Public Policy Update from the State Bar of Michigan
February 8-15, 2010
Volume 8 Issue 7

This week's Public Policy Update was not sent yesterday due to the holiday.

FOCUS: Executive Budget Fiscal Year 2011
On February 11, Governor Jennifer M. Granholm presented the Executive Budget recommendations to a joint meeting of the House of Representatives and Senate Appropriations Committee. The budget includes a restructured tax system that would include a reduced sales tax rate of 5.5% and would extend the sales tax to services, exempting health care and social assistance, education, new construction, real estate, and insurance commissions and all business to business transactions.
Executive Budget for Fiscal Year 2011

See related news:
Governor's Services Tax Plan Likely a Tough Sell
(Lansing State Journal, 2/14/10)
Granholm Faces Battle Over Proposed Sales Tax on Services
(Detroit News, 2/12/10)
Business Leaders Offer Mixed Review for Granholm's Budget Plan
(Detroit News, 2/12/10)
A Look at Granholm's Proposed Budget; it Includes New Taxes, Cuts
(Detroit Free Press, 2/12/10)
Expanded Sales Tax in Granholm's New Budget
(Lansing State Journal, 2/12/10)
Highlights of Proposed State Budget
(Lansing State Journal, 2/12/10)
Doctors Decry Granholm's Tax Proposal to Target Their Income
(Grand Rapids News, 2/11/10)
Granholm's Budget Plan Calls for Tax on Services
(Detroit Free Press, 2/11/10)
Granholm Budget Cuts Sales, Business Taxes, Adds Sales Tax
(Detroit News, 2/11/10)
Granholm Proposing Broader, Lower Sales Tax
(Lansing State Journal, 2/11/10)
Push for New Budget Deadline Has Promise
(Lansing State Journal, 2/11/10)

The State Bar has historically opposed the adoption of legislation that burdens the public's access to justice, including the adoption of a tax on legal services. To view the State Bar's position on a tax on legal services, please visit the Public Policy Resource Center.

Care to Comment?

In the Capitol
The Michigan Senate will not hold session this week in order to focus on the upcoming budget appropriations. The House of Representatives will follow its regular schedule.
House Session Schedule
Senate Session Schedule

Committee Meetings of Interest for the Week of 2/16
2/16 Senate Appropriations: Judiciary & Corrections
Agenda: Overview of Executive Budget Recommendations.

2/17 Senate Appropriations: Judiciary & Corrections
Agenda: Public Testimony of FY 2010-11 Department of Corrections Budget.

2/17 House Judiciary
Agenda: HB 4356 Modify special tools liens provisions regarding right to possession; HB 4357 Allow special tool builder to recover attorney fees, costs, and interest; HB 4358 Allow moldbuilder to recover attorney fees, costs, and interest; HB 4359 Modify moldbuilders' liens provisions regarding right to possession; And any business properly before this committee.

2/17 Senate Appropriations
Agenda: Overview of the Governor's FY 2011 Budget Recommendations: Gary Olson, Director, Senate Fiscal Agency.

2/18 Appropriations: Senate and House Subcommittees on Department of Human Services
Agenda: Fiscal Year 2010-2011 Budget Presentation

2/18 House Appropriations: State Police/Military and Veterans Affairs
Agenda: Status of Michigan State Police Crime Labs.

2/18 House Appropriations: Judiciary
Agenda: HFA Overview of Budget; FY 2010-2011 Judiciary Budget.

Complete Committee Meeting List

New Public Acts

Legislation Introduced 2/9–2/11
Of Interest to the Legal Community

HB 5800 Civil procedure; other; court rules addressing actions under sections 25 to 32 of article IX of the state constitution; recommend revisions. Amends sec. 308a of 1961 PA 236 (MCL 600.308a) & adds secs. 308b, 308c, 308d, 308e, 308f & 308g.

SB 1118 Children; parental rights; provision relating to termination of parental rights; modify. Amends sec. 17, ch. XII of 1939 PA 288 (MCL 712.17).

