HOUSE BILL No. 4485

 

March 27, 2003, Introduced by Reps. Tobocman and Hunter and referred to the Committee on Land Use and Environment.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to provide for the creation of local land banks to                         

                                                                                

    assist governmental entities in the assembly and clearance of               

                                                                                

    title to property in a coordinated manner; to provide for the               

                                                                                

    creation of boards to govern land banks; to authorize the                   

                                                                                

    acquisition, maintenance, and disposal of interests in real and             

                                                                                

    personal property; and to prescribe powers and duties of certain            

                                                                                

    public officers and agencies.                                               

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 1.  This act shall be known and may be cited as the                    

                                                                                

2   "Michigan land bank and community development authority act".               

                                                                                

3       Sec. 2.  The legislature finds that there exists in this                    

                                                                                

4   state a continuing need to strengthen and revitalize the economy            

                                                                                

5   of this state and local units of government in this state and               

                                                                                

6   that it is in the best interests of this state and local units of           

                                                                                

7   government in this state to assemble or dispose of public                   

                                                                                


                                                                                

1   property, including tax reverted property, in a coordinated                 

                                                                                

2   manner to foster the development of that property and to promote            

                                                                                

3   economic growth in this state, and local units of government in             

                                                                                

4   this state.  It is declared to be a valid public purpose for a              

                                                                                

5   land bank created under this act to acquire, assemble, dispose              

                                                                                

6   of, and quiet title to property under this act.  It is further              

                                                                                

7   declared to be a valid public purpose for a land bank created               

                                                                                

8   under this act to provide for the financing of the acquisition,             

                                                                                

9   assembly, disposition, and quieting of title to property, and for           

                                                                                

10  a land bank to exercise other powers granted to a land bank under           

                                                                                

11  this act.  The legislature finds that a land bank created and               

                                                                                

12  powers conferred by this act constitute a necessary program and             

                                                                                

13  serve a necessary public purpose.                                           

                                                                                

14      Sec. 3.  As used in this act:                                               

                                                                                

15      (a) "Board" means the board of directors of a metropolitan                  

                                                                                

16  land bank authority created under this chapter.                             

                                                                                

17      (b) "Casino" means a casino regulated by this state under the               

                                                                                

18  Michigan gaming control and revenue act, the Initiated Law of               

                                                                                

19  1996, MCL 432.201 to 432.226, or a casino at which gaming is                

                                                                                

20  conducted under the Indian gaming regulatory act, Public Law                

                                                                                

21  100-497, 102 Stat. 2467, and all property associated or                     

                                                                                

22  affiliated with the operation of the casino, including, but not             

                                                                                

23  limited to, a parking lot, hotel, motel, or retail store.                   

                                                                                

24      (c) "Foreclosing governmental unit" means that term as                      

                                                                                

25  defined in section 78 of the general property tax act, 1893                 

                                                                                

26  PA 206, MCL 211.78.                                                         

                                                                                

27      (d) "Land bank" means a land bank authority created under                   


                                                                                

1   this act.                                                                   

                                                                                

2       (e) "Local unit of government" means a city, village,                       

                                                                                

3   township, county, or any intergovernmental, metropolitan, or                

                                                                                

4   local agency or authority, or other local political subdivision.            

                                                                                

5       (f) "Metropolitan authority" means a metropolitan land bank                 

                                                                                

6   authority created under this act as authorized by section 27 of             

                                                                                

7   article VII of the state constitution of 1963.                              

                                                                                

8       (g) "Qualified city" means a city with a population of not                  

                                                                                

9   less than 750,000 persons according to the most recent federal              

                                                                                

10  decennial census.                                                           

                                                                                

11      (h) "Tax reverted property" means property that meets 1 or                  

                                                                                

12  more of the following criteria:                                             

                                                                                

13                                                                               (i) The property was conveyed to this state under section 67a                       

                                                                                

14  of the general property tax act, 1893 PA 206, MCL 211.67a, and              

                                                                                

15  subsequently was not sold at a public auction under section 131             

                                                                                

16  of the general property tax act, 1893 PA 206, MCL 211.131.                  

                                                                                

17      (ii) The property was conveyed to this state under section                   

                                                                                

18  67a of the general property tax act, 1893 PA 206, MCL 211.67a,              

                                                                                

19  and subsequently was either redeemed by a local unit of                     

                                                                                

20  government or transferred to a local unit of government under               

                                                                                

21  section 2101 or 2102 of the natural resources and environmental             

                                                                                

22  protection act, 1994 PA 451, MCL 324.2101 and 324.2102.                     

                                                                                

23      (iii) The property was subject to forfeiture, foreclosure,                   

                                                                                

24  and sale for the collection of delinquent taxes as provided in              

                                                                                

25  sections 78 to 79a of the general property tax act, 1893 PA 206,            

                                                                                

26  MCL 211.78 to 211.79a, and both of the following apply:                     

                                                                                

27      (A) Title to the property vested in a foreclosing                           


                                                                                

1   governmental unit under section 78k of the general property tax             

                                                                                

2   act, 1893 PA 206, MCL 211.78k.                                              

                                                                                

3       (B) The property was offered for sale at an auction but not                 

                                                                                

4   sold under section 78m of the general property tax act, 1893                

                                                                                

5   PA 206, MCL 211.78m.                                                        

                                                                                

6       (iv) The property was obtained by this state under section                   

                                                                                

7   78m(1) of the general property tax act, 1893 PA 206,                        

                                                                                

8   MCL 211.78m.                                                                

                                                                                

9       (v) The property was obtained by or transferred to a local                  

                                                                                

10  unit of government under section 78m of the general property tax            

                                                                                

11  act, 1893 PA 206, MCL 211.78m.                                              

                                                                                

12      (vi) Pursuant to the requirements of a city charter, the                     

                                                                                

13  property was deeded to the city for unpaid delinquent real                  

                                                                                

14  property taxes.                                                             

                                                                                

15      Sec. 4.  (1) Except as otherwise provided in this act, a                    

                                                                                

16  land bank may do all things necessary or convenient to implement            

                                                                                

17  the purposes, objectives, and provisions of this act, and the               

                                                                                

18  purposes, objectives, and powers delegated to the board of                  

                                                                                

19  directors of a land bank by other laws or executive orders,                 

                                                                                

20  including, but not limited to, all of the following:                        

                                                                                

21      (a) Adopt, amend, and repeal bylaws for the regulation of its               

                                                                                

22  affairs and the conduct of its business.                                    

