HOUSE BILL No. 6307 December 1, 1998, Introduced by Reps. Jellema, Byl, DeVuyst, Fitzgerald, LeTarte, Jelinek, Hammerstrom, Birkholz, Rocca, Sanborn, Schauer and Scranton and referred to the Committee on Urban Policy and Economic Development. A bill to amend 1917 PA 167, entitled "Housing law of Michigan," by amending the title and sections 1, 8, 10, 125, 126, 127, 129, 130, 131, 133, and 141 (MCL 125.401, 125.408, 125.410, 125.525, 125.526, 125.527, 125.529, 125.530, 125.531, 125.533, and 125.541), the title and section 141 as amended by 1993 PA 144 and section 126 as amended by 1998 PA 200; and to repeal acts and parts of acts. THE PEOPLE OF THE STATE OF MICHIGAN ENACT: 1 TITLE 2 An act to promote the health, safety and welfare of the 3 people by regulating the maintenance, alteration, health, safety, 4 and improvement of dwellings;to define the classes of dwellings5affected by the act, andto establish administrative 6 requirements; to prescribe procedures for the maintenance, 04722'97 * LBO 2 1 improvement, or demolition of certain commercial buildings; to 2 establish remedies; TO PROVIDE FOR A MAINTENANCE CODE; to provide 3 for enforcement; to provide for the demolition of certain dwell- 4 ings; and to fix penalties for the violation of this act. 5 Sec. 1. This act shall be known AND MAY BE CITED as the 6 housing MAINTENANCE law of Michigan.and all provisions thereof7shall apply to every city and organized village in the state8which, by the last regular or special federal census, had a popu-9lation of 100,000 or more, and to every city or village as its10population shall reach 100,000 thereafter and also to that terri-11tory immediately adjacent and contiguous to the boundaries of12such a city or village and extending for a radial distance of132-1/2 miles beyond their boundaries in all directions. This act14shall also apply to any city and organized village in this state15which, as determined by the last regular or special federal16census, has or shall hereafter attain a population of 10,000 or17more. However, the provisions of this act relating to private18dwellings and 2-family dwellings as hereinafter defined shall not19apply to any city or organized village lying outside the 2-1/220mile radius and having a population of less than 100,000 unless21the legislative body of the city or village by resolution, passed22by a majority vote of the members elect of the legislative body,23adopt the provisions. In the case of charter townships and town-24ships the provisions of this act relating to private dwellings25and 2-family dwellings may be applied to those areas by ordinance26of the respective township board adopting the provisions. This27act shall apply to all dwellings within the classes defined in04722'97 * 3 1the following sections, except that in sections where specific2reference is made to 1 or more specific classes of dwellings,3those provisions shall apply only to those classes to which spe-4cific reference is made. All other provisions which relate to5dwellings shall apply to all classes of dwellings.6 Sec. 8. (1)Minimum requirements; law not to be modified.7 The provisions of the actshall be heldARE CONSIDERED to be 8 the minimum requirements adopted for the protection of health, 9 welfare and safety of the community. Nothinghereincontained 10 IN THIS ACT shallbe deemed toinvalidate existing ordinances 11 or regulations of any city, TOWNSHIP, or organized villageor12the board of health of any such city or villageimposing 13 requirements higher than the minimum requirementslaid down in14 IMPOSED PURSUANT TO this act relative to light, ventilation, san- 15 itation, fire prevention, egress, occupancy, maintenance, and 16 uses for dwellings;nor be deemed toSHALL NOT prevent any 17 city, TOWNSHIP, or organized villageor the board of health of18any such city or villagefrom enacting and putting in force from 19 time to time ordinances and regulations imposing requirements 20higherMORE STRINGENT than the minimum requirements laid down 21 in this act TO ADDRESS LOCAL CONDITIONS THAT ARE FOUND TO AFFECT 22 THE PUBLIC HEALTH, SAFETY, AND WELFARE;nor shall anything23herein contained be deemed toAND SHALL NOT prevent such cities, 24 TOWNSHIPS, and organized villagesor the board of health of any25such city or villagefrom prescribing for the enforcement of 26 such ordinances and regulations, remedies and penalties similar 27 to those prescribedhereinIN THIS ACT.And every