November 5, 2009, Introduced by Senators GEORGE, BIRKHOLZ, VAN WOERKOM, JANSEN and ALLEN and referred to the Committee on Commerce and Tourism.
A bill to amend 2003 PA 258, entitled
"Land bank fast track act,"
by amending sections 3, 4, and 23 (MCL 124.753, 124.754, and
124.773).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 3. As used in this act:
(a) "Authority" means a land bank fast track authority created
under section 15, section 23(4), or section 23(5).
(b) "Authority board" means the board of directors of the
state authority appointed under section 16.
(c) "Casino" means a casino regulated by this state under the
Michigan gaming control and revenue act, the Initiated
Law of 1996
IL 1, MCL 432.201 to 432.226, or a casino at which gaming is
conducted under the Indian gaming regulatory act, Public Law 100-
497, 102 Stat. 2467, and all property associated or affiliated with
the operation of the casino, including, but not limited to, a
parking lot, hotel, motel, or retail store.
(d) "County authority" means a county land bank fast track
authority created by a county foreclosing governmental unit under
section 23(4).
(e) "Department" means the department of energy, labor, and
economic growth, a principal department of state government created
by section 225 of the executive organization act of 1965, 1965 PA
380, MCL 16.325, and renamed by Executive Order No. 1996-2, MCL
445.2001, and by Executive Order No. 2003-18.
(f) "Foreclosing governmental unit" means that term as defined
in section 78 of the general property tax act, 1893 PA 206, MCL
211.78.
(g) "Fund" means the land bank fast track fund created in
section 18.
(h) "Intergovernmental agreement" means a contractual
agreement between 1 or more governmental agencies, including, but
not limited to, an interlocal agreement to jointly exercise any
power, privilege, or authority that the agencies share in common
and that each might exercise separately under the urban cooperation
act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to 124.512.
(i) "Local authority" means a local land bank fast track
authority created by a qualified city under section 23(5).
(j) "Local unit of government" means a city, village,
township, county, or any intergovernmental, metropolitan, or local
department, agency, or authority, or other local political
subdivision.
(k) "Michigan economic development corporation" means the
public body corporate created under section 28 of article VII of
the state constitution of 1963 and the urban cooperation act of
1967, 1967 (Ex Sess) PA 7, MCL 124.501 to 124.512, by a contractual
interlocal agreement effective April 5, 1999, as amended, between
local participating economic development corporations formed under
the economic development corporations act, 1974 PA 338, MCL
125.1601 to 125.1636, and the Michigan strategic fund. If the
Michigan economic development corporation is unable for any reason
to perform its duties under this act, those duties may be exercised
by the Michigan strategic fund.
(l) "Michigan state housing development authority" means the
authority created under the state housing development authority act
of 1966, 1966 PA 346, MCL 125.1401 to 125.1499c.
(m) "Michigan strategic fund" means the Michigan strategic
fund as described in the Michigan strategic fund act, 1984 PA 270,
MCL
125.2001 to 125.2093 125.2094.
(n)
"Qualified city" means a city that contains a first class
school
district has a population of
750,000 or more and includes
any
department or agency of the that
city.
(o) "State administrative board" means the board created under
1921 PA 2, MCL 17.1 to 17.3, that exercises general supervisory
control over the functions and activities of all administrative
departments, boards, commissioners, and officers of the state and
of all state institutions.
(p) "State authority" means the land bank fast track authority
created under section 15.
(q) "Tax reverted property" means property that meets 1 or
more of the following criteria:
(i) The property was conveyed to this state under section 67a
of the general property tax act, 1893 PA 206, MCL 211.67a, and
subsequently was not sold at a public auction under section 131 of
the general property tax act, 1893 PA 206, MCL 211.131, except
property described in section 131 of the general property tax act,
1893 PA 206, MCL 211.131, that is withheld from sale by the
director of the department of natural resources as authorized in
that section.
(ii) The property was conveyed to this state under section 67a
of the general property tax act, 1893 PA 206, MCL 211.67a, and
subsequently was either redeemed by a local unit of government or
transferred to a local unit of government under section 2101 or
2102 of the natural resources and environmental protection act,
1994 PA 451, MCL 324.2101 and 324.2102, or under former section 461
of 1909 PA 223 except property transferred to a local unit of
government that is subject to a reverter clause under which the
property reverts to this state upon transfer by the local unit of
government.
(iii) The property was subject to forfeiture, foreclosure, and
sale for the collection of delinquent taxes as provided in sections
78 to 79a of the general property tax act, 1893 PA 206, MCL 211.78
to 211.79a, and both of the following apply:
(A) Title to the property vested in a foreclosing governmental
unit under section 78k of the general property tax act, 1893 PA
206, MCL 211.78k.
(B) The property was offered for sale at an auction but not
sold under section 78m of the general property tax act, 1893 PA
206, MCL 211.78m.
