Michigan 2023-2024 Regular Session

Michigan House Bill HB5513 Latest Draft

Bill / Engrossed Version Filed 05/08/2024

                            Substitute For HOUSE BILL NO. 5513 A bill to make appropriations for the department of insurance and financial services for the fiscal year ending September 30, 2025; and to provide for the expenditure of the appropriations. the people of the state of michigan enact: 

 

Substitute For

HOUSE BILL NO. 5513

A bill to make appropriations for the department of insurance and financial services for the fiscal year ending September 30, 2025; and to provide for the expenditure of the appropriations.

the people of the state of michigan enact:

 1 2 3 4 5 6 7 8 9   part 1 line-item appropriations Sec. 101. There is appropriated for the department of insurance and financial services for the fiscal year ending September 30, 2025, from the following funds:    DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES                 APPROPRIATION SUMMARY                 Full-time equated unclassified positions   6.0             Full-time equated classified positions   395.5              1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28    GROSS APPROPRIATION       $   77,771,400     Interdepartmental grant revenues:                 Total interdepartmental grants and intradepartmental transfers           753,500     ADJUSTED GROSS APPROPRIATION       $   77,017,900     Federal revenues:                 Total federal revenues           700,000     Special revenue funds:                 Total local revenues           0     Total private revenues           0     Total other state restricted revenues           76,317,900     State general fund/general purpose       $   0     Sec. 102. DEPARTMENTAL ADMINISTRATION AND SUPPORT                 Full-time equated unclassified positions   6.0             Full-time equated classified positions   23.5             Unclassified salaries--FTEs   6.0   $   955,500     Administrative hearings           173,700     Department services--FTEs   20.0       4,127,900     Executive director programs--FTEs   3.5       916,800     Property management           1,389,100     Worker's compensation           1,200     GROSS APPROPRIATION       $   7,564,200     Appropriated from:                 Interdepartmental grant revenues:                 IDG from MDLARA, debt management           72,100     Special revenue funds:                 Bank fees           598,800      1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28    Captive insurance regulatory and supervision fund           57,000     Consumer finance fees           292,000     Credit union fees           985,000     Deferred presentment service transaction fees           265,200     Insurance bureau fund           2,409,700     Insurance continuing education fees           67,500     Insurance licensing and regulation fees           2,036,700     MBLSLA fund           778,900     Multiple employer welfare arrangement           1,300     State general fund/general purpose       $   0     Sec. 103. INSURANCE AND FINANCIAL SERVICES REGULATION                 Full-time equated classified positions   372.0             Consumer services and protection--FTEs   102.0   $   15,970,600     Financial institutions evaluation--FTEs   140.0       25,574,900     Insurance evaluation--FTEs   130.0       26,042,600     GROSS APPROPRIATION       $   67,588,100     Appropriated from:                 Interdepartmental grant revenues:                 IDG from MDLARA, debt management           656,200     Federal revenues:                 Federal revenues           700,000     Special revenue funds:                 Bank fees           6,913,100     Captive insurance regulatory and supervision fund           790,200     Consumer finance fees           2,857,800      1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27      Credit union fees           8,798,400     Deferred presentment service transaction fees           2,371,100     Insurance bureau fund           24,955,100     Insurance continuing education fees           1,022,700     Insurance licensing and regulation fees           11,613,400     MBLSLA fund           6,821,000     Multiple employer welfare arrangement           89,100     State general fund/general purpose       $   0     Sec. 104. INFORMATION TECHNOLOGY                 Information technology services and projects       $   2,369,100     GROSS APPROPRIATION       $   2,369,100     Appropriated from:                 Interdepartmental grant revenues:                 IDG from MDLARA, debt management           25,200     Special revenue funds:                 Bank fees           147,300     Captive insurance regulatory and supervision fund           13,700     Consumer finance fees           73,300     Credit union fees           248,900     Deferred presentment service transaction fees           50,000     Insurance bureau fund           466,400     Insurance continuing education fees           9,000     Insurance licensing and regulation fees           1,143,400     MBLSLA fund           191,900     State general fund/general purpose       $   0     Sec. 105. ONE-TIME APPROPRIATIONS                  1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29    Insurance complaints and health care appeals outreach campaign       $   250,000     GROSS APPROPRIATION       $   250,000     Appropriated from:                 Special revenue funds:                 Insurance licensing and regulation fees           250,000     State general fund/general purpose       $   0      part 2 provisions concerning appropriations for fiscal year 2024-2025 general sections Sec. 201. In accordance with section 30 of article IX of the