MICHIGAN NATURAL RESOURCES TRUST FUND AND CAPITAL
OUTLAY SUPPLEMENTAL APPROPRIATIONS
Summary of FY 2023-24 Enacted
Public Act 135 of 2024 (Senate Bill 817)
HFA Director: Mary Ann Cleary
Analysts: Austin Scott
Perry Zielak
Enacted
Budget Area Gross GF/GP
Capital Outlay – MNRTF $27,339,100 $0
Capital Outlay –
$100 $100
Construction Authorizations
TOTAL $27,339,200 $100
Overview
2024 PA 135 contains the Michigan Natural Resources Trust Fund (MNRTF) Board recommendations for MNRTF acquisition and
development projects that total $27.3 million. These projects are funded with state restricted revenue from the Michigan Natural
Resources Trust Fund.
2024 PA 135 also contains $100 GF/GP for a community college construction authorization. Traditionally, universities finance 25% of
a project's costs and the state finances 75%; community colleges finance 50% of a project's costs and the state finances 50%. In
recent years, the state share has been capped at $30.0 million. The total cost of the construction authorization contained within the
public act is $35.0 million, with a state share of $16.8 million and an institution share of $18.2 million. The current available capacity
below the statutory bond cap is approximately $720.3 million. Annual rental rates are typically between 7% and 9% of the total state
share per year. With the total state share being $16.8 million, the annual debt service payment for these projects is estimated to be
$1.3 million GF/GP over 15 to 17 years.
Appropriation Items Enacted
CAPITAL OUTLAY
1. Michigan Natural Resources Trust Fund Gross $27,339,100
Includes $27.3 million Gross for 18 land acquisition projects ($17.5 million) and 35 land development Restricted 27,339,100
projects ($9.8 million) supported with revenues from the MNRTF pursuant to Article IX, Section 35 of GF/GP $0
the Michigan Constitution and the Natural Resources and Environmental Protection Act. Matching funds
total $34.2 million, resulting in total project costs of $61.6 million.
The MNRTF provides financial assistance to local units of government or qualifying nonprofits and to
the Department of Natural Resources (DNR) for public acquisition of lands for resource protection and
public outdoor recreation. Applications for assistance from the MNRTF are accepted annually, and
recommendations are made by the MNRTF Board and submitted to the legislature for approval and
appropriation of funds.
Before the MNRTF reached its constitutional cap of $500.0 million in 2011, the Michigan Constitution
directed that the fund receive revenues from bonuses, rentals, delayed rentals, and royalties collected
or reserved by the state under provisions of leases for extraction of nonrenewable resources from state-
owned lands, except revenues accruing under leases of state-owned lands acquired with money from
the state or federal Game and Fish Protection Funds or revenues accruing from lands purchased with
such revenues. Additionally, the Michigan Constitution directed annual expenditures from the MNRTF
to consist of interest and earnings on the principal and up to 33-1/3% of fund revenue received in the
previous fiscal year.
Since reaching the $500.0 million cap in 2011, the MNRTF is no longer eligible to receive annual
revenues from bonuses, rentals, delayed rentals, and royalties. These revenues are now deposited to
the Michigan State Parks Endowment Fund (MSPEF) until the fund balance reaches $800.0 million,
after which revenues will again be credited to the MNRTF. The current balance of the MSPEF is $333.7
million. Annual expenditures from the MNRTF are limited to interest and investment earnings of the
principal, and funding carried forward from previous years. [continued on next page]
House Fiscal Agency 1 10/10/2024
Appropriation Items Enacted
1. Michigan Natural Resources Trust Fund (continued)
The Michigan Constitution requires that not less than 25% of the total amount made available for
expenditure from annual MNRTF revenue be expended for acquisition of land and rights in land, and
not less than 25% of the total amount made available for expenditure from annual MNRTF revenue be
expended for development of public recreation facilities. From FY 2022-23 MNRTF revenue, there is
$32.2 million available for expenditure. Acquisition projects ($17.5 million) amount to 54.5% of available
funds; development projects ($9.8 million) amount to 30.5% of available funds. The remaining amount
available from FY 2022-23 MNRTF revenue ($4.8 million) is dedicated to operating costs such as PILT
payments and investment management fees. (SEE TABLE BELOW FOR DESCRIPTION OF
INDIVIDUAL PROJECTS)
CAPITAL OUTLAY – CONSTRUCTION AUTHORIZATIONS Gross $100
2. Grand Rapids Community College – Learning Resource Center/Library Learning Commons GF/GP $100
Project
The Learning Resource Center/Library Learning Commons project at Grand Rapids Community College
has a total cost of $35.0 million; a total state share of $16.8 million; and a total college share of $18.2
million. The project cost is $1.4 million more than the estimated cost included in the planning
authorization, which would be covered by the community college. The increased cost is due to
inflationary increases related to construction materials and labor. The project would involve the
renovation of 71,375 sq. ft. of the Learning Resource Center, originally constructed in 1972, and add an
additional 6,493 sq. ft. The renovation would replace electrical, plumbing, mechanical and HVAC
systems; replace and waterproof the building envelope; address ADA accessibility; reconfigure and
upgrade interior spaces; and improve energy efficiency. The increased capacity of the structure would
allow additional student services to be relocated to the building. The project received planning
authorization in 2023 PA 321.
