LAND CONVEYANCE; REMOVE FIRE PROTECTION FUND S.B. 985:

SUMMARY OF BILL

REPORTED FROM COMMITTEE

 

 

 

 

 

 

Senate Bill 985 (as reported without amendment)

Sponsor: Senator Veronica Klinefelt

Committee: Transportation and Infrastructure

 


CONTENT

 

The bill would amend Part 527 (Municipal Forests) of the Natural Resources and Environmental Protection Act to remove a requirement that any additional proceeds from municipal forestland conveyances above $18.0 million be deposited into the Fire Protection Fund.

 

MCL 324.52706

 

BRIEF RATIONALE

 

Reportedly, the primary source of revenue for the State s Fire Protection Fund was driver responsibility fees (DRFs), fees assessed against drivers for certain infractions, such as moving violations; however, Public Acts 43 through 50 of 2018 wholly discontinued the assessment of, and phased out liability for, DRFs. As the Fund s primary source of funding has been eliminated, it has been suggested that reference to the Fund itself also be removed.

 

Legislative Analyst: Abby Schneider

 

FISCAL IMPACT

 

The bill would not have a significant fiscal impact on the State or local units of government. It would not result in any change in overall revenue to the State but could increase revenue to the General Fund by up to $18.0 million due to the removal of the Fire Protection Fund deposit. The Fire Protection Grants previously supported by this Fund are now financed from the State s use tax via Local Community Stabilization Authority reimbursements. As a result, the removal of the deposit would not decrease revenue to any local units.

 

Date Completed: 10-17-24 Fiscal Analyst: Elizabeth Raczkowski

 

 

 

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.