HOUSE BILL NO. 4232 A bill to amend 2000 PA 489, entitled "Michigan trust fund act," by amending the title and section 2 (MCL 12.252), the title as amended by 2005 PA 232 and section 2 as amended by 2023 PA 174, and by adding sections 11a and 11b. the people of the state of michigan enact: TITLE An act to create certain funds; to provide for the allocation of certain revenues among certain funds and for the operation, investment, and expenditure of certain funds; to provide for the creation and administration of certain grant programs; and to impose certain provide for the powers and duties and requirements on of certain state officials.and local governmental officers and entities. Sec. 2. As used in this act: (a) "Community district education trust fund" means the community district education trust fund created in section 12. (b) "Flint settlement trust fund" means the Flint settlement trust fund created in section 11. (c) "Local government reimbursement fund" means the local government reimbursement fund created in section 3a. (d) "Medicaid benefits trust fund" means the Michigan Medicaid benefits trust fund established in section 5. (e) "Medicaid program" means a program for medical assistance established under title XIX of the social security act, 42 USC 1396 to 1396w-6.1396w-7. (f) "Medicaid special financing payments" means the Medicaid special adjustor payments each year authorized in the department of health and human services appropriations act. (g) "Michigan merit award trust fund" means the Michigan merit award trust fund established in section 9. (h) "Michigan opioid healing and recovery fund" means the Michigan opioid healing and recovery fund created in section 3. (i) "Public safety and violence prevention fund" means the public safety and violence prevention fund established in section 11a. (j) (i) "Strategic outreach and attraction reserve fund" means the strategic outreach and attraction reserve fund created in section 4. (k) (j) "Tobacco settlement revenue" means money received by this state that is attributable to the master settlement agreement incorporated into a consent decree and final judgment entered into on December 7, 1998 in Kelly Ex Rel. Michigan v Philip Morris Incorporated, et al., Ingham County Circuit Court, docket no. 96-84281CZ, including any rights to receive money attributable to the master settlement agreement that has been sold by this state. (l) (k) "21st century jobs trust fund" means the 21st century jobs trust fund established in section 7. Sec. 11a. (1) The public safety and violence prevention fund is established in the department of treasury. The public safety and violence prevention fund consists of 1 or more of the following: (a) Money deposited in the public safety and violence prevention fund as required by section 25 of the general sales tax act, 1933 PA 167, MCL 205.75. (b) Donations of money made to the public safety and violence prevention fund from any source. (c) Interests and earnings from public safety and violence prevention fund investments. (2) The state treasurer shall direct the investment of the public safety and violence prevention fund. (3) Money in the public safety and violence prevention fund at the close of the fiscal year remains in the public safety and violence prevention fund and does not lapse to the general fund. Sec. 11b. (1) By July 31, 2025, and on March 31 each fiscal year thereafter, upon appropriation, the state treasurer shall distribute the revenues available in the public safety and violence prevention fund as of December 31 of each year as provided under subsection (2) and, in addition, as follows: (a) Six point five percent of the revenues must be distributed to the department of health and human services to create and administer a grant program to provide grants to cities, villages, and townships for the purpose of advancing public health and intervention solutions to community violence. The department of health and human services may promulgate rules to implement this subdivision and subsection (3). (b) Two percent of the revenues must be distributed to the crime victim's rights fund created under section 4 of 1989 PA 196, MCL 780.904. (2) Except as otherwise provided in this section, and after distributions under subsection (1), the state treasurer shall distribute the revenue remaining in the public safety and violence prevention fund as follows: (a) To each city, village, or township, an amount that is the product of each city's, village's, or township's proportional factor multiplied by the available revenue, except as follows: (i) For a distribution made between October 1, 2028 and September 30, 2030, if a city's, village's, or township's violent crime rate, as certified by the department of state police, did not decrease by at least 1% from the base violent crime rate, the state treasurer shall reduce the city's, village's, or township's distribution amount under this subsection by 2% and the reduced amount to the cities, villages, and townships remains in the public safety and violence prevention fund for future distribution. (ii) For a distribution made after September 30, 2030, if a city's, village's, or township's violent crime rate, as certified by the director of the department of state police, did not decrease by at least 2% from the base violent crime rate, the state treasurer shall reduce the city's, village's, or township's distribution amount under this subsection by 3% and the reduced amount to the cities, villages, and townships remains in the public safety and violence prevention fund for future distribution. (b) A city, village, or township is not entitled to receive more than 25% of the total distribution under this subsection. Any calculated distribution amount over 25% of the total distribution under this subsection to a city, village, or township remains in the public safety