Bill Summary – FastDemocracy

Legislative Analysis
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MICHIGAN 4-H FUND-RAISING PLATE
                                                                                http://www.house.mi.gov/hfa
House Bill 5056 as enacted                                                      Analysis available at
Public Act 89 of 2024                                                           http://www.legislature.mi.gov
Sponsor: Rep. Reggie Miller
House Bill 5058 as enacted
Public Act 90 of 2024
Sponsor: Rep. Matthew Bierlein
House Committee: Transportation, Mobility and Infrastructure
Senate Committee: Transportation and Infrastructure
Complete to 8-7-24
SUMMARY:
           House Bills 5056 and 5058 amend the Michigan Vehicle Code to authorize the secretary of
           state to develop and issue a fund-raising license plate recognizing the Michigan 4-H.
           House Bill 5058 requires the secretary of state to design the fund-raising plate in conjunction
           with the Michigan 4-H. The secretary of state must transfer donation money from the sale of
           the plates to the state treasurer for credit to the Michigan 4-H Foundation Fund created in
           House Bill 5056.
           MCL 257.811ii
           House Bill 5056 creates the Michigan 4-H Foundation Fund within the state treasury.
           The state treasurer may receive money or other assets from any source for deposit into the fund
           and must direct the investment of the fund and credit to it the interest and earnings from those
           investments. Money in the fund at the close of the fiscal year remains in the fund and does not
           lapse to the general fund. The treasurer is the administrator of the fund for auditing purposes.
           The treasurer must disburse money in the fund on a quarterly basis to the Michigan 4-H
           Foundation. 1
           MCL 257.811jj
           The bills take effect on the ninety-first day after the legislature adjourns to end the 2024
           session.
BACKGROUND:
           Section 811e of the code requires a public act authorizing a fund-raising plate to identify the
           purpose of the plate, provide for a fund to receive the money raised through sale of the plates,
           and specify the fund administrator. (The bills meet these criteria.) As described below, the
1
    https://mi4hfdtn.org/
House Fiscal Agency                                                                              Page 1 of 2
           secretary of state may develop a fund-raising plate upon payment of a nonrefundable startup
           fee in an amount equal to a three-year average of the cost to the secretary of state of developing
           a new fund-raising plate.
           A person who wants a fund-raising plate for their vehicle must accompany the application for
           the plate with payment of the regular vehicle registration tax prescribed under the code, a $25
           fund-raising donation, and a $10 service fee. An applicant for renewal of a fund-raising plate
           must pay the vehicle registration tax and a $10 fund-raising donation.
           Section 811e limits to 20 the number of fund-raising plates that can be issued or made available
           for sale by the secretary of state at any one time. This limit does not include fund-raising plates
           that recognize a Michigan university or an accomplishment or occasion of a Michigan
           university. Currently there are 16 fund-raising plates. 2
FISCAL IMPACT:
           The bills may provide the Department of State with a marginal increase in funding to the
           Transportation Administration Collection Fund (TACF). Section 811e of the Michigan Vehicle
           Code requires the payment of a start-up fee, typically paid by the receiving organization, to the
           SOS to cover the costs of developing and producing a new fund-raising plate and directs the
           fee revenue to be deposited into the TACF. The start-up fee amount for each year is required
           to be calculated every January by taking the three-year average cost to DOS of developing a
           new fund-raising plate. With the full implementation of the department’s Customer and
           Automotive Records (CARS) computer system in 2022, start-up costs were anticipated to
           decrease. The start-up fee for 2023 is $90,000. Any fee revenue deposited into the TACF in
           excess of the cost of development would remain in the TACF, which supports the department’s
           vehicle registration and licensing operations.
                                                                   Legislative Analyst:     E. Best
                                                                        Fiscal Analyst:     Michael Cnossen
■ This analysis was prepared by nonpartisan House Fiscal Agency staff for use by House members in their
deliberations and does not constitute an official statement of legislative intent.
2
    https://www.michigan.gov/sos/vehicle/license-plates/special-cause-fundraising-options
House Fiscal Agency                                                    HBs 5056 and 5058 as enacted   Page 2 of 2
Statutes affected: 
Substitute (S-1): 257.1, 257.923
House Introduced Bill: 257.1, 257.923
As Passed by the House: 257.1, 257.923
As Passed by the Senate: 257.1, 257.923
House Concurred Bill: 257.1, 257.923
Public Act: 257.1, 257.923
House Enrolled Bill: 257.1, 257.923