suchA 04722'97 * 4 1 city, TOWNSHIP, and organized villageor the board of health of2any such city or villageis empowered to enact such ordinances 3 and regulations and to prescribe for their enforcement. No ordi- 4 nance, regulation, ruling, or decision of anymunicipalbody,5officer of authority of the board of healthof any such city, 6 TOWNSHIP, or village shall repeal, amend, modify, or dispense 7 with any of thesaidminimum requirementslaid down in8 IMPOSED PURSUANT TO this act;except that, in order that the 9 provisions of this act may be reasonably applied, public health 10 and safety secured, and substantial justice done in instances 11 where practical difficulties are encountered or unnecessary and 12 unreasonable hardship result from the application of the strict 13 letter of the law, the decision of a board of appeals,as here-14inafter provided and regulated shall beIS considered as the 15 reasonable application of the intent of this act. 16 (2) BEGINNING THE EFFECTIVE DATE OF THE AMENDATORY ACT THAT 17 ADDED THIS SUBSECTION AND UPON THE EXPIRATION OF THE TIME PERIOD 18 DESCRIBED IN SECTION 10, AN EXISTING DWELLING SHALL COMPLY WITH 19 THE APPLICABLE PORTION OF THE PROPERTY MAINTENANCE CODE AS THAT 20 TERM IS DEFINED IN THE STATE CONSTRUCTION CODE ACT OF 1972, 1972 21 PA 230, MCL 125.1501 TO 125.1531. 22 (3) THIS ACT AND THE PROPERTY MAINTENANCE CODE APPLY 23 THROUGHOUT THE STATE, EXCEPT THAT A GOVERNMENTAL SUBDIVISION MAY 24 ELECT TO SUPPLEMENT CERTAIN PARTS OF THE PROPERTY MAINTENANCE 25 CODE BY ADOPTING AND ENFORCING MORE STRINGENT STANDARDS THAN 26 THOSE CONTAINED IN THE PROPERTY MAINTENANCE CODE TO ADDRESS LOCAL 27 CONDITIONS THAT ARE FOUND TO AFFECT THE PUBLIC HEALTH, SAFETY, 04722'97 * 5 1 AND WELFARE. A GOVERNMENTAL SUBDIVISION MAY MAKE THIS ELECTION 2 BY THE PASSAGE OF AN ORDINANCE ADOPTING THOSE STANDARDS. A GOV- 3 ERNMENTAL SUBDIVISION ADOPTING MORE STRINGENT STANDARDS SHALL 4 REVIEW AND UPDATE ITS VARIANCE FROM THE PROPERTY MAINTENANCE CODE 5 AT LEAST ONCE EVERY 3 YEARS TO ASSURE THAT THOSE STANDARDS ARE 6 MORE STRINGENT. THE AMENDMENTS SHALL BECOME EFFECTIVE 90 DAYS 7 AFTER PASSAGE OF THE ORDINANCE. IN ADOPTING THOSE MORE STRINGENT 8 STANDARDS, THE GOVERNMENTAL SUBDIVISION SHALL MAKE A FINDING THAT 9 THE LOCAL STANDARD IS NECESSARY TO PROTECT THE PUBLIC HEALTH, 10 SAFETY, AND WELFARE. 11 Sec. 10.Time for compliance.All improvements specifi- 12 cally required by this act upon dwellings erected prior to the 13 date of its passage shall be made within 1 yearfrom saidAFTER 14 THAT date,or at such earlier period as may be fixed by the 15health officer or otherauthorized enforcement official. 16 Sec. 125.(1)A registry of RESIDENTIAL RENTAL PROPERTY 17 owners and premises shall be COMPILED AND maintained by the 18 enforcing agency. 19(2) The owners of a multiple dwelling or rooming house con-20taining units which will be offered to let, or to hire, for more21than 6 months of a calendar year, shall register their names and22places of residence or usual places of business and the location23of the premises regulated by this act with the enforcing agency.24The owners shall register within 60 days following the day on25which any part of the premises is offered for occupancy. Owners26of multiple dwellings or rooming houses containing units which27are occupied or offered for occupancy at the time this act04722'97 * 6 1becomes effective shall register within 90 days after the2effective date of this article.3(3) If the premises are managed or operated by an agent, the4agent's name and place of business shall be placed with the name5of the owner in the registry.6 Sec. 126. (1) The enforcing agency shall inspect, on a 7 periodic basis,multipledwellingsand rooming housesregu- 8 lated by this act. Except as provided in subsection (2), the 9 period between inspections shall not be longer than 2 years. 10All other dwellings regulated by this act may be inspected at11reasonable intervals.12 (2) A local governmental unit may provide by ordinance for a 13 maximum period between inspections of amultipledwellingor14rooming housethat is not longer than 3 years, if the most 15 recent inspection of the premises found no violations of the 16 act. 17 (3) An inspection shall be conducted in the manner best cal- 18 culated to secure compliance with the act and appropriate to the 19 needs of the community, including, but not limited to, on 1 or 20 more of the following bases: 21 (a) An area basis, such that all the regulated premises in a 22 predetermined geographical area will be inspected simultaneously, 23 or within a short period of time. 24 (b) A complaint basis, such that complaints of violations 25 will be inspected within a reasonable time. 04722'97 * 7 1 (c) A recurrent violation basis, such that those premises 2 that are found to have a high incidence of recurrent or 3 uncorrected violations will be inspected more frequently. 