HOUSE BILL No. 4834 September 21, 1999, Introduced by Reps. Jellema, Byl, DeHart, Toy, Caul, Kuipers, LaSata, Garcia, Pappageorge, Richner and Birkholz and referred to the Committee on Regulatory Reform. A bill to amend 1917 PA 167, entitled "Housing law of Michigan," by amending the title and sections 8, 10, 125, 127, 129, 130, 131, 133, and 141 (MCL 125.408, 125.410, 125.525, 125.527, 125.529, 125.530, 125.531, 125.533, and 125.541), the title and section 141 as amended by 1992 PA 144; and to repeal acts and parts of acts. THE PEOPLE OF THE STATE OF MICHIGAN ENACT: 1 TITLE 2 An act to promote the health, safety and welfare of the 3 people by regulating the maintenance, alteration, health, safety, 4 and improvement of dwellings;to define the classes of dwellings5affected by the act, andto establish administrative 6 requirements; to prescribe procedures for the maintenance, 7 improvement, or demolition of certain commercial buildings; to 00238'99 ** LTB 2 1 establish remedies; TO PROVIDE FOR A MAINTENANCE CODE; to provide 2 for enforcement; to provide for the demolition of certain dwell- 3 ings; and to fix penalties for the violation of this act. 4 Sec. 8. (1)Minimum requirements; law not to be modified.5 The provisions oftheTHIS actshall be held to beARE the 6 minimum requirements adopted for the protection of health, 7 welfare, and safety of the community. Nothinghereincontained 8 IN THIS ACT shallbe deemed toinvalidate existing ordinances 9 or regulations ofanyA city, TOWNSHIP, or organized village 10or the board of health of any such city or villageimposing 11 requirementshigher thanBEYOND the minimum requirementslaid12down inIMPOSED PURSUANT TO this act relative to light, ventila- 13 tion, sanitation, fire prevention, egress, occupancy, 14 maintenance, and uses for dwellings;nor be deemed toDO NOT 15 preventanyA city, TOWNSHIP, or organized villageor the16board of health of any such city or villagefrom enactingand17putting in force from time to timeordinances and regulations 18 imposing requirementshigher thanBEYOND the minimum require- 19 mentslaid down inUNDER this act TO ADDRESS LOCAL CONDITIONS 20 THAT ARE FOUND TO AFFECT THE PUBLIC HEALTH, SAFETY, AND WELFARE; 21nor shall anything herein contained be deemed toAND DO NOT 22 preventsuchcities, TOWNSHIPS, and organized villagesor the23board of health of any such city or villagefrom prescribing for 24 the enforcement ofsuchordinances and regulations, remedies 25 and penalties similar to those prescribedhereinIN THIS ACT. 26And every suchA city, TOWNSHIP, and organized villageor the27board of health of any such city or villageis empowered to 00238'99 ** 3 1 enact such ordinances and regulations and to prescribe for their 2 enforcement. No ordinance, regulation, ruling, or decision of 3any municipalA body,OR officerof authority of the board4of healthofany suchA city, TOWNSHIP, or village shall 5 repeal, amend, modify, or dispense with any of thesaidminimum 6 requirementslaid down inIMPOSED PURSUANT TO this act;7 except that, in order that the provisions of this act may be rea- 8 sonably applied, public health and safety secured, and substan- 9 tial justice done in instances where practical difficulties are 10 encountered or unnecessary and unreasonable hardship result from 11 the application of the strict letter of the law, the decision of 12 a board of appeals,as hereinafter provided and regulated shall13beIS considered as the reasonable application of the intent of 14 this act. 15 (2) BEGINNING THE EFFECTIVE DATE OF THE AMENDATORY ACT THAT 16 ADDED THIS SUBSECTION AND UPON THE EXPIRATION OF THE TIME PERIOD 17 DESCRIBED IN SECTION 10, AN EXISTING DWELLING SHALL COMPLY WITH 18 THE APPLICABLE PORTION OF THE PROPERTY MAINTENANCE CODE AS THAT 19 TERM IS DEFINED IN THE STATE CONSTRUCTION CODE ACT OF 1972, 1972 20 PA 230, MCL 125.1501 TO 125.1531. 