Gov Granholm signs supplemental appropriations bil

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Gov Granholm signs supplemental appropriations billPublished 8/18/2004

LANSING – Provisions for the Michigan current-year budget that ends September 30 are now in place following approval Tuesday by Gov. Jennifer Granholm of a $779 million supplemental appropriations bill. The bill includes funds to cover shortfalls in welfare and Medicaid caseloads, road and bridge work and environmental projects, and actually shaves general funds spending by $76.2 million as it uses additional federal and state restricted funds.Although several items were declared invalid, only one item was vetoed in SB 267, a $4.4 million fund shift into the Michigan Underground Storage Tank Finance Authority which the governor removed because the issue remains a point of discussion in the 2004-05 budget as well.Granholm administration officials had previously determined another controversial provision limiting the state subsidy for AMTRAK violated constitutional requirements by amending another law by reference.In her letter to the Legislature, Granholm also said the provisions dealing with proration of payments in lieu of taxes when the state has insufficient funds are unenforceable because it too attempts to amend another law by reference.She added that a provision diverting funds from amounts used to develop proposed ergonomic standards more stringent than federal requirements to soften the concessions made by state employees are not binding because it attempts to alter prior appropriations without directly making those changes. The same went for a provision for a Pontiac school crisis intervention program and restrictions on operating funds for a multi-model transportation bureau.While the revenue picture will bear watching for the remaining six weeks of the fiscal year to ensure funds come in as projected, a Budget Office spokesperson said the bill "should take care of what we aware of" in terms of what had been an anticipated deficit.

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