state constitution of 1963, for the fiscal year ending September 30, 2025, total state spending under part 1 from state sources is $76,317,900.00 and state spending under part 1 from state sources to be paid to local units of government is $0.00. Sec. 202. The appropriations under this part and part 1 are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594. Sec. 203. As used in this part and part 1: (a) "Department" means the department of insurance and financial services. (b) "Director" means the director of the department. (c) "FTE" means full-time equated. (d) "IDG" means interdepartmental grant. (e) "MDLARA" means the Michigan department of licensing and regulatory affairs. (f) "MBLSLA fund" means the restricted account established    1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29   under section 8 of the mortgage brokers, lenders, and servicers licensing act, 1987 PA 173, MCL 445.1658. (g) "Standard report recipients" means the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office. Sec. 204. The department shall use the internet to fulfill the reporting requirements of this part. This requirement includes transmitting reports to the standard report recipients and any other required recipients by email and posting the reports on an internet site.  Sec. 205. To the extent permissible under section 261 of the management and budget act, 1984 PA 431, MCL 18.1261, all of the following apply to the expenditure of funds appropriated in part 1: (a) The funds must not be used for the purchase of foreign goods or services, or both, if competitively priced and of comparable quality American goods or services, or both, are available. (b) Preference must be given to goods or services, or both, manufactured or provided by Michigan businesses, if they are competitively priced and of comparable quality. (c) Preference must be given to goods or services, or both, that are manufactured or provided by Michigan businesses owned and operated by veterans, if they are competitively priced and of comparable quality. Sec. 206. The department shall not take disciplinary action against an employee of the department for communicating with a member of the legislature or legislative staff, unless the communication is prohibited by law and the department is exercising    1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29   its authority as provided by law.  Sec. 207. Consistent with section 217 of the management and budget act, 1984 PA 431, MCL 18.1217, the department shall prepare a report on out‐of‐state travel expenses not later than January 1. The report must list all travel outside this state by classified and unclassified employees in the previous fiscal year that was funded in whole or in part with funds appropriated in the department's budget. The department shall submit the report to the standard report recipients and to the senate and house appropriations committees. The report must include all of the following information: (a) The dates of each travel occurrence. (b) The total transportation and related expenses of each travel occurrence and the proportions funded with state general fund/general purpose revenues, state restricted revenues, federal revenues, and other revenues. Sec. 208. The department shall not use funds appropriated in part 1 to hire a person to provide legal services that are the responsibility of the attorney general. This section does not apply to legal services for bonding activities or to outside legal services that the attorney general authorizes. Sec. 209. Not later than December 15, the state budget office shall prepare and submit a report that provides estimates of the total general fund/general purpose appropriation lapses at the close of the previous fiscal year. The report must summarize the projected year-end general fund/general purpose appropriation lapses by major departmental program or program areas. The state budget office shall submit the report to the standard report recipients and to the chairpersons of the senate and house    1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29   appropriations committees.  Sec. 210. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $200,000.00 for federal contingency authorization. Amounts appropriated under this subsection are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393. (2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $1,000,000.00 for state restricted contingency authorization. Amounts appropriated under this subsection are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393. Sec. 211. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is not limited to, all of the following for the department: (a) Fiscal-year-to-date expenditures by category. (b) Fiscal-year-to-date expenditures by appropriation unit. (c) Fiscal-year-to-date payments to a selected vendor, including the vendor name, payment date, payment amount, and payment description. (d) The number of active department employees by job classification. (e) Job specifications and wage rates. Sec. 212. Not later than 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide an annual report on estimated state restricted fund balances, state restricted fund    1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29   projected revenues, and state restricted fund expenditures for the previous 2 fiscal years. The report must be submitted to the standard report recipients and to the chairpersons of the senate and house appropriations committees. Sec. 213. (1) Funds appropriated in part 1 must not be used to restrict or impede a marginalized community's access to government resources, programs, or facilities. (2) From the funds appropriated in part 1, local governments shall