HOUSE BILL No. 5292

 

October 11, 2007, Introduced by Reps. Stakoe, Knollenberg, Stahl, Pearce, Spade, Nitz, Booher, Steil, Nofs, Meekhof, Gaffney, David Law and Polidori and referred to the Committee on Judiciary.

 

     A bill to amend 1961 PA 236, entitled

 

"Revised judicature act of 1961,"

 

(MCL 600.101 to 600.9947) by adding section 2977.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 2977. (1) In a civil action pending in circuit court in

 

which the complaint or counterclaim asserts a claim arising under

 

the Michigan zoning enabling act, 2006 PA 110, MCL 125.3101 to

 

125.3702, the court may designate a referee to conduct a hearing as

 

provided in this section in order to establish the evidentiary

 

basis for the court's subsequent decision in the case. The court

 

shall not designate a referee under this section unless it

 

determines that it would be in the interest of the parties.

 

     (2) The order designating the referee shall specify whether

 

the referee is to make proposed findings and recommendations to the

 

court as part of the record in the case.

 


     (3) If a case is ordered for a hearing by a referee under this

 

section, any party may petition the court for removal from the

 

hearing of any claim unrelated to zoning, or for other modification

 

or addition of the order.

 

     (4) The parties may stipulate to the selection of a referee. A

 

referee selected by agreement of the parties need not meet the

 

qualifications listed in section 2978. If the court determines that

 

a case is appropriate for application under this section, the court

 

must appoint a referee stipulated to by the parties, if that

 

individual is willing to serve within a period that would not

 

interfere with the court's scheduling of the case for trial.

 

     (5) If the order referring the case for the establishment of a

 

record by a referee does not specify the identity of a referee, the

 

order shall set the date by which the parties are to have conferred

 

on the selection of a referee. If the parties do not advise the

 

court clerk of the referee agreed upon by that date, the court

 

shall appoint one as provided in subsection (6).

 

     (6) The procedure for selecting a referee from the approved

 

list of referees must be established by the judges of each judicial

 

circuit. The court clerk shall assign referees in a rotating manner

 

that assures as nearly as possible that each referee on the list is

 

assigned approximately the same number of cases over a period of

 

time. If a substitute referee must be assigned, the same or similar

 

assignment procedure shall be used to select the substitute.

 

     (7) The rule for disqualification of a referee designated

 

under this section is the same as that provided in the Michigan

 

court rules for the disqualification of a judge. The referee must

 


promptly disclose any potential basis for disqualification.

 

     (8) The contents of the order appointing the referee shall

 

include the following:

 

     (a) Whether the referee is to make proposed findings and

 

recommendations as part of the record made, and, if so, the

 

procedure and timing for each party to object to such findings and

 

recommendations.

 

     (b) The circumstances, if any, in which the referee may

 

communicate ex parte with the court or a party.

 

     (c) The time within which the hearing is to be completed.

 

     (d) The manner in which the referee is to be compensated.

 

     (e) Whether the referee has been appointed by stipulation or

 

by court assignment.

 

     (f) Any directions and authority for the referee with regard

 

to the timing and completion of discovery, and any participation of

 

the referee in connection with the resolution of disputes with

 

regard to discovery.

 

     (g) Authority, if any, of the referee to enter orders, and the

 

process to be used for that purpose.

 

     (h) Any other terms the court deems relevant.

 

     (9) The court clerk shall send a copy of the order appointing

 

the referee to each party and to the referee selected. Upon receipt

 

of the court's order, the referee shall promptly confer with the

 

parties to schedule the hearing in accordance with the order. After

 

conferring with the parties, the referee may make a recommendation

 

to the court for entry of an order specifying the timing and means

 

for the completion of discovery. However, before entry of an order

 


by the court, the parties shall have the opportunity to notice a

 

motion for hearing objecting to entry of an order in the form

 

recommended by the referee, with the hearing date on such motion to

 

be not more than 21 days following the date of the referee's

 

recommendation.

 

     (10) The referee shall prepare and serve on the parties, and

 

file with the court in connection with the case, a notice

 

containing all of the following:

 

     (a) The identity of all parties who will participate in the

 

hearing.

 

     (b) The issues to be presented at the hearing, and a

 

specification of all unresolved issues in the case that will not be

 

presented at the hearing before the referee.

 

     (c) The schedule for conducting the hearing.

 

     (d) All documents to be submitted to the referee, and a

 

schedule for that submission, including, without limitation,

 

documents or summaries providing information about the case in

 

advance of the hearing.

 

     (11) The referee shall conduct the hearing in accordance with

 

the Michigan court rules and rules of evidence applicable to and

 

customary in nonjury trials.

 

     (12) Within 21 days after the completion of the hearing, and

 

production of the record, the referee shall send a notice to the

 

court for filing in the case, with a copy to the judge assigned to

 

the case, stating that the hearing has been conducted. Within 28

 

days of the filing of the notice, the entire record, including any

 

findings and conclusions made by the referee, if applicable, and

 


all exhibits, shall be forwarded to the court for filing in the

 

case, after which a status conference shall be held with the court

 

for determination of an order directing further proceedings leading

 

to the finalization of the issues that were the subject of the

 

hearing before the referee.

 

     (13) If the case is settled during the hearing process, the

 

attorneys shall prepare and submit to the court within 21 days the

 

appropriate documents to conclude the case. Upon motion of the

 

parties, the court may extend the time for such submission.

 

     (14) A verbatim record of the hearing shall be made by a court

 

reporter or recorder. In addition, any party shall be permitted, at

 

his, her, or its expense, to make a video record of any witnesses,

 

or of any site relevant to the issues in the hearing. The referee

 

shall take reasonable steps to ensure that any video recording of a

 

site is fair and impartial in its presentation.

 

     (15) A referee is entitled to reasonable compensation based on

 

an hourly rate commensurate with the referee's experience and usual

 

charges for services performed.

 

     (16) The cost of the referee and of conducting the proceedings

 

before the referee shall be divided between the parties on a pro

 

rata basis unless otherwise agreed by the parties or ordered by the

 

court. The referee's fee shall be paid no later than the earlier of

 

the following:

 

     (a) Forty-two days after the hearing process is concluded.

 

     (b) The entry of judgment.

 

     (c) The dismissal of the action.

 

     (17) Subject to objection of the referee, the court may order

 


an arrangement for the payment of the referee's fee other than that

 

provided in subsection (16).

 

     (18) The referee's fee is deemed a cost of the action, and the

 

court may make an appropriate order to enforce the payment of the

 

fee.

 

     (19) If a party objects to the total fee of the referee, the

 

matter may be scheduled before the trial judge for determination of

 

the reasonableness of the fee.

 

     Enacting section 1. This amendatory act does not take effect

 

unless Senate Bill No.____ or House Bill No. 5293(request no.

 

00353'07 *) of the 94th Legislature is enacted into law.