and violence prevention fund for future distribution. (3) Both of the following apply to a city, village, or township that receives a grant under subsection (1)(a): (a) The city, village, or township may not use the grant to obtain a vehicle weighing more than 15,000 pounds that is designed or used for a tactical police purpose. (b) The city, village, or township may subgrant all or part of the grant if the subgrant is used for the purpose described in subsection (1)(a). (4) All of the following apply to a distribution made under subsection (2): (a) Except as otherwise provided in subdivision (b), a city, village, or township that receives a distribution shall use the distribution only for operational and capital expenditures that serve the purposes of public safety and violence prevention. (b) A city, village, or township that receives a distribution may not use the distribution to do any of the following: (i) Replace or supplant its reoccurring resources for public safety and violence prevention, unless there is a decline in the estimated total general fund revenue of the city, village, or township from the previous fiscal year and there is a reduction in the reoccurring resources of the city, village, or township that is proportional to the estimated decline in the general fund revenue. (ii) Obtain a vehicle weighing more than 15,000 pounds that is designed or used for a tactical police purpose. (iii) Obtain or use facial recognition technology. (iv) Obtain or use a chemical weapon. (c) A city, village, or township may subgrant all or part of the distribution if the subgrant is used for the purpose described in subdivision (a). (5) Subject to subsections (6), (7), and (8), the director of the department of state police shall provide the department of treasury with a certified list that contains all of the following: (a) Base violent crime rates. (b) Current violent crime counts. (c) Current violent crime rates, as determined by the director of the department of state police. (6) The current violent crime data described in subsection (5)(b) and (c) mean the calendar year annual data, for each city, village, and township, received and finalized by the department of state police during the prior state fiscal year and the 2 immediately preceding calendar years before the prior state fiscal year. (7) The certified list under subsection (5) must include all violent crimes reported to the department of state police and must represent only the geographical areas of each county, village, and township. The certified list under subsection (5) must include only cities, villages, or townships. (8) The certified list under subsection (5) must contain all cities, villages, and townships in this state and must report a zero for cities, villages, and townships that did not submit crime data. (9) The department of state police shall create and certify the list under subsection (5) for 2023 by not later than March 31, 2025 and, for subsequent years after 2023, by not later than November 30 each fiscal year. The creation and certification described in this subsection is required only once each fiscal year. (10) As used in this section: (a) "Base violent crime rate" means the violent crime rate of a city's, village's, or township's 2 highest violent crime rates, as certified by the director of the department of state police in the calendar years 2021, 2022, and 2023. (b) "Chemical weapon" means a munition or device that is specifically designed to cause death or other harm through a toxic chemical that would be released as a result of the employment of the munition or device. (c) "Facial recognition technology" means an automated or semiautomated technological process that assists in identifying or verifying an individual based on the individual's face. (d) "Population" means the counts, as defined by the Federal Bureau of Investigation and used by the director of the department of state police, to determine the population for each city, village, and township. (e) "Proportional factor" means the values for each city, village, and township, as determined by the state treasurer, using the certificated data reported by the director of the department of state police, calculated as follows: (i) For each city, village, and township, the average of the highest 2 most recent 3 years of violent crime count data. (ii) The value under subparagraph (i) for each city, village, and township summed for a statewide total violent crime count. (iii) Divide each city's, village's, and townships's value from subparagraph (i) by the statewide total violent crime count in subparagraph (ii) to obtain the proportional factor for each city, village, and township. (f) "Reoccurring resources" does not include either of the following: (i) Funds that were provided by a voter-approved millage or special assessment that has since expired or has otherwise not been renewed. (ii) A distribution described in subsection (2). (g) "Violent crime" means that term as defined by the director of the department of state police in accordance with the department's incident crime reporting program and the corresponding annual crime reports. (h) "Violent crime count" means the number of violent crimes based on victim counts, as certified by the director of the department of state police. When a victim is connected to multiple offenses, the victim is counted under the highest-ranked offense, as defined by the director of the department of state police. (i) "Violent crime rate" means the number of crimes per 100,000 people, determined by dividing a particular city, village, or township violent crime count by the population, then multiplying by 100,000 and rounding to the nearest whole number. Enacting section 1. This amendatory act does not take effect unless House Bill No. 4231 (request no. H00804'25) of the 103rd Legislature is enacted into law.
