SB-0302, As Passed Senate, October 19, 2017

SUBSTITUTE FOR

SENATE BILL NO. 302

     A bill to amend 1994 PA 451, entitled

"Natural resources and environmental protection act,"

by amending the heading of subpart 1 of part 21 and amending

sections 301, 503, 504, 1901, 1903, 2010, 2101, 2104, 2106, 2126,

2130, 2131, 2132, 2136, 40501, 52502, 52503, 52506, and 72118 (MCL

324.301, 324.503, 324.504, 324.1901, 324.1903, 324.2010, 324.2101,

324.2104, 324.2106, 324.2126, 324.2130, 324.2131, 324.2132,

324.2136, 324.40501, 324.52502, 324.52503, 324.52506, and

324.72118), section 301 as amended and section 2010 as added by

2004 PA 587, section 503 as amended by 2012 PA 294, section 504 as

amended by 2009 PA 47, sections 1901, 2101, 2106, 2130, and 2136 as

added by 1995 PA 60, section 1903 as amended by 2011 PA 117,

section 2104 as amended by 1998 PA 28, section 2126 as amended by

2011 PA 323, sections 2131 and 2132 as amended by 2012 PA 622,

section 40501 as amended by 2008 PA 416, sections 52502, 52503, and

52506 as added by 2004 PA 125, and section 72118 as added by 2016

PA 288, and by adding sections 2132a, 2137, and 2138.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 301. Except as otherwise defined in this act, as used in

this act:

     (a) "Commission" means the commission of natural resources.

     (b) "Department" means the director of the department of

natural resources or his or her designee to whom the director

delegates a power or duty by written instrument.

     (c) "Department of natural resources" means the principal

state department created in section 501.

     (d) "Director" means the director of the department of natural

resources.

     (e) "Local unit of government" or "local unit" means a

municipality or county.

     (f) "Michigan conservation and recreation legacy fund" means

the Michigan conservation and recreation legacy fund established in

section 40 of article IX of the state constitution of 1963 and

provided for in section 2002.

     (g) "Municipality" means a city, village, or township.

     (h) "Person" means an individual, partnership, corporation,

association, governmental entity, or other legal entity.

     (i) "Public domain" means all land owned by the this state or

land deeded to the this state under state law.

     (j) "Rule" means a rule promulgated pursuant to the

administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to

24.328.

     Sec. 503. (1) The department shall protect and conserve the

natural resources of this state; provide and develop facilities for

outdoor recreation; prevent the destruction of timber and other

forest growth by fire or otherwise; promote the reforesting of

forestlands belonging to this state; prevent and guard against the

pollution of lakes and streams within this state and enforce all

laws provided for that purpose with all authority granted by law;

and foster and encourage the protection and propagation of game and

fish. Before issuing an order or promulgating a rule under this act

that will designate or classify land managed by the department for

any purpose, the department shall consider, in addition to any

other matters required by law, both of the following:

     (a) Providing for access to and use of the public land for

recreation and tourism.

     (b) The existence of or potential for natural resources-based

industries, including forest management, mining, or oil and gas

development on the public land.

     (2) The department has the power and jurisdiction over the

management, control, and disposition of all land under the public

domain, except for those lands under the public domain that are

managed by other state agencies to carry out their assigned duties

and responsibilities. On behalf of the people of this state, the

department may accept gifts and grants of land and other property

and may buy, sell, exchange, or condemn land and other property,

for any of the purposes of this part. Beginning September 30, 2012,

the The department shall not acquire surface rights to land unless

the department has estimated the amount of annual payments in lieu

of taxes on the land, posted the estimated payments on its website

for at least 30 days, and notified the affected local units of the

estimated payments at least 30 days before the acquisition.

     (3) Before May 1, 2015, the department shall not acquire

surface rights to land if the department owns, or as a result of

the acquisition will own, the surface rights to more than 4,626,000

acres of land.

     (4) Beginning May 1, 2015, the department shall not acquire

surface rights to land north of the Mason-Arenac line if the

department owns, or as a result of the acquisition will own, the

surface rights to more than 3,910,000 acres of land north of the

Mason-Arenac line. This subsection does not apply after the

enactment of legislation adopting the strategic plan.

     (3) If any payment under subpart 13 or 14 of part 21 or

section 51106 for land located north of the Mason-Arenac line is

not made in full and on time during a fiscal year, then, until the

end of that fiscal year, the department shall not acquire surface

rights to land located anywhere in this state unless 1 or both of

the following apply:

     (a) Full payment is made later during that fiscal year.

     (b) The specific acquisition is approved by resolution adopted

by the legislative body of the county where the land is located.

(4) (5) For the purposes of subsections (3) and (4), the

number of acres of (9), respectively, land in which the department

acquires or owns surface rights does not include any of the

following:

     (a) Land acquired under an option agreement in effect on the

date when the payment described in subsection (3) became due if the

acquisition takes place within 60 days after the payment became

due.

(b) (a) Land in which the department has a conservation

easement.

(c) (b) Land that, before July 2, 2012, was platted under the

land division act, 1967 PA 288, MCL 560.101 to 560.293, or a

predecessor act before July 2, 2012 if and acquired by the

department. before July 2, 2012.

(d) (c) Any of the following if acquired on or after July 2,

2012:

     (i) Land with an area of not more than 80 acres, or a right-

of-way, for accessing other land owned by the department.

     (ii) A trail, subject to all of the following:

     (A) If the traveled portion of the trail is located within an

abandoned railroad right-of-way, the land excluded is limited to

the abandoned railroad right-of-way.

     (B) If the traveled portion of the trail is located in a

utility easement, the land excluded is limited to the utility

easement.

     (C) If sub-subparagraphs (A) and (B) do not apply, the land

excluded is limited to the traveled portion of the trail and

contiguous land. The For the purposes of the exclusion, the area of

the contiguous land shall not exceed the product of 100 feet

multiplied by the length of the trail in feet.

     (iii) Land that, on July 2, 2012 was commercial forestland as

defined in section 51101 if the land continues to be used in a

manner consistent with part 511.

     (iv) Land acquired by the department by gift, including the

gift of funds specifically dedicated to land acquisition.

     (v) Land acquired by the department through litigation.

