Bill Text: MI HB5335 | 2023-2024 | 102nd Legislature | Introduced


Bill Title: Drains: other; lands under the ownership of the department of natural resources; allow to be levied for drain assessments. Amends secs. 151, 154, 280, 468 & 520 of 1956 PA 40 (MCL 280.151 et seq.).

Spectrum: Partisan Bill (Democrat 6-0)

Status: (Introduced) 2023-12-31 - Bill Electronically Reproduced 11/14/2023 [HB5335 Detail]

Download: Michigan-2023-HB5335-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL NO. 5335

November 14, 2023, Introduced by Reps. Andrews, Wilson, Arbit, Conlin, Tsernoglou and McFall and referred to the Committee on Local Government and Municipal Finance.

A bill to amend 1956 PA 40, entitled

"The drain code of 1956,"

by amending sections 151, 154, 280, 468, and 520 (MCL 280.151, 280.154, 280.280, 280.468, and 280.520), section 154 as amended by 2020 PA 281, section 280 as amended by 2016 PA 27, and sections 468 and 520 as amended by 2018 PA 644.

the people of the state of michigan enact:

Sec. 151. (1) Upon the release of the right of way and damages, or upon the determination and return of the special commissioners, acquisition of right of way by the power of eminent domain, the commissioner shall make his a final order of determination establishing the drain. , which The drain shall be divided into convenient sections for the letting of contracts. : Provided, That However, the commissioner may let the drain in sections or as a whole. Said The drain commissioner shall file the order of determination shall be filed with the county drain commissioner in his or her office within 5 days after such the order is made. He shall, before

(2) Before the day of letting and review , fix under section 154, the drain commissioner shall do both of the following:

(a) Determine the number of installments for the collection of drainage taxes. and apportion

(b) Apportion, on the following basis, the per cent percent of the cost of construction of such drain which any the drain that each of the following is liable to pay:

(i) Any township, city, or village traversed or benefited thereby shall be liable to pay by reason of the by the drain, on the basis of benefit to the public health, convenience, or welfare. , or as the means of improving any highway under the control of such township, city or village. He shall apportion the per cent of the cost of construction of such drain which any highway then under the control of the county or district road commissioners, shall be liable to pay by reason of benefits therefor, and as the means of improving such highway. He shall also apportion the per cent of the cost of construction of such drain which any state trunk line highway, under the control of the state highway commissioner, shall be liable to pay by reason of benefits therefor and as the means of improving said highway. He shall also apportion the per cent of benefits to accrue to any

(ii) Any city or village, the country road commission, or the state transportation department, on the basis of benefits to or the improvement of a city or village street, a county road, or a state highway, respectively.

(iii) Any piece or parcel of land, by reason of the construction of such drain including, but not limited to, state land under the ownership or control of the department of natural resources, on the basis of benefits to the land over and above the per cent apportioned to any township, city or village at large or to any highway as above provided. Such per cent so apportioned when finally approved shall be assessed against such townships, cities and villages and against the county at large by reason of the improvement of the highways within the drainage district, and against the state by reason of the improvement of the state trunk line highways within such drainage district, and against all parcels of land therein according to such apportionment of benefits as herein provided.those apportioned under subparagraphs (i) and (ii).

(3) The apportionment of benefits so made shall be subject to review and correction and may be appealed from as provided for in this act. provided.The benefits shall be assessed as finally apportioned.

(4) The county board of supervisors commissioners at its October meeting each year shall make provision by proper assessment of the amounts apportioned against any highway under the control of the county and district highway commissioners.county roads.

Sec. 154. (1) The drain commissioner shall advertise for the receipt of bids for the construction of a drain at a specified time, date, and location. If the drain commissioner directly or indirectly maintains an official internet presence, the drain commissioner shall post the advertisement for the receipt of bids on a portion of the website that is fully accessible to the public at least 10 days before, and shall maintain the posting through, the date set for the receipt of bids. If the drain commissioner does not maintain an official internet presence, the advertisement shall be so posted and maintained on the county website.

(2) The commissioner shall give notice, as described in this section, of a public meeting to review the apportionment of benefits. The meeting shall be held not less than 5 or more than 30 days after the date set for receiving bids.

(3) The notice under subsection (2) shall be given by publication in a newspaper published and of general circulation in the county at least 10 days before the date of the review of the apportionment.

