April 17, 2008, Introduced by Senators BIRKHOLZ, RICHARDVILLE, HARDIMAN, PAPPAGEORGE, ALLEN, JANSEN, KAHN, GILBERT and JELINEK and referred to the Committee on Natural Resources and Environmental Affairs.
A joint resolution proposing an amendment to the state
constitution of 1963, by amending section 35 of article IX, to
increase the allowable annual expenditures from the Michigan
natural resources trust fund and to authorize the issuance of bonds
and notes for the purposes of the Michigan natural resources trust
fund.
Resolved by the Senate and House of Representatives of the
state of Michigan, That the following amendment to the state
constitution of 1963, to increase the allowable annual expenditures
from the Michigan natural resources trust fund and to authorize the
issuance of bonds and notes for the purposes of the Michigan
natural resources trust fund, is proposed, agreed to, and submitted
to the people of the state:
ARTICLE IX
Sec. 35. There is hereby established the Michigan natural
resources trust fund. The trust fund shall consist of all bonuses,
rentals, delayed rentals, and royalties collected or reserved by
the state under provisions of leases for the extraction of
nonrenewable resources from state owned lands, except such revenues
accruing under leases of state owned lands acquired with money from
state or federal game and fish protection funds or revenues
accruing from lands purchased with such revenues. The trust fund
may receive appropriations, money, or other things of value. The
assets of the trust fund shall be invested as provided by law.
Until the trust fund reaches an accumulated principal of
$500,000,000.00, $10,000,000.00 of the revenues from bonuses,
rentals, delayed rentals, and royalties described in this section
otherwise dedicated to the trust fund that are received by the
state each state fiscal year shall be deposited into the Michigan
state parks endowment fund. However, until the trust fund reaches
an accumulated principal of $500,000,000.00, in any state fiscal
year, not more than 50 percent of the total revenues from bonuses,
rentals, delayed rentals, and royalties described in this section
otherwise dedicated to the trust fund that are received by the
state each state fiscal year shall be deposited into the Michigan
state parks endowment fund.
The amount accumulated in the trust fund in any state fiscal
year shall not exceed $500,000,000.00, exclusive of interest and
earnings and amounts authorized for expenditure pursuant to this
section. When the accumulated principal of the trust fund reaches
$500,000,000.00, all revenue from bonuses, rentals, delayed
rentals, and royalties described in this section that would be
received by the trust fund but for this limitation shall be
deposited into the Michigan state parks endowment fund until the
Michigan state parks endowment fund reaches an accumulated
principal of $800,000,000.00. When the Michigan state parks
endowment fund reaches an accumulated principal of $800,000,000.00,
all revenues from bonuses, rentals, delayed rentals, and royalties
described in this section shall be distributed as provided by law.
The interest and earnings of the trust fund shall be expended
for the acquisition of land or rights in land for recreational uses
or protection of the land because of its environmental importance
or its scenic beauty, for the development of public recreation
facilities, and for the administration of the trust fund, which may
include payments in lieu of taxes on state owned land purchased
through the trust fund and the repayment of bonds and notes. The
trust fund may provide grants to units of local government or
public authorities which shall be used for the purposes of this
section. The legislature shall provide that a portion of the cost
of a project funded by such grants be provided by the local unit of
government or public authority.
Until the trust fund reaches an accumulated principal of
$500,000,000.00, the legislature may provide, in addition to the
expenditure of interest and earnings authorized by this section,
that
a portion, not to exceed 33-1/3 66-2/3
percent, of the
revenues from bonuses, rentals, delayed rentals, and royalties
described in this section received by the trust fund during each
state fiscal year may be expended during subsequent state fiscal
years for the purposes of this section.
Not less than 25 percent of the total amounts made available
for expenditure from the trust fund from any state fiscal year
shall be expended for acquisition of land and rights in land and
not more than 25 percent of the total amounts made available for
expenditure from the trust fund from any state fiscal year shall be
expended for development of public recreation facilities.
The legislature shall provide by law for the establishment of
a trust fund board within the department of natural resources. The
trust fund board shall recommend the projects to be funded. The
trust fund board shall submit its recommendations to the governor
who shall submit the board's recommendations to the legislature in
an appropriations bill.
The trust fund board may authorize the issuance of bonds and
notes for the purposes of this section, payable from the allowable
expenditures of the trust fund.
The legislature shall provide by law for the implementation of
this section.
Resolved further, That the foregoing amendment shall be
submitted to the people of the state at a special election to be
held on August 5, 2008 in the manner provided by law.