HB-4504, As Passed Senate, October 7, 2015

 

 

 

 

 

 

 

 

 

 

 

SENATE SUBSTITUTE FOR

 

HOUSE BILL NO. 4504

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to create the uniform forfeiture reporting act; to

 

require certain reports by reporting agencies regarding seized and

 

forfeited property; to prescribe the powers and duties of certain

 

local and state officials; to provide for certain fees and the

 

expenditure of those fees; to require certain audits; to require

 

certain reports by the department of state police; to provide for

 

the withholding of law enforcement funds under certain

 

circumstances; and to repeal acts and parts of acts.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"uniform forfeiture reporting act".

 

     Sec. 2. (1) Subject to subsections (2) and (3), before

 

February 1 of each year, each reporting agency shall submit a

 

report to the department of state police summarizing the reporting


agency's activities for the preceding calendar year regarding the

 

forfeiture of property under sections 7521 to 7533 of the public

 

health code, 1978 PA 368, MCL 333.7521 to 333.7533, section 79d of

 

the identity theft protection act, 2004 PA 452, MCL 445.79d,

 

chapter 38 of the revised judicature act of 1961, 1961 PA 236, MCL

 

600.3801 to 600.3840, and chapter 47 of the revised judicature act

 

of 1961, 1961 PA 236, MCL 600.4701 to 600.4709. The annual report

 

shall be made on a form as prescribed by the department and shall

 

contain the following information, as applicable:

 

     (a) The number of forfeiture proceedings that were instituted

 

in the circuit court by the reporting agency.

 

     (b) The number of forfeiture proceedings instituted by the

 

reporting agency that were concluded in the circuit court.

 

     (c) The number of all forfeiture proceedings instituted by the

 

reporting agency that were pending in the circuit court at the end

 

of the year.

 

     (d) The number of forfeitures effectuated by the reporting

 

agency without a forfeiture proceeding in the circuit court.

 

     (e) The number of forfeiture proceedings subject to a consent

 

judgment, settlement, or any other similar agreement involving the

 

property owner and reporting agency.

 

     (f) The number of public nuisance proceedings instituted by

 

the reporting agency in the circuit court that concluded in an

 

order of abatement involving the forfeiture of property.

 

     (g) An inventory of property received by the reporting agency.

 

Property shall be reported in accordance with each of the following

 

categories:

 


     (i) Residential real property.

 

     (ii) Industrial or commercial real property.

 

     (iii) Agricultural real property.

 

     (iv) Money, negotiable instruments, and securities.

 

     (v) Weapons.

 

     (vi) Motor vehicles and other conveyances.

 

     (vii) Other personal property of value.

 

     (h) Each property inventoried under subdivision (g) shall

 

include a description that contains the following information, as

 

applicable:

 

     (i) The date the property was seized.

 

     (ii) The final disposition of the property, including the date

 

the property was ordered forfeited or disposed of.

 

     (iii) The estimated value of the property.

 

     (iv) The violation or nuisance alleged to have been committed

 

for which forfeiture is authorized.

 

     (v) Whether any person was charged with the violation for

 

which forfeiture is authorized and whether that person was

 

ultimately convicted of that violation.

 

     (vi) Whether any person claimed an interest in the property

 

and the number of claimants to the property.

 

     (vii) Whether the forfeiture resulted from an adoptive

 

seizure. As used in this subdivision, "adoptive seizure" means that

 

all of the following apply:

 

     (A) The seizure resulted from a violation of state law and

 

there is a federal basis for the forfeiture action.

 

     (B) All of the preseizure activity and related investigations

 


were performed by this state or the local reporting agency before a

 

request was made to the federal government for adoption.

 

     (C) The seizure did not result from a joint investigation or

 

task force case.

 

     (viii) Whether the property was seized pursuant to a search or

 

arrest warrant or incident to arrest.

 

     (ix) Whether a controlled substance was found in the course of

 

the investigation that resulted in the forfeiture of the property.

 

     (i) The net total proceeds of all property forfeited through

 

actions instituted by the reporting agency that the reporting

 

agency is required to account for and report to the state treasurer

 

under either of the following, as applicable:

 

     (i) 1919 PA 71, MCL 21.41 to 21.55.