                                                                                

23      (b) Sue and be sued in its own name and plead and be                        

                                                                                

24  impleaded, including, but not limited to, defending the land bank           

                                                                                

25  in an action to clear title to property conveyed by the land                

                                                                                

26  bank.                                                                       

                                                                                

27      (c) Borrow money and issue bonds and notes according to the                 


                                                                                

1   provisions of this act.                                                     

                                                                                

2       (d) Enter into contracts and other instruments necessary,                   

                                                                                

3   incidental, or convenient to the performance of its duties and              

                                                                                

4   the exercise of its powers, including, but not limited to,                  

                                                                                

5   interlocal agreements under the urban cooperation act of 1967,              

                                                                                

6   1967 (Ex Sess) PA 7, MCL 124.501 to 124.512, for the joint                  

                                                                                

7   exercise of powers under this act.                                          

                                                                                

8       (e) Solicit and accept gifts, grants, labor, loans, and other               

                                                                                

9   aid from any person, or the federal government, this state, or a            

                                                                                

10  political subdivision of this state or any agency of the federal            

                                                                                

11  government, this state, a political subdivision of this state, or           

                                                                                

12  an intergovernmental entity created under the laws of this state            

                                                                                

13  or participate in any other way in a program of the federal                 

                                                                                

14  government, this state, a political subdivision of this state, or           

                                                                                

15  an intergovernmental entity created under the laws of this                  

                                                                                

16  state.                                                                      

                                                                                

17      (f) Procure insurance against loss in connection with the                   

                                                                                

18  property, assets, or activities of the land bank.                           

                                                                                

19      (g) Invest money of the land bank, at the discretion of the                 

                                                                                

20  board of directors of the land bank, in instruments, obligations,           

                                                                                

21  securities, or property determined proper by the board of                   

                                                                                

22  directors of the land bank, and name and use depositories for its           

                                                                                

23  money.                                                                      

                                                                                

24      (h) Employ legal and technical experts, other officers,                     

                                                                                

25  agents, or employees, permanent or temporary, paid from the funds           

                                                                                

26  of the land bank.  The land bank shall determine the                        

                                                                                

27  qualifications, duties, and compensation of those it employs.               


                                                                                

1   The board of directors of a land bank may delegate to 1 or more             

                                                                                

2   members, officers, agents, or employees any powers or duties it             

                                                                                

3   considers proper.  Members of the board of directors of a land              

                                                                                

4   bank shall serve without compensation but shall be reimbursed for           

                                                                                

5   actual and necessary expenses.                                              

                                                                                

6       (i) Contract for goods and services and engage personnel as                 

                                                                                

7   necessary and engage the services of private consultants,                   

                                                                                

8   managers, legal counsel, engineers, accountants, and auditors for           

                                                                                

9   rendering professional financial assistance and advice payable              

                                                                                

10  out of any money of the land bank.                                          

                                                                                

11      (j) Study, develop, and prepare the reports or plans the land               

                                                                                

12  bank considers necessary to assist it in the exercise of its                

                                                                                

13  powers under this act and to monitor and evaluate the progress              

                                                                                

14  under this act.                                                             

                                                                                

15      (k) Enter into contracts for the management of, the                         

                                                                                

16  collection of rent from, or the sale of real property held by the           

                                                                                

17  land bank.                                                                  

                                                                                

18                                                                               (l) Do all other things necessary or convenient to achieve                          

                                                                                

19  the objectives and purposes of the land bank or other laws that             

                                                                                

20  relate to the purposes and responsibility of the land bank.                 

                                                                                

21      (2) The enumeration of a power in this act shall not be                     

                                                                                

22  construed as a limitation upon the general powers of a land                 

                                                                                

23  bank.  The powers granted under this act are in addition to those           

                                                                                

24  powers granted by any other statute.                                        

                                                                                

25      (3) A land bank, in its discretion, may contract with others,               

                                                                                

26  public or private, for the provision of all or a portion of the             

                                                                                

27  services necessary for the management and operation of the land             


                                                                                

1   bank.  A land bank shall adopt a code of ethics for its                     

                                                                                

2   directors, officers, and employees.                                         

                                                                                

3       (4) If a land bank holds a tax deed to abandoned property,                  

                                                                                

4   the authority may quiet title to the property under section 79a             

                                                                                

5   of the general property tax act, 1893 PA 206, MCL 211.79a.                  

                                                                                

6       (5) The property of a land bank and its income and operations               

                                                                                

7   are exempt from all taxation by this state or any of its                    

                                                                                

8   political subdivisions.                                                     

                                                                                

9       (6) A land bank shall not assist or expend any funds for, or                

                                                                                

10  related to, the development of a casino.                                    

                                                                                

11      (7) A land bank shall not levy any tax or special                           

                                                                                

12  assessment.                                                                 

                                                                                

13      (8) A land bank shall not exercise the power of eminent                     

                                                                                

14  domain or condemn property.                                                 

                                                                                

15      Sec. 5.  (1) A land bank may acquire by gift, devise,                       

                                                                                

16  transfer, exchange, foreclosure, purchase, or otherwise on terms            

                                                                                

17  and conditions and in a manner the land bank considers proper,              

                                                                                

18  own, lease as lessor, convey, demolish, relocate, or rehabilitate           

                                                                                

19  real or personal property, or rights or interests in real or                

                                                                                

20  personal property.                                                          

                                                                                

21      (2) Real property acquired by a land bank by purchase may be                

                                                                                

22  by purchase contract, lease purchase agreement, installment sales           

                                                                                

23  contract, land contract, or otherwise.  The land bank may                   

                                                                                

24  purchase real property or rights or interests in real property              

                                                                                

25  for any purpose the land bank considers necessary to carry out              

                                                                                

26  the purposes of this act, including, but not limited to, 1 or               

                                                                                

27  more of the following purposes:                                             


                                                                                

1       (a) The use or development of property the land bank has                    

                                                                                

2   otherwise acquired.                                                         

                                                                                

3       (b) To facilitate the assembly of property for sale or lease                

                                                                                

4   to any other public or private person, including, but not limited           

                                                                                

5   to, a nonprofit corporation.                                                

                                                                                

6       (c) To protect or prevent the extinguishing of any lien,                    

                                                                                

7   including a tax lien, held by the land bank or imposed upon                 

                                                                                

8   property held by the land bank.                                             

                                                                                

9       (3) A land bank may also acquire by purchase, on terms and                  

                                                                                

10  conditions and in a manner the land bank considers proper,                  

                                                                                

11  property or rights or interest in property from 1 or more of the            

                                                                                

12  following sources:                                                          

                                                                                

13      (a) The department of natural resources under section 2101 or               

                                                                                

14  2102 of the natural resources and environmental protection act,             

                                                                                

15  1994 PA 451, MCL 324.2101 and 324.2102.                                     

                                                                                

16      (b) A foreclosing governmental unit under the general                       

                                                                                

17  property tax act, 1893 PA 206, MCL 211.1 to 211.157.                        

                                                                                

18      (c) The Michigan state housing development authority under                  

                                                                                

19  the state housing development authority act of 1966, 1966 PA 346,           

                                                                                

20  MCL 125.1401 to 125.1499c.                                                  

                                                                                

21      (4) A land bank may hold and own in its name any property                   

                                                                                

22  acquired by it or conveyed to it by this state, a foreclosing               

                                                                                

23  governmental unit, a local unit of government, an                           

                                                                                

24  intergovernmental entity created under the laws of this state, or           

                                                                                

25  any other public or private person, including, but not limited              

                                                                                

26  to, tax reverted property and property with or without clear                

                                                                                

27  title.                                                                      


                                                                                

1       (5) All deeds, mortgages, contracts, leases, purchases, or                  

                                                                                

2   other agreements regarding property of a land bank, including               

                                                                                

3   agreements to acquire or dispose of real property, may be                   

                                                                                

4   approved by and executed in the name of the land bank.                      

