Operational Report to the Legislature

Fiscal Year 2014

Submitted November 26, 2014

2

RICK SNYDER

GOVERNOR

STATE OF MICHIGAN

DEPARTMENT OF CIVIL RIGHTS

EXECUTIVE MATTHEW WESAW

DIRECTOR

November 26, 2014

The Honorable Roger Kahn, Chairman

Senate Committee on Appropriations

Michigan State Senate

State Capitol

Lansing, MI 48909

The Honorable Joseph Haveman, Chairman

House Committee on Appropriations

Michigan House of Representatives

State Capitol

Lansing, MI 48909

Chairmen Kahn and Haveman,

In accordance with Section 404(1) of Public Act 59 of 2013, enclosed is a report detailing

departmental operations for the Michigan Department of Civil Rights for fiscal year 2014.

Please contact me if you have any questions regarding the information contained within at

517-335-3165 or wesawm@michigan.gov.

Sincerely,

Matthew J. Wesaw

Executive Director

cc: John Roberts, State Budget Director

Ellen Jeffries, Director, Senate Fiscal Agency

Mary Ann Cleary, Director, House Fiscal Agency

April Clark, Fiscal Analyst, State Budget Office

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Section 404(1)(a) a detailed description of the department operations.

Though the Michigan Department of Civil Rights (MDCR) is the smallest state department in terms

of employees and budget, our mission is critical to the effective functioning of our state government and

plays a substantial role in defining who we are as a state.

Article 5, Section 29 of the Michigan Constitution of 1963 created the Michigan Civil Rights

Commission and established its duty to ... investigate alleged discrimination against any person because of

race, religion, color or national origin in the enjoyment of the civil rights guaranteed by law and by this

constitution The Persons with Disabilities Civil Rights Act and the Elliott-Larsen Civil Rights Act, both

passed in 1976, and subsequent amendments to those statutes have added sex, age, marital status, familial

status, height, weight, arrest record, genetic information and physical and mental disabilities to the original

four protected categories of race, color, religion and national origin.

The Michigan Department of Civil Rights was created to fulfill the mission of the Civil Rights

Commission established by the Constitution and these statutes. The department works to ensure equal

protection by investigating complaints of unlawful discrimination and through outreach efforts and

educational programs which promote voluntary compliance with civil rights laws.

To meet these goals, MDCR engages in Enforcement, Outreach and Education, Mediation,

Community Relations, Crisis Response and Contractor Review.

The Enforcement Division is the largest in the department. The hard work done by our investigators

and supervisors ensures the protections of civil rights laws to all residents of Michigan, including those who

may be at risk due to age, disability or mental illness. Seven Civil Rights Enforcement units are located in

five offices across the state. Each year, our investigators complete between 2,000 and 2,500 investigations.

The department also contracts with the U.S. Department of Housing and Urban Development (HUD)

and the United States Equal Employment Opportunity Commission (EEOC) to investigate complaints dually-

filed with those agencies. In addition, HUD contracts with us to conduct activities that promote awareness of

and compliance with state and federal fair housing laws.

Mediation is also an option for resolving complaints. Mediation is a voluntary alternative

dispute resolution available in most cases. Typically scheduled within 45 days from the date both

parties agree, Mediation can provide the quickest resolution of a case while addressing the concerns

of all involved. Currently, MDCR conducts both internal mediations, led by a trained mediator on

staff, as well as contracting with mediation centers around the state to facilitate these sessions.

At the conclusion of an investigation which finds sufficient cause to believe a violation occurred and

in which attempts to bring the parties to a mutually acceptable resolution are unsuccessful, a case is turned

over to our Legal Affairs staff to be charged. Staff attorneys (who also provide legal guidance during the

investigation) prepare the case, present it to a hearing officer, and later present it with the hearing report and

recommendations to the Civil Rights Commission for a final decision. In addition to supporting the

investigation process, the departments Law and Policy staff provide counsel to the Director and

Commission.

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The MDCR Office of Public Affairs & Administrative Services (OPAAS) was created in 2011 and

combines six critical ongoing functions into a single unit. Those functions include: Community Relations,

Contractor Review, Mediation, Communications, Financial Services and Technological Support.

Outreach and education is one of the key components of MDCRs work. To further these

efforts, the department has increased its involvement in a broad spectrum of partnership activities

with community based organizations, faith communities, youth groups, colleges and universities,

civil rights organizations and local, state and federal law enforcement to share work and provide civil

rights assistance.

