October 25, 2005, Introduced by Reps. Murphy, Jones, Virgil Smith, McConico, Whitmer, Byrum, Zelenko and Lemmons, III and referred to the Committee on Regulatory Reform.
A bill to authorize the state administrative board to convey
certain state owned property in Ingham county; to prescribe
conditions for the conveyance; to provide for certain powers and
duties of certain state departments in regard to the conveyance;
and to provide for disposition of revenue derived from the
conveyance.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1. The state administrative board, on behalf of the
state, may convey by quitclaim deed for not less than fair market
value or a fair exchange of value for value, all or portions of
certain state owned property now under the jurisdiction of the
department of education, commonly known as the former Michigan
school for the blind, and located in the city of Lansing, county of
Ingham, Michigan, containing approximately 35 acres, and more
particularly described as follows:
PARCEL A:
A parcel of land being part of Blocks 26 and 27 of the "Original
Plat of Lansing", as recorded, being part of the Northwest 1/4 and
Southwest 1/4 of Section 9, and also being part of the Northeast
1/4 and Southeast 1/4 of Section 8, all of T4N-R2W, City of
Lansing, Ingham County, Michigan, being more particularly described
as follows: BEGINNING at a M.A.G. nail at the intersection of the
West line of North Pine Street (82.5' wide) and the South line of
West Willow Street (Variable width); thence along the West line of
said North Pine Street, S01°45'54"W, 870.00 feet to a 5/8-inch
diameter iron rod and cap (#47952) on the North line of Maple
Street (82.5' wide); thence along the North line of said Maple
Street, N88°07'17"W, 678.35 feet to a 5/8-inch diameter iron rod
and cap (#47952) on the West line of State Street (50' wide);
thence along the West line of said State Street, S00°23'21"W,
202.86 feet to a concrete monument with Bronze cap (State of
Michigan); thence along the North line of lands commonly known as
"Comstock Park", N88°11'19"W, 892.01 feet to a 5/8-inch diameter
iron rod and cap (#47952) on the East line of Princeton Avenue (60'
wide); thence along the East line of said Princeton Avenue,
N00°00'00"E, 892.32 feet to a 5/8-inch diameter iron rod and cap
(#47952) on the South line of said West Willow Street; thence along
the South line of said West Willow Street, S88°29'45"E, 452.07 feet
to a 5/8-inch diameter iron rod and cap (#47952), thence 216.82
feet along the North line of lands Quit-Claimed to the State of
Michigan, recorded in Liber 884-Page 282 (I.C.R.), on a non-
tangential curve to the left, said curve having a radius of 469.38
feet, a central angle of 26°28'01", and a long chord which bears
N78°49'20"E, 214.90 feet to a M.A.G. nail; thence continuing along
said North line of lands recorded in Liber 884, Page 282,
N65°35'20"E, 105.56 feet; thence along the South line of lands
Quit-Claimed to the City of Lansing, recorded in Liber 882-Page 590
(I.C.R.), N65°35'20"E, 108.12 feet to a M.A.G. nail; thence
continuing along said South line of lands recorded in Liber 882-
Page 590, 151.53 feet on a non-tangential curve to the right, said
curve having a radius of 341.85 feet, a central angle of 25°23'49",
and a long chord which bears N78°17'15"E, 150.29 to a 5/8-inch
diameter iron rod and cap (#47952) on the South line of said West
Willow Street; thence along the South line of said West Willow
Street, S88°10'25"E, 593.56 feet to the POINT OF BEGINNING,
containing 32.74 acres, more or less. Subject to any easements or
restrictions, recorded or unrecorded.
PARCEL B:
A parcel of land being Lots 1, 2, and 3 of "Moore's Subdivision on
Block 27", as recorded in Liber 1 of Plats, Page 27 (I.C.R.), and
being Lots 1-14 inclusive of "Assessor's Plat No. 38", as recorded
in Liber 11 of Plats, Page 38 (I.C.R.), all being part of the
Southwest 1/4 of Section 9, T4N, R2W, City of Lansing, Ingham
County, Michigan, being more particularly described as follows:
BEGINNING at a concrete monument at the Northeast corner of said
"Assessor's Plat No. 38", thence along the West line of North Pine
Street (82.5' wide), S02°05'04"W, 164.84 feet to a concrete
monument at the Southeast corner of said "Assessor's Plat No. 38";
thence along the South line of said "Assessor's Plat No. 38" and
along the South line of Lots 1, 2, and 3 of said "Moore's
Subdivision on Block 27", N88°07'41"W, 625.33 feet to a M.A.G. nail
in stump on the East line of State Street (50' wide); thence along
the East line of said State Street, N00°23'21"E, 164.97 feet to a
5/8-inch diameter iron and cap (#47952) on the South line of Maple
Street; thence along the South line of said Maple Street,
S88°07'17"E, 630.21 feet to the POINT OF BEGINNING, containing 2.38
acres, more or less. Subject to any easements or restrictions,
recorded or unrecorded.