                                                                                

5       (6) A foreclosing governmental unit may not transfer property               

                                                                                

6   subject to forfeiture, foreclosure, and sale under sections 78 to           

                                                                                

7   78p of the general property tax act, 1893 PA 206, MCL 211.78 to             

                                                                                

8   211.78p, until after the property has been offered for sale or              

                                                                                

9   other transfer under section 78m of the general property tax act,           

                                                                                

10  1893 PA 206, MCL 211.78m, and the foreclosing governmental unit             

                                                                                

11  has retained possession of the property under section 78m(7) of             

                                                                                

12  the general property tax act, 1893 PA 206, MCL 211.78m.                     

                                                                                

13      Sec. 6.  (1) A land bank may, without the approval of a                     

                                                                                

14  local unit of government in which property held by the land bank            

                                                                                

15  is located, control, hold, manage, maintain, operate, repair,               

                                                                                

16  lease as lessor, secure, prevent the waste or deterioration of,             

                                                                                

17  demolish, and take all other actions necessary to preserve the              

                                                                                

18  value of the property it holds or owns.  A land bank may take or            

                                                                                

19  perform the following with respect to property held or owned by             

                                                                                

20  the land bank:                                                              

                                                                                

21      (a) Grant or acquire a license, easement, or option with                    

                                                                                

22  respect to property as the land bank determines is reasonably               

                                                                                

23  necessary to achieve the purposes of this act.                              

                                                                                

24      (b) Fix, charge, and collect rents, fees, and charges for use               

                                                                                

25  of property under the control of the land bank or for services              

                                                                                

26  provided by the land bank.                                                  

                                                                                

27      (c) Pay any tax or special assessment due on property                       


                                                                                

1   acquired or owned by the land bank.                                         

                                                                                

2       (d) Take any action, provide any notice, or institute any                   

                                                                                

3   proceeding required to clear or quiet title to property held by             

                                                                                

4   the land bank in order to establish ownership by and vest title             

                                                                                

5   to property in the land bank, including, but not limited to, an             

                                                                                

6   expedited quiet title and foreclosure action under section 9.               

                                                                                

7       (e) Remediate environmental contamination on any property                   

                                                                                

8   held by the land bank.                                                      

                                                                                

9       (2) A land bank shall defend any actions concerning title                   

                                                                                

10  claims against property held by the land bank.                              

                                                                                

11      (3) Subject to subsection (4), a land bank may accept from a                

                                                                                

12  person with an interest in a parcel of tax delinquent property or           

                                                                                

13  tax reverted property a deed conveying that person's interest in            

                                                                                

14  the property in lieu of the foreclosure or sale of the property             

                                                                                

15  for delinquent taxes, penalties, and interest levied under the              

                                                                                

16  general property tax act, 1893 PA 206, MCL 211.1 to 211.157, or             

                                                                                

17  delinquent specific taxes levied under another law of this state            

                                                                                

18  against the property by a local unit of government or other                 

                                                                                

19  taxing jurisdiction.                                                        

                                                                                

20      (4) A land bank may not accept under subsection (3) a deed in               

                                                                                

21  lieu of foreclosure or sale of the tax lien attributable to taxes           

                                                                                

22  levied by a local unit of government or other taxing jurisdiction           

                                                                                

23  without the written approval of all taxing jurisdictions and the            

                                                                                

24  foreclosing governmental unit that would be affected.  Upon                 

                                                                                

25  approval of the affected taxing jurisdictions and the foreclosing           

                                                                                

26  governmental unit, all of the unpaid general ad valorem taxes and           

                                                                                

27  specific taxes levied on the property, whether recorded or not,             


                                                                                

1   shall be extinguished.  The land bank shall record proof of the             

                                                                                

2   acceptance by the affected taxing jurisdictions under this                  

                                                                                

3   subsection and the deed in lieu of foreclosure with the register            

                                                                                

4   of deeds for the county in which the property is located.                   

                                                                                

5       (5) Except as provided in subsection (4), conveyance of                     

                                                                                

6   property by deed in lieu of foreclosure under this section shall            

                                                                                

7   not affect or impair any other lien against that property or any            

                                                                                

8   existing recorded or unrecorded interest in that property,                  

                                                                                

9   including, but not limited to, future installments of special               

                                                                                

10  assessments, liens recorded by this state, or restrictions                  

                                                                                

11  imposed under the natural resources and environmental protection            

                                                                                

12  act, 1994 PA 451, MCL 324.101 to 324.90106, easements or                    

                                                                                

13  rights-of-way, private deed restrictions, security interests and            

                                                                                

14  mortgages, or tax liens of other taxing jurisdictions or a                  

                                                                                

15  foreclosing governmental unit that does not consent to a release            

                                                                                

16  of their liens.                                                             

                                                                                

17      Sec. 7.  (1) On terms and conditions, and in a manner and                   

                                                                                

18  for an amount of consideration a land bank considers proper,                

                                                                                

19  fair, and valuable, including for no monetary consideration, the            

                                                                                

20  land bank may convey, sell, transfer, exchange, lease as lessor,            

                                                                                

21  or otherwise dispose of property or rights or interests in                  

                                                                                

22  property in which the land bank holds a legal interest to any               

                                                                                

23  public or private person for value determined by the land bank.             

                                                                                

24  The transfer and use of property under this section and the                 

                                                                                

25  exercise by the land bank of powers and duties under this act               

                                                                                

26  shall be considered a necessary public purpose and for the                  

                                                                                

27  benefit of the public.                                                      


                                                                                

1       (2) All property held by a land bank shall be inventoried and               

                                                                                

2   classified by the land bank according to title status and                   

                                                                                

3   suitability for use.                                                        

                                                                                

4       (3) Except as otherwise provided in this act, as required by                

                                                                                

5   other law, as required under the provisions of a deed, or as a              

                                                                                

6   land bank otherwise agrees, any proceeds received by the land               

                                                                                

7   bank may be retained by the land bank for the purposes of this              

                                                                                

8   act.                                                                        

                                                                                

9       (4) A document, including, but not limited to, a deed,                      

                                                                                

10  evidencing the transfer under this act of 1 or more parcels of              

                                                                                

11  property to a land bank by this state or a political subdivision            

                                                                                

12  of this state may be recorded with the register of deeds office             

                                                                                

13  in the county in which the property is located without the                  

                                                                                

14  payment of a fee.                                                           

                                                                                

15      Sec. 8.  Money received by a land bank as payment of taxes,                 

                                                                                

16  penalties, or interest, or from the redemption or sale of                   

                                                                                

17  property subject to a tax lien of any taxing unit shall be                  

                                                                                

18  returned to the local tax collecting unit in which the property             

                                                                                

19  is located for distribution on a pro rata basis to the                      

                                                                                