 

     (ii) The uniform budgeting and accounting act, 1968 PA 2, MCL

 

141.421 to 141.440a.

 

     (j) For forfeiture proceedings instituted under the public

 

health code, 1978 PA 368, MCL 333.1101 to 333.25211:

 

     (i) A statement explaining how any money received by the

 

reporting agency under section 7524(1)(b)(ii) of the public health

 

code, 1978 PA 368, MCL 333.7524, has been used or is being used for

 

law enforcement purposes.

 

     (ii) A statement of the number of lights for plant growth or

 

scales donated under section 7524(2) of the public health code,

 

1978 PA 368, MCL 333.7524, the total value of those lights or

 

scales, and the elementary or secondary schools or institutions of

 

higher education to which they were donated.

 

     (k) For nuisance proceedings instituted under chapter 38 of

 


the revised judicature act of 1961, 1961 PA 236, MCL 600.3801 to

 

600.3840, a statement explaining how net proceeds were directed

 

under section 3835 of the revised judicature act of 1961, 1961 PA

 

236, MCL 600.3835.

 

     (l) For forfeiture proceedings instituted under chapter 47 of

 

the revised judicature act of 1961, 1961 PA 236, MCL 600.4701 to

 

600.4709, the amount of money received under section 4708(1)(f) of

 

the revised judicature act of 1961, 1961 PA 235, MCL 600.4708, that

 

was used to enhance enforcement of criminal laws and the amount of

 

money that was used to implement the William Van Regenmorter crime

 

victim's rights act, 1985 PA 87, MCL 780.751 to 780.834.

 

     (2) Subsection (1) applies only to proceedings commenced on or

 

after the effective date of this act.

 

     (3) Subsection (1)(h) through (l) applies only to proceedings

 

that have been finalized for purposes of appeal.

 

     Sec. 3. A null report shall be filed under this act by a

 

reporting agency that did not engage in any forfeitures during the

 

reporting period.

 

     Sec. 4. A reporting agency may use forfeiture proceeds to pay

 

the reasonable costs associated with compiling, analyzing, and

 

reporting data under this act.

 

     Sec. 5. (1) The records of a reporting agency regarding the

 

forfeiture of any property that is required to be reported under

 

this act shall be audited in accordance with 1 of the following, as

 

applicable:

 

     (a) 1919 PA 71, MCL 21.41 to 21.55.

 

     (b) The uniform budgeting and accounting act, 1968 PA 2, MCL

 


141.421 to 141.440a.

 

     (2) The records of a reporting agency regarding the forfeiture

 

of any property required to be reported under this act may be

 

audited by an auditor of the local unit of government.

 

     Sec. 6. The department of state police shall compile the

 

information reported to the department under sections 2 and 3.

 

Beginning January 1, 2017, the department shall file an annual

 

report of its findings under this section with the secretary of the

 

senate and with the clerk of the house of representatives and shall

 

place a copy of the report on its departmental website. The report

 

shall be filed not later than July 1 of each year. The report shall

 

identify any state departments or agencies or local units of

 

government that have failed to properly report the information

 

required under sections 2 and 3 with the department of state

 

police.

 

     Sec. 7. As used in this act:

 

     (a) "Local unit of government" means a village, city,

 

township, or county.

 

     (b) "Reporting agency" means 1 of the following:

 

     (i) If property is seized by or forfeited to a local unit of

 

government, that local unit of government.

 

     (ii) If property is seized by or forfeited to this state, the

 

state department or agency effectuating the seizure or forfeiture.

 

     Enacting section 1. Section 7524a of the public health code,

 

1978 PA 368, MCL 333.7524a, is repealed.

 

     Enacting section 2. This act takes effect February 1, 2016.

 

     Enacting section 3. This act does not take effect unless all

 


of the following bills of the 98th Legislature are enacted into

 

law:

 

     (a) House Bill No. 4503.

 

     (b) House Bill No. 4506.

 

     (c) House Bill No. 4507.