Community Relations staff members (in partnership with other OPAAS staff) provide

training to citizens, businesses, community groups and non-profits in a variety of forums. Whether

through a negotiated settlement or via a direct request from a community, public or private

organization, MDCR provides important information concerning civil rights laws and practices.

MDCR also provides information and training to businesses so that they can prevent problems rather

than respond to them. For example, the department has an ongoing contract with Motor City Casino

in Detroit to provide training for employees to ensure that they are well-versed in serving a diverse

clientele. MDCR staff train an average of 4,000 people per year.

Community relations staff members are responsible for specific geographic regions of the

state as well as serving as liaisons to cultural communities throughout Michigan. As a part of these

assignments, staff members work to develop solid working relationships with community leaders

including law enforcement, education leaders, elected officials and others.

MDCRs Crisis Response Team works to ensure a constructive and effective response to

hate crime and other related incidents of tension, bias and violence in communities across Michigan.

MDCR utilizes its partnership and liaison relationships established through collaboration with law

enforcement agencies, community and faith-based institutions, business community representatives

and advocacy agencies to initiate proactive measures to help restore the civil rights health of the

community.

In addition, OPAAS staff members provide significant leadership for the majority of the

departments key initiatives, including:

The Michigan Alliance Against Hate Crimes (MIAAHC),

Governor Snyders Global Michigan Initiative,

Anti-Bullying initiatives,

The West Michigan Leadership Collaborative,

Migrant and Seasonal Farmworker initiatives, and

Advocates and Leaders for Police and Community Trust (ALPACT).

The Elliott-Larsen Civil Rights Act directs that state contracts contain a non-discrimination clause

(covenant) indicating that the contractor and any subcontractors do not discriminate against employees or

applicants for employment with respect to hire, tenure, terms, conditions, or privileges of employment.

5

MDCR and the Department of Technology, Management and Budget have a Memorandum of Understanding

prohibiting the award of state contracts over $250,000.00 to companies who are in violation of the Act.

After a review of policies and procedures, the Contractor Review Unit issues Certificates of

Awardability to companies seeking to do business with the state to assure that they have demonstrated

compliance with the non-discrimination requirements of state and federal law. Contractor Review Unit staff

also evaluate applications of companies seeking certification as persons with disabilities enterprises.

OPAAS Financial Services and Technical Support are responsible for ensuring all department

employees have the technology resources they need to effectively serve our customers, coordinating all

aspects of the departments budget, including serving as liaison to the State Budget Office and legislative

Appropriations Committees during budget development and negotiation, coordinating audit activities,

overseeing the Internal Controls Evaluation process as well as the day-to-day management of the

departments finances.

Finally, OPAAS staff members provide technical support for the departments Contact Management

System (CMS), our Oracle-based data tracking system which is used to track all public contact with the

department, including complaint investigation, requests for training or other outreach services, crisis

response and information sharing.

MDCR is also home to the Michigan Womens Commission, the Hispanic/Latino Commission of

Michigan, the Michigan Asian Pacific American Affairs Commission, the Division on Deaf and Hard of

Hearing and the as yet unappointed Arab & Chaldean Council. For a more detailed look at the goals and

objectives of these commissions, see Section 404(1)(b).

6

Section 404(1)(b) a detailed description of all subunits with the department ... Based on the structure of the budget provided for MDCR, the department is comprised of five

subunits: Unclassified employees, Civil Rights Operations, the Division on Deaf and Hard of Hearing, the

Hispanic Latino Commission and the Asian Pacific American Affairs Commission.

(PLEASE NOTE: As of the time of the preparation of this report, book closing for Fiscal Year 2014 had not

occurred. All expenditures numbers should be considered draft until book closing occurs.)

Unclassified

In FY14, 6 FTE positions were assigned to this subunit with an appropriated budget of $707,000

General Fund/General Purpose (GF/GP). Currently, five of the six positions are filled. The existing vacancy

is expected to be filled by the end of calendar year 2014. In FY14, this subunit expended $570,300.

The FTE positions in this subunit include MDCRs Executive Director, who is selected by the Civil

Rights Commission, and the Executive Director of the Michigan Womens Commission who is appointed by

the Governor. The remaining FTE positions include the departments Deputy Director, legislative liaison

and staff who help coordinate a number of departmental initiatives, including Governor Snyders Global

Michigan Initiative as well as working with the departments ethnic commissions.

This subunit generated no revenue for the department in FY14.

Civil Rights Operations

In FY14, 114 FTE positions were assigned to this subunit with an appropriated budget of

$12,683,300, of which $9,949,800 was GF/GP, $2,675,200 was federal funds and $58,500 was state

restricted indirect funds. In FY14, this subunit expended $12,000,800.