Sec. 2. The description of the property in section 1 is
approximate and, for purposes of the conveyance, is subject to
adjustments as the state administrative board or the attorney
general considers necessary by survey or other legal description.
Sec. 3. The property described in section 1 includes all
surplus, salvage, and scrap property or equipment not identified by
the department of education, as of the effective date of this act,
as being items to be retained by the state.
Sec. 4. The fair market value of the property described in
section 1 shall be determined by an appraisal prepared for the
department of management and budget by an independent appraiser.
Sec. 5. The department of attorney general shall approve as to
legal form and content the quitclaim deed authorized by this act.
Sec. 6. The director of the department of management and
budget shall first offer the property described in section 1 for
sale to the mid-Michigan leadership academy, a nonprofit public
school academy, at not less than fair market value as determined by
an independent appraiser. Mid-Michigan leadership academy has the
first right to purchase the property for a period of 180 days after
the effective date of this act.
Sec. 7. If the property described in section 1 is not sold
pursuant to section 6, the department of management and budget
shall take the necessary steps to prepare to convey the property
described in section 1 using any of the following at any time:
(a) Competitive bidding designed to realize the best value to
the state, as determined by the department of management and
budget.
(b) A public auction designed to realize the best value to the
state, as determined by the department of management and budget.
(c) Use of real estate brokerage services designed to realize
the best value to the state, as determined by the department of
management and budget.
(d) A value-for-value conveyance negotiated by the department
of management and budget designed to realize the best value to the
state. In determining whether value-for-value consideration for the
property represents the best value, the department may consider the
fair market value or the total value based on any positive economic
impact to the state likely to be generated by the proposed use of
the property, especially economic impact resulting in the creation
of jobs or increased capital investment in the state.
(e) Offering the property for sale for fair market value to a
local unit or units of government.
Sec. 8. If a local unit of government purchases the property
for fair market value and intends to convey the property within 3
years after the conveyance from the state, the local unit shall
provide written notice to the director of the department of
management and budget of its intent to offer the property for sale.
The department of management and budget shall retain a right to
first purchase the property at the original sale price, plus the
costs of any improvements as determined by an independent fee
appraisal, within 90 days after the notice. If the state waives its
first refusal right, the local unit of government shall pay to the
state 40% of the difference between the sale price of the
conveyance from the state and the sale price of the local unit's
subsequent sale or sales to a third party.
Sec. 9. The state shall not reserve oil, gas, or mineral
rights to the property conveyed under this act. However, the
conveyance authorized under this act shall provide that, if the
purchaser or any grantee develops any oil, gas, or minerals found
on, within, or under the conveyed property, the purchaser or any
grantee shall pay the state 1/2 of the gross revenue generated from
the development of the oil, gas, or minerals. This payment shall be
deposited in the natural resources trust fund.
Sec. 10. The state reserves all aboriginal antiquities,
including mounds, earthworks, forts, burial and village sites,
mines, or other relics, lying on, within, or under the property
described in section 1, with power to the state and all others
acting under its authority to enter the property for any purpose
related to exploring, excavating, and taking away the aboriginal
antiquities.
Sec. 11. All state agencies and departments shall provide full
cooperation to the state administrative board to facilitate the
performance of its duties, powers, and responsibilities and the
conveyance of property under this act. The state administrative
board may require a state agency or department to prepare or record
any documents necessary to evidence the conveyance of property
under this act.
Sec. 12. The net revenue received from the sale of property
under this act shall be deposited in the state treasury and
credited to the general fund. As used in this section, "net
revenue" means the proceeds from the sale of the property less
reimbursement for any costs to the state associated with the sale
of property, including, but not limited to, administrative costs,
including employee wages, salaries, and benefits; costs of reports
and studies and other materials necessary to the preparation of
sale; environmental remediation; legal fees; and any litigation
related to the conveyance of the property.