MACOMB COUNTY CONVEYANCE - S.B. 496: FLOOR ANALYSIS
Senate Bill 496 (as reported by the Committee of the Whole)
Sponsor: Senator Ken DeBeaussaert
Committee: Local, Urban and State Affairs
CONTENT
The bill would authorize the Department of Natural Resources (DNR), on behalf of the State, to convey for $1 to the charter township of Clinton property under the DNR's jurisdiction and located in Macomb County.
The conveyance would have to require the property to be used exclusively for park and recreation purposes, and provide that upon termination of that use or use for any other purpose, the State could reenter and repossess the property, terminating the grantee's estate in it. In addition, the conveyance would have to provide that if the grantee disputed the State's right of reentry and failed to deliver possession of the property promptly to the State, the Attorney General could bring an action to quiet title to, and regain possession of, the property. If any fee, term, or condition for using the property were imposed on the public, or if any of the fees, terms, or conditions were waived for use of the property, residents and nonresidents would be subject to the same fees, terms, conditions, or waivers.
The conveyance would have to be by quitclaim deed approved by the Attorney General and could not reserve mineral rights to the State. The conveyance, however, would have to provide that if the grantee developed the mineral rights, the State would receive at least one-half of the net royalties derived from that development.
- Legislative Analyst: L. Arasim
FISCAL IMPACT
The bill would result in an increase in State revenue of $1 for the conveyance of property described in the bill.
The Department of Natural Resources property is reportedly adjacent to an existing park in Clinton Township that the township would like in order to provide easier access to the park. The property in question was apparently given to the DNR a number of years ago, and is currently undeveloped and being used in part as a fishing access site on the Clinton River.
To the extent that the sale of the parcel would generate more than $1, there may be lost opportunity cost in the value of the land that would be forgone in conveying the property for $1. There is apparently no current appraisal that would indicate the estimated value of the property.
Date Completed: 5-19-99 - Fiscal Analyst: M. HansenFloor\sb496 - Analysis available @ http://www.michiganlegislature.org
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.