Mayor of Detroit v. State

579 N.W.2d 378, 228 Mich. App. 386
CourtMichigan Court of Appeals
DecidedJune 8, 1998
DocketDocket 201850, 201852
StatusPublished
Cited by28 cases

This text of 579 N.W.2d 378 (Mayor of Detroit v. State) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mayor of Detroit v. State, 579 N.W.2d 378, 228 Mich. App. 386 (Mich. Ct. App. 1998).

Opinions

McDonald, J.

These cases present three challenges to 1996 PA 374.1 Plaintiffs first contend that Act 374 [393]*393violates Const 1963, art 9, §§ 25 and 29 (the Headlee Amendments). 2 Plaintiffs next contend that Act 374 violates Const 1963, art 3, § 2 (the Separation of Powers Clause). Finally, plaintiffs contend that Act 374 violates the public employment relations act (pera), MCL 423.201 et seq.] MSA 17.455(1) el seq. The circuit court held that Act 374 violated both the Headlee Amendment and the Separation of Powers Clause, Const 1963, art 3, § 2, but that it did not violate the pera. We affirm in part and reverse in part.3

Docket No. 201850 presents the city of Detroit’s challenge to the requirement of Act 374 that the city fully fund the 36th District Court. Plaintiffs, the mayor of Detroit and the city of Detroit, commenced this action for a declaratory ruling that the provisions of Act 374 pertaining to the transfer of funding responsibility for the 36th District Court to the city of Detroit violate the Headlee Amendment, Const 1963, art 9, § 29, and the notice requirements contained in MCL 21.238(2); MSA 5.3194(608)(2) and MCL 21.235(2); MSA 5.3194(605)(2)4 because the Legisla[394]*394ture did not make an appropriation sufficient to pay for the increase in an activity or service required of the city. The circuit court granted plaintiffs’ motion for summary disposition. Defendants, state of Michigan and the Department of Management and Budget (collectively the state), appeal as of right the trial court’s grant of plaintiffs’ motion for summary disposition.

Docket No. 201852 presents challenges by defendants/cross-plaintiffs Wayne County and the Wayne County Board of Commissioners and by plaintiffs the Judicial Attorneys Association (jaa) and Government Administrators Association (gaa) (the collective bargaining representatives of the employees of the Wayne Circuit Court and the Detroit Recorder’s Court) to the dissolution of the Detroit Recorder’s Court and its consequent merger with the Wayne Circuit Court (Third Circuit Court). The circuit court declared that the provisions of Act 374 pertaining to the Recorder’s Court, including those making Wayne County the employer of employees working in the Recorder’s Court and those transferring funding obligations to Wayne County, violate the Headlee Amendments, Const 1963, art 9, §§ 25 and 29. Defendants/cross-defendants state of Michigan, the Governor, and the Attorney General (collectively the state) appeal as of right an order granting summary disposition to cross-plaintiffs Wayne County and Wayne County Board of Commissioners (collectively Wayne County).

[395]*395In Docket No. 201852, the circuit court also enjoined the state from enforcing Act 374 to the extent that it makes Wayne County a coemployer of JAA and GAA members, finding that a sharing of authority over employment matters by two branches of government violates the Separation of Powers Clause, Const 1963, art 3, § 2. The state appeals this order as of right. The JAA and the GAA also cross appeal as of right, challenging the court’s determination that the coemployment provisions of Act 374 did not violate the pera. The appeals were consolidated.

Regarding the two constitutional challenges, we are mindful that “under established rules of statutory construction, statutes are presumed constitutional, and courts have a duty to construe a statute as constitutional unless unconstitutionality is clearly apparent.” Mahaffey v Attorney General, 222 Mich App 325, 344; 564 NW2d 104 (1997). To make a successful facial challenge to the constitutionality of a statute, as plaintiffs attempt here, the challenger must establish that “ ‘no set of circumstances exists under which the [a]ct would be valid.’ ” Council of Organizations & Others for Ed About Parochiaid v Governor, 455 Mich 557, 568, 602; 566 NW2d 208 (1997), quoting United States v Salerno, 481 US 739, 745; 107 S Ct 2095; 95 L Ed 2d 697 (1987). “The constitutionality of a statute is a question of law that this Court reviews de novo.” Blank v Dep’t of Corrections, 222 Mich App 385, 392; 564 NW2d 130 (1997). Whether Act 374 violates the PERA, a question of statutory interpretation, is also a question of law that this Court reviews de novo. In re Lafayette Towers, 200 Mich App 269, 273; 503 NW2d 740 (1993).

[396]*396I

We begin our analysis with the Headlee Amendment challenge. The principal Headlee Amendment provision at issue is Const 1963, art 9, § 29, which states:

The state is hereby prohibited from reducing the state financed proportion of the necessary costs of any existing activity or service required of units of Local Government by state law. A new activity or service or an increase in the level of any activity or service beyond that required by existing law shall not be required by the legislature or any state agency of units of Local Government, unless a state appropriation is made and disbursed to pay the unit of Local Government for any necessary increased costs. The provision of this section shall not apply to costs incurred pursuant to Article VI, Section 18.

The first sentence of this provision prohibits reduction of the state proportion of necessary costs with respect to the continuation of state-mandated activities or services. The second sentence requires the state to fund any additional necessary costs of newly mandated activities or services and increases in the level of such activities or services from the 1978 base year. This language does not guarantee that local units’ spending levels will not increase from the 1978 level. Rather, the Headlee Amendment only guarantees that the state will not reduce its proportion of the necessary costs of existing activities or services, and that the state will pay entirely for necessary costs when it mandates new activities or services or to the extent the state increases the level of an existing activity or service. Increased levels of local spending attributable to other causes, e.g., inflation or the greater utilization of a program by the public, are not [397]*397addressed by this provision of the Headlee Amendment.

The Michigan Supreme Court has interpreted § 29 to “ ‘reflect an effort on the part of the voters to forestall any attempt by the Legislature to shift [fiscal] responsibilities to the local government . . . Schmidt v Dep’t of Ed, 441 Mich 236, 250; 490 NW2d 584 (1992), quoting Durant v State Bd of Ed, 424 Mich 364, 379; 381 NW2d 662 (1985). The two sentences of § 29 “must be read together ‘[b]ecause they were aimed at alleviation of two possible manifestations of the same voter concern ....’” Schmidt, supra at 251, quoting Durant, supra at 379. To make the necessary comparison between state aid provided during the Headlee Amendment base year (1978) and a later year at issue, the Schmidt Court considered, at length, three possible formulations: the “state-to-state” formulation, the “local-to-local” formulation, and the “state-to-local” formulation.5 It ultimately adopted the “state-to-local” formulation.6 This method [398]*398involves comparing “the ratio of total state aid for a required activity to total necessary costs for the required activity in the base year . . .

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Mayor of Detroit v. State
579 N.W.2d 378 (Michigan Court of Appeals, 1998)

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Bluebook (online)
579 N.W.2d 378, 228 Mich. App. 386, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mayor-of-detroit-v-state-michctapp-1998.