SB-1017, As Passed Senate, March 10, 2004                                   

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                              SUBSTITUTE FOR                                    

                                                                                

                           SENATE BILL NO. 1017                                 

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1974 PA 369, entitled                                             

                                                                                

    "An act to regulate the business of conducting a driver training            

    school; to require licenses in relation thereto; to prescribe               

    certain fees; to prescribe the powers and duties of certain                 

    persons and state departments; and to prescribe remedies and                

    penalties,"                                                                 

                                                                                

    by amending the title and sections 1, 2, 4, 4a, 5, 5c, 6, 6a, 6c,           

                                                                                

    and 9 (MCL 256.601, 256.602, 256.604, 256.604a, 256.605,                    

                                                                                

    256.605c, 256.606, 256.606a, 256.606c, and 256.609), the title              

                                                                                

    and section 1 as amended and sections 4a and 6c as added by 1992            

                                                                                

    PA 169, sections 2, 4, and 6 as amended and section 5c as added             

                                                                                

    by 1998 PA 11, section 5 as amended by 2000 PA 285, and section             

                                                                                

    6a as added by 1984 PA 391, and by adding sections 1a, 1b, and 1c           

                                                                                

    and part 3 and by adding headings for parts 1, 2, and 3; and to             

                                                                                

    repeal acts and parts of acts.                                              

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1                                 TITLE                                         

                                                                                


                                                                                

1                                                                                An act to regulate the business of conducting a driver                             

                                                                                

2   training school; to require certain licenses in relation thereto;           

                                                                                

3   to provide for performance objectives for certain driver                    

                                                                                

4   education courses; to prescribe certain fees; to prescribe the              

                                                                                

5   powers and duties of certain persons and state departments;  and            

                                                                                

6   to prescribe remedies and penalties; and to repeal acts and parts           

                                                                                

7   of acts.                                                                    

                                                                                

8                       PART 1 GENERAL PROVISIONS                               

                                                                                

9       Sec. 1.  As used in this act:                                               

                                                                                

10      (a) "Commercial motor vehicle" means that term as defined in                

                                                                                

11  section 7a of the Michigan vehicle code,  Act No. 300 of the                

                                                                                

12  Public Acts of 1949, being section 257.7a of the Michigan                   

                                                                                

13  Compiled Laws  1949 PA 300, MCL 257.7a.                                     

                                                                                

14      (b) "Department" means the department of state.                             

                                                                                

15      (c) "Driver education course" means a course offered by a                   

                                                                                

16  school that includes classroom instruction, behind-the-wheel                

                                                                                

17  instruction, and observation in an automobile under the                     

                                                                                

18  supervision of an instructor who either holds a license                     

                                                                                

19  certificate issued under part 2 or is certified under the revised           

                                                                                

20  school code, 1976 PA 451, MCL 380.1 to 380.1852, and that                   

                                                                                

21  includes the segment 1 or segment 2 performance objectives                  

                                                                                

22  approved by the department under part 3.                                    

                                                                                

23      (d)  (c)  "Driver training school" means a person that offers               

                                                                                

24  to engage in or engages in the business of giving instruction to            

                                                                                

25  the public, for hire or for a fee or tuition, whether by means of           

                                                                                

26  a live presentation, videotape, printed material, or otherwise,             

                                                                                

27  in the driving of motor vehicles or in the preparation of an                


                                                                                

1   applicant for an examination given by the department for a                  

                                                                                

2   license to operate a motor vehicle.  Driver training school                 

                                                                                

3   includes a  school  person that prepares an applicant for an                

                                                                                

4   examination given by the department for a license indorsement               

                                                                                

5   issued under section 312e of the Michigan vehicle code,  Act                

                                                                                

6   No. 300 of the Public Acts of 1949, being section 257.312e of the           

                                                                                

7   Michigan Compiled Laws  1949 PA 300, MCL 257.312e, or for a                 

                                                                                

8   commercial driver's license that meets the requirements of  the             

                                                                                

9   commercial motor vehicle safety act of 1986, title XII of Public            

                                                                                

10  Law 99-570,  49  U.S.C. 2701 to 2716  USC 31301 to 31317.  Driver           

                                                                                

11  training school does not include a community college, a program             

                                                                                

12  owned and operated by an employer for the benefit of its                    

                                                                                

13  employees  which  that is not open to the public, or a public or            

                                                                                

14  parochial school or  an  other educational institution in which             

                                                                                

15  driving instruction either is part of the curriculum and provided           

                                                                                

16  by the institution only for regularly enrolled, full-time                   

                                                                                

17  students under the age of 19 or is a part of an adult education             

                                                                                

18  program sponsored by a school district.   An instructor employed            

                                                                                

19  by such a school or institution is exempt from this act only to             

                                                                                

20  the extent that his or her activities are as an agent of the                

                                                                                

21  school, school district, or institution.                                    