(iv) The property was obtained by or transferred to a local
unit of government under section 78m of the general property tax
act, 1893 PA 206, MCL 211.78m.
(v) Pursuant to the requirements of a city charter, the
property was deeded to or foreclosed by the city or a department or
agency of the city for unpaid delinquent real property taxes.
Sec. 4. (1) Except as otherwise provided in this act, an
authority may do all things necessary or convenient to implement
the purposes, objectives, and provisions of this act, and the
purposes, objectives, and powers delegated to the board of
directors of an authority by other laws or executive orders,
including, but not limited to, all of the following:
(a) Adopt, amend, and repeal bylaws for the regulation of its
affairs and the conduct of its business.
(b) Sue and be sued in its own name and plead and be
impleaded, including, but not limited to, defending the authority
in an action to clear title to property conveyed by the authority.
(c) Borrow money and issue bonds and notes according to the
provisions of this act.
(d) Enter into contracts and other instruments necessary,
incidental, or convenient to the performance of its duties and the
exercise of its powers, including, but not limited to, interlocal
agreements under the urban cooperation act of 1967, 1967 (Ex Sess)
PA 7, MCL 124.501 to 124.512, for the joint exercise of powers
under this act.
(e) Solicit and accept gifts, grants, labor, loans, and other
aid from any person, or the federal government, this state, or a
political subdivision of this state or any agency of the federal
government, this state, a political subdivision of this state, or
an intergovernmental entity created under the laws of this state or
participate in any other way in a program of the federal
government, this state, a political subdivision of this state, or
an intergovernmental entity created under the laws of this state.
(f) Procure insurance against loss in connection with the
property, assets, or activities of the authority.
(g) Invest money of the authority, at the discretion of the
board of directors of the authority, in instruments, obligations,
securities, or property determined proper by the board of directors
of the authority, and name and use depositories for its money.
(h) Employ legal and technical experts, other officers,
agents, or employees, permanent or temporary, paid from the funds
of the authority. The authority shall determine the qualifications,
duties, and compensation of those it employs. The board of
directors of an authority may delegate to 1 or more members,
officers, agents, or employees any powers or duties it considers
proper. Members of the board of directors of an authority shall
serve without compensation but shall be reimbursed for actual and
necessary expenses subject to available appropriations.
(i) Contract for goods and services and engage personnel as
necessary and engage the services of private consultants, managers,
legal counsel, engineers, accountants, and auditors for rendering
professional financial assistance and advice payable out of any
money of the authority.
(j) Study, develop, and prepare the reports or plans the
authority considers necessary to assist it in the exercise of its
powers under this act and to monitor and evaluate progress under
this act.
(k) Enter into contracts for the management of, the collection
of rent from, or the sale of real property held by an authority.
(l) A redevelopment authority created under section 23(6)(i)
may do 1 or more of the following:
(i) Construct, develop, and improve streets, plazas, pedestrian
malls, parking facilities, recreational facilities, rights-of-way,
waterways, bridges, lakes, ponds, canals, utility lines or pipes,
and internet infrastructure that are designed for use by the public
generally, or used by a public agency.
(ii) Make loans to aid redevelopment.
(iii) Provide relocation assistance for individuals or
businesses that sell their property to the redevelopment authority.
(m) (l) Do all
other things necessary or convenient to achieve
the objectives and purposes of the authority or other laws that
relate to the purposes and responsibility of the authority.
(2) The enumeration of a power in this act shall not be
construed as a limitation upon the general powers of an authority.
The powers granted under this act are in addition to those powers
granted by any other statute or charter.
(3) An authority, in its discretion, may contract with others,
public or private, for the provision of all or a portion of the
services necessary for the management and operation of the
authority.
(4) If an authority holds a tax deed to abandoned property,
the authority may quiet title to the property under section 79a of
the general property tax act, 1893 PA 206, MCL 211.79a.
(5) The property of an authority and its income and operations
are exempt from all taxation by this state or any of its political
subdivisions.
(6) An authority shall not assist or expend any funds for, or
related to, the development of a casino.
(7) An authority shall not levy any tax or special assessment.
(8) An authority shall not exercise the power of eminent
domain or condemn property.
(9) An authority shall adopt a code of ethics for its
directors, officers, and employees.
(10) An authority shall establish policies and procedures
requiring the disclosure of relationships that may give rise to a
conflict of interest. The governing body of an authority shall
require that any member of the governing body with a direct or
indirect interest in any matter before the authority disclose the
member's interest to the governing body before the board takes any
action on the matter.
Sec. 23. (1) An authority may enter into an intergovernmental
agreement with the Michigan economic development corporation for
the joint exercise of powers and duties under this act, of the
powers and duties of the authority and the Michigan economic
development corporation, and for the provision of economic
development services related to the activities of the authority.
(2) An authority may enter into an intergovernmental agreement
with the Michigan state housing development authority for the joint
exercise of powers and duties under this act, of the powers and
duties of the authority and the Michigan state housing development
authority, and for the provision of redevelopment services related
to the activities of the authority.
