SB-0523, As Passed House, February 28, 2008

SUBSTITUTE FOR

SENATE BILL NO. 523

     A bill to authorize the state administrative board to convey

certain state owned property in Lapeer county; to prescribe certain

conditions for the conveyance; to prescribe certain powers and

duties of the department of management and budget; and to provide

for the disposition of the revenue derived from the conveyance.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 1. (1) The state administrative board, on behalf of the

state, may convey to the highest bidder, but for not less than fair

market value as determined pursuant to subsection (5), all or

portions of state owned property now under the jurisdiction of the

department of state police, known as the old Lapeer state police

post and located in the city of Lapeer, Lapeer county, Michigan,

and more specifically described as follows:

     A parcel of land in the Northwest 1/4 of Section 8, T7N, R10E,

City of Lapeer, Michigan, and being more specifically described as

commencing at the West 1/4 corner of said Section 8; thence North

89 degrees 21'36" East 212.35 feet, on the East-West 1/4 line of

said Section 8 to the easterly line of Michigan Highway M-24 and

the point of beginning; thence North 89 degrees 21'36" East 1102.50

feet, on said East-West 1/4 line to the east line of the West 1/2

of the Northwest 1/4 of said section; thence North 02 degrees

21'28" West 120.64 feet on the east line of the West 1/2 of the

Northwest 1/4 of said section; thence South 89 degrees 21'36" West

1064.87 feet to the easterly line of M-24; thence South 15 degrees

06'41" West 125.29 feet on the easterly line of M-24 to the point

of beginning. The above described parcel contains 3.0 acres, more

or less. All bearings are relative and referenced to the north line

of Section 8 from a previous survey by Fred J. W. Soll, R.L.S.

#1090, by which observations of Polaris were taken.

     (2) The description of the parcel in subsection (1) is

approximate and for purposes of the conveyance is subject to

adjustments as the state administrative board or the attorney

general considers necessary by survey or other legal description.

     (3) The property described in subsection (1) includes all

surplus, salvage, and scrap property or equipment.

     (4) The department of management and budget shall take the

necessary steps to prepare to convey the property described in

subsection (1) using any of the following at any time:

     (a) Competitive bidding designed to realize the best value to

the state, as determined by the department of management and

budget.

     (b) A public auction designed to realize the best value to the

state, as determined by the department of management and budget.

     (c) Real estate brokerage services designed to realize the

best value to the state, as determined by the department of

management and budget.

     (d) Offering the property for sale for fair market value to a

local unit or units of government.

     (5) The fair market value of the property described in

subsection (1) shall be determined by an appraisal prepared for the

department of management and budget by an independent appraiser.

     (6) The department of attorney general shall approve as to

legal form the quitclaim deed required by this act.

     (7) The state reserves all rights in aboriginal antiquities,

including mounds, earthworks, forts, burial and village sites,

mines, or other relics lying on, within, or under the property

conveyed under this act, including the right to explore and

excavate for the aboriginal antiquity by the state or its

authorized agents.

     (8) The state shall not reserve the mineral rights to the

property conveyed under this act. However, the conveyance

authorized under this act shall provide that, if the purchaser or

any grantee develops any minerals found on, within, or under the

conveyed property, the purchaser or any grantee shall pay 1/2 of

the gross revenue generated from the development of the minerals to

the state, for deposit in the state general fund.

     (9) The net revenue received under this act shall be deposited

in the state treasury and credited to the general fund. As used in

this subsection, "net revenue" means the proceeds from the sale of

the property less reimbursement for any costs to the department of

management and budget associated with the sale of the property.