HB-4122, As Passed Senate, December 14, 2012
SUBSTITUTE FOR
HOUSE BILL NO. 4122
A bill to amend 1929 PA 312, entitled
"The metropolitan district act,"
by amending sections 3, 4, 7, 9, 9b, and 13 (MCL 119.3, 119.4,
119.7, 119.9, 119.9b, and 119.13), section 4 as amended by 2002 PA
410 and section 9b as added by 1998 PA 171, and by adding sections
2a, 17a, and 17b.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2a. Notwithstanding any law or charter provision to the
contrary, beginning on the effective date of the amendatory act
that added this section, all elections in a metropolitan district
shall be administered and conducted under the provisions of the
Michigan election law, 1954 PA 116, MCL 168.1 to 168.992, and all
elections in the metropolitan district shall be held on a regular
election date as established under section 641 of the Michigan
election law, 1954 PA 116, MCL 168.641.
Sec. 3. Any district incorporated under the provisions of this
act shall in its charter provide:
(a)
For the nomination, election or appointment of all
district officers, including the term of office for all district
officers. Nominations and elections may be made in any
manner not
inconsistent
with law and as the charter of any district may
prescribe.
(b)
For the qualifications, duties and compensation of its
officers;
for the time, manner and means of holding elections and
the
registration of electors; for the
keeping in the English
language a written or printed journal of every session of the
legislative body, which records shall be public; for publication of
ordinances before they become effective; for adopting, continuing,
amending, or repealing of ordinances; for a system of accounts
which
shall conform conforms to any uniform system required by law;
for the levy, collection, and return of taxes for district
purposes; and for the annual appropriation of money for district
purposes. :
Provided, All taxes and
appropriations shall be levied,
collected, and returned through the proper assessing and taxation
officer or officers of each city, village, or township or parts of
same
comprising said the metropolitan district in the same manner
as near as may be that other city, village, or township taxes are
levied, collected, and returned. The district legislative body or
other
officer or officers charged with such the duty shall
ascertain the total taxes or appropriation required for any year
and
shall thereupon certify to the proper assessing officer or
officers of the city, village, or township or parts of same
comprising
said the district its proportionate share thereof based
upon the ratio that the total assessed valuation of each respective
city, village, or township, or parts of same, bears to the total
assessed
value of all property real and personal in said the entire
district
according to the last assessment in each of said the
respective
units. Such The sum so certified shall be a direct
obligation of each city, village, or township or part of same and
shall be paid to the metropolitan district on or before the next
tax
payment period. Said The sum shall be levied, collected, and
returned by each city, village, or township in the same manner as
other general taxes.
(c) For a sinking fund as provided by any general law
applicable to cities.
(d) That the subjects of taxation for district purposes shall
be the same as for state, county, and school purposes under the
general
law. : Provided, however, That However, the
provisions of
this section as to taxes and the levy, collection, and return
thereof
of the taxes shall not apply to or be required in the
charter of any metropolitan district incorporated for the purpose
of the purchase, acquisition, or construction of any project or
projects, or improving, enlarging, extending, or repairing thereof,
authorized
under the provisions of Act No. 94 of the Public Acts of
1933,
as amended, the revenue bond
act of 1933, 1933 PA 94, MCL
141.101
to 141.140, but said the charter
shall contain provisions
relative
to the issuance of revenue bonds as in said the act
provided.
Sec. 4. Each district incorporated under the provisions of
this act may provide in its charter for 1 or more of the following:
(a) For annually levying and collecting taxes in a sum not to
exceed 1/2 of 1% of the assessed value of all real and personal
property in the district.
(b) For borrowing money on the credit of the district in a sum
not to exceed 2% of the assessed value of all real and personal
property in the district for the purpose of acquiring, owning,
purchasing, constructing, maintaining, or operating parks or public
utilities, for supplying sewage disposal, drainage, water, or
transportation, or any combination of these. A district may borrow
money and issue bonds for any of the purposes described in this
subdivision that will impose no liability upon the district but may
be paid and secured only by special assessment levied against each
parcel for the particular public improvement and for the payment of
the bonds that are issued. A district incorporated under the
provisions of this act, may, for the purpose of acquiring, owning,
purchasing, constructing, or operating any public utility described
in this subdivision, issue mortgage bonds that may be issued beyond
the general limit of bonded indebtedness prescribed by this act. A
mortgage bond issued beyond the general limits of bonded
indebtedness shall not impose any liability upon the district but
shall be secured only upon the property and revenues of the public
utility, including the franchise, stating the terms upon which, in
case of foreclosure, the purchaser may operate the public utility,
which franchise shall in no case extend for a longer period than 20
years from the date of the sale of the utility and franchise on
foreclosure. A mortgage bond shall be sold for not less than par,
bear interest at a rate not in excess of 6%, and the total amount
shall not exceed 60% of the original cost of the utility. The
charter of any district shall provide for the creation of a sinking
fund by setting aside a percentage of the gross or net earnings of
the public utility as may be deemed sufficient for the payment of
the mortgage bonds at maturity.