21 (3) THIS ACT AND THE PROPERTY MAINTENANCE CODE APPLY 22 THROUGHOUT THE STATE, EXCEPT THAT A GOVERNMENTAL SUBDIVISION MAY 23 ELECT TO SUPPLEMENT CERTAIN PARTS OF THE PROPERTY MAINTENANCE 24 CODE BY ADOPTING AND ENFORCING STANDARDS THAT PROVIDE FOR THE 25 HEALTH, SAFETY, AND WELFARE OF THE CITIZENS BEYOND THOSE CON- 26 TAINED IN THE PROPERTY MAINTENANCE CODE TO ADDRESS LOCAL 27 CONDITIONS THAT ARE FOUND TO AFFECT THE PUBLIC HEALTH, SAFETY, 00238'99 ** 4 1 AND WELFARE. A GOVERNMENTAL SUBDIVISION MAY MAKE THIS ELECTION 2 BY ENACTING AN ORDINANCE ADOPTING THOSE STANDARDS. A GOVERNMEN- 3 TAL SUBDIVISION ADOPTING STANDARDS BEYOND THOSE CONTAINED IN THE 4 PROPERTY MAINTENANCE CODE SHALL REVIEW AND, IF NECESSARY, UPDATE 5 ITS ORDINANCE AT LEAST ONCE EVERY 3 YEARS TO ENSURE THAT THOSE 6 STANDARDS ARE APPROPRIATE. THE AMENDMENTS SHALL BECOME EFFECTIVE 7 90 DAYS AFTER PASSAGE OF THE ORDINANCE. IN ADOPTING THOSE STAN- 8 DARDS, THE GOVERNMENTAL SUBDIVISION SHALL MAKE A FINDING THAT THE 9 LOCAL STANDARD IS NECESSARY TO PROTECT THE PUBLIC HEALTH, SAFETY, 10 AND WELFARE. THIS SECTION DOES NOT REQUIRE A GOVERNMENTAL SUBDI- 11 VISION TO REENACT AN ORDINANCE. 12 Sec. 10.Time for compliance.All improvements specifi- 13 cally required by this act upon dwellings erected prior to the 14 date of its passage shall be made within 1 yearfrom saidAFTER 15 THAT date,or at such earlier period as may be fixed by the 16health officer or otherauthorized enforcement official. 17 Sec. 125.(1)A registry of RESIDENTIAL RENTAL PROPERTY 18 owners and premises shall be COMPILED AND maintained by the 19 enforcing agency. 20(2) The owners of a multiple dwelling or rooming house con-21taining units which will be offered to let, or to hire, for more22than 6 months of a calendar year, shall register their names and23places of residence or usual places of business and the location24of the premises regulated by this act with the enforcing agency.25The owners shall register within 60 days following the day on26which any part of the premises is offered for occupancy. Owners27of multiple dwellings or rooming houses containing units which00238'99 ** 5 1are occupied or offered for occupancy at the time this act2becomes effective shall register within 90 days after the effec-3tive date of this article.4(3) If the premises are managed or operated by an agent, the5agent's name and place of business shall be placed with the name6of the owner in the registry.7 Sec. 127. (1) In a nonemergency situation where the owner 8 or occupant demands a warrant for inspection of the premises, the 9 enforcing agency shall obtain a warrant from a court of competent 10 jurisdiction. The enforcing agency shall prepare the warrant, 11 stating the address of the building to be inspected, the nature 12 of the inspection, as defined in this or other applicable acts, 13 and the reasons for the inspection. It shall be appropriate and 14 sufficient to set forth the basis for inspection(e.g.15 INCLUDING, BUT NOT LIMITED TO, PERIODIC, complaint, area, or 16 recurrent violation basis,)AS established in this section, in 17 other applicable acts, or in rules.or regulations.The warrant 18 shall also state that it is issued pursuant to this section,19 and that it is for the purposes set forth in this and other acts 20whichTHAT requirethatTHE CONDUCT OF inspections.be21conducted.22 (2) If the court finds that the warrant is in proper form 23 and inaccordCOMPLIANCE with this section, it shallbe24issuedforthwith ISSUE THE WARRANT. 25 (3) In the event of an emergency,noA warrantshall be26 IS NOT required. 00238'99 ** 6 1 Sec. 129. (1) Units inmultipledwellingsor rooming2housesshall not be occupied unless a certificate of compliance 3 has been issued by the enforcing agency. The certificates shall 4 be issued only upon an inspection of the premises by the enforc- 5 ing agency, except as provided in section 131. The certificate 6 shall be issued within 15 days after written application 7thereforFOR THE CERTIFICATE if the dwelling at the date of the 8 application is entitledtheretoTO SUCH A CERTIFICATE. 9 (2) A violation of this actshallDOES not prevent the 10 issuance of a certificate, butEXCEPT THAT the enforcing 11 agency shall not issue a certificate when the existing conditions 12 constitute a hazard to the health or safety of those who may 13 occupy the premises. 