4 (4) An inspection shall be carried out by the enforcing 5 agency, or by the enforcing agency and representatives of other 6 agencies that form a team to undertake an inspection under this 7 and other applicable acts. 8 (5) Except as provided in subsection (7), an inspector, or 9 team of inspectors, shall request and receive permission to enter 10 before entering a leasehold regulated by this act at reasonable 11 hours to undertake an inspection. In the case of an emergency, 12 as defined under rules promulgated by the enforcing agency, or 13 upon presentment of a warrant, the inspector or team of inspec- 14 tors may enter at any time. 15 (6) Except in an emergency, before entering a leasehold reg- 16 ulated by this act, the owner of the leasehold shall request and 17 obtain permission to enter the leasehold. In the case of an 18 emergency, including, but not limited to, fire, flood, or other 19 threat of serious injury or death, the owner may enter at any 20 time. 21 (7) The enforcing agency may require the owner of a lease- 22 hold to do 1 or more of the following: 23 (a) Provide the enforcing agency access to the leasehold if 24 the lease provides the owner a right of entry. 25 (b) Provide access to areas other than a leasehold or areas 26 open to public view, or both. 04722'97 * 8 1 (c) Notify a tenant of the enforcing agency's request to 2 inspect a leasehold, make a good faith effort to obtain 3 permission for an inspection, and arrange for the inspection. If 4 a tenant vacates a leasehold after the enforcing agency has 5 requested to inspect that leasehold, an owner of the leasehold 6 shall notify the enforcing agency of that fact within 10 days 7 after the leasehold is vacated. 8 (d) Provide access to the leasehold if a tenant of that 9 leasehold has made a complaint to the enforcing agency. 10 (8) A local governmental unit may adopt an ordinance to 11 implement subsection (7). 12 (9) For multiple lessees in a leasehold, notifying at least 13 1 lessee and requesting and obtaining the permission of at least 14 1 lessee satisfies subsections (5) and (7). 15 (10) Neither the enforcing agency nor the owner may discrim- 16 inate against an occupant on the basis of whether the occupant 17 requests, permits, or refuses entry to the leasehold. 18 (11) The enforcing agency shall not discriminate against an 19 owner who has met the requirements of subsection (7) but has been 20 unable to obtain the permission of the occupant, based on the 21 owner's inability to obtain that permission. 22 (12) The enforcing agency may establish and charge a reason- 23 able fee for inspections conducted under this act. The fee shall 24 not exceed the actual, reasonable cost of providing the inspec- 25 tion for which the fee is charged. 26 (13) As used in this section, "leasehold" means a private 27 dwelling or separately occupied apartment, suite, or group of 04722'97 * 9 1 rooms in a 2-family dwelling or in a multiple dwelling if the 2 private dwelling or separately occupied apartment, suite, or 3 group of rooms is leased to the occupant under the terms of 4 either an oral or written lease. 5 Sec. 127. (1) In a nonemergency situation where the owner 6 or occupant demands a warrant for inspection of the premises, the 7 enforcing agency shall obtain a warrant from a court of competent 8 jurisdiction. The enforcing agency shall prepare the warrant, 9 stating the address of the building to be inspected, the nature 10 of the inspection, as defined in this or other applicable acts, 11 and the reasons for the inspection. It shall be appropriate and 12 sufficient to set forth the basis for inspection(e.g.13 INCLUDING, BUT NOT LIMITED TO, PERIODIC, complaint, area, or 14 recurrent violation basis,)AS established in this section, in 15 other applicable acts, or in rules.or regulations.The warrant 16 shall also state that it is issued pursuant to this section,17 and that it is for the purposes set forth in this and other acts 18whichTHAT requirethatTHE CONDUCT OF inspections.be19conducted.20 (2) If the court finds that the warrant is in proper form 21 and inaccordCOMPLIANCE with this section, it shallbe22issuedforthwith ISSUE THE WARRANT. 