(c) For a lien on any property and for taxes for the payment
of any bonds issued or for the cost and expense of making any
improvement described in this section.
(d) For laying and collecting rents, tolls and excises.
(e) For a special assessment district to provide for the cost
and expense of any park or public utility, or combination of a park
and public utility, as provided in this section.
(f) For the purchase or condemnation of the franchises, if any
exist, and of the property used in the operation of companies or
individuals engaged in or operating public utilities for supplying
sewage disposal, drainage, water, or transportation, or any
combination of these. Each district may in its charter provide that
it may make a contract upon the terms, including terms of present
or deferred payment and upon the conditions and in the manner as
the district may consider proper, to purchase, operate, and
maintain any existing public utility property for supplying sewage
disposal, drainage, water, or transportation, or any combination of
these within or without its limits. If without its limits, the
purchase must be incidental to the operation and maintenance of the
public utility. A contract shall not bind the district unless the
proposition on the contract shall receive the affirmative vote of
3/5 of the electors voting on the proposition at a regular or
special election. In the event of any such purchase, the charter
amendment and the contract to purchase shall provide for the
creation of a sinking fund, into which shall be paid from time to
time, from the earnings of the utility, sums sufficient to insure
the payment of the purchase price and the performance of the
obligations of the contract to the end that the entire cost of the
public utility shall eventually be paid from its earnings. The
powers in this subdivision are in addition to the other powers
provided for in this act, and the exercise of these powers shall
not impair or affect the right to exercise any other powers.
(g) For the purchase, gift, or condemnation of private
property for any public use or purpose provided for and within the
scope of its power. If by condemnation, the provisions of 1911 PA
149, MCL 213.21 to 213.25, or other appropriate provisions may be
adopted and used for the purpose of instituting and prosecuting
condemnation proceedings.
(h) For the initiative and referendum on all matters within
the
scope of its powers. and for the recall of all its officials.
(i) For altering, amending, or repealing any charter affecting
the district.
(j) For the enforcement of all local, police, sanitary, and
other regulations as are not in conflict with the general laws of
this state.
(k) For a system of civil service.
(l) For the exercise of all district powers in the management
and control of district property and in the administration of
metropolitan district government, whether the powers are expressly
enumerated or not. For any act to advance the interest of the
district and the good government and prosperity of the district and
to pass all laws and ordinances relating to its concerns subject to
the constitution and general laws of this state. The power to
acquire a rapid transit system is expressly conferred by this act,
which may consist of a tunnel, subway, surface, or elevated system,
or any combination of these. A rapid transit system shall be
considered to be transportation within the meaning of this act and
the provisions relating to other public utilities shall also apply.
(m) A revenue bond issued under this act is subject to the
revenue bond act of 1933, 1933 PA 94, MCL 141.101 to 141.140. All
bonds issued under this act, other than revenue bonds, are subject
to the revised municipal finance act, 2001 PA 34, MCL 141.2101 to
141.2821.
Sec. 7. The charter commission shall proceed to adopt a name
for
said the district and frame a charter for said the district
as
soon
thereafter as practicable. It The
commission shall determine
the rules of its proceedings and keep a journal. A roll call of its
members on any question shall be entered on the journal at the
request
of any member. It shall provide the manner of nominating
the
candidates for the first elective officers, if any, provided in
the
proposed charter. It The
commission shall fix the date of the
first
district election. and do and provide all other things
necessary
for making such nominations and holding such elections.
