HB-4911, As Passed House, November 30, 2011

 

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 4911

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1948 (1st Ex Sess) PA 31, entitled

 

"An act to provide for the incorporation of authorities to acquire,

furnish, equip, own, improve, enlarge, operate, and maintain

buildings, automobile parking lots or structures, transit-oriented

developments, transit-oriented facilities, recreational facilities,

stadiums, and the necessary site or sites therefor, together with

appurtenant properties and facilities necessary or convenient for

the effective use thereof, for the use of any county, city,

village, or township, or for the use of any combination of 2 or

more counties, cities, villages, or townships, or for the use of

any school district and any city, village, or township wholly or

partially within the district's boundaries, or for the use of any

school district and any combination of 2 or more cities, villages,

or townships wholly or partially within the district's boundaries,

or for the use of any intermediate school district and any

constituent school district or any city, village, or township,

wholly or partially within the intermediate school district's

boundaries; to provide for compensation of authority commissioners;

to permit transfers of property to authorities; to authorize the

execution of contracts, leases, and subleases pertaining to

authority property and the use of authority property; to authorize

incorporating units to impose taxes without limitation as to rate

or amount and to pledge their full faith and credit for the payment

of contract of lease obligations in anticipation of which bonds are

issued by an authority; to provide for the issuance of bonds by


such authorities; to validate action taken and bonds issued; to

provide other powers, rights, and duties of authorities and

incorporating units, including those for the disposal of authority

property; and to prescribe penalties and provide remedies,"

 

by amending section 8b (MCL 123.958b), as amended by 1995 PA 147.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 8b. (1) The governing body of an incorporating unit may,

 

by a majority vote of its members, authorize the execution of a

 

full faith and credit general obligation contract of lease with an

 

authority.

 

     (2) The governing body may adopt a resolution submitting the

 

contract to a vote of the electors. If the governing body adopts

 

the resolution submitting the contract to a vote of the electors,

 

the contract shall not take effect unless approved by a majority of

 

the electors of the incorporating unit voting on the question. The

 

contract shall be submitted at the next general or primary election

 

to be held not less than 70 days earlier than the twelfth Tuesday

 

after the date of the resolution or at a special election to be

 

held not less than 70 days earlier than the twelfth Tuesday after

 

the date of the resolution as determined by the clerk of the

 

incorporating unit subject to the Michigan election law, Act No.

 

116 of the Public Acts of 1954, being sections 168.1 to 168.992 of

 

the Michigan Compiled Laws. 1954 PA 116, MCL 168.1 to 168.992. The

 

clerk shall also determine the ballot language of the question.

 

     (3) If the governing body does not adopt a resolution

 

submitting the contract to a vote of the electors, the contract

 

shall become effective 60 days after a notice of intention of

 

entering into the contract has been published in a newspaper of

 

general circulation in the incorporating unit or units unless a


 

sufficient petition for referendum requesting an election on the

 

contract is filed with the clerk of the incorporating unit within

 

45 days after the notice is published. A referendum petition shall

 

be signed by not less than 10% or 15,000 of the registered electors

 

of the incorporating unit, whichever is less. If a sufficient

 

petition is filed, the contract shall not take effect unless

 

approved by a majority of the electors of the incorporating unit

 

voting on the question. The clerk of the incorporating unit shall

 

determine the date of the election and the ballot language as

 

provided under subsection (2). The notice of intention of entering

 

into contract shall be directed to the electors and taxpayers of

 

the incorporating unit, shall be published in a newspaper which is

 

determined by the governing body thereof of the incorporating unit

 

to be the newspaper reaching the largest number of persons to whom

 

the notice is directed, and shall state the maximum amount of bonds

 

authorized to be issued, the purpose thereof, source of payment and

 

right of referendum thereon, and such other information as the

 

governing body of the incorporating unit may consider necessary to

 

adequately inform the taxpayers and electors of the incorporating

 

unit of the nature of the contractual obligation. Signatures on the

 

petition shall be verified by the circulator under oath as the

 

actual signatures of the persons whose names are signed thereto on

 

the petition and the clerk or other recording officer of the

 

incorporating unit shall have the same power to reject signatures

 

and petitions as city clerks under section 25 of the home rule

 

cities act, Act No. 279 of the Public Acts of 1909, being section

 

117.25 of the Michigan Compiled Laws. home rule city act, 1909 PA


 

279, MCL 117.25. The number of registered electors in any

 

incorporating unit shall be determined by its registration records,

 

or, if it does not take registrations, by the appropriate city and

 

township registration records. A notice of intention and

 

publication is not required if the contract of lease states that it

 

is not a full faith and credit obligation of the incorporating unit

 

or units.

 

     (4) An election under this section shall not be included in

 

any statutory or charter limitation on the number of special

 

elections to be called within a particular period of time.

 

     Enacting section 1. This amendatory act takes effect January

 

1, 2012.

 

     Enacting section 2. This amendatory act does not take effect

 

unless House Bill No. 4907 of the 96th Legislature is enacted into

 

law.