                                                                                

22      (e) "Driver training school licensee" means a driver training               

                                                                                

23  school that is licensed under part 2.                                       

                                                                                

24      (f)  (d)  "Noncommercial motor vehicle" means a motor vehicle               

                                                                                

25  that is not a commercial vehicle.                                           

                                                                                

26      (g)  (e)  "Nonresident" means a person who is not a resident                

                                                                                

27  of this state.  In the case of a person other than an individual,           


                                                                                

1   a partnership, corporation, association, or other legal entity is           

                                                                                

2   considered a nonresident if its principal place of business is              

                                                                                

3   located in a state other than this state.                                   

                                                                                

4       (h)  (f)  "Person" means an individual, partnership,                        

                                                                                

5   corporation, association, or other legal entity.                            

                                                                                

6       (i) "School" means any of the following:                                    

                                                                                

7                                                                                (i) A driver training school licensed under part 2.                                 

                                                                                

8       (ii) A community college, or a program owned and operated by                 

                                                                                

9   an employer for the benefit of its employees that is not open to            

                                                                                

10  the public, or a public or parochial school or other educational            

                                                                                

11  institution in which driving instruction either is part of the              

                                                                                

12  curriculum and provided by the institution only for regularly               

                                                                                

13  enrolled, full-time students under the age of 19 or is a part of            

                                                                                

14  an adult education program sponsored by a school district.                  

                                                                                

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

                                                                                

16  "driver education and training schools act".                                

                                                                                

17      Sec. 1b.  After deducting the actual administrative costs of                

                                                                                

18  the department, the balance of the revenue from the fees                    

                                                                                

19  collected under this act shall be deposited in the traffic law              

                                                                                

20  enforcement and safety fund created in section 819a of the                  

                                                                                

21  Michigan vehicle code, 1949 PA 300, MCL 257.819a.                           

                                                                                

22      Sec. 1c.  (1) A driver education course shall be made                       

                                                                                

23  available for an individual under 18 years of age within a time             

                                                                                

24  that will enable that individual to qualify for a graduated                 

                                                                                

25  license under section 310e of the Michigan vehicle code, 1949 PA            

                                                                                

26  300, MCL 257.310e, before the time that the individual is                   

                                                                                

27  permitted by law to have an operator's license.                             


                                                                                

1       (2) A school may enroll a resident who is not less than 14                  

                                                                                

2   years, 8 months of age in a driver education course.                        

                                                                                

3       (3) A school may use videotapes, computers, telecourses, or                 

                                                                                

4   other similar technology as part of the classroom instruction               

                                                                                

5   portion of its driver education course.  A student may receive              

                                                                                

6   and use any of those materials at home.                                     

                                                                                

7                     PART 2 DRIVER TRAINING SCHOOLS                            

                                                                                

8       Sec. 2.  (1) The department shall license a driver training                 

                                                                                

9   school in 1 or both of the following classifications, as                    

                                                                                

10  appropriate:                                                                

                                                                                

11      (a) Noncommercial motor vehicle.                                            

                                                                                

12      (b) Commercial motor vehicle.                                               

                                                                                

13      (2) A person shall not engage or offer to engage in the                     

                                                                                

14  business of conducting a driver training school without first               

                                                                                

15  obtaining a license in 1 or both of the applicable                          

                                                                                

16  classifications specified in subsection (1).  A driver training             

                                                                                

17  school shall not engage in activities of a particular                       

                                                                                

18  classification unless the school is licensed in that                        

                                                                                

19  classification.                                                             

                                                                                

20      (3) After deduction of the actual administrative costs of                   

                                                                                

21  the department, the balance of the revenue from the fees                    

                                                                                