(5) (6) The department shall maintain a record of land as

described in subsection (5)(a) (4)(a) to (c). (d). The record shall

include the location, acreage, date of acquisition, and use of the

land. The department shall post and maintain on its website all of

the following information:

     (a) The number of acres of land, including land as described

in subsection (5), in which the department owns surface rights

north of the Mason-Arenac line, south of the Mason-Arenac line, in

total for this state, and by program.

     (b) The number of acres of land, excluding land as described

in subsection (5), in which the department owns surface rights

north of the Mason-Arenac line, south of the Mason-Arenac line, in

total for this state, and by program.

(6) (7) By October 1, 2014, the department shall develop a

written strategic plan to guide the acquisition and disposition of

state lands managed by the department, submit the plan to the

senate and house committees with primary responsibility for natural

resources and outdoor recreation and the corresponding

appropriation subcommittees, relevant legislative committees, and

post the plan on the department's website. In developing the plan,

the department shall solicit input from the public and local units

of government.

(7) (8) The strategic plan shall do all of the following:

     (a) Divide this state into regions.

     (b) Identify lands managed by the department in each region.

     (c) Set forth for each region measurable strategic performance

goals with respect to all of the following for land managed by the

department:

     (i) Maximizing availability of points of access to the land

and to bodies of water on or adjacent to the land.

     (ii) Maximizing outdoor recreation opportunities.

     (iii) Forests.

     (iv) Wildlife and fisheries.

     (d) To assist in achieving the goals set forth in the

strategic plan pursuant to subdivision (c), identify all of the

following:

     (i) Land to be acquired.

     (ii) Land to be disposed of.

     (iii) Plans for natural resource management.

     (e) To the extent feasible, identify public lands in each

region that are not managed by the department but affect the

achievement of the goals set forth in the strategic plan pursuant

to subdivision (c).

     (f) Identify ways that the department can better coordinate

the achievement of the goals set forth in the strategic plan

pursuant to subdivision (c), recognizing that public lands are

subject to multiple uses and both motorized and nonmotorized uses.

     (g) Identify critical trail connectors to enhance motorized

and nonmotorized natural-resource-dependent outdoor recreation

activities for public enjoyment.

     (9) The department shall not implement the strategic plan as

it applies to land north of the Mason-Arenac line. This subsection

does not apply after the enactment of legislation adopting the

strategic plan.

     (10) The department shall annually report on the

implementation of the plan and submit and post the report in the

manner provided in subsection (7).

(8) (11) Beginning July 2, 2020 The legislature approves the

strategic plan entitled "Department of Natural Resources Managed

Public Land Strategy" issued by the department and dated July 1,

2013. The department shall implement the most recent legislatively

approved strategic plan and shall not change the plan except by a

plan update proposed pursuant to subsection (10) and subsequently

approved by the legislature.

     (9) The department shall annually submit to the relevant

legislative committees and post and annually update on the

department's website all of the following:

     (a) A report on the implementation of the plan.

     (b) The number of acres of land in which the department owns

surface rights north of the Mason-Arenac line, south of the Mason-

Arenac line, and in total for this state.

     (c) Information on the total number of each of the following:

     (i) Acres of land managed by the department.

     (ii) Acres of state park and state recreation area land.

     (iii) Acres of state game and state waterfowl areas.

     (iv) Acres of land managed by the department and open for

public hunting.

     (v) Acres of state-owned mineral rights managed by the

department that are under a development lease.

     (vi) Acres of state forestland.

     (vii) Public boating access sites managed by the department.

     (viii) Miles of motorized trails managed by the department.

     (ix) Miles of nonmotorized trails managed by the department.

     (10) For legislative consideration and approval, as provided

in subsection (8), by July 1, 2021, and every 6 5 years thereafter,

the department shall propose an update to the strategic plan, and

submit and post the updated plan in the manner provided in

subsection (7). submit the proposed updated plan to the relevant

legislative committees, and post the proposed updated plan on the

department's website. At least 60 days before posting the proposed

updated plan, the department shall prepare, submit , and post in

the manner provided in subsection (7) a report on progress to the

relevant legislative committees, and post on the department's

website a report that covers all of the following and includes

department contact information for persons who wish to comment on

the report:

     (a) Progress toward the goals set forth in the strategic plan

pursuant to subsection (8)(c) in portions of this state where,

subject to subsection (9), the plan is being implemented and any

(7)(c).

     (b) Any proposed changes to the goals, including the rationale

for the changes. The submittal and posting shall include department

contact information for persons who wish to comment on the report.

     (c) The department's engagement and collaboration with local

units of government.

(11) (12) At least 30 days before acquiring or disposing of

land, the department shall submit to the senate and house

committees with primary responsibility for natural resources and

outdoor recreation and the corresponding appropriations

subcommittees relevant legislative committees a statement

identifying the land and describing the effect of the proposed

transaction on achieving the goals set forth in the strategic plan

pursuant to subsection (8)(c). (7)(c). The statement shall include

department contact information for persons who wish to comment on

the acquisition or disposition and shall be in a standard format.

The department shall also post the statement on its website for at

least 30 days before the acquisition or disposition. This

subsection does not apply before the department submits the

strategic plan to legislative committees as required under

subsection (7).

     (12) If land owned by this state and managed by the

department, land owned by the federal government, and land that is

commercial forestland as defined in section 51101 constitute 40% or

more of the land in a county, before acquiring land in that county,

the department shall notify the legislative bodies of the county

and the township or townships where the land is located in writing

of the proposed acquisition. The notice shall include information

listed in subsection (13)(a)(i) to (iv). At the request of the

legislative body of the county or a township where the land is

located, the department shall send a representative to a meeting of

the county board of commissioners to provide testimony on the

proposed acquisition. The department shall not acquire the land if,

not more than 60 days after the department sent the notice of the

proposed acquisition to the county board of commissioners, the

department receives a copy of a resolution adopted by the county

board rejecting the proposed acquisition. However, despite the

county's rejection of the proposed acquisition, the department may

acquire the land if the department receives a copy of a resolution

approving the acquisition adopted by the township board of each

township where the land is located. The township board shall also

send a copy of such a resolution to the county board of

commissioners.

