MI HB5889

State agencies must submit a detailed preprivatization cost-benefit analysis to the appropriations committees of both the Senate and House before seeking Civil Service Commission approval to privatize state employee services.

The analysis must compare costs for continuing services with state employees versus contracting with private providers, using accurate data and sound actuarial techniques.

Private contractor cost estimates must include all monitoring and oversight expenses, performance bond requirements, and documentation of the contractor's history of providing quality services.

State agencies must obtain cost estimates and work process recommendations from affected state employees or their representatives and give full consideration to revised cost estimates before proceeding with privatization.

State agencies must publish the detailed preprivatization cost-benefit analysis on their website.