20  appropriate taxing units in an amount equal to delinquent taxes,            

                                                                                

21  penalties, and interest owed on the property, if any.  Any money            

                                                                                

22  in excess of delinquent taxes, interest, and penalties shall be             

                                                                                

23  retained by the land bank and may be used for purposes authorized           

                                                                                

24  by this act.                                                                

                                                                                

25      Sec. 9.  (1) A land bank may initiate an expedited quiet                    

                                                                                

26  title and foreclosure action under this section to quiet title to           

                                                                                

27  real property held by the land bank or interests in tax reverted            


                                                                                

1   property held by the land bank by recording with the register of            

                                                                                

2   deeds in the county in which the property subject to expedited              

                                                                                

3   quiet title and foreclosure is located a notice of pending                  

                                                                                

4   expedited quiet title and foreclosure action in a form prescribed           

                                                                                

5   by the department of treasury.  The notice shall include a legal            

                                                                                

6   description of the property, the street address of the property             

                                                                                

7   if available, the name, address, and telephone number of the land           

                                                                                

8   bank, a statement that the property is subject to expedited quiet           

                                                                                

9   title and foreclosure under this act, and a statement that any              

                                                                                

10  legal interests in the property may be extinguished by a circuit            

                                                                                

11  court vesting title to the property in the land bank.  If a                 

                                                                                

12  notice is recorded in error, the land bank may correct the error            

                                                                                

13  by recording a notice of error with the register of deeds.  A               

                                                                                

14  notice under this subsection need not be notarized and may be               

                                                                                

15  authenticated by a digital signature or other electronic means.             

                                                                                

16  Property is not subject to an expedited quiet title and                     

                                                                                

17  foreclosure action under this section if the property was                   

                                                                                

18  forfeited under section 78g of the general property tax act, 1893           

                                                                                

19  PA 206, MCL 211.78g, and remains subject to foreclosure under               

                                                                                

20  section 78k of the general property tax act, 1893 PA 206,                   

                                                                                

21  MCL 211.78k.                                                                

                                                                                

22      (2) After recording the notice under subsection (1), a land                 

                                                                                

23  bank shall initiate a search of records identified in this                  

                                                                                

24  subsection to identify the owners of a property interest in the             

                                                                                

25  property who are entitled to notice of the foreclosure hearing              

                                                                                

26  under this section.  The land bank may enter into a contract with           

                                                                                

27  or may request from 1 or more authorized representatives a title            


                                                                                

1   search or other title product to identify the owners of a                   

                                                                                

2   property interest in the property as required under this                    

                                                                                

3   subsection or to perform the other functions set forth in this              

                                                                                

4   section required for the collection of delinquent taxes under               

                                                                                

5   this act.  The owner of a property interest is entitled to notice           

                                                                                

6   under this section if that owner's interest was identifiable by             

                                                                                

7   reference to any of the following sources before the date that              

                                                                                

8   the land bank records the notice under subsection (1):                      

                                                                                

9       (a) Land title records in the office of the county register                 

                                                                                

10  of deeds.                                                                   

                                                                                

11      (b) Tax records in the office of the county treasurer.                      

                                                                                

12      (c) Tax records in the office of the local assessor.                        

                                                                                

13      (d) Tax records in the office of the local treasurer.                       

                                                                                

14      (3) A land bank may file a single petition with the clerk of                

                                                                                

15  the circuit court in which property subject to expedited                    

                                                                                

16  foreclosure under this section is located listing all property              

                                                                                

17  subject to expedited foreclosure by the land bank and for which             

                                                                                

18  the land bank seeks to quiet title.  If available to the land               

                                                                                

19  bank, the list of properties shall include a legal description              

                                                                                

20  of, a tax parcel identification number for, and the street                  

                                                                                

21  address of each parcel of property.  The petition shall seek a              

                                                                                

22  judgment in favor of the land bank against each property listed             

                                                                                

23  and shall include a date, within 90 days, on which the land bank            

                                                                                

24  requests a hearing on the petition.  The petition shall request             

                                                                                

25  that a judgment be entered vesting absolute title in the land               

                                                                                

26  bank, without right of redemption for each parcel of property               

                                                                                

27  listed, as provided in this section.  Prior to the entry of                 


                                                                                

1   judgment under this section, the land bank may request the court            

                                                                                

2   to remove property erroneously included in the petition, or any             

                                                                                

3   tax delinquent properties redeemed prior to the hearing.                    

                                                                                

4       (4) The clerk of the circuit court in which a petition is                   

                                                                                

5   filed under subsection (3) shall immediately set the date, time,            

                                                                                

6   and place for a hearing on the petition for foreclosure.  The               

                                                                                

7   date shall be set by the clerk and shall not be more than 10 days           

                                                                                

8   after the date requested by the land bank in the petition.  In no           

                                                                                

9   event may the clerk schedule the hearing later than 90 days after           

                                                                                

10  the filing of a petition by the land bank under subsection (3).             

                                                                                

11      (5) After completing the records search under subsection (2),               

                                                                                

12  a land bank shall determine the address or addresses reasonably             

                                                                                

13  calculated to inform those owners of a property interest in                 

                                                                                

14  property subject to expedited foreclosure under this section of             

                                                                                

15  the pendency of the foreclosure hearing under subsection (11).              

                                                                                

16  If, after conducting the title search, the land bank is unable to           

                                                                                

17  determine an address reasonably calculated to inform persons with           

                                                                                

18  a property interest in property subject to expedited tax                    

                                                                                

19  foreclosure or the notice under subsection (6) is returned as               

                                                                                

20  undeliverable, the following shall be deemed reasonable steps by            

                                                                                

21  the land bank to ascertain the addresses of persons with a                  

                                                                                

22  property interest in the property subject to expedited                      

                                                                                

23  foreclosure:                                                                

                                                                                

24      (a) For an individual, a search of records of the county                    

                                                                                

25  probate court.                                                              

                                                                                

26      (b) For an individual, a search of the qualified voter file                 

                                                                                

27  established under section 509o of the Michigan election law, 1954           


                                                                                

1   PA 116, MCL 168.509o, which is authorized by this subdivision.              

                                                                                

2       (c) For a partnership, a search of partnership records filed                

                                                                                

3   with the county clerk.                                                      

                                                                                

4       (d) For a business entity other than a partnership, a search                

                                                                                

5   of business entity records filed with the department of consumer            

                                                                                

6   and industry services.                                                      

                                                                                

7       (e) A search of the current telephone directory for the area                

                                                                                

8   in which the property is located.                                           

                                                                                

9       (f) A letter of inquiry to the last seller of the property or               

                                                                                

10  an attorney for the seller, if ascertainable.                               