Civil Rights Operations includes all of the operations which are described in detail in Section

404(1)(a) of this report, as well as the Michigan Womens Commission.

Through our federal contracts with HUD and EEOC, this subunit generated $2,675,200 in federal

revenues for the department in FY14.

Division on Deaf, Deafblind and Hard of Hearing

In FY14, 6 FTE positions were assigned to this subunit with an appropriated budget of $771,300, of

which $659,200 was GF/GP and $112,100 was private and restricted funds. This subunit expended $570,300

in FY14. Currently, the division is operating with an interim director and has one staff person away on

military leave.

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The Division on Deaf, Deafblind and Hard of Hearing (DODDBHH) concentrates on helping

improve the lives of Michigan's one million Deaf, Deafblind and Hard of Hearing citizens. Their mission is

affirming the indisputable right of Deaf, Deafblind and Hard of Hearing Persons to secure effective

communication. It receives input from its 13-member Advisory Council appointed by the Governor and

provides the following services:

Technical Support including assisting deaf and hard of hearing persons with referrals to public or

private agencies and helping employers, educational institutions, service agencies, and businesses

make their programs and services accessible.

Information and Referral Services including responding to public inquiries about deafness,

providing Orientation to Deaf and Hard of Hearing trainings, maintaining a statewide list of services

for deaf and hard of hearing persons and other services.

Accommodations including consulting on communication barriers or access related to deaf and

hard of hearing persons, providing information and training on TTYs, signaling devices and assistive

listening devices, and maintaining a list of trainers for hearing/service dogs and assistive devices and

providers or dealers.

Interpreter Information and Services including administering the statewide Quality Assurance

Interpreter Screening Program as required by the Public Act No. 204 of 1982, consulting with the

appointing authorities on the need and use of qualified or certified interpreters and assisting state

agencies and the public in locating qualified oral and sign language interpreters.

This subunit generated no additional revenue for the department in FY14.

Hispanic Latino Commission

In FY14, 1 FTE position was assigned to this subunit with an appropriated budget of $255,600

GF/GP. In addition, this subunit received $250,000 in grant funding through the Michigan Department of

Community Health. This subunit expended $255,600 of its appropriate funding in FY14.

The Michigan Commission on Spanish-Speaking Affairs was created by Public Act 164 of 1975. The

Commissions name was changed to the Hispanic/Latino Commission of Michigan (HLCOM) in 2010.

HLCOMs goal is to develop a unified policy and plan of action to serve the needs of Michigans Hispanic

people. PA164 of 1975 as amended in 2010 directs the Commission to:

Advise the Governor, the Legislature, and the office, concerning the coordination and administration

of state programs serving Hispanics.

Make recommendations to the Governor and the Legislature regarding changes in state programs,

statutes and policies.

Advise the Governor and Legislature on the nature, magnitude, and priorities of the problems of

Hispanics. Review and advise the Governor and Legislature on the States policies concerning

Hispanic affairs.

Review and approve grants from federal, state or private funds which are administered by the Office.

Secure appropriate recognition of Hispanic accomplishments and contributions to this State.

Review and approve the Annual Report by the Hispanic/Latino Commission.

Assist with planning and implementation of Hispanic/Latino heritage month celebrations.

Assist with planning and implementation of Hispanic/Latino holiday celebrations.

This subunit generated no revenue for the department in FY14.

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Asian Pacific American Affairs Commission

In FY14, 1 FTE position was assigned to this subunit with an appropriated budget of $103,800, all

GF/GP. This subunit expended $79,700 in FY14.

The Michigan Asian Pacific American Affairs Commission (MAPAAC) was created by Public Act

538 of 2008. The 15 members of the commission are appointed by the Governor. Their mission is to

advance the full and equal participation of Asian Pacific Americans in the building of a greater Michigan.

PA538 of 2008 directs the Commission to:

Stimulate and encourage the study and review of the status of Asian Pacific Americans in this state.

Develop a unified policy and plan of action to serve the needs of Asian Pacific Americans in this

state.

Advise the governor, the legislature, and the office concerning the coordination and administration of

state programs serving Asian Pacific Americans.

Make recommendations to the governor and legislature regarding changes in state programs, statutes,

and policies.

Advise the governor and legislature of the nature, magnitude, and priorities of the problems of Asian

Pacific Americans in this state.

Review and advise the governor and the legislature on this states policies concerning Asian Pacific

American affairs.