     (13) If subsection (12) does not apply to a county, the

department shall not acquire land in that county unless the

department has done all of the following:

     (a) At least 45 days before the acquisition, notified the

legislative bodies of the county and the township or townships

where the land is located of all of the following, in writing:

     (i) The location and acreage of the land.

     (ii) How the land will be used and estimated payments in lieu

of taxes.

     (iii) The effect the proposed acquisition is expected to have

on achieving the goals set forth in the strategic plan pursuant to

subsection (7)(c).

     (iv) Department contact information and the duration of the

comment period, for persons who wish to comment on the proposed

acquisition.

     (b) Provided an opportunity for representatives of all local

units of government where the land is located to meet in person

with a department representative to discuss the proposed

acquisition.

(14) (13) The department may accept funds, money, or grants

for development of salmon and steelhead trout fishing in this state

from the government of the United States, or any of its departments

or agencies, pursuant to the anadromous fish conservation act, 16

USC 757a to 757f, and may use this money in accordance with the

terms and provisions of that act. However, the acceptance and use

of federal funds does not commit state funds and does not place an

obligation upon the legislature to continue the purposes for which

the funds are made available.

(15) (14) The department may appoint persons to serve as

volunteers for the purpose of facilitating the responsibilities of

to assist the department in meeting its responsibilities as

provided in this part. Subject to the direction of the department,

a volunteer may use equipment and machinery necessary for the

volunteer service, including, but not limited to, equipment and

machinery to improve wildlife habitat on state game areas.

(16) (15) The department may lease lands owned or controlled

by the department or may grant concessions on lands owned or

controlled by the department to any person for any purpose that the

department determines to be necessary to implement this part. In

granting a concession, the The department shall provide that each

concession is awarded at least every grant each concession for a

term of not more than 7 years based on extension, renegotiation, or

competitive bidding. However, if the department determines that a

concession requires a capital investment in which reasonable

financing or amortization necessitates a longer term, the

department may grant a concession for up to a 15-year term. A

concession granted under this subsection shall require, unless the

department authorizes otherwise, that all buildings and equipment

shall be removed at the end of the concession's term. Any lease

entered into under this subsection shall limit the purposes for

which the leased land is to be used and shall authorize the

department to terminate the lease upon a finding that the land is

being used for purposes other than those permitted in the lease.

Unless otherwise provided by law, money received from a lease or a

concession of tax reverted land shall be credited to the fund

providing financial support for the management of the leased land.

Money received from a lease of all any other land shall be credited

to the fund from which the land was purchased. However, money

received from program-related leases on these lands shall be

credited to the fund providing financial support for the management

of the leased lands. For land managed by the forest management

division of the department, that fund is either the forest

development fund established pursuant to section 50507 or the

forest recreation account of the Michigan conservation and

recreation legacy fund provided for in section 2005. For land

managed by the wildlife or fisheries division of the department,

that fund is the game and fish protection account of the Michigan

conservation and recreation legacy fund provided for in section

2010.

(17) (16) When the department sells land, the deed by which

the land is conveyed may reserve all mineral, coal, oil, and gas

rights to this state only when if the land is in production or is

leased or permitted for production, or when if the department

determines that the land has unusual or sensitive environmental

features or that it is in the best interest of this state to

reserve those rights as determined by commission policy. However,

the department shall not reserve the rights to sand, gravel, clay,

or other nonmetallic minerals. When the department sells land that

contains subsurface rights, the department shall include a deed

restriction that restricts the subsurface rights from being severed

from the surface rights in the future. If the landowner severs the

subsurface rights from the surface rights, the subsurface rights

revert to this state. The deed may reserve to this state the right

of ingress and egress over and across land along watercourses and

streams. Whenever an exchange of land is made with the United

States government, a corporation, or an individual for the purpose

of consolidating the state forest reserves, the department may

issue deeds without reserving to this state the mineral, coal, oil,

and gas rights and the rights of ingress and egress. The department

may sell the limestone, sand, gravel, or other nonmetallic

minerals. However, the department shall not sell a mineral or

nonmetallic mineral right if the sale would violate part 353, part

637, or any other provision of law. The department may sell all

reserved mineral, coal, oil, and gas rights to such lands upon

terms and conditions as the department considers proper and may

sell oil and gas rights as provided in part 610. The owner of those

lands as shown by the records shall be given priority in case the

department authorizes any sale of those lands, and, unless the

landowner waives that priority, the department shall not sell such

rights to any other person. For the purpose of this section,

mineral rights do not include rights to sand, gravel, clay, or

other nonmetallic minerals.

(18) (17) The department may enter into contracts for the sale

of the economic share of royalty interests it holds in hydrocarbons

produced from devonian or antrim shale qualifying for the

nonconventional source production credit determined under section

45k of the internal revenue code of 1986, 26 USC 45k. However, in

entering into these contracts, the department shall assure ensure

that revenues to the natural resources trust fund under these

contracts are not less than the revenues the natural resources

trust fund would have received if the contracts were not entered

into. The sale of the economic share of royalty interests under

this subsection may occur under contractual terms and conditions

considered appropriate by the department and as approved by the

state administrative board. Funds received from the sale of the

economic share of royalty interests under this subsection shall be

transmitted to the state treasurer for deposit in the state

treasury as follows:

     (a) Net proceeds allocable to the nonconventional source

production credit determined under section 45k of the internal

revenue code of 1986, 26 USC 45k, under this subsection shall be

credited to the environmental protection fund created in section

503a.

     (b) Proceeds related to the production of oil or gas from

devonian or antrim shale shall be credited to the natural resources

trust fund or other applicable fund as provided by law.

(19) (18) As used in this section:

     (a) "Concession" means an agreement between the department and

a person under terms and conditions as specified by the department

to provide services or recreational opportunities for public use.

     (b) "Lease" means a conveyance by the department to a person

of a portion of this state's interest in land under specific terms

and for valuable consideration, thereby granting to the lessee the

possession of that portion conveyed during the period stipulated.

     (c) "Mason-Arenac line" means the line formed by the north

boundaries of Mason, Lake, Osceola, Clare, Gladwin, and Arenac

counties.Counties.