23 (3) In the event of an emergency,noA warrantshall be24 IS NOT required. 25 Sec. 129. (1) Units inmultipledwellingsor rooming26housesshall not be occupied unless a certificate of compliance 27 has been issued by the enforcing agency. The certificates shall 04722'97 * 10 1 be issued only upon an inspection of the premises by the 2 enforcing agency, except as provided in section 131. The certif- 3 icate shall be issued within 15 days after written application 4thereforFOR THE CERTIFICATE if the dwelling at the date of the 5 application is entitledtheretoTO SUCH A CERTIFICATE. 6 (2) A violation of this actshallDOES not prevent the 7 issuance of a certificate, butEXCEPT THAT the enforcing 8 agency shall not issue a certificate when the existing conditions 9 constitute a hazard to the health or safety of those who may 10 occupy the premises. 11 (3) Inspections shall be made prior to first occupancy of 12multipledwellings.and rooming houses, if the construction or13alteration is completed and first occupancy will occur after the14effective date of this article. Where first occupancy will occur15before the effective date of this article, inspection shall be16made within 1 year after the effective date of this article.17 Upon a finding that there is no condition that would constitute a 18 hazard to the health and safety of the occupants, and that the 19 premises are otherwise fit for occupancy, the certificate shall 20 be issued. If the finding is of a condition that would consti- 21 tute a hazard to health or safety, no certificate shall be 22 issued, and an order to comply with the act shall be issued imme- 23 diately and served upon the owner.in accordance with section24132.On reinspection and proof of compliance, the order shall be 25 rescinded and a certificate issued. 26 Sec. 130. (1) When a certificate is withheld pending 27 compliance, no premises which have not been occupied for dwelling 04722'97 * 11 1or rooming purposesshall be so occupied,and those premises 2whichTHAT have been or are occupied for dwelling or rooming 3 purposes may be ordered vacated until reinspection and proof of 4 compliance in the discretion of the enforcing agency. 5 (2) A certificate of compliance shall be issued on condition 6 that the premises remain in safe, healthful and fit condition for 7 occupancy. If upon reinspection the enforcing agency determines 8 that conditions exist which constitute a hazard to health or 9 safety, the certificate shall be immediately suspended as to 10 affected areas,and the areas may be vacated as provided in 11 subsection (1). 12 (3) The duty to pay rent in accordance with the terms of any 13 lease or agreement or under the provisions of any statute shall 14 be suspended and the suspended rentals shall be paid into an 15 escrow account as provided in subsection (4),during that 16 period when the premises have not been issued a certificate of 17 compliance, or when such certificate, once issued, has been 18 suspended. This subsection does not apply until the owner has 19 had a reasonable timeafter the effective date of this article20orafter notice of violations tomake applicationAPPLY for a 21 temporary certificate,as provided in section 131.Nor does22thisTHIS subsection DOES NOT apply where the owner establishes 23 that the conditions which constitute a hazard to health or safety 24 were caused by the occupant or occupants. The rent, once sus- 25 pended, shall again become due in accordance with the terms of 26 the lease or agreement or statute from and after the time of 04722'97 * 12 1 reinstatement of the certificate,or where a temporary 2 certificate has been issued, as provided in section 131. 3 (4) Rents due for the period during which rent is suspended 4 shall be paid into an escrow account established by the enforcing 5 officer or agency, to be paid thereafter to the landlord or any 6 other party authorized to make repairs,IN ORDER to defray the 7 cost of correcting the violations. The enforcing agency shall 8 return any unexpended part of sums paid under this section,9 attributable to the unexpired portion of the rental period,10 where the occupant terminates his OR HER tenancy or right to 11 occupy prior to the undertaking to repair. 