Boilerplate Items:
Sec. 301. MNRTF Grant Agreements
Requires local units of government or qualifying nonprofits to enter into agreements with the Department of Natural Resources for
the purpose of administering grant funding and specifies provisions that are required to be included in the agreements. (2/7/24 SBO
letter)
Sec. 302. MNRTF Funding Carry-Forward
Authorizes unexpended funding to be carried forward consistent with Section 248 of the Management and Budget Act. (2/7/24 SBO
letter)
Sec. 303. MNRTF Prior Appropriation Lapse
Authorizes unexpended appropriations made previously to lapse once projects have been completed or terminated. (2/7/24 SBO
letter)
Sec. 401. Public Purpose, Lease and Conveyance, and Annual Appropriation
States the legislature determines that the leasing of SBA-financed facilities are for a public purpose under the State Building Authority
Act of 1964; approves and authorizes the lease and conveyance of property to the SBA and from the SBA to the state and educational
institutions, as applicable, executed by the governor and secretary of state on behalf of the state; specifies intent of the legislature to
annually appropriate sufficient amounts to pay rent obligations pursuant to the lease.
House Fiscal Agency 2 10/10/2024
NATURAL RESOURCES TRUST FUND LAND ACQUISITION PROJECTS
Proposed County
Priority Project Owner Location Total Cost Match Trust Fund
1. Village of Lexington’s Harbor Acquisition. Acquisition Village of Sanilac $468,800 $168,800 $300,000
of approximately 0.14 acre of waterfront property along Lexington
with dockage infrastructure situated over public
bottomlands. The village plans to collaborate with the
department to incorporate the waterfront marina property
into a larger park and harbor operation.
2. North Branch Land Acquisition. Acquisition of five Macomb Macomb 1,060,800 318,300 742,500
parcels for developing greenways and blueways for hike Township
and bike paths, kayak launches, and scenic walkways,
including connections with the Macomb County North
Branch Greenway. The properties are adjacent to the
north branch of the Clinton River and are designated
floodplain within the township’s boundary.
3. Sycamore Creek Land Acquisition - Cavanaugh Road. City of Ingham 410,000 110,000 300,000
Acquisition of approximately 3.47 acres adjacent to Lansing
Sycamore Creek and the River Trail to enable landscaping
improvements and potential trailhead use.
4. Cloverport Park – Clinton River Buffer Acquisition. City of Oakland 2,753,000 1,425,000 1,328,000
Acquisition of approximately nine acres to expand public Rochester
green space and provide a trail hub for the community. Hills
The property consists of forested land with steep slopes
adjacent to a city park bordering the Clinton River. This
property includes Rochester Road frontage that
connects pedestrians to Rochester Hills and downtown
Rochester.
5. Black River Ranch Acquisition. Acquisition of DNR – Forest Cheboygan 18,000,000 15,000,000 3,000,000
approximately 8,850 acres of forestland including Silver Resources
Lake, Bush Lake, Robarge Lake, and more than 14 miles Division
of Black River and Stewart Creek corridor. The property
is adjacent to the Pigeon River Country State Forest in
Michigan's elk range. The property provides habitat for
white-tailed deer, black bear, ruffed grouse, woodcock,
bobcat, coyote, snowshoe hare, and bald eagle.
House Fiscal Agency 3 10/10/2024
NATURAL RESOURCES TRUST FUND LAND ACQUISITION PROJECTS
Proposed County
Priority Project Owner Location Total Cost Match Trust Fund
6. Waverly Road Acquisition. Acquisition of 35 acres of City of Ingham 680,000 180,000 500,000
wooded natural area along Waverly Road. This parcel Lansing
would provide the city with increased park land along the
South Lansing River Trail and a location for a potential
future trailhead.