     (d) "Natural resources trust fund" means the Michigan natural

resources trust fund established in section 35 of article IX of the

state constitution of 1963 and provided for in section 1902.

     (e) "Net proceeds" means the total receipts received from the

sale of royalty interests under subsection (17) (18) less costs

related to the sale. Costs may include, but are not limited to,

legal, financial advisory, geological or reserve studies, and

accounting services.

     (f) "Relevant legislative committees" means the senate and

house committees with primary responsibility for natural resources

and outdoor recreation and the corresponding appropriation

subcommittees.

(g) (f) "Strategic plan" or "plan" means the plan developed

under subsection (7).(6), as updated under subsection (10), if

applicable.

     Sec. 504. (1) The department shall promulgate rules to protect

and preserve lands and other property under its control from

depredation, damage, or destruction or wrongful or improper use or

occupancy. If requested by the chair of a standing committee of the

senate or house of representatives that considers legislation

pertaining to conservation, the environment, natural resources,

recreation, tourism, or agriculture, the department shall provide

testimony to the committee on the implementation and effects of a

rule promulgated under this subsection that limits the use of or

access to more than 500 acres of state forest or significantly

restricts current practices in state forest. The department shall

provide the testimony at a hearing of the committee scheduled

within 6 months after the effective date of the rule.

     (2) Subject to subsection (4), the department shall do all of

the following:

     (a) Keep land under its control open to hunting unless the

department determines that the land should be closed to hunting

because of public safety, fish or wildlife management, or homeland

security concerns or as otherwise required by law.

     (b) Manage land under its control to support and promote

hunting opportunities to the extent authorized by law.

     (c) Manage land under its control to prevent any net decrease

in the acreage of such land that is open to hunting.

     (3) Subject to subsection (4), by April 1 , 2010 and each

year, thereafter, the department shall submit to the legislature a

report that includes all of the following:

     (a) The location and acreage of land under its control

previously open to hunting that the department closed to hunting

during the 1-year period ending the preceding March 1, together

with the reasons for the closure.

     (b) The location and acreage of land under its control

previously closed to hunting that the department opened to hunting

during the 1-year period ending the preceding March 1 to compensate

for land closed to hunting under subdivision (a).

     (4) Subsections (2) and (3) do not apply to commercial

forestland as defined in section 51101.

     (5) The department is urged to promote public enjoyment of

this state's wildlife and other natural resources by providing

public access to lands under the control of the department for

outdoor recreation activities dependent on natural resources,

providing reasonable consideration for both motorized and

nonmotorized activities.

     (6) If the department receives a written resolution from a

recreational users organization or the legislative body of a local

unit of government requesting the removal of a berm, gate, or other

human-made barrier on land under the department's control, the

department shall notify the requestor in writing within 60 days of

1 of the following:

     (a) That the barrier will be removed. In this case, the

department shall remove the barrier within 180 days after receiving

the written request.

     (b) The reasons the department believes the barrier should not

be removed and the right of the recreational users organization or

local unit of government, within 21 days after the department sends

the written notice, to request in writing a public meeting on the

matter. If the recreational users organization or local unit of

government requests a public meeting as provided in this

subdivision, the department shall conduct a public meeting within

the city, village, or township where the barrier is located to

explain the department's position and receive comments on the

proposed removal. After the meeting, and within 180 days after

receiving the request to remove the barrier, the department shall

approve or deny the request and notify the requestor in writing. If

the request is denied, the notice shall include the reasons for

denial. If the request is approved, the department shall remove the

barrier as follows:

     (i) Unless subparagraph (ii) applies, within 180 days after

the public meeting.

     (ii) Within 30 days, if the recreational users organization or

legislative body requesting the removal of the barrier agrees with

the department to remove the barrier under the department's

oversight and at the requestor's expense.

     (7) Upon request from a local unit of government, the

department shall work with the local unit to allow use of state

land managed by the department and located within the local unit

that will benefit the local community by increasing outdoor

recreation opportunities and expanding access to and use of the

natural resources and outdoors. The department may charge the local

unit a reasonable fee for the use that does not exceed the costs

incurred by the department for the use.

     (8) (5) This section does not authorize the department to

promulgate a rule that applies to commercial fishing except as

otherwise provided by law.

(9) (6) The department shall not promulgate or enforce a rule

that prohibits an individual who is licensed or exempt from

licensure under 1927 PA 372, MCL 28.421 to 28.435, from carrying a

pistol in compliance with that act, whether concealed or otherwise,

on property under the control of the department.

(10) (7) The department shall issue orders necessary to

implement rules promulgated under this section. These orders shall

be The orders are effective upon posting. Not less than 30 days

before and not more than 10 days after issuing an order under this

subsection that limits the use of or access to more than 500 acres

of state forest or significantly restricts current practices in

state forest, the department shall provide a copy of the order to

each member of each standing committee of the senate or house of

representatives that considers legislation pertaining to

conservation, the environment, natural resources, recreation,

tourism, or agriculture. If requested by the chair of a standing

committee described in this subsection, the department shall

provide testimony to the committee on the implementation and

effects of such an order at a hearing of the committee scheduled

within 6 months after the effective date of the order.

(11) (8) A person who violates a rule promulgated under this

section or an order issued under this section is responsible for a

state civil infraction and may be ordered to pay a civil fine of

not more than $500.00.

     Sec. 1901. As used in this part:

     (a) "Board" means the Michigan natural resources trust fund

board established in section 1905.

     (b) "Economic development revenue bonds (oil and gas

revenues), series 1982A, dated December 1, 1982" includes bonds

refunding these bonds, provided that any refunding bonds mature no

later than September 1, 1994.

(b) (c) "Local unit of government" or "local unit" means a

county, city, township, village, school district, the Huron-Clinton

metropolitan authority, or any authority composed of counties,

cities, townships, villages, or school districts, or any

combination thereof, which authority is and legally constituted to

provide public recreation.

     (d) "Total expenditures" means the amounts actually expended

from the trust fund as authorized by section 1903(1) and (2).

(c) (e) "Trust fund" means the Michigan natural resources

trust fund established in section 35 of article IX of the state

constitution of 1963.