(3) A county, city, qualified city, township, or village may
enter into an intergovernmental agreement with the state authority
providing for the transfer to the authority of tax reverted
property held by the county, city, township, or village, for title
clearance, for the disposition of the proceeds from the sale of the
property, and for other activities authorized under this act,
including the return or transfer of property under the control of
the authority to the county, city, township, or village. An
intergovernmental agreement under this subsection may not provide
for a separate legal or administrative entity to administer or
execute the agreement under section 7 of the urban cooperation act
of 1967, 1967 (Ex Sess) PA 7, MCL 124.507.
(4) A county foreclosing governmental unit may, with the
approval of the board of commissioners for that county and, if that
county has an elected county executive, with the concurrence of the
elected county executive or an authority created by a county
foreclosing governmental unit may, enter into an intergovernmental
agreement with a local authority or the state authority providing
for the exercise of the powers, duties, functions, and
responsibilities of an authority under this act and for the
creation of a county authority to exercise those functions. If a
county authority is created under this subsection, the treasurer of
the county shall be a member of the authority board.
(5) A qualified city or a local authority may enter into an
intergovernmental agreement with an authority created by a county
foreclosing governmental unit or the state authority providing for
the exercise of the powers, duties, functions, and responsibilities
of an authority under this act and for the creation of a local
authority to exercise those functions.
(6) An intergovernmental agreement under subsection (4) or (5)
shall provide for all of the following:
(a) The incorporation of a county or local authority as a
public body corporate.
(b) The name of the authority.
(c) The size of the initial governing body of the county or
local authority, which shall be composed of an odd number of
members.
(d) The qualifications, method of selection, and terms of
office of the initial board members.
(e) A method for the adoption of articles of incorporation by
the governing body of the county or local authority.
(f) A method for the distribution of proceeds from the
activities of the county or local authority.
(g) A method for the dissolution of the local or county
authority and for the withdrawal from the authority of any
governmental agencies involved.
(h) Any other matters considered advisable by the
participating governmental agencies, consistent with this act.
(i) If a county foreclosing governmental unit or a county
authority enters into an intergovernmental agreement with a
qualified city or a local authority to jointly operate an authority
under subsection (4) or (5), the resulting authority shall be
considered a redevelopment authority and the intergovernmental
agreement shall provide that 1 of the members of the governing body
shall be appointed by the governor.
(7) If under the charter of a qualified city the qualified
city collects delinquent city real property taxes and does not
return the delinquent taxes to the treasurer of the county in which
the qualified city is located under the general property tax act,
1893
PA 206, MCL 211.1 to 211.157 211.155, any of the following
property held by the qualified city may be transferred to a local
authority:
(a) Tax delinquent real property for which a lien has been
deemed sold to a city department director under the charter or
ordinances of the qualified city, except for property that was
deeded to a department director less than 2 years before the
proposed transfer to the local authority.
(b) Tax delinquent real property held by the city that has
been foreclosed by the qualified city and for which title has
vested in the city pursuant to procedures established under the
charter or ordinances of the qualified city.
(c) Any tax reverted property owned or under the control of
the qualified city.
(8) A qualified city may authorize the transfer with or
without consideration of any real property or interest in real
property to a local authority including, but not limited to, tax
reverted property or interests in tax reverted property held or
acquired after the creation of the local authority by the qualified
city, with the consent of the local authority.
(9) A qualified city and any agency or department of a
qualified city, or any other official public body, may do 1 or more
of the following:
(a) Anything necessary or convenient to aid a local authority
in fulfilling its purposes under this act.
(b) Lend, grant, transfer, appropriate, or contribute funds to
a local authority in furtherance of its purposes.
(c) Lend, grant, transfer, or convey funds to a local
authority that are received from the federal government or this
state or from any nongovernmental entity in aid of the purposes of
this act.
(10) A local authority may reimburse advances made by a
qualified city under subsection (9) or by any other person for
costs eligible to be incurred by the local authority with any
source of revenue available for use of the local authority under
this act and enter into agreements related to these reimbursements.
A reimbursement agreement under this subsection is not subject to
section 305 of the revised municipal finance act, 2001 PA 34, MCL
141.2305.
(11) A local authority may enter into agreements with the
county treasurer of the county in which the qualified city is
located for the collection of property taxes or the enforcement and
consolidation of tax liens within that qualified city for any
property or interest in property transferred to the local
authority.
(12) Unless specifically reserved or conditioned upon the
approval of the governing body of a qualified city, all powers
granted under this act to a local authority may be exercised by the
local authority without the approval of the governing body of the
qualified city, notwithstanding any charter, ordinance, or
resolution to the contrary.
(13) Prior to its effectiveness, an intergovernmental
agreement under this section shall be filed with the county clerk
of each county where a party to the agreement is located and with
the secretary of state.