HOUSE BILL No. 5586


     April 13, 2000, Introduced by Rep. DeWeese and referred to the Committee on Agriculture and Resource Management.


        A bill to amend 1974 PA 181, entitled

   "An act to provide for the testing, condemnation and disposal of
   livestock and livestock products; to provide for the testing of
   certain livestock; to provide for the quarantine of certain live-
   stock; to prescribe the conditions of condemnation; to provide
   for the indemnification of owners of quarantined or disposed
   livestock or livestock products; to provide for recovery of the
   costs of testing, condemnation, disposal, and indemnification;
   and to prescribe the powers and duties of the department of
   agriculture,"

   by amending sections 3b and 7 (MCL 287.73b and 287.77); and to

   repeal acts and parts of acts.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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           Sec. 3b.  (1) Upon application in a manner prescribed by the

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      director, a person owning livestock or livestock products dis-

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      posed under section 2 or a person owning livestock  which  THAT

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      were quarantined by the director for an indefinite period and

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       which  THAT were destroyed by the person while the livestock

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      were under quarantine, if the contamination is not due to


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      negligence of the owner, and if the contamination is not due to

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      the negligence or actions of some other identifiable party, shall

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      receive indemnification from the state in an amount which is

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      equal to 75% of the fair market value for the livestock or live-

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      stock products on the date the appraisal is made and as if the

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      livestock or livestock products were not contaminated.

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            (2) Upon application in a manner prescribed by the direc-

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      tor, a person owning livestock which is quarantined under section

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      3a shall receive indemnification from the state for 75% of the

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      loss of income due to the quarantine.  As used in this subsec-

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      tion, "loss of income due to the quarantine" means the income

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      which the person owning the livestock would have received but for

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      the quarantine and destruction of livestock, covering the period

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      from the date of the quarantine to December 31, 1978, less com-

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      pensation for damages relating to the quarantine received from

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      any other source.  This subsection shall expire September 30,

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      1979. 

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           (2)  (3)  The director shall issue a certificate to the

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      owner OF LIVESTOCK DESCRIBED IN SUBSECTION (1).  The certificate

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      may be presented by the owner to the director for payment in the

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      amount of 75% of the appraised value of the livestock or live-

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      stock products, or 75% of the loss of income due to the quaran-

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      tine, or both, less compensation for damages relating to the

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      livestock or livestock products received from any other source.

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      An affidavit signed by the owner or custodian attesting to the

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      amount of compensation for damages relating to the livestock or





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      livestock products received from any other source shall accompany

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      the certificate.

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           (3)  (4)  Before the owner may receive indemnification from

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      the state under this section, the owner shall execute and sign a

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      subrogation agreement assigning to the state the rights of the

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      owner to a cause of action to recover damages for loss due to the

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      contamination from a toxic material, not exceeding the amount of

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      indemnification paid to the owner under this act.

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           (4)  (5)  Acceptance of indemnification under this section

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      does not enlarge or diminish the owner's civil remedy against a

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      person responsible for the owner's loss, except that acceptance

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      does constitute a release of the claim of the owner against this

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      state.

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           Sec. 7.  (1) A person who commits  1  ANY of the following

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      is guilty of a felony:

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           (a) Contaminates livestock to receive indemnification or

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      reimbursement from the state under this act or to have the direc-

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      tor test, condemn, or dispose of livestock under this act.

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           (b) Intentionally makes a false statement on an application

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      for indemnification or reimbursement under this act.

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           (c) Intentionally violates a condition of quarantine under

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      this act.

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           (2) A person who violates any other provision of this act

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       or a rule promulgated under this act  is guilty of a

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      misdemeanor.

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           Enacting section 1.  Section 4 of 1974 PA 181, MCL 287.74,

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      is repealed.



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