December 2, 2014, Introduced by Rep. Price and referred to the Committee on Local Government.
A bill to amend 1948 (1st Ex Sess) PA 31, entitled
"An act to provide for the incorporation of authorities to acquire,
furnish, equip, own, improve, enlarge, operate, and maintain
buildings, automobile parking lots or structures, transit-oriented
developments, transit-oriented facilities, recreational facilities,
stadiums, and the necessary site or sites therefor, together with
appurtenant properties and facilities necessary or convenient for
the effective use thereof, for the use of any county, city,
village, or township, or for the use of any combination of 2 or
more counties, cities, villages, or townships, or for the use of
any school district and any city, village, or township wholly or
partially within the district's boundaries, or for the use of any
school district and any combination of 2 or more cities, villages,
or townships wholly or partially within the district's boundaries,
or for the use of any intermediate school district and any
constituent school district or any city, village, or township,
wholly or partially within the intermediate school district's
boundaries; to provide for compensation of authority commissioners;
to permit transfers of property to authorities; to authorize the
execution of contracts, leases, and subleases pertaining to
authority property and the use of authority property; to authorize
incorporating units to impose taxes without limitation as to rate
or amount and to pledge their full faith and credit for the payment
of contract of lease obligations in anticipation of which bonds are
issued by an authority; to provide for the issuance of bonds by
such authorities; to validate action taken and bonds issued; to
provide other powers, rights, and duties of authorities and
incorporating units, including those for the disposal of authority
property; and to prescribe penalties and provide remedies,"
by amending sections 5, 6, 8b, and 10 (MCL 123.955, 123.956,
123.958b, and 123.960), sections 5 and 6 as amended by 1995 PA 147
and section 8b as amended by 2013 PA 256.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 5. (1) The articles of incorporation shall set forth all
of the following:
(a) The name of the authority.
(b) The name or names of the unit or units incorporating the
authority.
(c) The purpose for which the authority is incorporated.
(d) The number, terms, and manner of selection of the officers
of the authority including its governing body, which shall be known
as the "commission".
(e) The powers and duties of the authority and of its
officers.
(f)
The date upon which the authority shall become becomes
effective.
(g) The officer required to publish or post the articles of
incorporation. and
the name of the newspaper in which the articles
of
incorporation shall be published.
(h) The county with whose clerk the articles of incorporation
shall be filed, which shall be a county that is an incorporating
unit or in which an incorporating unit is located.
(i) Any other matters considered expedient.
(2) A member of the governing body of an incorporating unit of
an authority is not eligible for membership or appointment to the
authority.
Sec.
6. (1) The Before January
1, 2015, the officer designated
in the articles of incorporation shall cause a copy of the articles
of incorporation or a summary of the articles to be published once
in
a newspaper designated in the articles of incorporation and
circulating within the incorporating units accompanied by a
statement that the right exists to question the incorporation in
court as provided in this section. Beginning January 1, 2015, the
officer designated in the articles of incorporation shall provide
tier B public notice with a link of the articles of incorporation
or a summary of the articles of incorporation, accompanied by a
statement that the right exists to question the incorporation in
court as provided in this section, as set forth in the local
government public notice act. The officer shall file with the
county clerk of the county designated under section 5(1)(h) and the
secretary of state a certified copy of the articles of
incorporation
with a certificate of the date and newspaper of
publication.
method of providing notice. The officer shall file
with the recording officer of the authority, when selected, the
original articles of incorporation with a certificate of the date
and
newspaper of publication.method
of providing notice.
(2)
The authority shall become becomes
effective at the time
provided in the articles of incorporation.
(3)
The validity of the incorporation shall be is conclusively
presumed unless questioned in a court of competent jurisdiction
within 60 days after the filing of the certified copies with the
secretary of state and the county clerk.
Sec. 8b. (1) The governing body of an incorporating unit may,
by a majority vote of its members, authorize the execution of a
full faith and credit general obligation contract of lease with an
authority.
