MI HB5302

Local road agencies must certify annually beginning September 30, 2014 that they either adopt a transportation employee compensation plan or comply with the publicly funded health insurance contribution act (2011 PA 152).

Compensation plans must cap employer retirement contributions at 10% of base salary for employees eligible for Social Security and 16.2% for those ineligible, with defined benefit pension multipliers capped at 1.5-2.25% depending on Social Security eligibility and health care provision.

Final average compensation for pension calculations must use minimum 3 years of compensation, exclude overtime, and cap paid leave hours at 240 total; these requirements do not apply to service accrued before September 30, 2013.

Local road agencies must maintain publicly accessible websites displaying current fiscal year budget, employee counts by job classification, financial performance dashboard, governing body contact information, and required certifications.

Department may withhold all or part of Michigan transportation fund distributions to non-compliant local road agencies until they meet certification requirements; effective date is December 28, 2012.