report any action or policy that attempts to restrict or interfere with the duties of a local health officer. Sec. 214. To the extent permissible under the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594, the director shall take all reasonable steps to ensure that geographically disadvantaged business enterprises compete for and perform contracts to provide services or supplies, or both. The director shall strongly encourage firms with which the department contracts to subcontract with certified geographically disadvantaged business enterprises for services, supplies, or both. As used in this section, "geographically disadvantaged business enterprises" means that term as defined in Executive Directive No. 2019-8. Sec. 215. On a quarterly basis, the department shall report on the number of full-time equated positions in pay status by civil service classification, including a comparison by line item of the number of full-time equated positions authorized from funds appropriated in part 1 to the actual number of full-time equated positions employed by the department at the end of the reporting period. The report must be submitted to the standard report recipients and to the senate and house appropriations committees. Sec. 216. It is the intent of the legislature that the    1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29   department maximize the efficiency of the state workforce and, if possible, prioritize in-person work and post its in-person, remote, or hybrid work policy on its website. Sec. 217. The department shall receive and retain copies of all reports funded from appropriations in part 1. The department shall follow federal and state guidelines for short-term and long-term retention of records. The department may electronically retain copies of reports unless otherwise required by federal or state guidelines. Sec. 218. Not later than April 1, the department shall report on each specific policy change made to implement a public act affecting the department that took effect during the previous calendar year. The department shall submit the report to the standard report recipients, to the senate and house appropriations committees, and to the joint committee on administrative rules. Sec. 219. To the extent possible, the department shall not expend appropriations under part 1 until all existing authorized work project funds available for the same purposes are exhausted. Sec. 220. Unless prohibited by law, the department may accept credit card or other electronic means of payment for licenses, fees, or permits. Sec. 221. Not later than September 30, the department shall submit a report to the standard report recipients detailing any expenditure of funds for a television or radio production that was made to a third-party vendor in the fiscal year ending September 30, 2025. The report must include all of the following information for each expenditure: (a) The total amount of the expenditure. (b) The fund source for the expenditure.   1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29   (c) The name of any vendor that created the production and the amount paid to each vendor. (d) The purpose of the production. Sec. 222. From the funds appropriated in part 1 from the insurance bureau fund, funds may be expended to support legislative participation in insurance activities coordinated by insurance and legislative associations, in accordance with section 225 of the insurance code of 1956, 1956 PA 218, MCL 500.225.   INSURANCE AND FINANCIAL SERVICES REGULATION Sec. 301. The department shall electronically transmit the annual health insurance rate change report prepared pursuant to 45 CFR 154.301(b), to the standard report recipients at the time the report is published. Sec. 302. In addition to the funds appropriated in part 1, the funds collected by the department in connection with a conservatorship under section 32 of the mortgage brokers, lenders, and servicers licensing act, 1987 PA 173, MCL 445.1682, and funds collected by the department from corporations being liquidated under the insurance code of 1956, 1956 PA 218, MCL 500.100 to 500.8302, must be appropriated for all expenses necessary to provide for the required services. Funds are available for expenditure when they are received by the department of treasury and must not lapse to the general fund at the end of the fiscal year. Sec. 303. The department may make available to interested entities customized listings of nonconfidential information in its possession. The department may establish and collect a reasonable charge to provide this service. The revenue from this service is    1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18   appropriated when received and must be used to offset expenses to provide the service. Any balance of this revenue collected and unexpended at the end of the fiscal year must lapse to the appropriate restricted fund. Sec. 304. The department must electronically transmit the annual report prepared under section 238 of the insurance code of 1956, 1956 PA 218, MCL 500.238, and section 2108 of the banking code of 1999, 1999 PA 276, MCL 487.12108, to the standard report recipients at the time of the publication of the report. Sec. 305. The department shall update examination manuals and letters of guidance to state-chartered financial institutions as necessary to reflect how the department will evaluate institutions that provide banking or other financial services to marihuana-related businesses or businesses that transport, test, grow, process, or sell marihuana, based on state statute and guidance. The department may also include guidance or information on how federal law and regulations may impact state-chartered institutions. 

