STEVENS T. MASON BUILDING ● P.O. BOX 30028 ● LANSING, MICHIGAN 48909-7528

www.michigan.gov ● (517) 373-2329


 

State of Michigan

 

JENNIFER M. GRANHOLM

governor

DEPARTMENT OF NATURAL RESOURCES

Lansing

K. L. COOL

director

 


 

BILL ANALYSIS

 

BILL NUMBER:       House Bill 5027, enrolled

TOPIC:                      The bill would alter the distribution of snowmobile trail improvement

                                    funds and snowmobile registration funds.

SPONSOR:              Representative Pastor

CO-SPONSORS:    None

COMMITTEE:           Committee on Great Lakes and Tourism

Analysis Done:       November 13, 2003 (revised)

POSITION

The Department supports this legislation as amended (H-2).

PROBLEM/BACKGROUND

The fund balance in the snowmobile trail improvement fund is estimated to be about $2,500,000 at the end of fiscal year 2003.  The intent of the legislation is to increase grant funding flexibility in order to spend down the fund balance.- Public Act 451 of 1994, Natural Resources and Environmental Protection Act, Part 821 contains predetermined allocations for appropriations of the Snowmobile Trail Improvement and Snowmobile Registration fFunds which do not provide flexibility in meeting outstanding program needs. 

DESCRIPTION OF BILL

This bill would amend 1994 PA 451, the Natural Resources and Environmental Protection Act, Sections 82106, 82109, 82110, and 82118, to alter the distribution of snowmobile trail improvement funds and snowmobile registration funds.

 

The bill would cap the annual appropriation for- Ssnowmobile law enforcement grants at-Registration Fund at $1.6 million.  Currently, the Department’s appropriation for snowmobile law enforcement grants is $1,142,000.-  Funds in excess of the $1.6  million would be transferred to the Snowmobile Trail Improvement Fund for use.  In addition, grants to local law enforcement agencies will require a 15% match and allow in-kind contributions rather than the existing match requirement of 25%.

 

In addition, the bill would eliminatechange the distribution of revenues appropriated  the predetermined appropriation allocations from the Ssnowmobile Ttrail iImprovement Ffund.  Currently, of the total amount appropriated to the Department, 40% percent to 80% percent must be allocated as grants to local units of government or nonprofit snowmobile organizations for trail improvement. 

 

This bill would  remove the preset percentage amounts from -the appropriation language.-allow maximum appropriation flexibility.  Lastly, the Department is to seek input from the Snowmobile Advisory Board during the budget preparation process.   

 


House Bill 5027

Page 2

November 13, 2003

 

SUMMARY OF ARGUMENTS

Pro

This bill wcould increase the amount of money available for appropriation for the sSnowmobile tTrail Iimprovement program and S-snowmobile lLaw Eenforcement programs., which would begin to decrease the fund balance-.

Con

None.

FISCAL/ECONOMIC IMPACT

Yes, the bill would have revenue and budgetary implications.

(a)       Department

           Budgetary:                          

 The appropriations from the Snowmobile Trail Improvement Fund and Snowmobile Registration Fund will most likely increase to meet outstanding program needs.  None.

Revenue::                            

The same amount of revenue would be collected, but the distribution of that revenue might change.-

Comments:                         

None.

                 (b)  State

Budgetary:                          

There would be no budgetary implications to the State, other than the Department implications.

Revenue:                             

There would be no revenue implications to the State, other than the Department implications.

Comments:                         

None.

                 (c)  Local Government

Comments:

N None.e.

OTHER STATE DEPARTMENTS

None.


House Bill 5027

Page 3

November 13, 2003

 

ANY OTHER PERTINENT INFORMATION

None.

ADMINISTRATIVE RULES IMPACT

None necessary.

 

 

 

 

_______________________________

K. L. Cool

Director

 

_______________________________

Date

 

 

BSS/FMFM