12 (5) When the certificate of compliance has been suspended 13,or has not been issued,and the rents thereafter withheld 14 are not paid into the escrow account, actions for rent and for 15 possession of the premises for nonpayment of rent may be main- 16 tained,subject to such defenses as the tenant or occupant may 17 have upon the lease or contract. 18 Sec. 131. (1) An owner shall apply for a certificate of 19 compliance. Inspection and issuance of certificates shall be in 20 accordance with the requirements of this act and with procedures 21 established by the enforcing agency. The enforcing agency may 22 authorize the issuance of temporary certificates without inspec- 23 tionfor those premises in which there are no violations of24record as of the effective date of this article, and shall issue25such temporary certificatesupon application in cases where 26 inspections are not conducted within a reasonable time. 27 Temporary certificates shall also be issued for premises with 04722'97 * 13 1 violations of record, whether existing before or after the2effective date of this article,when the owner can show proof of 3 having undertaken to correctsuchTHOSE conditions,orwhen 4 the municipality has been authorized to make repairs,orwhen a 5 receiver has been appointed, or when an owner rehabilitation plan 6 has been accepted by the court. 7 (2) An application for a certificate shall be made when the 8 owners, or any of them, enroll in the registry of RESIDENTIAL 9 RENTAL PROPERTY owners and premises. If the owner fails to reg- 10 ister, any occupant of unregistered or uncertified premises may 11make applicationAPPLY. 12(3) A fee of $10.00 shall be paid by the applicant at the13time the certificate is issued.14 Sec. 133. (1) The owner of premises regulated by this act 15 shall comply with all applicable provisions of the act, INCLUDING 16 THE PROPERTY MAINTENANCE CODE ADOPTED UNDER THE STATE CONSTRUC- 17 TION CODE ACT OF 1972, 1972 PA 230, MCL 125.1501 TO 125.1531. 18 (2) The occupant of premises regulated by this act shall 19 comply with provisions of the act specifically applicable to him 20 OR HER. 21 Sec. 141. (1) At a hearing prescribed by section 140, the 22 hearing officer shall take testimony of the enforcing agency, the 23 owner of the property, and any interested party. Not more than 5 24 days after completion of the hearing, the hearing officer shall 25 render a decision either closing the proceedings or ordering the 26 building or structure demolished, otherwise made safe, or 27 properly maintained. 04722'97 * 14 1 (2) If the hearing officer determines that the building or 2 structure should be demolished, otherwise made safe, or properly 3 maintained, the hearing officer shall so order, fixing a time in 4 the order for the owner, agent, or lessee to comply with the 5 order. If the building is a dangerous building under 6 section 139(j), the order may require the owner or agent to main- 7 tain the exterior of the building and adjoining grounds owned by 8 the owner of the building including, but not limited to, the 9 maintenance of lawns, trees, and shrubs. 10 (3) If the owner, agent, or lessee fails to appear or 11 neglects or refuses to comply with the order issued under subsec- 12 tion (2), the hearing officer shall file a report of the findings 13 and a copy of the order with the legislative body of the city, 14 village, or township not more than 5 days after noncompliance by 15 the owner and request that necessary action be taken to enforce 16 the order.If the legislative body of theA city, village, or 17 township THAT has established a board of appeals pursuant to sec- 18 tion141c14 OF THE STATE CONSTRUCTION CODE ACT OF 1972, 1972 19 PA 230, 125.1514, SHALL PROVIDE THAT the hearing officershall20 file the report of the findings and a copy of the order with the 21 board of appeals and request that necessary action be taken to 22 enforce the order. A copy of the findings and order of the hear- 23 ing officer shall be served on the owner, agent, or lessee in the 24 manner prescribed in section 140. 25 (4) The legislative body or the board of appeals of the 26 city, village, or township, as applicable, shall fix a date not 27 less than 30 days after the hearing prescribed in section 140 for 04722'97 * 15 1 a hearing on the findings and order of the hearing officer and 2 shall give notice to the owner, agent, or lessee in the manner 3 prescribed in section 140 of the time and place of the hearing. 