HOUSE BILL NO. 4232
A bill to amend 2000 PA 489, entitled
"Michigan trust fund act,"
by amending the title and section 2 (MCL 12.252), the title as amended by 2005 PA 232 and section 2 as amended by 2023 PA 174, and by adding sections 11a and 11b.
the people of the state of michigan enact:
TITLE
An act to create certain funds; to provide for the allocation of certain revenues among certain funds and for the operation, investment, and expenditure of certain funds; to provide for the creation and administration of certain grant programs; and to impose certain provide for the powers and duties and requirements on of certain state officials.and local governmental officers and entities.
Sec. 2. As used in this act:
(a) "Community district education trust fund" means the community district education trust fund created in section 12.
(b) "Flint settlement trust fund" means the Flint settlement trust fund created in section 11.
(c) "Local government reimbursement fund" means the local government reimbursement fund created in section 3a.
(d) "Medicaid benefits trust fund" means the Michigan Medicaid benefits trust fund established in section 5.
(e) "Medicaid program" means a program for medical assistance established under title XIX of the social security act, 42 USC 1396 to 1396w-6.1396w-7.
(f) "Medicaid special financing payments" means the Medicaid special adjustor payments each year authorized in the department of health and human services appropriations act.
(g) "Michigan merit award trust fund" means the Michigan merit award trust fund established in section 9.
(h) "Michigan opioid healing and recovery fund" means the Michigan opioid healing and recovery fund created in section 3.
(i) "Public safety and violence prevention fund" means the public safety and violence prevention fund established in section 11a.
(j) (i) "Strategic outreach and attraction reserve fund" means the strategic outreach and attraction reserve fund created in section 4.
(k) (j) "Tobacco settlement revenue" means money received by this state that is attributable to the master settlement agreement incorporated into a consent decree and final judgment entered into on December 7, 1998 in Kelly Ex Rel. Michigan v Philip Morris Incorporated, et al., Ingham County Circuit Court, docket no. 96-84281CZ, including any rights to receive money attributable to the master settlement agreement that has been sold by this state.
(l) (k) "21st century jobs trust fund" means the 21st century jobs trust fund established in section 7.
Sec. 11a. (1) The public safety and violence prevention fund is established in the department of treasury. The public safety and violence prevention fund consists of 1 or more of the following:
(a) Money deposited in the public safety and violence prevention fund as required by section 25 of the general sales tax act, 1933 PA 167, MCL 205.75.
(b) Donations of money made to the public safety and violence prevention fund from any source.
(c) Interests and earnings from public safety and violence prevention fund investments.
(2) The state treasurer shall direct the investment of the public safety and violence prevention fund.
(3) Money in the public safety and violence prevention fund at the close of the fiscal year remains in the public safety and violence prevention fund and does not lapse to the general fund.
Sec. 11b. (1) By July 31, 2025, and on March 31 each fiscal year thereafter, upon appropriation, the state treasurer shall distribute the revenues available in the public safety and violence prevention fund as of December 31 of each year as provided under subsection (2) and, in addition, as follows:
(a) Six point five percent of the revenues must be distributed to the department of health and human services to create and administer a grant program to provide grants to cities, villages, and townships for the purpose of advancing public health and intervention solutions to community violence. The department of health and human services may promulgate rules to implement this subdivision and subsection (3).
(b) Two percent of the revenues must be distributed to the crime victim's rights fund created under section 4 of 1989 PA 196, MCL 780.904.
(2) Except as otherwise provided in this section, and after distributions under subsection (1), the state treasurer shall distribute the revenue remaining in the public safety and violence prevention fund as follows:
(a) To each city, village, or township, an amount that is the product of each city's, village's, or township's proportional factor multiplied by the available revenue, except as follows:
(i) For a distribution made between October 1, 2028 and September 30, 2030, if a city's, village's, or township's violent crime rate, as certified by the department of state police, did not decrease by at least 1% from the base violent crime rate, the state treasurer shall reduce the city's, village's, or township's distribution amount under this subsection by 2% and the reduced amount to the cities, villages, and townships remains in the public safety and violence prevention fund for future distribution.
(ii) For a distribution made after September 30, 2030, if a city's, village's, or township's violent crime rate, as certified by the director of the department of state police, did not decrease by at least 2% from the base violent crime rate, the state treasurer shall reduce the city's, village's, or township's distribution amount under this subsection by 3% and the reduced amount to the cities, villages, and townships remains in the public safety and violence prevention fund for future distribution.