     Sec. 1903. (1) Subject to the limitations of this part and of

section 35 of article IX of the state constitution of 1963, the

interest and earnings of the trust fund in any 1 state fiscal year

may be expended in subsequent state fiscal years only for the

following purposes:

     (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.

     (b) The development of public recreation facilities.

     (c) The administration of the fund, including payments in lieu

of taxes on state-owned land purchased through the trust fund. The

legislature shall make appropriations from the trust fund each

state fiscal year to make full payments in lieu of taxes on state-

owned land purchased through the trust fund, as provided in section

2154.

     (2) In addition to the money described in subsection (1), 33-

1/3% of the money, exclusive of interest and earnings, received by

the trust fund in any state fiscal year may be expended in

subsequent state fiscal years for the purposes described in

subsection (1). However, the authorization for the expenditure of

money provided in this subsection does not apply after the state

fiscal year in which the total amount of money in the trust fund,

exclusive of interest and earnings and amounts authorized for

expenditure under this section, exceeds $500,000,000.00.

     (3) An expenditure from the trust fund may be made in the form

of a grant to a local unit of government or public authority,

subject to all of the following conditions:

     (a) The grant is used for the purposes described in subsection

(1).

     (b) The grant is matched by the local unit of government or

public authority with at least 25% of the total cost of the

project.

     (4) Not less than 25% 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% 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.

     (5) If property that was acquired with money from the trust

fund is subsequently sold or transferred by the state to a

nongovernmental entity, the state shall forward to the state

treasurer for deposit into the trust fund an amount of money equal

to the following:

     (a) If the property was acquired solely with trust fund money,

the greatest of the following:

     (i) The net proceeds of the sale.

     (ii) The fair market value of the property at the time of the

sale or transfer.

     (iii) The amount of money that was expended from the trust

fund to acquire the property.

     (b) If the property was acquired with a combination of trust

fund money and other restricted funding sources governed by federal

or state law, an amount equal to the percentage of the funds

contributed by the trust fund for the acquisition of the property

multiplied by the greatest of the amounts under subdivision (a)(i),

(ii), and (iii).

     (6) This part is subject to section 2132a.

     Sec. 2010. (1) The game and fish protection account is

established as an account within the legacy fund.

     (2) The game and fish protection account shall consist of both

all of the following:

     (a) All money in the game and fish protection fund, formerly

created in section 43553, immediately prior to the effective date

of the amendatory act that added this section, which money is

hereby transferred to the game and fish protection account.

     (b) Revenue from the following sources:

(a) (i) Revenue derived from hunting and fishing licenses,

passbooks, permits, fees, concessions, leases, contracts, and

activities.

(b) (ii) Damages paid for the illegal taking of game and fish.

(c) (iii) Revenue derived from fees, licenses, and permits

related to game, game areas, and game fish.

(d) (iv) Other revenues as authorized by law.

     (3) Money in the game and fish protection account shall be

expended, upon appropriation, only as provided in part 435 and for

the administration of the game and fish protection account, which

may include payments in lieu of taxes on state owned state-owned

land purchased through the game and fish protection account or

through the former game and fish protection fund. The department

shall manage land acquired with money from the game and fish

protection account or the former game and fish protection fund

through the use of scientific game species management for the

primary purpose of managing habitat and thereby enhancing

recreational hunting opportunities. Unless the department can

demonstrate that the expenditure is for the primary purpose of

managing game habitat, and benefits to nongame species are a result

of the primary purpose, both of the following apply:

     (a) Money in the game and fish protection account shall not be

expended for management of nongame species.

     (b) Forest treatments on lands acquired with money from the

game and fish protection account or the former game and fish

protection fund shall not be undertaken to benefit nongame species.

     (4) Money in the game and fish protection account may be

expended pursuant to subsection (3) for grants to state colleges

and universities to implement programs funded by the game and fish

protection account if the department does not have the staff or

other resources to implement the programs itself.

                              SUBPART 1

             SALE OR LEASE OF STATE LANDS FOR PUBLIC PURPOSES

     Sec. 2101. (1) The department may sell sites tax reverted

state lands under its control to school districts, and to churches

and sell lands for public purposes other religious organizations,

to public educational institutions ; for public purposes, to the

United States, ; and to governmental units of the this state and to

agencies thereof. from tax reverted state lands under the control

of the department, The lands shall be sold at a price fixed by a

formula determined by the state tax commission. determined by an

appraisal, subject to section 2132a. The department may transfer

jurisdiction of tax reverted state lands for public purposes to any

department, board, or commission of the this state. The application

for the purchase or transfer of tax reverted state lands shall be

made by the proper officers of a school district, church or other

religious organization, public educational institution, the United

States, or governmental unit , or agency , department, board, or

commission thereof upon forms prepared and furnished by the

department for that purpose.

     (2) The department may sell tax reverted lands to any agency

entity described in subsection (1), and the transfer of the lands

is not subject to a reverter clause. If a conveyance or transfer of

lands is made to a governmental unit without a reverter clause, the

department may convey or transfer the lands at an appraisal value

as a price determined by the state tax commission an appraisal,

subject to section 2132a, or at a nominal fee that includes any

amount paid by the department for maintaining the lands in a

condition that is protective of the public health and safety. If

lands are conveyed or transferred for a nominal fee and are

subsequently sold by the governmental unit for a valuable

consideration, the proceeds from such a sale, after deducting the

fee and any amount paid by the local governmental units for

maintaining the lands in a condition that is protective of the

public health and safety, shall be accounted for paid to the state,

county, township, and school district in which the lands are

situated pro rata according to their several interests in the lands

arising from the nonpayment of taxes and special assessments on the

lands as the interest appears in the offices of the state treasurer

or county, city, or village treasurers.treasurer.

     Sec. 2104. (1) Any of the lands under the control of the

department, the title to which is in this state, and which may be

sold and conveyed or are a part of the state lands, as well as

lands later acquired by this state, or any part or portion of those

lands, may be exchanged for lands of equal area or approximately

equal value belonging to the United States or owned by private

individuals if in the opinion of the department it is in the

interest of the this state to do so.

     (2) If the department charges charged an application fee for a

proposed sale of land under this section and the state land

proposed for sale is instead sold to another party within 3 years

after the date a completed application is was received by the

department from the prior applicant, the department shall refund

the application fee in full to the prior applicant if the prior

applicant has informed the department of his or her current

address.