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part 1

line-item appropriations

Sec. 101. There is appropriated for the department of insurance and financial services for the fiscal year ending September 30, 2025, from the following funds:

DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES
APPROPRIATION SUMMARY
Full-time equated unclassified positions 6.0
Full-time equated classified positions 395.5

DEPARTMENT OF INSURANCE AND FINANCIAL SERVICES

 

 

 

APPROPRIATION SUMMARY

 

 

 

Full-time equated unclassified positions

6.0

 

 

Full-time equated classified positions

395.5

 

 

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GROSS APPROPRIATION  $ 77,771,400
Interdepartmental grant revenues:
Total interdepartmental grants and intradepartmental transfers   753,500
ADJUSTED GROSS APPROPRIATION  $ 77,017,900
Federal revenues:
Total federal revenues   700,000
Special revenue funds:
Total local revenues   0
Total private revenues   0
Total other state restricted revenues   76,317,900
State general fund/general purpose  $ 0
Sec. 102. DEPARTMENTAL ADMINISTRATION AND SUPPORT
Full-time equated unclassified positions 6.0
Full-time equated classified positions 23.5
Unclassified salaries--FTEs 6.0 $ 955,500
Administrative hearings   173,700
Department services--FTEs 20.0  4,127,900
Executive director programs--FTEs 3.5  916,800
Property management   1,389,100
Worker's compensation   1,200
GROSS APPROPRIATION  $ 7,564,200
Appropriated from:
Interdepartmental grant revenues:
IDG from MDLARA, debt management   72,100
Special revenue funds:
Bank fees   598,800

GROSS APPROPRIATION

 

$

77,771,400

Interdepartmental grant revenues:

 

 

 

Total interdepartmental grants and intradepartmental transfers

 

 

753,500

ADJUSTED GROSS APPROPRIATION

 

$

77,017,900

Federal revenues:

 

 

 

Total federal revenues

 

 

700,000

Special revenue funds:

 

 

 

Total local revenues

 

 

0

Total private revenues

 

 

0

Total other state restricted revenues

 

 

76,317,900

State general fund/general purpose

 

$

0

Sec. 102. DEPARTMENTAL ADMINISTRATION AND SUPPORT

 

 

 

Full-time equated unclassified positions

6.0

 

 

Full-time equated classified positions

23.5

 

 

Unclassified salaries--FTEs

6.0

$

955,500

Administrative hearings

 

 

173,700

Department services--FTEs

20.0

 

4,127,900

Executive director programs--FTEs

3.5

 

916,800

Property management

 

 

1,389,100

Worker's compensation

 

 

1,200

GROSS APPROPRIATION

 

$

7,564,200

Appropriated from:

 

 

 

Interdepartmental grant revenues:

 

 

 

IDG from MDLARA, debt management

 

 

72,100

Special revenue funds:

 

 

 

Bank fees

 

 

598,800

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Captive insurance regulatory and supervision fund   57,000
Consumer finance fees   292,000
Credit union fees   985,000
Deferred presentment service transaction fees   265,200
Insurance bureau fund   2,409,700
Insurance continuing education fees   67,500
Insurance licensing and regulation fees   2,036,700
MBLSLA fund   778,900
Multiple employer welfare arrangement   1,300
State general fund/general purpose  $ 0
Sec. 103. INSURANCE AND FINANCIAL SERVICES REGULATION
Full-time equated classified positions 372.0
Consumer services and protection--FTEs 102.0 $ 15,970,600
Financial institutions evaluation--FTEs 140.0  25,574,900
Insurance evaluation--FTEs 130.0  26,042,600
GROSS APPROPRIATION  $ 67,588,100
Appropriated from:
Interdepartmental grant revenues:
IDG from MDLARA, debt management   656,200
Federal revenues:
Federal revenues   700,000
Special revenue funds:
Bank fees   6,913,100
Captive insurance regulatory and supervision fund   790,200
Consumer finance fees   2,857,800

Captive insurance regulatory and supervision fund

 

