HOUSE BILL No. 4853


     May 30, 2001, Introduced by Reps. Richner, DeRossett, Pappageorge, Kilpatrick, Howell, Anderson, Sanborn, Kuipers, Kowall, Woronchak,
Faunce, Koetje, Basham, Daniels and Lemmons and referred to the Committee on Land Use and Environment.


        A bill to amend 1855 PA 105, entitled

   "An act to regulate the disposition of the surplus funds in the
   state treasury; to provide for the deposit of surplus funds in
   certain financial institutions; to lend surplus funds pursuant to
   loan agreements secured by certain commercial, agricultural, or
   industrial real and personal property; to authorize the loan of
   surplus funds to certain municipalities; to authorize the partic-
   ipation in certain loan programs; to authorize an appropriation;
   and to prescribe the duties of certain state agencies,"

   by amending section 4 (MCL 21.144) and by adding section 2e.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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           SEC. 2E.  (1) THE STATE TREASURER MAY INVEST SURPLUS FUNDS

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      IN LOANS TO MUNICIPALITIES AT THE MARKET RATE OF INTEREST, AS

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      DETERMINED BY THE STATE TREASURER, FOR THE PURPOSE OF CLEARING

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      TITLE TO TAX REVERTED PROPERTY LOCATED IN THAT MUNICIPALITY.

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           (2) A LOAN MADE TO A MUNICIPALITY UNDER THIS SECTION SHALL

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      NOT BE FOR A PERIOD OF MORE THAN 10 YEARS.  ALL OTHER TERMS OF

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      THE LOAN SHALL BE PRESCRIBED BY THE STATE TREASURER.



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           Sec. 4.  Nothing  herein  contained  ,  IN THIS ACT shall
   be

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      held or considered  , as in any manner changing or affecting  TO

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      CHANGE OR AFFECT the liability of the state treasurer or his OR

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      HER bail, on his or  their  HER bond to  the  THIS state.
















































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