     (3) Effective 60 days after the department receives an

application from a private individual to exchange that individual's

land for surplus state land, the application shall be considered to

be complete unless the department proceeds as provided under

subsection (4).

     (4) If, before the expiration of the 60-day period under

subsection (3), the department notifies the applicant, in writing,

that the application is not complete, specifying the information

necessary to make the application complete, or that the fee

required under subsection (6) has not been paid, specifying the

amount due, the running of the 60-day period under subsection (3)

is tolled until the applicant submits to the department the

specified information or fee amount due, at which time the

application shall be considered to be complete.

     (5) When the application is complete, the department shall

promptly post the application on its website with information on

how and when to comment on the application. Within 180 days after

the application is complete, or a later date agreed to by the

applicant and the department, the department shall approve or deny

the application and notify the applicant in writing. If the

department denies the application, the notice shall set forth the

specific reasons for the denial.

     (6) The department shall charge a fee for an application for

the exchange of state land. The fee shall be $300.00 plus, if the

state land is more than 300 acres in size, the actual reasonable

cost of processing the application.

     Sec. 2106. (1) The department shall maintain on its website

and make available in writing to persons seeking to purchase land

from, sell land to, or exchange land with the department under this

part information about relevant requirements and procedures under

this part.

     (2) If the department determines that it is in the best

interests of the this state to exchange any of the lands mentioned

described in section 2104 for lands of an equal area or of

approximately equal value belonging to private individuals, the

department shall maintain a description of the lands to be conveyed

and a description of the lands belonging to individuals to be

deeded to the this state.

     (3) Before any of the lands are deeded to an individual as

provided in this subpart, the person or persons owning the any

lands to be deeded to the this state shall execute a conveyance of

those lands to the this state. The department shall accept delivery

of the deed. The attorney general shall examine the title to the

lands deeded to the this state and certify to the department

whether or not the conveyance is sufficient to vest in the this

state a good and sufficient title to the land free from any liens

or encumbrances. If the attorney general certifies that the deed

vests in the this state a good and sufficient title to the deeded

lands free from any liens or encumbrances, the department shall

within 30 days execute a deed to the individual of the lands to be

conveyed by the this state. selected by the department in lieu of

the lands.

     Sec. 2126. Before the department grants an easement under this

subpart, the individual applying for the easement shall pay charges

as required by the department. The charges shall be the same as

those charges required for the granting of an easement under

section 2129. subpart 9. However, the department may charge a fee

for an application for the grant of an easement under this subpart.

The fee shall not exceed the actual reasonable cost of processing

an application for an easement or $300.00, whichever is less.

     Sec. 2130. As used in this subpart:

     (a) "Board" means the Michigan natural resources trust fund

board established in part 19.section 1905.

     (b) "Fund", unless the context implies otherwise, means the

land exchange facilitation and management fund created in section

2134.

     (c) "Land" includes lands, tenements, and real estate and

rights to and interests in lands, tenements, and real estate.

     (d) "Qualified conservation organization" means that term as

defined in section 7o(5) of the general property tax act, 1893 PA

206, MCL 211.7o.

     Sec. 2131. (1) Except as otherwise provided in Subject to

subsection (2), or (3), the department may designate as surplus

land any state owned state-owned land that is under the control of

the department and that has been dedicated for public use and may,

on behalf of the this state, sell that land if the sale is not

otherwise prohibited by law and the department determines has

considered all of the following:

     (a) That Whether the sale will not materially diminish the

quality or utility of other state owned state-owned land adjoining

the land to be sold.

     (b) That the sale is not otherwise restricted by law.

(b) (c) That Whether the sale is in the best interests of the

this state, giving due regard to the variety, use, and quantity of

lands then under the control of the department.

     (d) That 1 or more of the following conditions are met:

     (i) The land has been dedicated for public use for not less

than 5 years immediately preceding its sale and is not needed to

meet a department objective.

(c) (ii) The land is occupied for a private use through

Whether the sale will resolve an inadvertent trespass.

(d) (iii) The Whether the sale will promote the development of

the forestry or forest products industry or the mineral extraction

and utilization industry or other economic activity in this state.

     (2) The department shall not authorize the sale of surplus

land as provided in subsection (1) if the proceeds from the sale of

the land will cause the balance of the fund to exceed

$25,000,000.00.

(2) (3) Except as provided in section 74102b, the department

shall not designate as surplus land any land within a state park or

state recreation area.

     Sec. 2132. (1) Subject to subsection (2), the department may

sell surplus land at a price established using the method that the

department determines to be most appropriate, such as any of the

following:

     (a) Appraisal, subject to section 2132a.

     (b) Appraisal consulting.

     (c) A schedule adopted by the department for pricing property

with uniform characteristics and low utility.

     (d) The true cash value of nearby land as determined by the

local assessor.

     (2) If the department offers tax reverted land for sale and

the land is not sold within 9 months, the department may sell the

land to a qualified buyer who submits an offer that represents a

reasonable price for the property as determined by the department.

     (3) The sale of surplus land shall be conducted by the

department through 1 of the following methods:

     (a) A public auction sale.

     (b) A negotiated sale.

     (4) Subject to subsection (1), the sale of surplus land

through a public auction sale shall be to the highest bidder.

     (5) Effective 60 days after the department receives an

application to purchase surplus land through a negotiated sale, the

application shall be considered to be complete unless the

department proceeds as provided under subsection (6).

     (6) If, before the expiration of the 60-day period under

subsection (5), the department notifies the applicant, in writing,

that the application is not complete, specifying the information

necessary to make the application complete, or that the fee

required under subsection (8) has not been paid, specifying the

amount due, the running of the 60-day period under subsection (5)

is tolled until the applicant submits to the department the

specified information or fee amount due, at which time the

application shall be considered to be complete. Notice under this

subsection shall include a statement of the requirements of

subsection (12).

     (7) Within 180 days after the application is considered to be

complete, or a later date agreed to by the applicant and the

department, the department shall approve or deny the application

and notify the applicant in writing. If the department denies the

application, the notice shall set forth the specific reasons for

the denial.