 

57,000

Consumer finance fees

 

 

292,000

Credit union fees

 

 

985,000

Deferred presentment service transaction fees

 

 

265,200

Insurance bureau fund

 

 

2,409,700

Insurance continuing education fees

 

 

67,500

Insurance licensing and regulation fees

 

 

2,036,700

MBLSLA fund

 

 

778,900

Multiple employer welfare arrangement

 

 

1,300

State general fund/general purpose

 

$

0

Sec. 103. INSURANCE AND FINANCIAL SERVICES REGULATION

 

 

 

Full-time equated classified positions

372.0

 

 

Consumer services and protection--FTEs

102.0

$

15,970,600

Financial institutions evaluation--FTEs

140.0

 

25,574,900

Insurance evaluation--FTEs

130.0

 

26,042,600

GROSS APPROPRIATION

 

$

67,588,100

Appropriated from:

 

 

 

Interdepartmental grant revenues:

 

 

 

IDG from MDLARA, debt management

 

 

656,200

Federal revenues:

 

 

 

Federal revenues

 

 

700,000

Special revenue funds:

 

 

 

Bank fees

 

 

6,913,100

Captive insurance regulatory and supervision fund

 

 

790,200

Consumer finance fees

 

 

2,857,800

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Credit union fees   8,798,400
Deferred presentment service transaction fees   2,371,100
Insurance bureau fund   24,955,100
Insurance continuing education fees   1,022,700
Insurance licensing and regulation fees   11,613,400
MBLSLA fund   6,821,000
Multiple employer welfare arrangement   89,100
State general fund/general purpose  $ 0
Sec. 104. INFORMATION TECHNOLOGY
Information technology services and projects  $ 2,369,100
GROSS APPROPRIATION  $ 2,369,100
Appropriated from:
Interdepartmental grant revenues:
IDG from MDLARA, debt management   25,200
Special revenue funds:
Bank fees   147,300
Captive insurance regulatory and supervision fund   13,700
Consumer finance fees   73,300
Credit union fees   248,900
Deferred presentment service transaction fees   50,000
Insurance bureau fund   466,400
Insurance continuing education fees   9,000
Insurance licensing and regulation fees   1,143,400
MBLSLA fund   191,900
State general fund/general purpose  $ 0
Sec. 105. ONE-TIME APPROPRIATIONS

Credit union fees

 

 

8,798,400

Deferred presentment service transaction fees

 

 

2,371,100

Insurance bureau fund

 

 

24,955,100

Insurance continuing education fees

 

 

1,022,700

Insurance licensing and regulation fees

 

 

11,613,400

MBLSLA fund

 

 

6,821,000

Multiple employer welfare arrangement

 

 

89,100

State general fund/general purpose

 

$

0

Sec. 104. INFORMATION TECHNOLOGY

 

 

 

Information technology services and projects

 

$

2,369,100

GROSS APPROPRIATION

 

$

2,369,100

Appropriated from:

 

 

 

Interdepartmental grant revenues:

 

 

 

IDG from MDLARA, debt management

 

 

25,200

Special revenue funds:

 

 

 

Bank fees

 

 

147,300

Captive insurance regulatory and supervision fund

 

 

13,700

Consumer finance fees

 

 

73,300

Credit union fees

 

 

248,900

Deferred presentment service transaction fees

 

 

50,000

Insurance bureau fund

 

 

466,400

Insurance continuing education fees

 

 

9,000

Insurance licensing and regulation fees

 

 

1,143,400

MBLSLA fund

 

 

191,900

State general fund/general purpose

 

$

0

Sec. 105. ONE-TIME APPROPRIATIONS

 

 

 

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Insurance complaints and health care appeals outreach campaign  $ 250,000
GROSS APPROPRIATION  $ 250,000
Appropriated from:
Special revenue funds:
Insurance licensing and regulation fees   250,000
State general fund/general purpose  $ 0

Insurance complaints and health care appeals outreach campaign

 

$

250,000

GROSS APPROPRIATION

 

$

250,000

Appropriated from:

 

 

 

Special revenue funds:

 

 

 

Insurance licensing and regulation fees

 

 

250,000

State general fund/general purpose

 

$

0

 

part 2

provisions concerning appropriations

for fiscal year 2024-2025

general sections

Sec. 201. In accordance with section 30 of article IX of the state constitution of 1963, for the fiscal year ending September 30, 2025, total state spending under part 1 from state sources is $76,317,900.00 and state spending under part 1 from state sources to be paid to local units of government is $0.00.