SB 1119 Children; parental rights; procedure for proof of termination; modify. Amends sec. 15, ch. XII of 1939 PA 288 (MCL 712.15).

SB 1120 Children; parental rights; provision relating to parent who voluntarily surrendered a child to an emergency service provider; eliminate. Amends sec. 19b, ch. XIIA of 1939 PA 288 (MCL 712A.19b).

SB 1125 Civil procedure; costs and fees; separate filing fee for each defendant named in a lawsuit; require. Amends secs. 2529 & 8371 of 1961 PA 236 (MCL 600.2529 & 600.8371).

SB 1127 Family law; marriage and divorce; no-fault divorces; eliminate under certain circumstances. Amends secs. 6 & 7 of 1846 RS 84 (MCL 552.6 & 552.7).

Of General Interest
HB 5797 State financing and management; other; implementation of section 29 of article IX of the state constitution; provide for, and repeal 1979 PA 101. Creates new act & repeals 1979 PA 101 (MCL 21.23121.244).

HB 5798 Administrative procedure; rules; delegation of legislative authority that exceeds statutory or constitutional prohibition against unfunded mandates; nullify under certain circumstances. Amends secs. 40, 44, 45 & 45a of 1969 PA 306 (MCL 24.240 et seq.).

HB 5799 Administrative procedure; rules; delegation of legislative authority that violates constitutional prohibition against unfunded mandates; nullify under certain circumstances. Amends secs. 40, 44, 45 & 45a of 1969 PA 306 (MCL 24.240 et seq.).

HB 5801 Legislature; committees; certain reports regarding section 29 of article IX of the state constitution; require the house and senate fiscal agencies to issue. Amends 1986 PA 268 (MCL 4.11014.1901) by adding sec. 502.

HB 5802 State financing and management; other; implementation of section 29 of article IX of the state constitution; provide for, and repeal 1979 PA 101. Creates new act & repeals 1979 PA 101 (MCL 21.23121.244).

SJR T State financing and management; budget; constitutional amendment to limit the budget and make certain deposits; modify. Amends sec. 31, art. IV & sec. 18, art. V of the state constitution.

SJR U Labor; public service employment; constitutional amendment for salary reduction for public employees and temporary pay freeze; provide for. Amends sec. 10, art. I, secs. 12 & 48, art. IV, sec. 23, art. V, secs. 3 & 18, art. VI, sec. 9, art. VII, secs. 5, 6 & 7, art. VIII & sec. 5, art. XI & adds sec. 8 to art. XI of the state constitution.

At the Bar
PMRC Presents "How to Build and Strengthen Your Law Practice"

Nominations Due February 19 for State Bar Representative Assembly Awards

Nominations Deadline extended to February 19 for McCree Awards for Journalists

Michigan Delegation Presents a Collaboration to Restore Justice

SBM Animal Law Symposium Set for March 5

Sections and Committees
The Labor and Employment Law Section submitted a Public Policy position on HB 4772 Civil rights; open meetings; exemption from open meetings act for employment relations commission; create. Amends sec. 3 of 1976 PA 267 (MCL 15.263).

The Real Property Law Section submitted a Public Policy position on HB 5753 Property; land contracts; renting of a home sold on land contract; regulate. Amends title of 1879 PA 237 (MCL 565.351565.361) & adds sec. 4a.

Federal News
Summit Focuses on Improving Indigent Defense
(ABA Now, 2/10/10)

State News
Rethinking the System
(Herald-Palladium, 2/14/10)

Ex-Supreme Court Justice O'Connor: Change Way Michigan Elects Judges
(Detroit News, 2/10/10)

O'Connor Fears Cash Will Flood Judicial Races
(Detroit Free Press, 2/10/10)

Michigan Supreme Court to Hear Arguments in ACLU Case
(WSBT2.com, 2/8/10)

Links of Interest
Public Policy Resource Center | Michigan Supreme Court | Michigan Legislature | MCL Search Engines