7. Johnson Nature Center Preserve Expansion. Bloomfield Oakland 1,205,000 315,000 890,000
Acquisition of approximately four acres of land Hills Schools
contiguous with preserve property at the Johnson Nature
Center. This project would protect undeveloped land
around the preserve and would expand the preserve by
9%. The preserve is one of few protected natural areas
in the community and will be accessible to the public and
local schools for nature interpretation and environmental
education.
8. Rosy Mound Acquisition – Phase Two. Acquisition of Ottawa Ottawa 2,346,000 704,000 1,642,000
a 127-acre dune site northeast of the Rosy Mound County
Natural Area. The acquisition would create a 291-acre
park on Lake Michigan. This park is known for its lake
and dune views, forested trails, and 3,460 feet of
shoreline.
9. Superior Greenway Nature Preserve Acquisition. Superior Washtenaw 1,540,000 520,000 1,020,000
Acquisition of approximately 162 acres to connect Charter
Superior Township properties to form a contiguous 659 Township
acres of protected land. Forest, wetland habitats,
grassland habitats, and nature trails are planned for the
site. The acquisition will provide a link in the township's
non-motorized pathway plan by connecting a hiking trail
from the Cherry Hill Nature Preserve to Geddes Road
and on to the central Superior Greenway Nature Trail.
The Superior Greenway Nature Trail will connect with the
county's Border to Border Trail, part of the Iron Belle
Trail.
House Fiscal Agency 4 10/10/2024
NATURAL RESOURCES TRUST FUND LAND ACQUISITION PROJECTS
Proposed County
Priority Project Owner Location Total Cost Match Trust Fund
10. Brown Bridge Quiet Area – Spring Lake Expansion. City of Grand 3,178,800 826,600 2,352,200
Acquisition of 528 acres in two parcels, adjacent to the Traverse City Traverse
Brown Ridge Quiet Area with over 9,000 feet of frontage
on Spring Lake. Approximately four miles of trail will be
added to the trail system, including linkages to the
Boardman River Trail, North Country Trail, and Muncie
Lakes Pathway. The property will be open for hiking,
cross-country skiing, and hunting.
11. Middleville State Game Area Land Acquisition. DNR – Barry 1,200,000 0 1,200,000
Acquisition of approximately 124 acres for the Middleville Wildlife
State Game Area. The property contains agricultural Division
fields, forest, wetland, and wildlife habitats. The property
will provide opportunities for hunting, trapping, and other
recreation. This acquisition will help preserve the natural
landscape along a section of the Iron Belle Trail.
12. Rogue River State Game Area Land Acquisition. DNR – Kent 1,200,000 0 1,200,000
Acquisition of 144 acres for the Rogue River State Game Wildlife
Area. The property includes aspen and oak stands, Division
grass fields, and an apple orchard. Management of the
site will enhance wildlife habitats for wild turkeys, white-
tailed deer, ruffed grouse, cottontail rabbits, and pileated
woodpecker. The property is adjacent to public land on
two sides and will provide additional road access with a
parking area off of 20 Mile Road. The property will
provide opportunities for hunting, trapping, and other
recreation.
13. Doe Lake. Acquisition of 556 acres of forestland, DNR – Forest Cheboygan 1,100,000 0 1,100,000
including Doe Lake, in the Pigeon River Country State Resources
Forest. The property includes upland habitats, wetland Division
habitats, and lowland conifer swamp. The location
includes more than 50 acres of emergent and forested
wetlands in the elk range.
House Fiscal Agency 5 10/10/2024
NATURAL RESOURCES TRUST FUND LAND ACQUISITION PROJECTS
Proposed County
Priority Project Owner Location Total Cost Match Trust Fund
14. Betsie River Springs. Acquisition of 105 acres of DNR – Forest Benzie 620,000 0 620,000
forestland, springs, feeder streams, and over a mile of Resources
Betsie River frontage. The Betsie River is a designated Division
natural river and Type 4 designated trout stream. The
feeder streams on the property are home to brook trout,
brown trout, and sculpin. The property is a mix of upland
aspen and hardwood, lowland conifer, lowland
hardwood, and wetlands. It provides habitat for white-
tailed deer, black bear, upland game birds, wild turkey,
and fur-bearing species. The riparian area along the
Betsie River is a multi-species travel corridor. The parcel