Secure appropriate recognition of Asian Pacific American accomplishments and contributions to this

state.

Review and approve the annual report by the office of Asian Pacific American affairs.

Make recommendations to the governor and legislature regarding methods of overcoming

discrimination against Asian Pacific Americans in public and private employment and civil and

political rights.

Work to ensure equal access to all levels of education for Asian Pacific Americans.

Promote methods to ensure equal access to state services for Asian Pacific Americans.

Cooperate with and coordinate activities with the commission on Spanish-speaking affairs, the

Michigan womens commission, and any other commission that deals with minority or ethnic affairs.

Monitor, evaluate, investigate, advocate, and initiate programs for the betterment of Asian Pacific

Americans in this state.

Serve as a reporting agency for incidents of anti-Asian and anti-Pacific islander American

harassment in this state.

Promote public awareness of Asian and Pacific islander cultures.

This subunit generated no revenue for the department in FY14.

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Section 404(1)(c) the number of complaints, by type of complaint.

Based on current law, MDCR has jurisdiction in five areas: education, employment, housing, law

enforcement and public accommodation/public service.

In fiscal year 2014, MDCR opened 2,161 new complaints. The chart below details the breakdown of

those complaints, by area. As has long been the case, the majority of new complaints came from the area of

employment, though the percentage of housing complaints was up from the previous fiscal year.

Employment54%

Housing19%

Public Accommodiation

17%

Law Enforcement6%

Education4%

New Complaints By Area, FY14

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Section 404(1)(d) average cost of, and time expended, investigating complaints.

Investigating complaints of discrimination requires a team of well-trained and dedicated

professionals working together to ensure that the rights of everyone involved are protected and upheld. A

thorough investigation begins with the Intake Unit which receives the initial contact and determines

jurisdiction and timeliness. The investigator who is assigned the complaint relies on his or her manager, the

attorney assigned to the unit and their administrative support staff to help complete the investigation. The

Records Center staff uploads the information to our federal partners and ensures that records are maintained

in accordance with legal requirements.

In FY14, this team of enforcement and legal staff worked on a total of 3,527 complaints. This

included the 1,366 complaints that were open when the fiscal year began as well as the 2,161 which were

opened during the fiscal year.

In FY14, a total of $8,118,188 was expended on wages, benefits, technology, travel, rent, etc. to

support this team.

Therefore, in FY14, the average cost of a complaint investigation was $2,302.

MDCR also tracks the average number of days needed to complete an investigation with an over-all

goal of 180 days per investigation. The average for FY14 was 195 days. This marks the third fiscal year in a

row of reduced average. (Note this is measured in calendar days, not business days.) The chart below looks

at this measure on a monthly basis throughout the fiscal year.

170

180

190

200

210

220

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep

Average Days in Investigation - FY14

11

Section 404(1)(e) percentage of complaints that are meritorious and worthy of investigation or settlement ...

Based on the legal standards enforced by MDCR, a complaint is deemed to merit (and legally

require) an investigation if it meets three criteria: it must be timely filed, fall within our jurisdiction and

involve an adverse impact.

Timeliness is determined by the laws we enforce as well as our contracts with our federal partners,

HUD and EEOC. Complaints to be filed under state law or dually-filed with HUD or EEOC must come to us

within 180 days of the action in question.

Jurisdiction is also determined by the laws we enforce. The alleged incident must have occurred

within one of the 5 areas we enforce education, employment, housing, law enforcement and public

accommodation/public service and must allege an adverse impact based on one of the 12 protected bases

under Michigan law race, religion, color, national origin, age, sex, disability, genetic information, familial

status, marital status, height, weight and arrest record.

In fiscal year 2014, MDCR received 6,302 contacts from individuals interested in filing a complaint.

Based on the criteria outlined above 3,325 (53%) were determined to merit an investigation, while 2,977

(47%) did not.**

**Note that just because an initial contact was made, and the complaint was determined to merit an investigation does

not mean an investigation was completed. The claimant may have chosen not to proceed, may have opted to file in

court or may have chosen to file exclusively with a federal agency. In other cases a settlement may have been reached

in which a responding party does not necessarily admit to the specific allegations, but does agree to take corrective

and/or remedial action.

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Section 404(1)(f) amounts awarded to claimants.

In fiscal year 2014, 591 complaints were closed with an adjustment, meaning they were closed with

some action taken by the respondent or some benefit provided to the claimant. Not all adjustments are

monetary in nature. For example, the business involved may have changed an existing policy or adopted a

new policy, staff training may have been provided, an apology may have been issued, etc.