14 (3) Inspections shall be made prior to first occupancy of 15multipledwellings.and rooming houses, if the construction or16alteration is completed and first occupancy will occur after the17effective date of this article. Where first occupancy will occur18before the effective date of this article, inspection shall be19made within 1 year after the effective date of this article.20 Upon a finding that there is no condition that would constitute a 21 hazard to the health and safety of the occupants, and that the 22 premises are otherwise fit for occupancy, the certificate shall 23 be issued. If the finding is of a condition that would consti- 24 tute a hazard to health or safety, no certificate shall be 25 issued, and an order to comply with the act shall be issued imme- 26 diately and served upon the owner.in accordance with section00238'99 ** 7 1132.On reinspection and proof of compliance, the order shall be 2 rescinded and a certificate issued. 3 Sec. 130. (1) When a certificate is withheld pending com- 4 pliance, no premises which have not been occupied for dwelling 5or roomingpurposes shall be so occupied,and those premises 6whichTHAT have been or are occupied for dwellingor rooming7 purposes may be ordered vacated until reinspection and proof of 8 compliance in the discretion of the enforcing agency. 9 (2) A certificate of compliance shall be issued on condition 10 that the premises remain in safe, healthful, and fit condition 11 for occupancy. If upon reinspection the enforcing agency deter- 12 mines that conditions existwhichTHAT constitute a hazard to 13 health or safety, the certificate shall be immediately suspended 14 as to affected areas,and the areas may be vacated as provided 15 in subsection (1). 16 (3) The duty to pay rent in accordance with the terms of 17anyA lease or agreement or under the provisions ofanyA 18 statute shall be suspended and the suspended rentals shall be 19 paid into an escrow account as provided in subsection (4),20 during that period when the premises have not been issued a cer- 21 tificate of compliance, or when such certificate, once issued, 22 has been suspended. This subsection does not apply until the 23 owner has had a reasonable timeafter the effective date of this24article orafter notice of violations tomake application25 APPLY for a temporary certificate,as provided in section 26 131.Nor does thisTHIS subsection DOES NOT applywhereIF 27 the owner establishes that the conditions which constitute a 00238'99 ** 8 1 hazard to health or safety were caused by the occupant or 2 occupants. The rent, once suspended, shall again become due in 3 accordance with the terms of the lease or agreement or statute 4 from and after the time of reinstatement of the certificate,5 or where a temporary certificate has been issued, as provided in 6 section 131. 7 (4) Rents due for the period during which rent is suspended 8 shall be paid into an escrow account established by the enforcing 9 officer or agency, to be paid thereafter to the landlord or any 10 other party authorized to make repairs,IN ORDER to defray the 11 cost of correcting the violations. The enforcing agency shall 12 return any unexpended part of sums paid under this section,13 attributable to the unexpired portion of the rental period,14 where the occupant terminates his OR HER tenancy or right to 15 occupy prior to the undertaking to repair. 16 (5) When the certificate of compliance has been suspended 17,or has not been issued,and the rents thereafter withheld 18 are not paid into the escrow account, actions for rent and for 19 possession of the premises for nonpayment of rent may be main- 20 tained,subject to such defenses as the tenant or occupant may 21 have upon the lease or contract. 