22  collected under this act shall be deposited in the driver                   

                                                                                

23  education fund created in section 811 of the Michigan vehicle               

                                                                                

24  code, 1949 PA 300, MCL 257.811.                                             

                                                                                

25      Sec. 4.  (1) An application for a license to engage in the                  

                                                                                

26  business of conducting a driver training school shall be filed              

                                                                                

27  with the department on a form prescribed by the department.  The            


                                                                                

1   application shall include an agreement signed by the licensee to            

                                                                                

2   provide not less than 3 individuals in a vehicle during a driver            

                                                                                

3   training exercise or test administered by the licensee of a                 

                                                                                

4   driver training school customer who is less than 18 years of age            

                                                                                

5   unless they have obtained a written waiver signed by a parent or            

                                                                                

6   guardian and an authorization to be signed by the prospective               

                                                                                

7   licensee permitting the department to request a criminal history            

                                                                                

8   check from the department of state police and the federal bureau            

                                                                                

9   of investigation.  The department shall require the prospective             

                                                                                

10  licensee to submit his or her fingerprints and the fingerprints             

                                                                                

11  of a prospective driving instructor to the department of state              

                                                                                

12  police for criminal history checks on both state and federal                

                                                                                

13  fingerprint cards.  The department of state police may charge a             

                                                                                

14  fee that does not exceed the actual cost of conducting the                  

                                                                                

15  criminal history checks.  A person shall apply for each                     

                                                                                

16  classification of a driver training school license on a separate            

                                                                                

17  application provided by the department.                                     

                                                                                

18      (2) The application shall be accompanied by a fee as                        

                                                                                

19  follows:                                                                    

                                                                                

20      (a) $125.00 for a noncommercial motor vehicle driver training               

                                                                                

21  school.                                                                     

                                                                                

22      (b) $200.00 for a commercial motor vehicle driver training                  

                                                                                

23  school.                                                                     

                                                                                

24      (3) The department shall issue a license certificate to each                

                                                                                

25  applicant to conduct a driver training school  when  if the                 

                                                                                

26  department is satisfied that the person has met the                         

                                                                                

27  qualifications required under this  act  part.                              


                                                                                

1       (4) A license issued to a driver training school shall expire               

                                                                                

2   on December 31 of the calendar year for which the license was               

                                                                                

3   issued.  The fee for the renewal of a noncommercial motor vehicle           

                                                                                

4   driver training school license is $125.00, and the fee for the              

                                                                                

5   renewal of a commercial motor vehicle driver training school                

                                                                                

6   license is $200.00, which shall accompany the application for               

                                                                                

7   license renewal.                                                            

                                                                                

8       Sec. 4a.  (1) A driver training school conducting a training                

                                                                                

9   program for commercial motor vehicle drivers shall submit to the            

                                                                                

10  department a report on April 15 and October 15 of each year                 

                                                                                

11  which  that includes, but is not limited to, the following:                

                                                                                

12      (a) The names, addresses, and driver license numbers of each                

                                                                                

13  student enrolled.                                                           

                                                                                

14      (b) The names of students completing a training program.                    

                                                                                

15      (c) If available, the average starting salary of graduates                  

                                                                                

16  employed as commercial motor vehicle drivers.                               

                                                                                

17      (d) The names of students employed within 90 days after                     

                                                                                

18  completion of the program.                                                  

                                                                                

19      (e) Whether the student's tuition was paid by an employer,                  

                                                                                

20  the student, or through government subsidized financial aid.                

                                                                                

21      (2) A copy of the report described in subsection (1) shall be               

                                                                                

22  provided to each student enrolling in a training program for                

                                                                                

23  commercial motor vehicles.                                                  

                                                                                

24      (3) Upon the closing of a driver training school that offers                

                                                                                

25  a training program for commercial motor vehicles, the driver                

                                                                                

26  training school shall return the license issued under this  act             

                                                                                

27  part and notify the department, on a form provided by the                   


                                                                                

1   department, as to a specific location where the records of                  

                                                                                

2   students will be maintained.  The records of students shall be              

                                                                                

3   maintained at that location for  at least  not less than 3 years            

                                                                                

4   after the date of closing of the driver training school.                    