Of the 591 complaints closed with adjustment during this fiscal year, 344 included some kind of

monetary award. The monetary awards ranged from $9.31 to $500,000 and totaled $4,499,865.05.

The chart below details the amounts awarded.

Amounts Awarded Number of Complaints

Closed with Amount

$500,000 1

$400,000 1

$138,000 1

$137,000 1

$125,000 1

$106,144 1

$103,000 1

$100,000 2

$99,085 1

$95,758 1

$85,000 1

$82,969 1

$82,500 1

$70,000 1

$60,000 1

$57,631 1

$55,000 1

$54,750 1

$54,100 1

$53,000 1

$50,000 1

$40,548 1

$40,000 2

$39,000 1

$38,204 1

$37,100 1

$36,000 1

$39,000 1

$34,746 1

$34,450 1

$33,280 1

$30,690 1

$28,600 1

$26,281 1

13

$26,212 1

$25,651 1

$25,000 3

$24,440 1

$22,853 1

$22,500 1

$22,375 1

$21,696 1

$20,000 2

$19,760 1

$17,992 1

$17,500 4

$17,280 1

$17,000 1

$16,500 1

$16,180 1

$15,000 6

$14,987 1

$14,000 1

$13,800 1

$13,557 1

$13,520 1

$13,036 1

$13,000 2

$12,816 1

$12,000 2

$11,600 1

$11,200 1

$11,000 1

$10,539 1

$10,500 1

$10,480 1

$10,000 4

$9,854 1

$9,369.22 1

$9,200 1

$8,900 1

$8,700 1

$8,675 1

$8,500 3

$8,000 1

$7,600 1

$7,500 2

$7,114 1

$7,000 7

$6,946 1

$6,750 1

$6,500 1

$6,250 1

$6,000 6

14

$5,500 3

$5,464 1

$5,300 1

$5,000 21

$4,816 1

$4,500 3

$4,000 4

$3,700 1

$3,650 1

$3,634 1

$3,600 1

$3,587.12 1

$3,530 1

$3,508 1

$3,500 2

$3,420 1

$3,325 1

$3,178 1

$3,160 1

$3,040 1

$3,000 11

$2,857.26 1

$2,810 1

$2,500 8

$2,250 1

$2,200 1

$2,100 1

$2,090 1

$2,000 17

$1,671.60 1

$1,660 1

$1,600 2

$1,500 4

$1,400 1

$1,375 1

$1,280 1

$1,272 1

$1,250 3

$1,240 1

$1,220 1

$1,200 2

$1,196 1

$1,125 2

$1,007 1

$1,000 22

$965 1

$960 1

$930.16 1

$900 2

$875 1

15

$850 1

$838.47 1

$800 5

$750 4

$737 1

$640.42 1

$613 2

$598 1

$574 2

$559 1

$552 1

$500 18

$400 1

$385 1

$360 1

$350 1

$349.50 1

$319 1

$300 3

$286 1

$277.08 1

$258 1

$250 2

$246 1

$240 1

$237 1

$200 5

$197 1

$175 1

$150 1

$148.39 1

$140 1

$134 1

$128.08 1

$108 1

$100 7

$83 1

$78 1

$69.46 1

$64 1

$63 1

$50 3

$40 1

$34.98 1

$20 1

$9.31 1

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Section 404(1)(g) expenditures associated with complaint investigation and enforcement.

As noted in Section 404(1)(d), $8,118,188 was expended in FY14 in support of complaint

investigation and enforcement. This includes the salary and benefits of 72 employees who were on staff for

all or part of the fiscal year as well as their associated expenses including rent, phones, travel, technology,

etc.

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Section 404(1)(h) a listing of complaint investigations closed per FTE for the past 5 years.

TOTAL

COMPLAINTS

CLOSED

AVERAGE

NUMBER OF

INVESTIGATORS*

AVERAGE

COMPLAINTS

CLOSED IN

YEAR

AVERAGE

COMPLAINTS

CLOSED BY

MONTH

FY10

2,611

40.1

65.1

5.4

FY11

2,259

35.5

63.6

5.3

FY12

2,655

35.3

75.2

6.3

FY13

2,183

31.8

68.7

5.7

FY14

2,120

31.5

67.3

5.6

*Average number of investigators determined by calculating the number of investigators with caseload expectations

each month. Caseload expectation can vary based on tenure, transfer of assignments or other considerations. In

addition, this calculation accounts for investigators impacted by long-term leaves, either planned or unplanned.