22 Sec. 131. (1) An owner shall apply for a certificate of 23 compliance. Inspection and issuance of certificates shall be in 24 accordance with the requirements of this act and with procedures 25 established by the enforcing agency. The enforcing agency may 26 authorize the issuance of temporary certificates without 27 inspectionfor those premises in which there are no violations00238'99 ** 9 1of record as of the effective date of this article, and shall2issue such temporary certificatesupon application in cases 3 where inspections are not conducted within a reasonable time. 4 Temporary certificates shall also be issued for premises with 5 violations of record, whether existing before or after the6effective date of this article,when the owner can show proof of 7 having undertaken to correctsuchTHOSE conditions,orwhen 8 the municipality has been authorized to make repairs,orwhen a 9 receiver has been appointed, or when an owner rehabilitation plan 10 has been accepted by the court. 11 (2) An application for a certificate shall be made when the 12 owners, or any of them, enroll in the registry of RESIDENTIAL 13 RENTAL PROPERTY owners and premises. If the owner fails to reg- 14 ister, any occupant of unregistered or uncertified premises may 15make applicationAPPLY. 16(3) A fee of $10.00 shall be paid by the applicant at the17time the certificate is issued.18 Sec. 133. (1) The owner of premises regulated by this act 19 shall comply with all applicable provisions of the act AND THE 20 PROPERTY MAINTENANCE CODE ADOPTED UNDER THE STATE CONSTRUCTION 21 CODE ACT OF 1972, 1972 PA 230, MCL 125.1501 TO 125.1531. 22 (2) The occupant of premises regulated by this act shall 23 comply with provisions of the act specifically applicable to him 24 OR HER. 25 Sec. 141. (1) At a hearing prescribed by section 140, the 26 hearing officer shall take testimony of the enforcing agency, the 27 owner of the property, and any interested party. Not more than 5 00238'99 ** 10 1 days after completion of the hearing, the hearing officer shall 2 render a decision either closing the proceedings or ordering the 3 building or structure demolished, otherwise made safe, or prop- 4 erly maintained. 5 (2) If the hearing officer determines that the building or 6 structure should be demolished, otherwise made safe, or properly 7 maintained, the hearing officer shall so order, fixing a time in 8 the order for the owner, agent, or lessee to comply with the 9 order. If the building is a dangerous building under 10 section 139(j), the order may require the owner or agent to main- 11 tain the exterior of the building and adjoining grounds owned by 12 the owner of the building including, but not limited to, the 13 maintenance of lawns, trees, and shrubs. 14 (3) If the owner, agent, or lessee fails to appear or 15 neglects or refuses to comply with the order issued under subsec- 16 tion (2), the hearing officer shall file a report of the findings 17 and a copy of the order with the legislative body of the city, 18 village, or township not more than 5 days after noncompliance by 19 the owner and request that necessary action be taken to enforce 20 the order.If the legislative body of theA city, village, or 21 township THAT has established a board of appeals pursuant to sec- 22 tion141c14 OF THE STATE CONSTRUCTION CODE ACT OF 1972, 1972 23 PA 230, 125.1514, SHALL PROVIDE THAT the hearing officershall24 file the report of the findings and a copy of the order with the 25 board of appeals and request that necessary action be taken to 26 enforce the order. A copy of the findings and order of the 00238'99 ** 11 1 hearing officer shall be served on the owner, agent, or lessee in 2 the manner prescribed in section 140. 3 (4) The legislative body or the board of appeals of the 4 city, village, or township, as applicable, shall fix a date not 5 less than 30 days after the hearing prescribed in section 140 for 6 a hearing on the findings and order of the hearing officer and 7 shall give notice to the owner, agent, or lessee in the manner 8 prescribed in section 140 of the time and place of the hearing. 9 At the hearing, the owner, agent, or lessee shall be given the 10 opportunity to show cause why the order should not be enforced. 