                                                                                

5       Sec. 5.  (1) A driver training school licensee shall not                    

                                                                                

6   employ a person as an instructor unless the person is licensed as           

                                                                                

7   an instructor.                                                              

                                                                                

8       (2) A driver training school licensee shall annually file an                

                                                                                

9   application with the department for licensing of its employees as           

                                                                                

10  instructors.  For each employee for which licensure as an                   

                                                                                

11  instructor is sought, the application shall include all of the              

                                                                                

12  following:                                                                  

                                                                                

13      (a) The name and address of the employee.                                   

                                                                                

14      (b) The driver's license number of the employee.  An                        

                                                                                

15  application for a nonresident employee shall also include a                 

                                                                                

16  certified copy of his or her driving record from his or her state           

                                                                                

17  of residence.                                                               

                                                                                

18      (c) A dated medical examination report that is not more than                

                                                                                

19  2 years old and is completed by a physician licensed to practice            

                                                                                

20  in this state.  An application for a nonresident employee                   

                                                                                

21  fulfills the requirement of this subdivision if the application             

                                                                                

22  includes a report completed by a physician licensed to practice             

                                                                                

23  in the employee's state of residence.                                       

                                                                                

24      (d) A fee of $25.00 for each employee seeking licensure as an               

                                                                                

25  instructor.                                                                 

                                                                                

26      (e) Except as otherwise provided in section 5b, an                          

                                                                                

27  authorization to be signed by a prospective employee to be hired            


                                                                                

1   as a driving instructor permitting the licensee to request a                

                                                                                

2   criminal history check from the department of state police and              

                                                                                

3   the federal bureau of investigation.                                        

                                                                                

4       (3) The department shall issue a license certificate to the                 

                                                                                

5   driver training school licensee for each of its employees who               

                                                                                

6   meet the requirements of this act for licensure as an                       

                                                                                

7   instructor.  A license certificate expires on December 31 of the            

                                                                                

8   year for which it is issued.                                                

                                                                                

9       (4) The department may issue a license certificate to an                    

                                                                                

10  applicant for a driving instructor's license after the favorable            

                                                                                

11  criminal history check from the department of state police, but             

                                                                                

12  on the condition that the license shall be canceled or revoked if           

                                                                                

13  the criminal history check from the federal bureau of                       

                                                                                

14  investigation reveals that the applicant does not satisfy the               

                                                                                

15  qualifications for a license certificate.  The department shall             

                                                                                

16  immediately notify the driver training school licensee, which               

                                                                                

17  shall require the applicant to surrender the license                        

                                                                                

18  certificate.                                                                

                                                                                

19      (5) In order to qualify as an instructor, a person shall meet               

                                                                                

20  all of the following requirements:                                          

                                                                                

21      (a) Be physically able to operate a motor vehicle and to                    

                                                                                

22  train others in the operation of motor vehicles.                            

                                                                                

23      (b) Have a driving record that indicates competence to                      

                                                                                

24  operate a motor vehicle consistent with standards set forth in              

                                                                                

25  rules promulgated by the secretary of state.                                

                                                                                

26      (c) Be 21 years of age or older on the date the person's                    

                                                                                

27  license application is submitted to the secretary of state.                 


                                                                                

1       (d) Have a driving record, within the 5 years immediately                   

                                                                                

2   preceding submission of an instructor license application to the            

                                                                                

3   secretary of state, that does not contain a conviction for any              

                                                                                

4   violation for which 4 or 6 points are assessed, other than points           

                                                                                

5   assessed for a violation of a speeding law or ordinance, pursuant           

                                                                                

6   to section 320a of the Michigan vehicle code, 1949 PA 300,                  

                                                                                

7   MCL 257.320a.  This subdivision only applies to an applicant who            

                                                                                

8   was not licensed as a driver training school instructor on                  

                                                                                

9   October 1, 1992.                                                            

                                                                                

10      (e) Not have a prior felony or misdemeanor conviction for                   

                                                                                

11  criminal sexual conduct pursuant to sections 520b to 520g of the            

                                                                                

12  Michigan penal code, 1931 PA 328, MCL 750.520b to 750.520g, or a            

                                                                                

13  felony conviction for a crime in which an element of the crime is           

                                                                                

14  the use or threat of use of physical force.                                 

