SENATE BILL No. 261

 

 

March 6, 2003, Introduced by Senators LELAND, SCHAUER, BERNERO, EMERSON, CHERRY, JACOBS, CLARK-COLEMAN, THOMAS, PATTERSON, CASSIS, GARCIA, TOY, GOSCHKA, CLARKE, OLSHOVE and BRATER and referred to the Committee on Judiciary.

 

 

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 2000 PA 403, entitled                                             

                                                                                

    "Motor fuel tax act,"                                                       

                                                                                

    by amending section 130 (MCL 207.1130).                                     

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 130.  (1) As soon as possible, but not more than 5                     

                                                                                

2   business days after seizure of a motor vehicle and its cargo                

                                                                                

3   under section 129, the person making the seizure shall deliver              

                                                                                

4   personally or by registered mail to the last known address of the           

                                                                                

5   person from whom the seizure was made, if known, an inventory               

                                                                                

6   statement of the motor vehicle, motor fuel, or other property               

                                                                                

7   seized.  A copy of the inventory statement shall also be filed              

                                                                                

8   with the department.                                                        

                                                                                

9       (2) In addition to notice of the property seized, the                       

                                                                                

10  inventory statement required by subsection (1) shall contain a              

                                                                                

11  notice that unless demand for a hearing as provided in this                 

                                                                                


                                                                                

1   section is made within 10 business days after the date the                  

                                                                                

2   inventory statement was delivered, the property is forfeited to             

                                                                                

3   the state.                                                                  

                                                                                

4       (3) If the person from whom  the  a seizure described in                    

                                                                                

5   subsection (1) was made is not known, the person making the                 

                                                                                

6   seizure shall  cause  have a copy of the inventory statement  ,             

                                                                                

7   together with the notice provided for in this section, to be                

                                                                                

8   required by subsection (1) and the notice under subsection (2)              

                                                                                

9   published not less than 3 times in a newspaper of general                   

                                                                                

10  circulation in the county where the seizure was made.                       

                                                                                

11      (4) Within 10 business days after the date of service of the                

                                                                                

12  inventory statement required under subsection (1) or,  in the               

                                                                                

13  case of publication  if the notice is published under subsection            

                                                                                

14  (3), within 10 business days after the date of last publication,            

                                                                                

15  the person from whom the property was seized or any person                  

                                                                                

16  claiming an interest in the property may by registered mail,                

                                                                                

17  facsimile transmission, or personal service file with the                   

                                                                                

18  department a demand for a hearing before the commissioner for a             

                                                                                

19  determination  as to  whether the property was lawfully subject             

                                                                                

20  to seizure and forfeiture.  The person shall verify a request for           

                                                                                

21  hearing filed by facsimile transmission by also providing a copy            

                                                                                

22  of the original request for hearing by registered mail or                   

                                                                                

23  personal service.                                                           

                                                                                

24      (5)  The  A person  or persons are  who demands a hearing                   

                                                                                

25  under subsection (4) is entitled to appear at  a  the hearing               

                                                                                

26  before the department, to be represented by counsel, and to                 

                                                                                

27  present testimony and argument.                                             


                                                                                

1       (6)  Upon receipt of a request for hearing, the  The                        

                                                                                

2   department shall hold  the  a hearing requested under subsection            

                                                                                

3   (4) within 15 business days after receiving the request.  The               

                                                                                

4   hearing is not a contested case proceeding and is not subject to            

                                                                                

5   the administrative procedures act of 1969, 1969 PA 306,                     

                                                                                

6   MCL 24.201 to 24.328.                                                       

                                                                                

7       (7)  After the hearing, the  The department shall render                    

                                                                                

8   its  a decision in writing within 10 business days after the               

                                                                                

9   hearing held under subsection (4) and, by order, shall either               

                                                                                

10  declare the seized property subject to seizure and forfeiture, or           

                                                                                

11  declare the property returnable in whole or in part to the person           

                                                                                

12  entitled to possession.                                                     

                                                                                

13      (8) If, within 10 business days after the date of service of                

                                                                                

14  the inventory statement required by subsection (1), the person              

                                                                                

15  from whom the property was seized or any person claiming an                 

                                                                                

16  interest in the property does not file with the department a                

                                                                                

17  demand for a hearing before the department, the property seized             

                                                                                

18  shall be considered forfeited to the state by operation of law              

                                                                                

19  and may be disposed of by the department as provided in this                

                                                                                

20  section.                                                                    

                                                                                

21      (9) If, after a hearing, the department determines that the                 

                                                                                

22  property described in subsection (1) is lawfully subject to                 

                                                                                

23  seizure and forfeiture and the person from whom the property was            

                                                                                

24  seized or any persons claiming an interest in the property do not           

                                                                                

25  take an appeal to the circuit court of the county in which the              

                                                                                

26  seizure was made within the time prescribed in this section, the            

                                                                                

27  property seized shall be considered forfeited to the state by               


                                                                                

1   operation of law and may be disposed of by the department as                

                                                                                

2   provided in this section.                                                   

                                                                                

3       (10)  If a person is aggrieved by the  A person aggrieved by                

                                                                                

4   a decision of the department  , that person  under this section             

                                                                                

5   may appeal to the circuit court of the county where the seizure             

                                                                                

6   was made to obtain a judicial determination of the lawfulness of            

                                                                                

7   the seizure and forfeiture.  The action shall be commenced within           

                                                                                

8   20 days after notice of the department's determination is sent to           

                                                                                

9   the person or persons claiming an interest in the seized                    

                                                                                

10  property.  The court shall hear the action and determine the                

                                                                                

11  issues of fact and law involved in accordance with rules of                 

                                                                                

12  practice and procedure as in other in rem proceedings.  If a                

                                                                                

13  judicial determination of the lawfulness of the seizure and                 

                                                                                

14  forfeiture cannot be made before deterioration of any of the                

                                                                                

15  property seized, the court shall order the sale of the property             

                                                                                

16  with public notice as determined by the court and require the               

                                                                                

17  proceeds to be deposited with the court until the lawfulness of             

                                                                                

18  the seizure and forfeiture is finally adjudicated.                          

                                                                                

19      (11) Section 2974 of the revised judicature act of 1961, 1961               

                                                                                

20  PA 236, MCL 600.2974, applies to a motor vehicle that has been              

                                                                                

21  seized under this act but not finally forfeited.                            

                                                                                

22      (12)  (11)  During the pendency of any  filing for  appeal,                 

                                                                                

23  hearing, or  rendering of  decision, the aggrieved person and the           

                                                                                

24  department may by mutual consent agree to sale of the fuel in               

                                                                                

25  order to facilitate release of the vehicle containing the fuel.             

                                                                                

26  The proceeds from the sale shall be held in escrow by the                   

                                                                                

27  department pending the department's decision and an appeal, if              


                                                                                

1   any, from the department's decision.                                        

                                                                                

2       (13)  (12)  The department may sell fuel forfeited under this               

                                                                                

3   act at public sale.  Public notice of the sale shall be given at            

                                                                                

4   least 5 days before the date of sale.  The department may pay an            

                                                                                

5   amount not to exceed 25% of the proceeds of the sale to the local           

                                                                                

6   governmental unit whose law enforcement agency performed the                

                                                                                

7   seizure.  The balance of the proceeds derived from the sale by              

                                                                                

8   the department shall be credited to the Michigan transportation             

                                                                                

9   fund.                                                                       

                                                                                

10      Enacting section 1.  This amendatory act does not take                      

                                                                                

11  effect unless Senate Bill No. 259                                           

                                                                                

12                           of the 92nd Legislature is enacted into            

                                                                                

13  law.