11 The legislative body or the board of appeals of the city, vil- 12 lage, or township shall either approve, disapprove, or modify the 13 order. If the legislative body or board of appeals approves or 14 modifies the order, the legislative body shall take all necessary 15 action to enforce the order. If the order is approved or modi- 16 fied, the owner, agent, or lessee shall comply with the order 17 within 60 days after the date of the hearing under this 18 subsection. In the case of an order of demolition, if the legis- 19 lative body or the board of appeals of the city, village, or 20 township determines that the building or structure has been sub- 21 stantially destroyed by fire, wind, flood, or other natural 22 disaster, and the cost of repair of the building or structure 23 will be greater than the state equalized value of the building or 24 structure, the owner, agent, or lessee shall comply with the 25 order of demolition within 21 days after the date of the hearing 26 under this subsection. 00238'99 ** 12 1 (5) The cost of the demolition, of making the building safe, 2 or of maintaining the exterior of the building or structure, or 3 grounds adjoining the building or structure incurred by the city, 4 village, or township to bring the property into conformance with 5 this act shall be reimbursed to the city, village, or township by 6 the owner or party in interest in whose name the property 7 appears. 8 (6) The owner or party in interest in whose name the prop- 9 erty appears upon the last local tax assessment records shall be 10 notified by the assessor of the amount of the cost of the demoli- 11 tion, of making the building safe, or of maintaining the exterior 12 of the building or structure or grounds adjoining the building or 13 structure by first class mail at the address shown on the 14 records. If the owner or party in interest fails to pay the cost 15 within 30 days after mailing by the assessor of the notice of the 16 amount of the cost, the city, village, or township shall have a 17 lien for the cost incurred by the city, village, or township to 18 bring the property into conformance with this act. The lien 19 shall not take effect until notice of the lien has been filed or 20 recorded as provided by law. A lien provided for in this subsec- 21 tion does not have priority over previously filed or recorded 22 liens and encumbrances. The lien for the cost shall be collected 23 and treated in the same manner as provided for property tax liens 24 under the general property tax act,Act No. 206 of the Public25Acts of 1893, being sections 211.1 to 211.157 of the Michigan26Compiled Laws1893 PA 206, MCL 211.1 TO 211.157. 00238'99 ** 13 1 (7) In addition to other remedies under this act, the city, 2 village, or township may bring an action against the owner of the 3 building or structure for the full cost of the demolition, of 4 making the building safe, or of maintaining the exterior of the 5 building or structure or grounds adjoining the building or 6 structure. A city, village, or township shall have a lien on the 7 property for the amount of a judgment obtained pursuant to this 8 subsection. The lien provided for in this subsection shall not 9 take effect until notice of the lien is filed or recorded as pro- 10 vided by law. The lien does not have priority over prior filed 11 or recorded liens and encumbrances. 12 Enacting section 1. Sections 2, 2a, 7, 9, 65, 66, 67, 68, 13 69, 70, 71, 72, 73, 74, 75, 76, 77, 78, 79, 80, 81, 82, 83, 84, 14 85, 86, 87, 88, 89, 90, 91, 92, 93, 94, 95, 96, 97, 123, 128, 15 132, 137, 141b, 141c, and 142 of the housing law of Michigan, 16 1917 PA 167, MCL 125.402, 125.402a, 125.407, 125.409, 125.465, 17 125.466, 125.467, 125.468, 125.469, 125.470, 125.471, 125.472, 18 125.473, 125.474, 125.475, 125.476, 125.477, 125.478, 125.479, 19 125.480, 125.481, 125.482, 125.483, 125.484, 125.485, 125.486, 20 125.487, 125.488, 125.489, 125.490, 125.491, 125.492, 125.493, 21 125.494, 125.495, 125.496, 125.497, 125.523, 125.528, 125.532, 22 125.537, 125.541b, 125.541c, and 125.542, are repealed. 23 Enacting section 2. This amendatory act does not take 24 effect unless Senate Bill No. _____ or House Bill No. 4835 25 (request no. 00238'99 a **) of the 90th Legislature is enacted 26 into law. 00238'99 ** Final page. LTB