                                                                                

15      (6) The department shall not require that a driver training                 

                                                                                

16  school instructor be certified under the revised school code,               

                                                                                

17  1976 PA 451, MCL 380.1 to 380.1852.                                         

                                                                                

18      Sec. 5c.  (1) The department shall not license a person to                  

                                                                                

19  operate a driver training school or, after  the effective date of           

                                                                                

20  this section  June 1, 1998, renew the license of a person to                

                                                                                

21  operate a driver training school before requesting and receiving            

                                                                                

22  not less than once every 2 years from the department of state               

                                                                                

23  police and the federal bureau of investigation a criminal history           

                                                                                

24  check on the person.                                                        

                                                                                

25      (2) Within 45 days after receiving a request from the                       

                                                                                

26  department for a criminal history check on a person under this              

                                                                                

27  section, the criminal records division of the department of state           


                                                                                

1   police shall conduct the criminal history check and, after                  

                                                                                

2   conducting the criminal history check and within that time                  

                                                                                

3   period, provide a report of the results of the criminal history             

                                                                                

4   check to the department.  The report shall contain any criminal             

                                                                                

5   history record information on the person maintained by the                  

                                                                                

6   criminal records division of the department of state police.                

                                                                                

7       (3) Criminal history record information received from the                   

                                                                                

8   criminal records division of the department of state police under           

                                                                                

9   subsection (2) shall be used by the department only for the                 

                                                                                

10  purpose of evaluating a person's qualifications for licensure as            

                                                                                

11  a driver training school.  The department shall only disclose the           

                                                                                

12  report or its contents to a person who is directly involved in              

                                                                                

13  evaluating the applicant's qualifications for employment, and               

                                                                                

14  shall only disclose to that person those crimes described in                

                                                                                

15  section  5(4)(e)  5(5)(e).  A person who violates this subsection           

                                                                                

16  is guilty of a misdemeanor punishable by a fine of not more than            

                                                                                

17  $10,000.00.                                                                 

                                                                                

18      (4) The department shall not license a person to operate a                  

                                                                                

19  driver training school if the person has a prior felony or                  

                                                                                

20  misdemeanor conviction for criminal sexual conduct pursuant to              

                                                                                

21  sections 520b to 520g of the Michigan penal code, 1931 PA 328,              

                                                                                

22  MCL 750.520b to 750.520g, or a felony conviction for a crime in             

                                                                                

23  which an element of the crime is the use or threat of use of                

                                                                                

24  physical force.                                                             

                                                                                

25      Sec. 6.  (1) The department may do 1 or more of the                         

                                                                                

26  following:                                                                  

                                                                                

27      (a) On its own initiative or in response to a complaint, make               


                                                                                

1   reasonable and necessary investigations within or outside of this           

                                                                                

2   state and gather evidence against a person that is believed to              

                                                                                

3   have violated or is about to violate this  act  part or a rule              

                                                                                

4   promulgated under this  act  part.                                          

                                                                                

5       (b) Require or permit a person to file a statement in writing               

                                                                                

6   or otherwise as the department determines as to all of the facts            

                                                                                

7   and circumstances concerning a matter that may or will be                   

                                                                                

8   investigated.                                                               

                                                                                

9       (c) Mediate disputes between parties when those disputes                    

                                                                                

10  arise from a violation of this  act  part or a rule promulgated             

                                                                                

11  under this  act  part.                                                      

                                                                                

12      (d) Develop conditions of probation or operation for a driver               

                                                                                

13  training school or instructor.  These conditions shall be                   

                                                                                

14  mutually agreed upon by the driver training school or instructor            

                                                                                

15  and the department and shall be set forth in a written letter of            

                                                                                

16  understanding.  Conditions of probation may be agreed to instead            

                                                                                

17  of further disciplinary proceedings.                                        

                                                                                

18      (e) On its own initiative, conduct a spot check investigation               

                                                                                

19  of a driver training school that is licensed or required to be              

                                                                                

20  licensed in this state to determine whether the driver training             

                                                                                

21  school is in compliance with this  act  part or a rule                      

                                                                                

22  promulgated under this  act  part.                                          

                                                                                

23      (2) The department may deny, suspend, or revoke, or place                   

                                                                                

24  probationary conditions on, a driver training school license or a           

                                                                                

