LEGAL NOTICE FEES: ANNUAL INCREASE                                                          S.B. 236:

                                                                                               COMMITTEE SUMMARY

 

 

 

 

 

 

 

 

 

 

 

Senate Bill 236 (as introduced 2-28-13)

Sponsor:  Senator Tonya Schuitmaker

Committee:  Judiciary

 

Date Completed:  3-12-13

 

CONTENT

 

The bill would amend the Revised Judicature Act (RJA) to delete a sunset on the annual rate-of-inflation increase in fees for publishing a legal notice or an order, citation, summons, advertisement, or other matter arising out of judicial proceedings required by law to be published in a newspaper.

 

The fees currently set in statute were established by Public Act 506 of 2006, which took effect on March 1, 2007.  Under that provision, each year for five years beginning March 1, 2008, those rates were required to be adjusted by the increase in the U.S. consumer price index for the preceding year, and rounded to the nearest multiple of five cents.  Under the bill, the rates would have to be adjusted annually.

 

 

The fees established in the RJA and the current fees as adjusted are shown in Table 1.

 

Table 1

 

Notice

Statutory Fee

Current Adjusted Fee

Max. cost per folio for first insertion

$20.50

$21.75

Max. cost per folio for each subsequent insertion

 

$8.45

 

$8.95

Min. allowable cost for a notice that must appear at least twice

 

$59.00

 

$92.10

Min. allowable cost for a notice that must appear only once

 

$44.00

 

$65.25

 

The bill also would refer to the maximum and minimum costs per folio for the first and each subsequent publication, rather than insertion.

 

MCL 600.2534                                                         Legislative Analyst:  Patrick Affholter

 

 

 


FISCAL IMPACT

 

By continuing to require adjustments in the rate parameters by the annual change in the consumer price index, the bill could marginally increase costs to local units that are required by law to publish in local newspapers legal notices or other documents related to legal proceedings.

 

                                                                                     Fiscal Analyst:  Dan O'Connor

 

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.