Sec. 202. The appropriations under this part and part 1 are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. As used in this part and part 1:

(a) "Department" means the department of insurance and financial services.

(b) "Director" means the director of the department.

(c) "FTE" means full-time equated.

(d) "IDG" means interdepartmental grant.

(e) "MDLARA" means the Michigan department of licensing and regulatory affairs.

(f) "MBLSLA fund" means the restricted account established 

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under section 8 of the mortgage brokers, lenders, and servicers licensing act, 1987 PA 173, MCL 445.1658.

(g) "Standard report recipients" means the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office.

Sec. 204. The department shall use the internet to fulfill the reporting requirements of this part. This requirement includes transmitting reports to the standard report recipients and any other required recipients by email and posting the reports on an internet site. 

Sec. 205. To the extent permissible under section 261 of the management and budget act, 1984 PA 431, MCL 18.1261, all of the following apply to the expenditure of funds appropriated in part 1:

(a) The funds must not be used for the purchase of foreign goods or services, or both, if competitively priced and of comparable quality American goods or services, or both, are available.

(b) Preference must be given to goods or services, or both, manufactured or provided by Michigan businesses, if they are competitively priced and of comparable quality.

(c) Preference must be given to goods or services, or both, that are manufactured or provided by Michigan businesses owned and operated by veterans, if they are competitively priced and of comparable quality.

Sec. 206. The department shall not take disciplinary action against an employee of the department for communicating with a member of the legislature or legislative staff, unless the communication is prohibited by law and the department is exercising 

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its authority as provided by law. 

Sec. 207. Consistent with section 217 of the management and budget act, 1984 PA 431, MCL 18.1217, the department shall prepare a report on out‐of‐state travel expenses not later than January 1. The report must list all travel outside this state by classified and unclassified employees in the previous fiscal year that was funded in whole or in part with funds appropriated in the department's budget. The department shall submit the report to the standard report recipients and to the senate and house appropriations committees. The report must include all of the following information:

(a) The dates of each travel occurrence.

(b) The total transportation and related expenses of each travel occurrence and the proportions funded with state general fund/general purpose revenues, state restricted revenues, federal revenues, and other revenues.

Sec. 208. The department shall not use funds appropriated in part 1 to hire a person to provide legal services that are the responsibility of the attorney general. This section does not apply to legal services for bonding activities or to outside legal services that the attorney general authorizes.

Sec. 209. Not later than December 15, the state budget office shall prepare and submit a report that provides estimates of the total general fund/general purpose appropriation lapses at the close of the previous fiscal year. The report must summarize the projected year-end general fund/general purpose appropriation lapses by major departmental program or program areas. The state budget office shall submit the report to the standard report recipients and to the chairpersons of the senate and house 

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appropriations committees. 

Sec. 210. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $200,000.00 for federal contingency authorization. Amounts appropriated under this subsection are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $1,000,000.00 for state restricted contingency authorization. Amounts appropriated under this subsection are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 211. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is not limited to, all of the following for the department:

(a) Fiscal-year-to-date expenditures by category.

(b) Fiscal-year-to-date expenditures by appropriation unit.

(c) Fiscal-year-to-date payments to a selected vendor, including the vendor name, payment date, payment amount, and payment description.

(d) The number of active department employees by job classification.

(e) Job specifications and wage rates.

Sec. 212. Not later than 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide an annual report on estimated state restricted fund balances, state restricted fund 

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projected revenues, and state restricted fund expenditures for the previous 2 fiscal years. The report must be submitted to the standard report recipients and to the chairpersons of the senate and house appropriations committees.

Sec. 213. (1) Funds appropriated in part 1 must not be used to restrict or impede a marginalized community's access to government resources, programs, or facilities.