(4) The drain commissioner shall also send the notice under subsection (2) by first-class mail, at least 10 days before the date of the review of the apportionment of benefits, to each person whose name appears on the last city or township tax roll as owning land within the drainage district, at the address shown on the roll. Notice need not be mailed to a person whose address does not appear on the roll. The drain commissioner shall make an affidavit of the mailing and shall recite in the affidavit that the notice was mailed to all persons whose names and addresses appear on the tax rolls as owning land within the drainage district. The affidavit is conclusive proof that notice was mailed to each person to whom notice is required to be mailed. If notice has been sent by first-class mail as provided in this subsection, the failure to receive notice by mail does not constitute a jurisdictional defect invalidating a drain proceeding or assessment. If the drain commissioner determines that the drain is necessary for the public health and that the whole cost of the drain, except that part which may be apportioned for benefits to highways, shall be apportioned to municipalities, then mailing of individual notices to persons owning land within the drainage district as provided in this subsection is not required.

(5) At least 10 days before the date of the review of the apportionment, the drain commissioner shall serve the notice under subsection (2) personally or by certified mail on the county clerk and a member of the board of county road commissioners of the county and on the supervisor of each township and clerk of each city or village to be assessed at large.

(6) The notice under subsection (2) shall contain all of the following:

(a) A statement that comments on the apportionment of benefits may be submitted to the drain commissioner in writing before the date of the meeting to review the apportionment or may be submitted in writing or orally at the review. meeting. The statement shall specify the drain commissioner's postal mailing address and electronic mail address and indicate that comments submitted in advance must be received by the drain commissioner before the date of the meeting to ensure consideration.

(b) The date, time, and place of the meeting to review the apportionment of benefits.

(c) A statement that, at the meeting to review the apportionment of benefits, the drain commissioner will have available to review the tentative apportionments against parcels and municipalities within the drainage district.

(d) For notice mailed to a person under subsection (4), the estimated percentage and total dollar amount apportioned to that person's land, the estimated annual dollar amount apportioned to that person's land, and the estimated project assessment duration.

(e) A statement that drain assessments against land will be collected in the same manner as property taxes.

(f) A statement that if drain assessments against land are collected by installment, the land owner may pay the assessments in full with any interest to date at any time and thereby avoid further interest charges.

(g) The name of each county, township, city, or village to be assessed at large.

(h) The name or number of the drain.

(i) The address of a website, as provided for in subsection (7), and a statement that the following additional information can be found at that address:

(i) A description of the land constituting the drainage district for the drain. The description may be given by providing a map of the drainage district, by designating the boundaries of the drainage district by streets, highways, parcels, or tracts of land, or by describing the tracts or parcels of land constituting the district. If a parcel or tract is partially located within the district, for the purposes of the notice description only, the drain commissioner may consider the entire parcel or tract to be located in the district.

(ii) The number and length of sections, the average depth and width of each section, and if the drain will be a closed drain, the amount and specifications of all tile or pipe required.

(iii) The location, number, type, and size of all culverts and bridges.

(iv) The conditions upon which the contract will be awarded.

(7) If the drain commissioner directly or indirectly maintains an official internet presence, the drain commissioner shall post the information described in subsection (6)(a) to (c), and (e) to (h), and (i)(i) to (iv) on a portion of the website that is fully accessible to the public and shall maintain the posting through the date of the meeting to review the apportionment of benefits. If the drain commissioner does not maintain an official internet presence, the information shall be so posted and maintained on the county website.

(8) Notwithstanding the information provided in the notice under subsection (6)(d), the drain commissioner may subsequently make adjustments, to any of the following, that the commissioner or drainage board considers necessary, without further notice or an additional meeting to review the apportionment of benefits:

(a) The estimated apportionment percentage.

(b) The estimated annual project assessment.

(c) The estimated project assessment duration.

(9) Bids for the construction of the drain shall be received and the total cost of the drain shall be computed before the time set for review of the apportionment. The computation shall be open to inspection. If the computation is not completed before the review of the apportionment, the drain commissioner shall adjourn the review from time to time, not more than 20 days in all, for the completion of the computation, or shall call a new meeting to review the apportionment of benefits and give notice as provided in subsections (3) to (7). If the contracts on which the computation was based are not executed and new contracts are let at a higher price, the drain commissioner shall correct the computation and, after giving notice as provided in subsections (3) to (7), hold a new review of the apportionment.

