Michigan Laws 421.10a – Obligation trust fund; creation; receipt and deposit of money or other assets; investment; money remaining in fund; administrator; expenditures; purpose
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Terms Used In Michigan Laws 421.10a
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories belonging to the United States; and the words "United States" shall be construed to include the district and territories. See Michigan Laws 8.3o
(1) The obligation trust fund is created as a separate fund in the state treasury. The assets of the obligation trust fund shall not be commingled with any other fund and shall not be considered part of the general fund of the state.
(2) The state treasurer may receive money or other assets from any source for deposit into the fund. All obligation assessments on employers collected under section 26a; all interest on payments, penalties, and damages collected in connection with the obligation assessments made under section 26a; and a portion of the proceeds of any obligations, as described in section 26a, in amounts specified by the issuer, shall be deposited into the obligation trust fund. The state treasurer shall direct the investment of the fund. The state treasurer shall credit to the fund interest and earnings from fund investments.
(3) Money in the obligation trust fund at the close of the fiscal year shall remain in the fund and shall not lapse to the general fund. Money in the fund is continuously appropriated for the purposes specified in section 26a.
(4) The department of licensing and regulatory affairs shall be the administrator of the fund for auditing purposes.
(5) The department of licensing and regulatory affairs shall expend money from the fund only for 1 or more of the following purposes:
(a) To pay obligations, administrative expenses, and associated expenses described in section 26a.
(b) To refund erroneously collected assessments under section 26a.
(c) For any other purpose described in section 26a(1).