February 18, 2015, Introduced by Rep. Santana and referred to the Committee on Local Government.
A bill to amend 1978 PA 368, entitled
"Public health code,"
by amending section 7524 (MCL 333.7524), as amended by 2011 PA 161.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 7524. (1) When property is forfeited under this article,
the local unit of government that seized the property may do any of
the following, or if the property is seized by or in the custody of
the state, the state may do any of the following, subject to
section 7523(1)(d):
(a) Retain it for official use.
(b) Sell that which is not required to be destroyed by law and
which is not harmful to the public. The proceeds and any money,
negotiable instruments, securities, or any other thing of value as
described in section 7521(1)(f) that are forfeited under this
article shall be deposited with the treasurer of the entity having
budgetary authority over the seizing agency and applied as follows:
(i) For the payment of proper expenses of the proceedings for
forfeiture and sale, including expenses incurred during the seizure
process, maintenance of custody, advertising, and court costs,
except as otherwise provided in subsection (4).
(ii) The balance remaining after the payment of expenses shall
be distributed by the court having jurisdiction over the forfeiture
proceedings to the treasurer of the entity having budgetary
authority over the seizing agency. If more than 1 agency was
substantially involved in effecting the forfeiture, the court
having jurisdiction over the forfeiture proceeding shall equitably
distribute the money among the treasurers of the entities having
budgetary authority over the seizing agencies. A seizing agency
operating in a municipality with a population of 600,000 or more
shall direct 5% of the funds under this subsection to a community
organization operating within that municipality. A seizing agency
may direct that the remaining funds or a portion of the remaining
funds it would otherwise have received under this subsection be
paid to nonprofit organizations whose primary activity is to assist
law enforcement agencies with drug-related criminal investigations
and obtaining information for solving crimes. The money received by
a seizing agency under this subparagraph and all interest and other
earnings on money received by the seizing agency under this
subparagraph shall be used only for law enforcement purposes, as
appropriated by the entity having budgetary authority over the
seizing agency. A distribution made under this subparagraph shall
serve as a supplement to, and not a replacement for, funds
otherwise budgeted for law enforcement purposes.
(c) Require the administrator to take custody of the property
and remove it for disposition in accordance with law.
(d) Forward it to the bureau for disposition.
(2) Notwithstanding subsection (1), this state or local units
of government may donate lights for plant growth or scales
forfeited under this article to elementary or secondary schools or
institutions of higher education that request in writing to receive
those lights or scales pursuant to this subsection, for educational
purposes. This state or local units of government shall donate
lights and scales under this subsection to elementary or secondary
schools or institutions of higher education in the order in which
the written requests are received. This state or local units of
government may limit the number of lights and scales available to
each requestor.
(3) In the course of selling real property under subsection
(1)(b), the court that has entered an order of forfeiture may, on
motion of the agency to whom the property has been forfeited,
appoint a receiver to dispose of the real property forfeited. The
receiver
shall be is entitled to reasonable compensation. The
receiver
shall have has authority to do all of the following:
(a) List the forfeited real property for sale.
(b) Make whatever arrangements are necessary for the
maintenance and preservation of the forfeited real property.
(c) Accept offers to purchase the forfeited real property.
(d) Execute instruments transferring title to the forfeited
real property.
(4) If a court enters an order of forfeiture, the court may
order a person who claimed an interest in the forfeited property
under section 7523(1)(c) to pay the expenses of the proceedings of
forfeiture to the entity having budgetary authority over the
seizing agency.
(5) As used in this section, "community organization" means an
organization exempt from taxation under section 501(c)(3) of the
internal revenue code of 1986.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.