25  driver training instructor license after notice and opportunity             

                                                                                

26  for a hearing upon a finding that the applicant or the licensee             

                                                                                

27  or an employee of the applicant or the licensee has done 1 or               


                                                                                

1   more of the following:                                                      

                                                                                

2       (a) Failed to meet the requirements to receive or maintain a                

                                                                                

3   license under this  act  part.                                              

                                                                                

4       (b) Failed to receive or maintain a license if the applicant                

                                                                                

5   or licensee is licensed as a driver training school in a state              

                                                                                

6   other than this state and the person's license in the other state           

                                                                                

7   has expired or been denied, canceled, suspended, or revoked.                

                                                                                

8       (c) Violated this  act  part or a rule promulgated under this               

                                                                                

9   act  part.                                                                 

                                                                                

10      (d) Made an untrue or misleading statement of a material fact               

                                                                                

11  to the department or concealed a material fact in connection with           

                                                                                

12  an application to the department.                                           

                                                                                

13      (e) Permitted fraud or engaged in a fraudulent practice with                

                                                                                

14  reference to a driver's license or permit application to the                

                                                                                

15  department, or induced or countenanced fraud or a fraudulent                

                                                                                

16  practice on the part of an applicant for a driver's license or              

                                                                                

17  permit.                                                                     

                                                                                

18      (f) Represented himself or herself as an agent or employee of               

                                                                                

19  the state or used advertising designed to lead, or that would               

                                                                                

20  reasonably have the effect of leading, a person to believe that             

                                                                                

21  the licensee or employee is an employee or representative of the            

                                                                                

22  state.                                                                      

                                                                                

23      (g) Advertised or implied to a customer that a driver's                     

                                                                                

24  license is guaranteed upon completion of the course of                      

                                                                                

25  instruction.                                                                

                                                                                

26      (h) Engaged in a fraudulent, deceptive, or unconscionable                   

                                                                                

27  practice relative to the operation of a driver training school or           


                                                                                

1   the provision of driver training instruction.                               

                                                                                

2       (i) Operated a driver training school or provided driver                    

                                                                                

3   training instruction without being licensed under this  act                 

                                                                                

4   part.                                                                       

                                                                                

5       (j) Failed to comply with the terms of a probation or                       

                                                                                

6   suspension agreement or the terms of a final cease and desist               

                                                                                

7   order issued under this  act  part.                                         

                                                                                

8       (k) Failed to establish or maintain good moral character in                 

                                                                                

9   connection with business operations.                                        

                                                                                

10      (3) The department may deny an application for a license for                

                                                                                

11  a driver training school or a driver training instructor if upon            

                                                                                

12  investigation and upon review of the criminal history record                

                                                                                

13  information received under section 5b or 5c the department                  

                                                                                

14  determines that the applicant has a prior conviction for a                  

                                                                                

15  fraudulent or deceptive practice in another business or in a                

                                                                                

16  private transaction with another person.                                    

                                                                                

17      (4) A suspended or revoked license shall be returned                        

                                                                                

18  immediately to the department by the licensee.                              

                                                                                

19      Sec. 6a.  (1) If the department determines after notice and                 

                                                                                

20  opportunity for a hearing that a person has violated this  act              

                                                                                

21  part or a rule promulgated under this  act  part, or has engaged            

                                                                                

22  in a fraudulent, deceptive, or unconscionable practice, the                 

                                                                                

23  department may issue an order requiring the person to cease and             

                                                                                

24  desist from the unlawful act or practice or to take affirmative             

                                                                                

25  action, including but not limited to, payments of restitution to            

                                                                                

26  customers, to correct the condition resulting from the practice             

                                                                                

27  or violation.                                                               


                                                                                

1       (2) If the department makes a finding of fact in writing                    

                                                                                

2   that the public interest will be irreparably harmed by a delay in           

                                                                                

3   issuing an order, the department may issue a temporary cease and            

                                                                                

4   desist order.  Prior to issuing a temporary cease and desist                

                                                                                

5   order, the department, when possible by telephone or otherwise,             

                                                                                

6   shall notify the driver training school or instructor of the                

                                                                                

7   department's intention to issue a temporary cease and desist                

                                                                                

8   order.  A temporary cease and desist order shall include in its             

                                                                                