(10) At the date, time, and place specified in the notice, or at another date, time, and place to which the county drain commissioner may adjourn the meeting, the apportionment of benefits shall be subject to review for at least 1 day. The review shall be held open from 9 a.m. until 5 p.m. At the review, the county clerk or the county road commission may appear on behalf of the county, the supervisor of a township may appear on behalf of a township, the mayor or an officer of the city designated by the mayor may appear on behalf of a city, and the president may appear on behalf of a village. At the review, the county drain commissioner shall consider the proofs and allegations and shall do both of the following:

(a) Carefully reconsider and review the apportionment of benefits.

(b) Define and equalize the apportionment as is just and equitable.

(11) If an apportionment of benefits is made against a state trunk line highway, unless the director of the state transportation department consents in writing to the apportionment, the drain commissioner shall notify by certified mail the director of the state transportation department of the percentage apportioned against the highway and the date, time, and place for a review of the apportionment of benefits by the drain commissioner under subsection (2). The notice shall be mailed at least 20 days before the review. of the apportionment. If the director of the state transportation department instead desires to have the apportionment of benefits reviewed by the director of the department of agriculture and rural development, the director of the state transportation department, within 10 days after receiving the notice under this subsection, shall file with the drain commissioner an objection to the apportionment. The drain commissioner shall notify the director of the state transportation department and the director of the department of agriculture and rural development of the date, time, and place for the a review of apportionments. the apportionment. At the meeting, the director of the department of agriculture and rural development, or a deputy of the director, shall review the apportionment made against the state trunk line highway and listen to the proofs and allegations of the parties, and may view the highway benefited. The written decision on the apportionment under this subsection is final.

(12) If an apportionment of benefits is made against state lands owned or controlled by the department of natural resources, unless the director of the department of natural resources consents in writing to the apportionment, the drain commissioner shall notify by certified mail the director of the department of natural resources of the percentage apportioned against the state lands and the date, time, and place for a review of the apportionment of benefits by the drain commissioner under subsection (2). The notice shall be mailed at least 20 days before the review. If the director of the department of natural resources instead desires to have the apportionment of benefits reviewed by the director of the department of agriculture and rural development, the director of the department of natural resources, within 10 days after receiving the notice under this subsection, shall file with the drain commissioner an objection to the apportionment. The drain commissioner shall notify the director of the department of natural resources and the director of the department of agriculture and rural development of the date, time, and place for a review of the apportionment. At the meeting, the director of the department of agriculture and rural development, or a deputy of the director, shall review the apportionment made against the state lands owned or controlled by the department of natural resources and listen to the proofs and allegations of the parties, and may view the lands benefited. The written decision on the apportionment under this subsection is final.

Sec. 280. (1) If there is not sufficient money in the fund in of a particular drain at the time of the maturity of the bonds last to mature, or any drain orders, to pay all outstanding bonds or drain orders with interest, or to reimburse the county for money which it has been obliged to advance pursuant to section 275, 276, whether such the insufficiency is due to the anticipation of installments as provided in section 279, 275, or to failure to sell any lands for delinquent taxes, or to any other cause, the commissioner shall at once levy an additional assessment as provided in this act in such an amount as that will make up the deficiency which shall be spread in not to exceed 7 annual installments; and if the commissioner determines that the entire amount, if spread in 1 year, would be an undue burden or create unnecessary hardship, he or she may order it spread over any number of years up to but not exceeding 7. If bonds or other evidences of indebtedness are issued pursuant to the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821, to refund the outstanding indebtedness of a drain district, the governing body of the drain district shall provide, subject to the requirements of the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821, for such additional levies of assessments prior to the maturity or mandatory redemption of the refunding obligations as necessary to prevent default in the payment of interest on the obligations, and the maintenance of a sinking fund for their retirement. Every officer charged with the determination of the amount of taxes to be raised, or the levying of the taxes, shall make or cause to be made the additional levies as provided. Any surplus remaining after the payment of the bonds and interest shall remain in the county treasury and be used for the maintenance of the drain.