                                                                                

11      (6) Not less than 30 days before the quiet title and                        

                                                                                

12  foreclosure hearing under subsection (11), the land bank shall              

                                                                                

13  send notice by certified mail, return receipt requested, of the             

                                                                                

14  foreclosure hearing to the persons identified under subsection              

                                                                                

15  (5) with a property interest in property subject to expedited               

                                                                                

16  foreclosure.  The land bank shall also send a notice via regular            

                                                                                

17  mail addressed to the "Occupant" for each property subject to               

                                                                                

18  expedited foreclosure if an address for the property is                     

                                                                                

19  ascertainable.                                                              

                                                                                

20      (7) Not less than 30 days before the quiet title and                        

                                                                                

21  foreclosure hearing under subsection (11), the land bank or its             

                                                                                

22  authorized representative shall visit each parcel of property               

                                                                                

23  subject to expedited foreclosure and post conspicuously on the              

                                                                                

24  property notice of the hearing.  In addition to the requirements            

                                                                                

25  of subsection (8), the notice shall also include the following              

                                                                                

26  statement:  "THIS PROPERTY HAS BEEN TRANSFERRED TO THE                      

                                                                                

27  ____________________ LAND BANK AND IS SUBJECT TO AN EXPEDITED               


                                                                                

1   QUIET TITLE AND FORECLOSURE ACTION.  PERSONS WITH INFORMATION               

                                                                                

2   REGARDING THE PRIOR OWNER OF THE PROPERTY ARE REQUESTED TO                  

                                                                                

3   CONTACT THE LAND BANK AT _________________________.".                       

                                                                                

4       (8) The notice required under subsections (6) and (7) shall                 

                                                                                

5   include:                                                                    

                                                                                

6       (a) The date on which the land bank recorded under subsection               

                                                                                

7   (1) notice of the pending expedited quiet title foreclosure                 

                                                                                

8   action.                                                                     

                                                                                

9       (b) A statement that a person with a property interest in the               

                                                                                

10  property may lose his or her interest, if any, as a result of the           

                                                                                

11  foreclosure hearing under subsection (11).                                  

                                                                                

12      (c) A legal description, parcel number of the property, and                 

                                                                                

13  the street address of the property, if available.                           

                                                                                

14      (d) The person to whom the notice is addressed.                             

                                                                                

15      (e) The date and time of the hearing on the petition for                    

                                                                                

16  foreclosure hearing under subsection (11) and a statement that              

                                                                                

17  the judgment of the court may result in title to the property               

                                                                                

18  vesting in the land bank.                                                   

                                                                                

19      (f) An explanation of any rights of redemption and notice                   

                                                                                

20  that the judgment of the court may extinguish any ownership                 

                                                                                

21  interest in or right to redeem the property.                                

                                                                                

22      (g) The name, address, and telephone number of the land                     

                                                                                

23  bank.                                                                       

                                                                                

24      (h) A statement that persons with information regarding the                 

                                                                                

25  prior owner of any of the properties are requested to call the              

                                                                                

26  land bank.                                                                  

                                                                                

27      (9) If the land bank is unable to ascertain the address                     


                                                                                

1   reasonably calculated to inform the owners of a property interest           

                                                                                

2   entitled to notice under this section, or is unable to provide              

                                                                                

3   notice under subsection (6) or (7), the land bank shall provide             

                                                                                

4   notice by publication.  Prior to the hearing, a notice shall be             

                                                                                

5   published for 3 successive weeks, once each week, in a newspaper            

                                                                                

6   published and circulated in the county in which the property is             

                                                                                

7   located.  If no paper is published in that county, publication              

                                                                                

8   shall be made in a newspaper published and circulated in an                 

                                                                                

9   adjoining county.  This publication shall substitute for notice             

                                                                                

10  under subsection (6) or (7).  The published notice shall include            

                                                                                

11  all of the following:                                                       

                                                                                

12      (a) A legal description, parcel number of the property, and                 

                                                                                

13  the street address of the property, if available.                           

                                                                                

14      (b) The name of any person not notified under subsection (6)                

                                                                                

15  or (7) that the land bank reasonably believes may be entitled to            

                                                                                

16  notice under this section of the foreclosure hearing under                  

                                                                                

17  subsection (11).                                                            

                                                                                

18      (c) A statement that a person with a property interest in the               

                                                                                

19  property may lose his or her interest, if any, as a result of the           

                                                                                

20  foreclosure proceeding under subsection (11).                               

                                                                                

21      (d) The date and time of the hearing on the petition for                    

                                                                                

22  foreclosure under subsection (11).                                          

                                                                                

23      (e) A statement that the judgment of the court may result in                

                                                                                

24  title to the property vesting in the land bank.                             

                                                                                

25      (f) An explanation of any rights of redemption and notice                   

                                                                                

26  that judgment of the court may extinguish any ownership interest            

                                                                                

27  in or right to redeem the property.                                         


                                                                                

1       (g) The name, address, and telephone number of the land                     

                                                                                

2   bank.                                                                       

                                                                                

3       (h) A statement that persons with information regarding the                 

                                                                                

4   prior owner of any of the properties are requested to contact the           

                                                                                

5   land bank.                                                                  

                                                                                

6       (10) If prior to the foreclosure hearing under subsection                   

                                                                                

7   (11) the land bank discovers any deficiency in the provision of             

                                                                                

8   notice under this section, the land bank shall take reasonable              

                                                                                

9   steps in good faith to correct the deficiency before the                    

                                                                                

10  hearing.                                                                    

                                                                                

11      (11) If a petition for expedited quiet title and foreclosure                

                                                                                

12  is filed under subsection (3), before the hearing, the land bank            

                                                                                

13  shall file with the clerk of the circuit court proof of service             

                                                                                

14  of notice by certified mail under subsection (6), proof of notice           

                                                                                

15  by posting on the property under subsection (7), and proof of               

                                                                                

16  notice by publication, if applicable.  A person claiming an                 

                                                                                

17  interest in a parcel of property set forth in the petition for              

                                                                                

18  foreclosure who desires to contest that petition shall file                 

                                                                                

19  written objections with the clerk of the circuit court and serve            

                                                                                

20  those objections on the land bank before the date of the                    

                                                                                

21  hearing.  The circuit court may appoint and utilize as the court            

                                                                                

22  considers necessary a special master for the resolution of any              

                                                                                

23  objections to the foreclosure or questions regarding the title to           

                                                                                

24  property subject to foreclosure.  If the court withholds property           

                                                                                

25  from foreclosure, a land bank's ability to include the property             

                                                                                

26  in a subsequent petition for expedited quiet title and                      

                                                                                

27  foreclosure is not prejudiced.  No injunction shall issue to stay           


                                                                                

1   an expedited quiet title and foreclosure action under this                  

                                                                                

2   section.  The circuit court shall enter judgment on a petition to           

                                                                                

3   quiet title and foreclosure filed under subsection (3) not more             

                                                                                

4   than 10 days after the conclusion of the hearing.  The circuit              

                                                                                

5   court's judgment shall specify all of the following:                        

                                                                                

6       (a) The legal description and, if known, the street address                 

                                                                                

7   of the property foreclosed.                                                 

                                                                                

8       (b) That fee simple title to property foreclosed by the                     

                                                                                

9   judgment is vested absolutely in the land bank, except as                   

                                                                                

10  otherwise provided in subdivisions (c) and (e), without any                 

                                                                                

11  further rights of redemption.                                               

                                                                                

12      (c) That all liens against the property, including any lien                 

                                                                                

13  for unpaid taxes or special assessments, except future                      

                                                                                

14  installments of special assessments and liens recorded by this              

                                                                                

15  state or the land bank under the natural resources and                      

                                                                                

16  environmental protection act, 1994 PA 451, MCL 324.101 to                   

                                                                                

17  324.90106, are extinguished.                                                

                                                                                

18      (d) That, except as otherwise provided in subdivisions (c)                  

                                                                                

19  and (e), the land bank has good and marketable fee simple title             

                                                                                

20  to the property.                                                            

                                                                                

21      (e) That all existing recorded and unrecorded interests in                  

                                                                                

22  that property are extinguished, except a visible or recorded                

                                                                                

23  easement or right-of-way, private deed restrictions, plat                   

                                                                                

24  restrictions, or restrictions or other governmental interests               

                                                                                

25  imposed under the natural resources and environmental protection            

                                                                                

26  act, 1994 PA 451, MCL 324.101 to 324.90106.                                 