(2) The governing body may adopt a resolution submitting the
contract to a vote of the electors. If the governing body adopts
the resolution submitting the contract to a vote of the electors,
the contract shall not take effect unless approved by a majority of
the electors of the incorporating unit voting on the question. The
contract shall be submitted at the next general or primary election
to be held not earlier than the twelfth Tuesday after the date of
the resolution or at a special election to be held not earlier than
the twelfth Tuesday after the date of the resolution as determined
by the clerk of the incorporating unit subject to the Michigan
election law, 1954 PA 116, MCL 168.1 to 168.992. The clerk shall
also determine the ballot language of the question.
(3)
If Before January 1, 2015,
if the governing body does not
adopt a resolution submitting the contract to a vote of the
electors,
the contract shall become becomes
effective 60 days after
a notice of intention of entering into the contract has been
published in a newspaper of general circulation in the
incorporating unit or units unless a sufficient petition for
referendum requesting an election on the contract is filed with the
clerk of the incorporating unit within 45 days after the notice is
published. Beginning January 1, 2015, if the governing body does
not adopt a resolution submitting the contract to a vote of the
electors, the contract becomes effective 60 days after tier B
public notice with a link of the notice of intention of entering
into the contract is provided as set forth in the local government
public notice act unless a sufficient petition for referendum
requesting an election on the contract is filed with the clerk of
the incorporating unit within 45 days after the notice is provided.
A referendum petition shall be signed by not less than 10% or
15,000 of the registered electors of the incorporating unit,
whichever is less. If a sufficient petition is filed, the contract
shall not take effect unless approved by a majority of the electors
of the incorporating unit voting on the question. The clerk of the
incorporating unit shall determine the date of the election and the
ballot
language as provided under subsection (2). The Before
January 1, 2015, the notice of intention of entering into contract
shall be directed to the electors and taxpayers of the
incorporating
unit, shall be published in a newspaper which that is
determined by the governing body of the incorporating unit to be
the newspaper reaching the largest number of persons to whom the
notice is directed, and shall state the maximum amount of bonds
authorized
to be issued, the purpose thereof, of the bonds, source
of
payment and right of referendum thereon, on the bonds, and such
any
other information as the
governing body of the incorporating
unit
may consider considers necessary to adequately inform the
taxpayers and electors of the incorporating unit of the nature of
the contractual obligation. Beginning January 1, 2015, the notice
of intention of entering into contract shall be directed to the
electors and taxpayers of the incorporating unit and tier B public
notice with a link of the notice of intention of entering into
contract stating the maximum amount of bonds authorized to be
issued, the purpose of the bonds, source of payment and right of
referendum on the bonds, and any other information as the governing
body of the incorporating unit considers necessary to adequately
inform the taxpayers and electors of the incorporating unit of the
nature of the contractual obligation shall be provided as set forth
in the local government public notice act. Signatures on the
petition shall be verified by the circulator under oath as the
actual signatures of the persons whose names are signed on the
petition and the clerk or other recording officer of the
incorporating unit shall have the same power to reject signatures
and petitions as city clerks under section 25 of the home rule city
act, 1909 PA 279, MCL 117.25. The number of registered electors in
any incorporating unit shall be determined by its registration
records, or, if it does not take registrations, by the appropriate
city and township registration records. A notice of intention and
publication or posting is not required if the contract of lease
states that it is not a full faith and credit obligation of the
incorporating unit or units.
(4) An election under this section shall not be included in
any statutory or charter limitation on the number of special
elections to be called within a particular period of time.
Sec. 10. Amendments may be made to articles of incorporation
if
adopted by the legislative body of each incorporating unit. :
Provided,
That no such An amendment shall not impair the obligation
of
any bond or other contract. Any city or village which that is
the
county seat of a county incorporating an authority under the
provisions
of this act , may become an incorporating unit of the
authority by amendment to the articles of incorporation adopted by
the
legislative body of such the
city or village and by the
legislative
body of the county. Any such The
city or village shall
thereafter
be deemed to be considered
an incorporating unit. Each
amendment shall be adopted, executed, and published or posted, and
certified
printed copies filed, in the same manner as above
specified
for the original articles of incorporation, in so far as
applicable.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No.____ or House Bill No. 5560 (request no.
03796'13) of the 97th Legislature is enacted into law.