(2) The additional assessments shall only under subsection (1) apply only to drain orders or bonds issued after March 28, 1956 and shall be apportioned, assessed, levied, and collected as provided in the first instance. As to deficiency Only the following lands are exempt from additional assessments levied under subsection (1) for drain orders or bonds issued after March 28, 1956: , there shall be no lands exempted from the levy, except lands that are 1 or more of the following:

(a) Owned Lands owned by the United States.

(b) Owned by the state of Michigan.Lands owned by this state, except for lands owned or controlled by the department of natural resources.

(c) Owned Lands owned by any county, city, village, township, or school district and used for public purposes.

(d) Used Lands used exclusively for burial grounds.

(e) Dedicated Lands dedicated to the public and actually used as a highway, county road, street, or alley, and not used for gain.

(3) An additional assessment shall not be levied under subsection (1) or collected for the purpose of paying to pay the principal or interest upon any bonds or obligations which that have been held to be invalid. , and any An additional assessment shall not be apportioned, assessed, levied, or collected for the purpose of paying to pay any bonds, interest, or obligations for the payment of which assessments have been made.

Sec. 468. (1) The drainage board shall secure from a competent engineer , plans, specifications, a route and course, and an estimate of cost of the proposed drain, which when approved and adopted by the board shall be filed with the chairperson of the board. In approving the plans and specifications, the drainage board is not limited to the route of the drain described in the petition or the final order of determination. Changes in the approved route and course of the drain must be approved by resolution of the drainage board.

(2) The drainage board shall tentatively establish the percentage of the cost of the drain or of the several sections or parts of the drain to be paid by each public corporation. In making the apportionments, the drainage board shall consider the benefits to accrue to each public corporation and the extent to which each public corporation contributes to the conditions that make the drain necessary. Apportionments against this state shall be based upon benefits and contributions as related solely to the drainage of state highways and lands under the ownership or control of the department of natural resources. Apportionments against the county shall be based upon benefits and contributions as related solely to the drainage of its county roads. Before a tentative apportionment is made, the drainage board shall designate the area to be served by the drain project, which may include all of the area in a public corporation to be assessed, and may divide the drain into sections or parts for purposes of apportionment or construction.

(3) Notwithstanding any other provision of this act, the county may assume any additional cost of the drain if 2/3 of the members elect of the county board of commissioners vote in favor thereof.

(4) The apportionment under this section applies only to the proposed drain. The apportionments for any extensions or other work subsequently performed under section 482 shall be reestablished by the board.

(5) If chapter 25 is employed in the apportionment of used to apportion costs, the proceedings under this section shall be altered and supplemented as provided in chapter 25.

Sec. 520. (1) The drainage board shall secure from a competent engineer , plans, specifications, a route and course, and an estimate of cost of the proposed drain, which when approved and adopted by the board shall be filed with the secretary of the board. In approving the plans and specifications, the drainage board is not limited to the route of the drain described in the petition or the final order of determination. Changes in the approved route and course of the drain must be approved by resolution of the drainage board.

(2) The drainage board shall tentatively establish the percentage of the cost of the drain or of the several sections or parts of the drain to be paid by public corporations in each county affected and by this state on account of any state highway, and by the county on account of any county road. The percentage of the cost apportioned to public corporations in each county shall then be apportioned by the drain commissioner among public corporations to be assessed in the county, and that apportionment shall be filed with the secretary of the drainage board. In making the apportionments under this section, there shall be taken into consideration the benefits to accrue to each public corporation and the extent to which each public corporation contributes to the conditions that make the drain necessary. Apportionments against this state shall be based upon benefits and contributions as related solely to the drainage of state highways and lands under the ownership or control of the department of natural resources. Apportionments against the county shall be based upon benefits and contributions as related solely to the drainage of its county roads. Before a tentative apportionment is made, the drainage board shall designate the area to be served by the drain project, which may include all of the area in a public corporation to be assessed, and may divide the drain into sections or parts for purposes of apportionment or construction.

(3) Notwithstanding any other provision of this act, a county may assume any additional cost of the drain if 2/3 of the members elect of the county board of commissioners vote in favor thereof. The apportionment under this section applies only to the proposed drain.

(4) The apportionments for any extensions or other work subsequently performed under section 535 shall be reestablished by the board.

(5) If chapter 25 is employed in the apportionment of used to apportion costs, the proceedings under this section shall be altered and supplemented as provided in chapter 25.

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