SENATE JOINT RESOLUTION C

 

 

January 20, 2015, Introduced by Senator CASPERSON and referred to the Committee on Outdoor Recreation and Tourism.

 

 

 

     A joint resolution proposing an amendment to the state

 

constitution of 1963, by amending section 35 of article IX, to

 

provide for the use of certain revenues generated from leases for

 

the extraction of nonrenewable resources from state-owned lands and

 

to modify the allowable expenditures from the Michigan natural

 

resources trust fund.

 

     Resolved by the Senate and House of Representatives of the

 

state of Michigan, That the following amendment to the state

 

constitution of 1963, to provide for the use of certain revenues

 

generated from leases for the extraction of nonrenewable resources

 

from state-owned lands and to modify the allowable expenditures

 

from the Michigan natural resources trust fund, is proposed, agreed

 

to, and submitted to the people of the state:

 

ARTICLE IX

 

     Sec. 35. There is hereby established the Michigan natural


 

resources trust fund. The Except as otherwise provided in this

 

section, the trust fund shall consist of all bonuses, rentals,

 

delayed rentals, and royalties collected or reserved by the state

 

under provisions of leases for the extraction of nonrenewable

 

resources from state owned lands, except such revenues accruing

 

under leases of state owned lands acquired with money from state or

 

federal game and fish protection funds or revenues accruing from

 

lands purchased with such revenues. The trust fund may receive

 

appropriations, money, or other things of value. The assets of the

 

trust fund shall be invested as provided by law.

 

     Until the trust fund reaches an accumulated principal of

 

$500,000,000.00, $10,000,000.00 of the revenues from bonuses,

 

rentals, delayed rentals, and royalties described in this section

 

otherwise dedicated to the trust fund that are received by the

 

state each state fiscal year shall be deposited into the Michigan

 

state parks endowment fund. However, until the trust fund reaches

 

an accumulated principal of $500,000,000.00, in any state fiscal

 

year, not more than 50 percent of the total revenues from bonuses,

 

rentals, delayed rentals, and royalties described in this section

 

otherwise dedicated to the trust fund that are received by the

 

state each state fiscal year shall be deposited into the Michigan

 

state parks endowment fund.

 

     The amount accumulated in the trust fund in any state fiscal

 

year shall not exceed $500,000,000.00, exclusive of interest and

 

earnings and amounts authorized for expenditure pursuant to this

 

section. When the accumulated principal of the trust fund reaches

 


$500,000,000.00, all revenue Until the Michigan state parks

 

endowment fund reaches an accumulated principal of $400,000,000.00,

 

40 percent of the revenues from bonuses, rentals, delayed rentals,

 

and royalties described in this section that would be received by

 

the trust fund but for this limitation shall be deposited into the

 

Michigan state parks endowment fund. until the Michigan state parks

 

endowment fund reaches an accumulated principal of $800,000,000.00.

 

When the Michigan state parks endowment fund reaches an accumulated

 

principal of $800,000,000.00, all revenues from bonuses, rentals,

 

delayed rentals, and royalties described in this section shall be

 

distributed as provided by law.

 

     The accumulated principal of the trust fund shall not be

 

expended. However, the interest and earnings of the trust fund

 

shall be expended for the 1 or more of the following:

 

     (a) The acquisition of land or rights in land for recreational

 

uses or protection of the land because of its environmental

 

importance or its scenic beauty. , for the

 

     (b) The management of land and water resources for

 

recreational purposes.

 

     (c) The development of public recreation facilities. , and for

 

the

 

     (d) The development and maintenance of trails and roads on

 

state-owned land.

 

     (e) Infrastructure directly related to natural-resource-based

 

industries, including timber harvesting and mining.

 

     (f) Infrastructure on waterways, including breakwaters and

 

dredging operations.

 


     (g) Payments in lieu of taxes on state-owned land.

 

     (h) The administration of the trust fund. , which may include

 

payments in lieu of taxes on state owned land purchased through the

 

trust fund.

 

     The trust fund may provide grants to units of local government

 

or public authorities which shall be used for the purposes of this

 

section. The legislature shall provide that a portion of the cost

 

of a project funded by such grants be provided by the local unit of

 

government or public authority.

 

     Until the trust fund reaches an accumulated principal of

 

$500,000,000.00, the The legislature may provide, in addition to

 

the expenditure of interest and earnings authorized by this

 

section, that a portion, not to exceed 33-1/3 percent, of the

 

revenues or a portion of the revenues from bonuses, rentals,

 

delayed rentals, and royalties described in this section received

 

by the trust fund during each state fiscal year may be expended

 

during subsequent state fiscal years for the purposes of this

 

section.

 

     Not less than 25 percent of the total amounts made available

 

for expenditure from the trust fund from any state fiscal year

 

shall be expended for acquisition of land and rights in land and

 

not more than 25 percent of the total amounts made available for

 

expenditure from the trust fund from any state fiscal year shall be

 

expended for development of public recreation facilities.

 

     The legislature shall provide by law for the establishment of

 

a trust fund board within the department of natural resources. The

 

trust fund board shall recommend the projects to be funded. The

 


board shall submit its recommendations to the governor who shall

 

submit the board's recommendations to the legislature in an

 

appropriations bill.

 

     The legislature shall provide by law for the implementation of

 

this section.

 

     Resolved further, That the foregoing amendment shall be

 

submitted to the people of the state at the next general election

 

in the manner provided by law.