of voters were against a Con Con because of its $45 to $50 million cost. Others have written op-ed pieces expressing the belief that there should be a convention because the potential gains outweigh the costs. Still others express the opinion that the Michigan Constitution is not that old and outdated so as to call for a convention. Others believe that the potential harm, given the political environment in which we live, would dictate that now is not the time to open up the entire document for possible revision. This is something we should all be thinking about and coming to a conclusion in our minds in preparation for our going to the polls in November. Incidentally, Secretary of State Terri Land has asked the legislature to do some preliminary work in the event there is a “yes” vote. She has asked that certain implementation statutes be ready in the event voters support a Con Con.

Shortage of campaign matching funds — Candidates for statewide office seeking matching funds to finance their election campaigns will receive a lesser amount than what they would normally receive inasmuch as the fund is almost depleted. There is $4.6 million currently available. $2.5 million of this amount will have to be held in reserve for the general election, leaving only $2.1 available for distribution during the primary. Qualifying candidates will probably receive 26 cents per dollar matched. The money to establish this fund comes from taxpayers designating a $3 contribution on their state income tax return. In 2007, $7.2 million was transferred from the fund to help with the state’s deficit and was never repaid. In 2008, some 367,000 taxpayers contributed $1.1 million.

People in the News

Justine Barnes, a former Democratic state representative (1983-1994) from Westland, recently died at the age of 85. She served as Chair of the House Committee on Senior Citizens during her legislative tenure.

Thomas Kelly, a former Democratic state representative from Wayne County, recently died at the age of 74. Mr. Kelly’s interests were k-12 and road funding. He gained a degree of fame when he cast the tie-breaking vote that allowed four tribal casinos in Michigan.

Tim Moore, a Republican state representative from Farwell, will resign his House seat effective August 1, to become principal of Farwell Elementary School. He becomes the second state representative to resign in mid-term in recent months.

Dan Krichbaum, Governor Granholm’s Chief Operating Officer, was named Interim Director of the Department of Civil Rights. He will retain his position in the Governor’s Office during the time he serves as Interim Director.

Robert Queller, who had a 43 year career at the Citizens Research Council (CRC), including 15 years as Director, recently died. Mr. Quelller retired from the CRC in 1994.

Note: The name of Kelvin Scott was misspelled in last month’s report.

Editor’s note: Alvin Whitfield is former President of the Lansing SERA Chapter and former Chairperson of the Michigan SERA Council and current Legislative Representative for both the Council and the Lansing Chapter. He may be contacted at 1241 Runaway Bay Drive, C-3, Lansing, Michigan 48917; phone 517/703-9666; e-mail: alwhit@worldnet.att.net.

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