                                                                                

27      (f) A finding that all persons entitled to notice and an                    


                                                                                

1   opportunity to be heard have been provided that notice and                  

                                                                                

2   opportunity.                                                                

                                                                                

3       (12) Except as otherwise provided in subsection (11)(c) and                 

                                                                                

4   (e), fee simple title to property set forth in a petition for               

                                                                                

5   foreclosure filed under subsection (3) shall vest absolutely in             

                                                                                

6   the land bank upon the entry of the judgment by the circuit court           

                                                                                

7   and the land bank shall have absolute title to the property.  The           

                                                                                

8   land bank's title is not subject to any recorded or unrecorded              

                                                                                

9   lien, except as provided in subsection (11) and shall not be                

                                                                                

10  stayed or held invalid except as provided in subsection (13).               

                                                                                

11      (13) A land bank or a person claiming to have a property                    

                                                                                

12  interest under subsection (2) in property foreclosed under this             

                                                                                

13  section may within 21 days of the entry of the judgment under               

                                                                                

14  subsection (12) appeal the circuit court's order or the circuit             

                                                                                

15  court's judgment foreclosing property to the court of appeals.              

                                                                                

16  An appeal under this subsection is limited to the record of the             

                                                                                

17  proceedings in the circuit court under this section.  The circuit           

                                                                                

18  court's judgment foreclosing property shall be stayed until the             

                                                                                

19  court of appeals has reversed, modified, or affirmed that                   

                                                                                

20  judgment.  If an appeal under this subsection stays the circuit             

                                                                                

21  court's judgment foreclosing property, the circuit court's                  

                                                                                

22  judgment is stayed only as to the property that is the subject of           

                                                                                

23  that appeal and the circuit court's judgment foreclosing other              

                                                                                

24  property that is not the subject of that appeal is not stayed.              

                                                                                

25      (14) The land bank shall record a notice of judgment for each               

                                                                                

26  parcel of foreclosed property in the office of the register of              

                                                                                

27  deeds for the county in which the foreclosed property is located            


                                                                                

1   in a form prescribed by the department of treasury.  If a land              

                                                                                

2   bank records a notice of judgment in error, the land bank may               

                                                                                

3   subsequently record a certificate of error.  A notice under this            

                                                                                

4   subsection need not be notarized and may be authenticated by a              

                                                                                

5   digital signature or other electronic means.                                

                                                                                

6       (15) If a judgment of foreclosure is entered under subsection               

                                                                                

7   (12), and all existing recorded and unrecorded interests in a               

                                                                                

8   parcel of property are extinguished as provided in subsection               

                                                                                

9   (12), the owner of any extinguished recorded or unrecorded                  

                                                                                

10  interest in that property who claims that he or she did not                 

                                                                                

11  receive notice of the expedited quiet title and foreclosure                 

                                                                                

12  action shall not bring an action for possession of the property             

                                                                                

13  against any subsequent owner, but may only bring an action to               

                                                                                

14  recover monetary damages as provided in this subsection.  The               

                                                                                

15  court of claims has original and exclusive jurisdiction in any              

                                                                                

16  action to recover monetary damages under this subsection.  An               

                                                                                

17  action to recover monetary damages under this subsection shall              

                                                                                

18  not be brought more than 2 years after a judgment for foreclosure           

                                                                                

19  is entered under subsection (12).  Any monetary damages                     

                                                                                

20  recoverable under this subsection shall be determined as of the             

                                                                                

21  date a judgment for foreclosure is entered under subsection (12)            

                                                                                

22  and shall not exceed the fair market value of the property on               

                                                                                

23  that date.                                                                  

                                                                                

24      (16) The owner of a property interest with notice of the                    

                                                                                

25  foreclosure hearing under subsection (11) may not assert any of             

                                                                                

26  the following:                                                              

                                                                                

27      (a) That notice to the owner was insufficient or inadequate                 


                                                                                

1   in any way because some other owner of a property interest in the           

                                                                                

2   property was not notified.                                                  

                                                                                

3       (b) That any right to redeem tax reverted property was                      

                                                                                

4   extended in any way because some other person was not notified.             

                                                                                

5       (17) A person holding or formerly holding an interest in tax                

                                                                                

6   reverted property subject to expedited foreclosure under this               

                                                                                

7   section is barred from questioning the validity of the expedited            

                                                                                

8   foreclosure under this section if 1 or more of the following                

                                                                                

9   apply:                                                                      

                                                                                

10      (a) Prior to the transfer of the property to the land bank,                 

                                                                                

11  the property was deeded to this state under section 67a of the              

                                                                                

12  general property tax act, 1893 PA 206, MCL 211.67a, and the                 

                                                                                

13  person or the person's predecessor in title was notified of a               

                                                                                

14  hearing regarding the deeding of the property as required by                

                                                                                

15  section 131e of the general property tax act, 1893 PA 206,                  

                                                                                

16  MCL 211.131e.                                                               

                                                                                

17      (b) Prior to the transfer of the property to the land bank,                 

                                                                                

18  title to the property vested in a foreclosing governmental unit             

                                                                                

19  following a circuit court hearing under section 78k of the                  

                                                                                

20  general property tax act, 1893 PA 206, MCL 211.78k, and the                 

                                                                                

21  person or the person's predecessor in title was notified of the             

                                                                                

22  hearing under section 78i of the general property tax act, 1893             

                                                                                

23  PA 206, MCL 211.78i.                                                        

                                                                                

24      (18) The failure of a land bank to comply with any provision                

                                                                                

25  of this section shall not invalidate any proceeding under this              

                                                                                

26  section if a person with a property interest in property subject            

                                                                                

27  to foreclosure was accorded the minimum due process required                


                                                                                

1   under the state constitution of 1963 and the constitution of the            

                                                                                

2   United States.                                                              

                                                                                

3       (19) It is the intent of the legislature that the provisions                

                                                                                

4   of this subsection relating to the expedited quiet title and                

                                                                                

5   foreclosure of property held by a land bank satisfy the minimum             

                                                                                

6   requirements of due process required under the constitution of              

                                                                                