(b) A city, village, or township is not entitled to receive more than 25% of the total distribution under this subsection. Any calculated distribution amount over 25% of the total distribution under this subsection to a city, village, or township remains in the public safety and violence prevention fund for future distribution.
(3) Both of the following apply to a city, village, or township that receives a grant under subsection (1)(a):
(a) The city, village, or township may not use the grant to obtain a vehicle weighing more than 15,000 pounds that is designed or used for a tactical police purpose.
(b) The city, village, or township may subgrant all or part of the grant if the subgrant is used for the purpose described in subsection (1)(a).
(4) All of the following apply to a distribution made under subsection (2):
(a) Except as otherwise provided in subdivision (b), a city, village, or township that receives a distribution shall use the distribution only for operational and capital expenditures that serve the purposes of public safety and violence prevention.
(b) A city, village, or township that receives a distribution may not use the distribution to do any of the following:
(i) Replace or supplant its reoccurring resources for public safety and violence prevention, unless there is a decline in the estimated total general fund revenue of the city, village, or township from the previous fiscal year and there is a reduction in the reoccurring resources of the city, village, or township that is proportional to the estimated decline in the general fund revenue.
(ii) Obtain a vehicle weighing more than 15,000 pounds that is designed or used for a tactical police purpose.
(iii) Obtain or use facial recognition technology.
(iv) Obtain or use a chemical weapon.
(c) A city, village, or township may subgrant all or part of the distribution if the subgrant is used for the purpose described in subdivision (a).
(5) Subject to subsections (6), (7), and (8), the director of the department of state police shall provide the department of treasury with a certified list that contains all of the following:
(a) Base violent crime rates.
(b) Current violent crime counts.
(c) Current violent crime rates, as determined by the director of the department of state police.
(6) The current violent crime data described in subsection (5)(b) and (c) mean the calendar year annual data, for each city, village, and township, received and finalized by the department of state police during the prior state fiscal year and the 2 immediately preceding calendar years before the prior state fiscal year.
(7) The certified list under subsection (5) must include all violent crimes reported to the department of state police and must represent only the geographical areas of each county, village, and township. The certified list under subsection (5) must include only cities, villages, or townships.
(8) The certified list under subsection (5) must contain all cities, villages, and townships in this state and must report a zero for cities, villages, and townships that did not submit crime data.
(9) The department of state police shall create and certify the list under subsection (5) for 2023 by not later than March 31, 2025 and, for subsequent years after 2023, by not later than November 30 each fiscal year. The creation and certification described in this subsection is required only once each fiscal year.
(10) As used in this section:
(a) "Base violent crime rate" means the violent crime rate of a city's, village's, or township's 2 highest violent crime rates, as certified by the director of the department of state police in the calendar years 2021, 2022, and 2023.
(b) "Chemical weapon" means a munition or device that is specifically designed to cause death or other harm through a toxic chemical that would be released as a result of the employment of the munition or device.
(c) "Facial recognition technology" means an automated or semiautomated technological process that assists in identifying or verifying an individual based on the individual's face.
(d) "Population" means the counts, as defined by the Federal Bureau of Investigation and used by the director of the department of state police, to determine the population for each city, village, and township.
(e) "Proportional factor" means the values for each city, village, and township, as determined by the state treasurer, using the certificated data reported by the director of the department of state police, calculated as follows:
(i) For each city, village, and township, the average of the highest 2 most recent 3 years of violent crime count data.
(ii) The value under subparagraph (i) for each city, village, and township summed for a statewide total violent crime count.
(iii) Divide each city's, village's, and townships's value from subparagraph (i) by the statewide total violent crime count in subparagraph (ii) to obtain the proportional factor for each city, village, and township.
(f) "Reoccurring resources" does not include either of the following:
(i) Funds that were provided by a voter-approved millage or special assessment that has since expired or has otherwise not been
renewed.
(ii) A distribution described in subsection (2).
(g) "Violent crime" means that term as defined by the director of the department of state police in accordance with the department's incident crime reporting program and the corresponding annual crime reports.
(h) "Violent crime count" means the number of violent crimes based on victim counts, as certified by the director of the department of state police. When a victim is connected to multiple offenses, the victim is counted under the highest-ranked offense, as defined by the director of the department of state police.
(i) "Violent crime rate" means the number of crimes per 100,000 people, determined by dividing a particular city, village, or township violent crime count by the population, then multiplying by 100,000 and rounding to the nearest whole number.
Enacting section 1. This amendatory act does not take effect unless House Bill No. 4231 (request no. H00804'25) of the 103rd Legislature is enacted into law.