9   terms a provision stating that upon request a hearing shall be              

                                                                                

10  held within 30 days to determine whether or not the order shall             

                                                                                

11  become permanent.                                                           

                                                                                

12      Sec. 6c.  (1) A nonresident person applying for a license                   

                                                                                

13  under this  act  part shall file with the department, on a form             

                                                                                

14  prescribed by the department, an irrevocable consent appointing             

                                                                                

15  the secretary of state to be the person's attorney to receive               

                                                                                

16  service of process in any noncriminal proceeding against that               

                                                                                

17  person or that person's successor in interest for a violation of            

                                                                                

18  this  act  part, a rule promulgated under this  act  part, or an            

                                                                                

19  order issued under this  act  part after the consent is filed.              

                                                                                

20  The consent has the same force and validity as personal service.            

                                                                                

21      (2) If a person engages in conduct prohibited by this  act                  

                                                                                

22  part, a rule promulgated under this  act  part, or an order                 

                                                                                

23  issued under this  act  part, and personal jurisdiction cannot be           

                                                                                

24  obtained and a consent pursuant to subsection (1) has not been              

                                                                                

25  filed, that conduct is the equivalent of appointing the secretary           

                                                                                

26  of state to be that person's attorney to receive service of                 

                                                                                

27  process in a noncriminal proceeding against that person or that             


                                                                                

1   person's successor in interest involving that conduct.                      

                                                                                

2       (3) Service under subsection (1) or (2) shall be made by                    

                                                                                

3   leaving a copy of the process with the secretary of state or his            

                                                                                

4   or her deputy.  The service  shall not be  is not effective                 

                                                                                

5   unless the party initiating the proceeding immediately sends a              

                                                                                

6   copy of the process by registered or certified mail to the                  

                                                                                

7   person's last known address and takes other steps that are                  

                                                                                

8   reasonably calculated to give actual notice of the proceedings.             

                                                                                

9   The party initiating the proceeding shall file an affidavit of              

                                                                                

10  compliance with the agency or court hearing the proceeding.                 

                                                                                

11      Sec. 9.  The secretary of state shall promulgate rules                      

                                                                                

12  pursuant to  Act No.  306 of the Public Acts of 1969, as amended,           

                                                                                

13  being sections 24.201 to 24.315 of the Michigan Compiled Laws               

                                                                                

14  the administrative procedures act of 1969, 1969 PA 306, MCL                 

                                                                                

15  24.201 to 24.328, to carry out this  act  part.                             

                                                                                

16                   PART 3 DRIVER EDUCATION PROGRAMS                           

                                                                                

17      Sec. 10.  A school other than a driver training school                      

                                                                                

18  licensed under part 2 that offers a driver education course may             

                                                                                

19  impose a charge or enrollment fee upon a student desiring to take           

                                                                                

20  the driver education course as a duly enrolled student for the              

                                                                                

21  driver education course in a school of the public school system.            

                                                                                

22  If a charge or enrollment fee is imposed, it shall be the same              

                                                                                

23  for all students who reside within the territory of the public              

                                                                                

24  school system.                                                              

                                                                                

25      Sec. 11.  The department shall approve the segment 1 and                    

                                                                                

26  segment 2 driver education course performance objectives required           

                                                                                

27  to be met for an otherwise qualified individual to obtain a level           


                                                                                

1   1 graduated license or a level 2 graduated license under section            

                                                                                

2   310e of the Michigan vehicle code, 1949 PA 300, MCL 257.310e.               

                                                                                

3       Sec. 12.  The department shall apply the rules promulgated                  

                                                                                

4   under section 811 of the Michigan vehicle code, 1949 PA 300, MCL            

                                                                                

5   257.811, prior to the effective date of the amendatory act that             

                                                                                

6   added this part to carry out the operation and administration of            

                                                                                

7   this part.                                                                  

                                                                                

8       Enacting section 1.  The driver education and training                      

                                                                                

9   schools act, 1974 PA 369, MCL 256.601 to 256.612, is repealed               

                                                                                

10  October 1, 2006.                                                            

                                                                                

11      Enacting section 2.  This amendatory act does not take                      

                                                                                

12  effect unless Senate Bill No. 1018 of the 92nd Legislature is               

                                                                                

13  enacted into law.