7   this state and the constitution of the United States but that               

                                                                                

8   those provisions do not create new rights beyond those required             

                                                                                

9   under the state constitution of 1963 or the constitution of the             

                                                                                

10  United States.  The failure of a land bank, this state, or a                

                                                                                

11  local unit of government of this state to follow a requirement of           

                                                                                

12  this section relating to the expedited quiet title and                      

                                                                                

13  foreclosure of property held by a land bank shall not be                    

                                                                                

14  construed to create a claim or cause of action against a land               

                                                                                

15  bank, this state, or a local unit of government of this state               

                                                                                

16  unless the minimum requirements of due process accorded under the           

                                                                                

17  state constitution of 1963 or the constitution of the United                

                                                                                

18  States are violated.                                                        

                                                                                

19      (20) As used in this section, "authorized representative"                   

                                                                                

20  includes 1 or more of the following:                                        

                                                                                

21      (a) A title insurance company or agent licensed to conduct                  

                                                                                

22  business in this state.                                                     

                                                                                

23      (b) An attorney licensed to practice law in this state.                     

                                                                                

24      (c) A person accredited in land title search procedures by a                

                                                                                

25  nationally recognized organization in the field of land title               

                                                                                

26  searching.                                                                  

                                                                                

27      (d) A person with demonstrated experience in the field of                   


                                                                                

1   searching land title records, as determined by the land bank.               

                                                                                

2       Sec. 10.  For purposes of part 201 of the natural resources                 

                                                                                

3   and environmental protection act, 1994 PA 451, MCL 324.20101 to             

                                                                                

4   324.20142, a land bank shall be considered a local unit of                  

                                                                                

5   government.  The acquisition or control of property through                 

                                                                                

6   bankruptcy, tax delinquent forfeiture, foreclosure, or sale,                

                                                                                

7   abandonment, transfer from a lender, court order, foreclosure,              

                                                                                

8   forfeiture, circumstances in which the land bank has acquired               

                                                                                

9   title or control by virtue of the performance of any function               

                                                                                

10  permitted by the land bank under this act, or by transfer of the            

                                                                                

11  property to the land bank by this state, an agency or department            

                                                                                

12  of this state, or any local unit of government of this state                

                                                                                

13  shall not subject the land bank to liability under the natural              

                                                                                

14  resources and environmental protection act, 1994 PA 451,                    

                                                                                

15  MCL 324.101 to 324.90106, unless the land bank is responsible for           

                                                                                

16  an activity causing a release on the property.  This section                

                                                                                

17  shall not be considered to restrict or diminish any protection              

                                                                                

18  from liability under the natural resources and environmental                

                                                                                

19  protection act, 1994 PA 451, MCL 324.101 to 324.90106, that is              

                                                                                

20  otherwise available under law to the land bank.                             

                                                                                

21      Sec. 11.  (1) A land bank may institute a civil action to                   

                                                                                

22  prevent, restrain, or enjoin the waste of or unlawful removal of            

                                                                                

23  any property from tax reverted property or other real property              

                                                                                

24  held by the land bank.                                                      

                                                                                

25      (2) A circuit court may, on application, order the purchaser                

                                                                                

26  of any real property sold by a land bank under this act in                  

                                                                                

27  possession of the property.                                                 


                                                                                

1       Sec. 12.  A land bank shall be made a party to any action or                

                                                                                

2   proceeding instituted for the purpose of setting aside title to             

                                                                                

3   property held by the land bank or setting aside an expedited                

                                                                                

4   foreclosure under section 9.  A hearing in any such proceeding              

                                                                                

5   shall not be held until the land bank is served with process and            

                                                                                

6   proper proof of service is filed.                                           

                                                                                

7       Sec. 13.  Property of a land bank is public property devoted                

                                                                                

8   to an essential public and governmental function and purpose.               

                                                                                

9   Income of the land bank is considered to be for a public and                

                                                                                

10  governmental purpose.  The property of the land bank and its                

                                                                                

11  income and operation are exempt from all taxes and special                  

                                                                                

12  assessments of this state or a local unit of government of this             

                                                                                

13  state.  Bonds or notes issued by the land bank, and the interest            

                                                                                

14  on and income from those bonds and notes, are exempt from all               

                                                                                

15  taxation of this state or a local unit of government of this                

                                                                                

16  state.                                                                      

                                                                                

17      Sec. 14.  (1) This act shall be construed liberally to                      

                                                                                

18  effectuate the legislative intent and the purposes as complete              

                                                                                

19  and independent authorization for the performance of each and               

                                                                                

20  every act and thing authorized by this act, and all powers                  

                                                                                

21  granted shall be broadly interpreted to effectuate the intent and           

                                                                                

22  purposes and not as a limitation of powers.  In the exercise of             

                                                                                

23  its powers and duties under this act and its powers relating to             

                                                                                

24  property held by the land bank, the land bank shall have complete           

                                                                                

25  control as fully and completely as if it represented a private              

                                                                                

26  property owner and shall not be subject to restrictions imposed             

                                                                                

27  on the land bank by the charter, ordinances, or resolutions of a            


                                                                                

1   local unit of government.                                                   

                                                                                

2       (2) The provisions of this act apply notwithstanding any                    

                                                                                

3   resolution, ordinance, or charter provision to the contrary.                

                                                                                

4   This section is not intended to exempt a land bank from local               

                                                                                

5   zoning or land use controls, including those controls authorized            

                                                                                

6   under the city and village zoning act, 1921 PA 207, MCL 125.581             

                                                                                

7   to 125.600, or 1945 PA 344, MCL 125.71 to 125.84.                           

                                                                                

8       Sec. 15.  (1) A local unit of government may, by resolution                 

                                                                                

9   of its legislative governing body and, if that local unit has a             

                                                                                

10  chief executive officer, with the concurrence of the chief                  

                                                                                

11  executive officer, create a land bank with all of the powers and            

                                                                                

12  duties of a land bank allowed under this act.                               

                                                                                

13      (2) Two or more cities, villages, townships, or counties may                

                                                                                

14  enter into an intergovernmental agreement providing for the                 

                                                                                

15  creation of a metropolitan authority.                                       

                                                                                

16      (3) An intergovernmental agreement under subsection (2) shall               

                                                                                

17  provide for all of the following:                                           

                                                                                

18      (a) The incorporation of the land bank as a public body                     

                                                                                

19  corporate.                                                                  

                                                                                

20      (b) The size of the initial board of directors of the land                  

                                                                                

21  bank, which shall be composed of an odd number of members; the              

                                                                                

22  qualifications, method of selection, and terms of office of the             

                                                                                

23  initial board members.                                                      

                                                                                

24      (c) A method for the adoption of articles of incorporation by               

                                                                                

25  the board of directors of the land bank.                                    