     (8) The department shall charge a fee for an application for

the purchase of surplus land. The fee shall be $300.00 plus, if the

surplus land is more than 300 acres in size, the actual reasonable

cost of processing the application.

(9) (5) A notice of the sale of surplus land shall be given as

provided in section 2133.

(10) (6) The proceeds from the sale of surplus land shall be

deposited into the fund.

(11) (7) Surplus land that is sold under this subpart shall be

conveyed by quitclaim deed approved by the attorney general.

(12) (8) Each application, as may be later amended or

supplemented, submitted by a private person under subsection (3)(b)

for the purchase of the land identified in that application as a

prospect for purchase , shall be considered and acted upon by the

department to final decision , before any other application

submitted at a later date by a different private person for the

purchase or exchange of the same land. However, if an application

is not completed or the fee under subsection (8) is not paid within

60 days after the department notifies the applicant under

subsection (6) that the application is incomplete or that the fee

has not been paid, the department shall consider and act upon to

final decision an application submitted at a later date that is

completed and for which the fee has been paid before that

previously submitted application.

     (13) In a land transaction, the department may give preference

to a local unit of government but shall not give preference to any

other person.

     Sec. 2132a. If land is proposed for purchase or sale by or

exchange with the department under this act based on its appraised

value, if 2 or more appraisals of the land that meet department

standards are made on behalf of the parties to the proposed

transaction, and if the high appraisal is less than 10% higher than

the low appraisal, the accepted value for purposes of the purchase,

sale, or exchange shall be the average of all the appraised values.

If the high appraisal is at least 10% higher than the low

appraisal, the parties may agree upon a new appraiser, whose

appraisal, or determination based on review of the existing

appraisals, shall be the accepted value for purposes of the

purchase, sale, or exchange. The department is responsible for the

new appraiser's fee.

     Sec. 2136. This subpart does not limit the authority of the

department to do 1 or both of the following:

     (a) To exchange land as provided in subpart 3.

     (b) To sell land as provided in the general property tax act,

Act No. 206 of the Public Acts of 1893, being sections 211.1 to

211.157 of the Michigan Compiled Laws.

     Sec. 2137. (1) Upon request, the department shall consider

selling or exchanging land that is not designated as surplus land.

The sale or exchange of the land is subject to the same procedures

as apply to the sale of land that is designated as surplus land

under this subpart.

     (2) Subsection (1) does not apply to land in a state park,

recreation area, or game area. Subsection (1) does not apply to a

request to sell land if the request meets the requirements of

section 2138.

     Sec. 2138. (1) Upon request, the department shall consider

selling or leasing land if both of the following requirements are

met:

     (a) The prospective buyer or lessee is a business seeking

expansion, but is limited by adjacent state land.

     (b) The sale or lease will result in an economic or other

benefit for a local unit of government or region.

     (2) The department shall give notice of the proposed sale or

lease of the land as provided in section 2133(2).

     (3) In making its decision on the request under subsection

(1), the department shall consider both of the following:

     (a) Any comments on the proposed sale or lease from local

units of government or other persons.

     (b) The impact on natural resources and outdoor recreation in

this state, giving due regard to the variety, use, and quantity of

lands then under control of the department.

     (4) The price for sale of the land shall be established using

a method determined appropriate by the department and agreed to by

the applicant, such as those listed in section 2132(1).

     (5) Proceeds from sale of the land shall be deposited in the

fund that provided the revenue for the acquisition of the land by

the department. If there is more than 1 such fund, the revenue

shall be deposited in the funds in amounts proportionate to their

respective contributions for the department's acquisition of the

land. To the extent that the land was in whole or in part acquired

other than with restricted fund revenue, a proportionate amount of

proceeds of the sale of the land shall be deposited in the land

exchange facilitation and management fund created in section 2134.

     Sec. 40501. The department shall perform such acts as may be

necessary to conduct and establish wildlife restoration,

management, and research projects and areas in cooperation with the

federal government under the Pittman-Robertson wildlife restoration

act, 16 USC 669 to 669i, and regulations promulgated by the United

States secretary of the interior under that act. In compliance with

that act, funds accruing to this state from license fees paid by

hunters shall not be used for any purpose other than game and fish

activities under the administration of the department. The

department shall manage land acquired with money received under the

Pittman-Robertson wildlife restoration act, 16 USC 669 to 669i, to

manage game and fish habitat or to increase recreational hunting,

fishing, and shooting opportunities. Expenditures to enhance game

and fish habitat must be primarily for the management of game

species, but may benefit nongame species.

     Sec. 52502. (1) The department shall manage the state forest

in a manner that is consistent with principles of sustainable

forestry. and in doing so

     (2) In fulfilling the requirements of subsection (1), the

department shall do all of the following:

     (a) Manage forests with consideration of its their economic,

social, and environmental values by doing all of the following:

     (i) Broaden Broadening the implementation of sustainable

forestry by employing an array of economically, environmentally,

and socially sound practices in the conservation of forests, using

the best scientific information available.

     (ii) Promote Promoting the efficient utilization of forest

resources.

     (iii) Broaden Broadening the practice of sustainable forestry

by cooperating with forestland owners, wood producers, and

consulting foresters.

     (iv) Plan and manage plantations in accordance with

sustainable forestry principles and in a manner that complements

the management of and promotes the restoration and conservation of

natural forests.

     (iv) Where appropriate, promoting working forests for the

production of forest products and ecological value.

     (v) Actively managing for enhanced wildlife habitat.

     (b) Conserve and protect forestland by doing all of the

following:

     (i) Ensure Ensuring long-term forest productivity and

conservation of forest resources through prompt reforestation, soil

conservation, afforestation, and other measures.

     (ii) Protect Protecting the water quality in streams, lakes,

and other waterbodies water bodies in a manner consistent with the

department's best management practices for water quality.

     (iii) Manage Managing the quality and distribution of wildlife

habitats, and contribute contributing to the conservation of

biological diversity, by developing and implementing stand and

landscape-level measures that promote habitat diversity and the

conservation of forest plants and animals, including aquatic flora

and fauna and unique ecosystems, while minimizing loss of economic

values.

     (iv) Protect forests Managing forests to mitigate or minimize

impacts from wildfire, pests, diseases, and other damaging agents.