(2) From the funds appropriated in part 1, local governments shall report any action or policy that attempts to restrict or interfere with the duties of a local health officer.

Sec. 214. To the extent permissible under the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594, the director shall take all reasonable steps to ensure that geographically disadvantaged business enterprises compete for and perform contracts to provide services or supplies, or both. The director shall strongly encourage firms with which the department contracts to subcontract with certified geographically disadvantaged business enterprises for services, supplies, or both. As used in this section, "geographically disadvantaged business enterprises" means that term as defined in Executive Directive No. 2019-8.

Sec. 215. On a quarterly basis, the department shall report on the number of full-time equated positions in pay status by civil service classification, including a comparison by line item of the number of full-time equated positions authorized from funds appropriated in part 1 to the actual number of full-time equated positions employed by the department at the end of the reporting period. The report must be submitted to the standard report recipients and to the senate and house appropriations committees.

Sec. 216. It is the intent of the legislature that the 

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department maximize the efficiency of the state workforce and, if possible, prioritize in-person work and post its in-person, remote, or hybrid work policy on its website.

Sec. 217. The department shall receive and retain copies of all reports funded from appropriations in part 1. The department shall follow federal and state guidelines for short-term and long-term retention of records. The department may electronically retain copies of reports unless otherwise required by federal or state guidelines.

Sec. 218. Not later than April 1, the department shall report on each specific policy change made to implement a public act affecting the department that took effect during the previous calendar year. The department shall submit the report to the standard report recipients, to the senate and house appropriations committees, and to the joint committee on administrative rules.

Sec. 219. To the extent possible, the department shall not expend appropriations under part 1 until all existing authorized work project funds available for the same purposes are exhausted.

Sec. 220. Unless prohibited by law, the department may accept credit card or other electronic means of payment for licenses, fees, or permits.

Sec. 221. Not later than September 30, the department shall submit a report to the standard report recipients detailing any expenditure of funds for a television or radio production that was made to a third-party vendor in the fiscal year ending September 30, 2025. The report must include all of the following information for each expenditure:

(a) The total amount of the expenditure.

(b) The fund source for the expenditure.

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(c) The name of any vendor that created the production and the amount paid to each vendor.

(d) The purpose of the production.

Sec. 222. From the funds appropriated in part 1 from the insurance bureau fund, funds may be expended to support legislative participation in insurance activities coordinated by insurance and legislative associations, in accordance with section 225 of the insurance code of 1956, 1956 PA 218, MCL 500.225.

 

INSURANCE AND FINANCIAL SERVICES REGULATION

Sec. 301. The department shall electronically transmit the annual health insurance rate change report prepared pursuant to 45 CFR 154.301(b), to the standard report recipients at the time the report is published.

Sec. 302. In addition to the funds appropriated in part 1, the funds collected by the department in connection with a conservatorship under section 32 of the mortgage brokers, lenders, and servicers licensing act, 1987 PA 173, MCL 445.1682, and funds collected by the department from corporations being liquidated under the insurance code of 1956, 1956 PA 218, MCL 500.100 to 500.8302, must be appropriated for all expenses necessary to provide for the required services. Funds are available for expenditure when they are received by the department of treasury and must not lapse to the general fund at the end of the fiscal year.

Sec. 303. The department may make available to interested entities customized listings of nonconfidential information in its possession. The department may establish and collect a reasonable charge to provide this service. The revenue from this service is 

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appropriated when received and must be used to offset expenses to provide the service. Any balance of this revenue collected and unexpended at the end of the fiscal year must lapse to the appropriate restricted fund.

Sec. 304. The department must electronically transmit the annual report prepared under section 238 of the insurance code of 1956, 1956 PA 218, MCL 500.238, and section 2108 of the banking code of 1999, 1999 PA 276, MCL 487.12108, to the standard report recipients at the time of the publication of the report.

Sec. 305. The department shall update examination manuals and letters of guidance to state-chartered financial institutions as necessary to reflect how the department will evaluate institutions that provide banking or other financial services to marihuana-related businesses or businesses that transport, test, grow, process, or sell marihuana, based on state statute and guidance. The department may also include guidance or information on how federal law and regulations may impact state-chartered institutions.