                                                                                

26      (4) If a metropolitan authority created under this section                  

                                                                                

27  authorizes the sale or other conveyance of property located                 


                                                                                

1   within a qualified city and a land bank authority has been                  

                                                                                

2   created in the qualified city, the land bank authority of the               

                                                                                

3   qualified city may exercise a right of first refusal to purchase            

                                                                                

4   the property at a price and on terms authorized by the county               

                                                                                

5   metropolitan authority.                                                     

                                                                                

6       Sec. 16.  (1) The purposes, powers, and duties of a land                    

                                                                                

7   bank created under this act are vested in and shall be exercised            

                                                                                

8   by a board of directors.                                                    

                                                                                

9       (2) The board of directors of a land bank authority shall                   

                                                                                

10  adopt articles of incorporation for the authority, which shall              

                                                                                

11  provide for all of the following:                                           

                                                                                

12      (a) The name of the land bank.                                              

                                                                                

13      (b) The names of the participating governmental entities.                   

                                                                                

14      (c) The size of the board of the land bank, which shall be                  

                                                                                

15  composed of an odd number of members; the qualifications, method            

                                                                                

16  of selection, and terms of office of board members; and the                 

                                                                                

17  filling of vacancies in the office of board member.                         

                                                                                

18      (d) The purposes for which the land bank is established,                    

                                                                                

19  which shall include the exercise of the powers and duties of a              

                                                                                

20  land bank under this act.                                                   

                                                                                

21      (e) A method for the dissolution of the land bank and                       

                                                                                

22  withdrawal from the land bank of any governmental entities                  

                                                                                

23  involved.                                                                   

                                                                                

24      (f) Any other matters considered advisable, consistent with                 

                                                                                

25  this act.                                                                   

                                                                                

26      (3) Upon adoption of the articles or amendments to the                      

                                                                                

27  articles by the initial board of directors, a printed copy of the           


                                                                                

1   articles or the amended articles shall be filed with the                    

                                                                                

2   secretary of state by the person designated by the board of                 

                                                                                

3   directors.                                                                  

                                                                                

4       (4) The land bank's articles of incorporation, or amendments                

                                                                                

5   to the articles, take effect upon filing with the secretary of              

                                                                                

6   state.                                                                      

                                                                                

7       Sec. 17.  (1) A land bank created under this chapter may                    

                                                                                

8   borrow money and issue bonds or notes under the revised municipal           

                                                                                

9   finance act, 2001 PA 34, MCL 141.2101 to 141.2821.                          

                                                                                

10      (2) A land bank created under this chapter may enter into                   

                                                                                

11  intergovernmental agreements or other contracts with other                  

                                                                                

12  governmental entities within this state, including, but not                 

                                                                                

13  limited to, land banks and foreclosing governmental units, for              

                                                                                

14  the exercise of powers and duties of a land bank under this act.            

                                                                                

15      (3) Upon the initial appointment of the members to the board                

                                                                                

16  of directors under section 15, all of the following property or             

                                                                                

17  interests in property held by the qualified city are transferred            

                                                                                

18  to the land bank, except as provided in subsection (4):                     

                                                                                

19      (a) All tax reverted property held by the qualified city                    

                                                                                

20  which was transferred to the qualified city by this state under             

                                                                                

21  section 131 of the general property tax act, 1893 PA 206,                   

                                                                                

22  MCL 211.131, or under section 2101 or 2102 of the natural                   

                                                                                

23  resources and environmental protection act, 1994 PA 451,                    

                                                                                

24  MCL 324.2101 and 324.2102.                                                  

                                                                                

25      (b) If under the charter of the qualified city the qualified                

                                                                                

26  city collects delinquent city real property taxes and does not              

                                                                                

27  return the delinquent taxes to the treasurer of the county in               


                                                                                

1   which the qualified city is located under the general property              

                                                                                

2   tax act, 1893 PA 206, MCL 211.1 to 211.157, all of the following            

                                                                                

3   property held by the qualified city:                                        

                                                                                

4                                                                                (i) Tax delinquent real property for which a lien has been                          

                                                                                

5   deemed sold to a city department director under the charter or              

                                                                                

6   ordinances of the qualified city, except for property that was              

                                                                                

7   deeded to a department director less than 2 years before the                

                                                                                

8   appointment of the members to the board under section 15.                   

                                                                                

9       (ii) Tax delinquent real property held by the city that has                  

                                                                                

10  been foreclosed by the qualified city and for which title has               

                                                                                

11  vested in the city under the charter or ordinances of the                   

                                                                                

12  qualified city.                                                             

                                                                                

13      (4) If the chief executive officer of a qualified city                      

                                                                                

14  objects to the transfer of property or interests in property                

                                                                                

15  under subsection (3) to the land bank created under this act,               

                                                                                

16  within 60 days of the transfer, the chief executive may issue an            

                                                                                

17  executive order rescinding the transfer of any parcel or                    

                                                                                

18  parcels.                                                                    

                                                                                

19      (5) Within 60 days of the transfer of property to a land bank               

                                                                                

20  under subsection (3), the qualified city shall compile and                  

                                                                                

21  provide the land bank with an inventory of all property                     

                                                                                

22  transferred to the land bank.  The qualified city, and its                  

                                                                                

23  officials and employees shall actively cooperate with and                   

                                                                                

24  facilitate the compilation and provision of the inventory to the            

                                                                                

25  land bank and shall take any actions and execute any documents              

                                                                                

26  necessary to facilitate the transfer of the property to the land            

                                                                                

27  bank under this section.  Revenue generated by the sale of tax              


                                                                                

1   reverted property by the land bank and paid to the qualified city           

                                                                                

2   as required by this act shall be deemed as compensation to the              

                                                                                

3   qualified city for any services or activity of the qualified city           

                                                                                

4   required under this section.                                                

                                                                                

5       (6) The legislative body of a qualified city may by                         

                                                                                

6   resolution authorize the transfer any real property or interest             

                                                                                

7   in real property to the land bank created under this section,               

                                                                                

8   including, but not limited to, tax reverted property or interests           

                                                                                

9   in tax reverted property held or acquired after the creation of             

                                                                                

10  the land bank by the qualified city, with the consent of the land           

                                                                                

11  bank.                                                                       

                                                                                

12      (7) A qualified city and any agency or department of a                      

                                                                                

13  qualified city, or any other official public body, may do 1 or              

                                                                                

14  more of the following:                                                      

                                                                                

15      (a) Anything necessary or convenient to aid the land bank in                

                                                                                

16  fulfilling its purposes under this act.                                     

                                                                                

17      (b) Lend, grant, transfer, appropriate, or contribute funds                 

                                                                                

18  to the land bank in furtherance of its purposes.                            

                                                                                

19      (c) Lend, grant, transfer, or convey funds to the land bank                 

                                                                                

20  that are received from the federal government or this state or              

                                                                                

21  from any nongovernmental entity in aid of the purposes of this              

                                                                                

22  act.                                                                        

                                                                                

23      (8) A metropolitan authority may reimburse advances made by a               

                                                                                

24  municipality under subsection (7) or by any other person for                

                                                                                

25  costs eligible to be incurred by the metropolitan authority with            

                                                                                

26  any source of revenue available for use of the authority under              

                                                                                

27  this act and enter into agreements related to these                         


                                                                                

1   reimbursements.