4 At the hearing, the owner, agent, or lessee shall be given the 5 opportunity to show cause why the order should not be enforced. 6 The legislative body or the board of appeals of the city, vil- 7 lage, or township shall either approve, disapprove, or modify the 8 order. If the legislative body or board of appeals approves or 9 modifies the order, the legislative body shall take all necessary 10 action to enforce the order. If the order is approved or modi- 11 fied, the owner, agent, or lessee shall comply with the order 12 within 60 days after the date of the hearing under this 13 subsection. In the case of an order of demolition, if the legis- 14 lative body or the board of appeals of the city, village, or 15 township determines that the building or structure has been sub- 16 stantially destroyed by fire, wind, flood, or other natural 17 disaster, and the cost of repair of the building or structure 18 will be greater than the state equalized value of the building or 19 structure, the owner, agent, or lessee shall comply with the 20 order of demolition within 21 days after the date of the hearing 21 under this subsection. 22 (5) The cost of the demolition, of making the building safe, 23 or of maintaining the exterior of the building or structure, or 24 grounds adjoining the building or structure incurred by the city, 25 village, or township to bring the property into conformance with 26 this act shall be reimbursed to the city, village, or township by 04722'97 * 16 1 the owner or party in interest in whose name the property 2 appears. 3 (6) The owner or party in interest in whose name the prop- 4 erty appears upon the last local tax assessment records shall be 5 notified by the assessor of the amount of the cost of the demoli- 6 tion, of making the building safe, or of maintaining the exterior 7 of the building or structure or grounds adjoining the building or 8 structure by first class mail at the address shown on the 9 records. If the owner or party in interest fails to pay the cost 10 within 30 days after mailing by the assessor of the notice of the 11 amount of the cost, the city, village, or township shall have a 12 lien for the cost incurred by the city, village, or township to 13 bring the property into conformance with this act. The lien 14 shall not take effect until notice of the lien has been filed or 15 recorded as provided by law. A lien provided for in this subsec- 16 tion does not have priority over previously filed or recorded 17 liens and encumbrances. The lien for the cost shall be collected 18 and treated in the same manner as provided for property tax liens 19 under the general property tax act,Act No. 206 of the Public20Acts of 1893, being sections 211.1 to 211.157 of the Michigan21Compiled Laws1893 PA 206, MCL 211.1 TO 211.157. 22 (7) In addition to other remedies under this act, the city, 23 village, or township may bring an action against the owner of the 24 building or structure for the full cost of the demolition, of 25 making the building safe, or of maintaining the exterior of the 26 building or structure or grounds adjoining the building or 27 structure. A city, village, or township shall have a lien on the 04722'97 * 17 1 property for the amount of a judgment obtained pursuant to this 2 subsection. The lien provided for in this subsection shall not 3 take effect until notice of the lien is filed or recorded as pro- 4 vided by law. The lien does not have priority over prior filed 5 or recorded liens and encumbrances. 6 Enacting section 1. Sections 2, 2a, 7, 9, 65, 66, 67, 68, 7 69, 70, 71, 72, 73, 74, 75, 76, 77, 78, 79, 80, 81, 82, 83, 84, 8 85, 86, 87, 88, 89, 90, 91, 92, 93, 94, 95, 96, 97, 123, 128, 9 132, 137, 141b, 141c, and 142 of 1917 PA 167, MCL 125.402, 10 125.402a, 125.407, 125.409, 125.465, 125.466, 125.467, 125.468, 11 125.469, 125.470, 125.471, 125.472, 125.473, 125.474, 125.475, 12 125.476, 125.477, 125.478, 125.479, 125.480, 125.481, 125.482, 13 125.483, 125.484, 125.485, 125.486, 125.487, 125.488, 125.489, 14 125.490, 125.491, 125.492, 125.493, 125.494, 125.495, 125.496, 15 125.497, 125.523, 125.528, 125.532, 125.537, 125.541b, 125.541c, 16 and 125.542, are repealed. 17 Enacting section 2. This amendatory act does not take 18 effect unless Senate Bill No. _____ or House Bill No. _____ 19 (request no. 04722'97 a *) of the 89th Legislature is enacted 20 into law. 04722'97 * Final page. LBO