     (v) Manage Managing areas of ecologic, geologic, cultural, or

historic significance in a manner that recognizes their special

qualities.

     (vi) Manage Managing activities in high conservation value

forests by maintaining or enhancing the attributes that define such

those forests, while minimizing loss of economic values.

     (c) Communicate to the public by doing all of the following:

     (i) Publicly report reporting the department's progress in

fulfilling its commitment to sustainable forestry.

     (ii) Informing the public of the positive aspects of managed

forests.

(iii) (ii) Provide Providing opportunities for persons to

participate in the commitment to sustainable forestry.

(iv) (iii) Prepare, implement, and keep Preparing,

implementing, and keeping current a management plan that clearly

states the long-term objectives of management and the means of

achieving those objectives.

     (d) Monitor forest management by promoting Promote continual

improvement in the practice of sustainable forestry and monitoring,

measuring, and reporting monitor, measure, and report performance

in achieving the commitment to sustainable forestry.

     (e) Consider the local community surrounding state forestland

by doing both of the following:

     (i) Require Requiring that forest management plans and

operations comply with applicable federal and state laws.

     (ii) Require Requiring that forest management operations

maintain or enhance the long-term social and economic well-being of

forest workers and local communities.

     Sec. 52503. (1) The department shall adopt a forestry

development, conservation, and recreation management plan for state

owned state-owned lands owned or controlled by the department.

Parks and recreation areas, state game areas, and other wildlife

areas on these lands shall be managed according to their primary

purpose. The Subject to subsection (2)(g), the department may

update the plan as the department considers necessary or

appropriate. The plan and any plan updates shall be consistent with

section 52502 and shall be designed to assure ensure a stable,

long-term, sustainable timber supply from the state forest as a

whole.

     (2) The plan and any plan updates shall include all of the

following:

     (a) An identification of the interests of local communities,

outdoor recreation interests, the tourism industry, and the forest

products industry.

     (b) An identification of the annual capability of the state

forest and management goals based on that level of productivity.

     (b) (c) Methods to promote and encourage the use of the state

forest for outdoor recreation, tourism, and the forest products

industry.

(c) (d) A landscape management plan for the state forest

incorporating biodiversity conservation goals, indicators, and

measures.

(d) (e) Standards for sustainable forestry consistent with

section 52502.

(e) (f) An identification of environmentally sensitive areas.

(f) (g) An identification of the need for forest treatments to

maintain and sustain healthy, vigorous forest vegetation and

quality habitat for wildlife and environmentally sensitive species.

     (g) Yearly harvest objectives for all state forest land by

forest region for a 10-year period. At least every 5 years, the

department shall review the yearly harvest objectives. At least

once every 10 years, the department shall update the yearly harvest

objectives for all state forest land for a 10-year period. The

department shall post and maintain the current yearly harvest

objectives on the department's website. The harvest objectives for

each forest region shall not exceed the sustainable yields. In

setting harvest objectives, the department may consider physical,

biological, environmental, and recreational objectives.

     (3) Beginning October 1, 2017 and each year thereafter, the

department shall prepare for sale a minimum of 90% of the yearly

statewide harvest objective.

     Sec. 52506. By January 1 of each year, the department shall

prepare and submit to the commission of natural resources

commission, the standing committees of the senate and the house of

representatives with primary jurisdiction over forestry issues, and

the senate and house appropriations committees a report that

details the following from the previous state fiscal year:

     (a) The number of harvestable acres in the state forest, as

determined by the certification program under section 52506.from

information in the state forest management plan under section

52503.

     (b) The number of acres of the state forest that were

harvested and the number of cords of wood that were harvested from

the state forest.

     (c) The number of acres of state owned state-owned lands owned

or controlled by the department other than state forestlands forest

that were harvested and the number of cords of wood that were

harvested from those lands.

     (d) Efforts by the department to promote recreational

opportunities in the state forest.

     (e) Information on the public's utilization of the

recreational opportunities offered by the state forest.

     (f) Efforts by the department to promote wildlife habitat in

the state forest.

     (g) The status of the plan and whether the department

recommends any changes in the plan.

     (h) Status The status of certification efforts required in

section 52505 and , beginning in 2006, a definitive statement of

whether the department is maintaining certification of the entire

state forest.

     (i) A description of any activities that have been undertaken

on forest pilot project areas described in section 52511.

     Sec. 72118. (1) The department shall make a comprehensive

inventory of forest roads that are state roads. The department

shall divide the state into 5 regions and complete the inventory in

regional phases. The Upper Peninsula shall be a separate region or

regions. The department shall inventory the 2 most northerly

regions in the Lower Peninsula by December 31, 2017. The department

shall inventory the remaining regions by December 31, 2018. The

inventory shall meet both of the following requirements:

     (a) Identify the location, condition, and development level of

the forest roads.

     (b) Determine types of motorized and nonmotorized use

currently restricted on each forest road segment and the seasons

during which those uses are currently restricted.

     (2) Beginning when the inventory for a region is completed or

required to be completed, whichever occurs first, all of the

following apply:

     (a) The forest roads within that region shall be are open to

motorized use by the public unless designated otherwise by an order

of the department pursuant to under section 504(7). 504. However,

beginning on the effective date of the amendatory act that added

this section, forest roads in the Upper Peninsula shall be are open

to motorized use by the public unless designated otherwise pursuant

to section 504(7).by an order of the department under section 504.

     (b) If a timber harvest is planned for a particular area in

that region, the department shall evaluate whether the timber

harvest activity offers the opportunity to connect existing forest

roads and trails in that area.

     (c) The department shall not newly restrict a road or trail in

that region from being used to access public land unless the

department has provided each local unit of government in which the

public land is located written notice that includes the reason for

the restriction. This subdivision does not apply to a restriction

imposed to protect public health or safety in an emergency

situation.

     (3) The department shall annually post to its website the

total miles of forest roads open to motorized use in all

inventoried regions and a map or maps of those forest roads.

     Enacting section 1. This amendatory act takes effect 90 days

after the date it is enacted into law.

     Enacting section 2. This amendatory act does not take effect

unless Senate Bill No. 303 of the 99th Legislature is enacted into

law.