HB 4325 — Appropriations: supplemental; funding for marketing Attorney General's payroll fraud division
Summary
- HB 4325 is a supplemental appropriation enacted in 2025 that provides $5,000,000 from the State General Fund/General Purpose to the Michigan Department of Attorney General (DTAG) for a new payroll fraud enforcement unit.
- The funds are a one-time, work‑project appropriation to hire approximately 25 full‑time equated employees (FTEs) to investigate and prosecute cases, including payroll fraud.
- The appropriation is designated so unexpended or unallotted funds do not lapse at fiscal year end and remain available for the project until completion (tentative completion date: September 30, 2029).
Key provisions and changes
- Appropriates $5,000,000 GGF to the Attorney General for the fiscal year ending September 30, 2025.
- Authorizes hiring ~25 FTEs under the “payroll fraud enforcement unit” to investigate and prosecute criminal or civil matters related to payroll fraud and other cases as assigned.
- Designates the appropriation as a work project; any remaining funds at the fiscal year end remain available until project completion.
- States that the project will be performed by state employees and lists total estimated project cost ($5,000,000) and tentative completion date (9/30/2029).
- Declares total state spending from state sources under Part 1 for FY 2025 to be $5,000,000 and confirms applicability of the Management and Budget Act (1984 PA 431).
Fiscal impact
- Gross appropriation: $5,000,000 from State General Fund/General Purpose.
- No identified federal, special revenue, local, private, or other restricted revenues associated with this appropriation.
- Potential ongoing costs beyond the one‑time appropriation (e.g., salary/benefits, operating costs) are not specified in the bill.
Who is affected
- Primary beneficiary: Michigan Department of Attorney General — increased staffing and enforcement capacity for payroll fraud investigations and prosecutions.
- State General Fund resources are reduced by $5,000,000 for this project.
- No direct transfers to local units of government (bill states $0 paid to local units).
Timeline and procedural status
- Introduced: March 11, 2025 (sponsored by Rep. Amos O'Neal and co-sponsors).
- Enacted: Filed without Governor’s signature June 22, 2025.
- Effective date: September 1, 2025.
- Work project tentative completion date: September 30, 2029.
Notes
- “FTEs” is defined in the bill as full‑time equated employees.
- The appropriation is explicitly one‑time and structured to allow unspent funds to carry forward until the project is completed.