Such
election may be held on the same date as a general, special or
primary
election. It The first
district election shall be held on a
regular election date as established under section 641 of the
Michigan election law, 1954 PA 116, MCL 168.641. The county clerk
of the county in which the largest number of registered electors of
the
metropolitan district reside shall
publish such the proposed
charter
in 1 or more newspapers published in said the district at
least once and not less than 2 weeks and not more than 4 weeks
preceding
said before the election, together with a notice of said
the
election, and that on the date fixed therefor
for the election
the
question of adopting such the
proposed charter will be voted
on, and that the elective officers provided for therein will be
elected
on the same date. Notice of such the election shall also be
posted in at least 10 public places within each city, village, or
township
in said the proposed district not less than 10 days prior
to
such before the election. Said commission shall provide for
polling
places for said election and all other election
requirements
through the regularly constituted officers for
conducting
elections in each city, village and township who shall
appoint
the inspectors of said election and the canvassing board of
3
electors to canvass the votes at such election and shall conduct
said
elections as near as may be in the manner of any regular
election.
Said The commission shall have authority to study the
area
proposed to be included in said the
metropolitan district and
submit recommendations to the legislative bodies of any city,
village, or township to amend its original resolution in regards to
same.
Said The charter shall state with certainty the territory
proposed to be included.
Sec. 9. Except as provided in section 9a, a metropolitan
district
charter passed pursuant to this act may be amended in the
manner
following: as provided in
this section. An amendment may be
proposed by the legislative body of the district on a 3/5 vote of
the
members or by an initiatory petition as provided in this act. ,
and
if If the amendment is proposed by the legislative body of
the
district, then the amendment shall be submitted to the electors of
the
city, village, or township comprising the district as provided
in
this act at the next primary, regular , or special election held
in
the city, village, or township which shall occur district that
occurs
not less than 30 84 days
after the proposal of the
amendment. ,
and if If the amendment is proposed by the initiatory
petition as provided in this act, then the amendment shall be
submitted
to the electors of the city, village, or township
district
as provided in this act at the next primary,
regular , or
special
election held in the district which
shall occur that occurs
not
less than 40 84 days after the filing of the petitions. The
form in which the proposed amendment to a district charter shall be
submitted on the ballot unless provided for in the initiatory
petition shall be determined by resolution by the legislative body,
and when provided for by the initiatory petition, the legislative
body may add that explanatory matter as it considers advisable.
Sec.
9b. A petition under section 9a, or 13, or 17a, including
the circulation and signing of the petition, is subject to section
488 of the Michigan election law, 1954 PA 116, MCL 168.488. A
person who violates a provision of the Michigan election law, 1954
PA 116, MCL 168.1 to 168.992, applicable to a petition described in
this section is subject to the penalties prescribed for that
violation in the Michigan election law, 1954 PA 116, MCL 168.1 to
168.992.
Sec.
13. The initiatory petition herein referred to in this
act shall be addressed to and filed with the secretary or clerk of
the
metropolitan district wherein where
the territory is located.
Such
The petition shall state what the body
or organization, if
any,
or if there is no body or organization, then what the person
or persons who are primarily interested in and responsible for the
circulation
of such the petition or petitions and the securing of
such
the amendment or amendments. Such The petitions
shall be
verified by the affidavit or affidavits of the person or persons
who obtained the signatures and shall be signed by a number of
registered
electors equal to 5 per centum 5%
of the highest vote
cast for the highest elective officer whose vote can be ascertained
at
the last district election. Such The verification shall state
that the petitions were circulated at the request of and pursuant
to the directions of the association, organization, person, or
persons
desiring the said amendment. and The
verification shall
also
state that such the signatures were obtained by the persons so
verifying
said the petition,
; that such the signatures are the
signatures
of the persons purporting to sign the same petition, and
that each of them signed in his or her presence and that the person
verifying
such the petition has good reason to believe and verily
does
believe that the signers obtained thereto are duly qualified
and
registered electors of such the
district and are the identical
persons
their signatures purport to be. Within 15 14 days from the
date
of the receipt of any such initiatory
petition, the secretary
or
clerk shall check over the names on such the petition with the
registration rolls of the territory affected or in some other
proper manner determine whether the petitioners are duly qualified
and registered voters of the district whose charter is to be
affected
by such the amendment.
, and if If it shall
appear appears
that the number of duly qualified and registered electors signing
such
the petition equals or exceeds 5 per centum 5% of
the total
vote cast for the highest elective officer whose vote can be
ascertained at the last district election and in all other respects
conforms to the provisions of this section, he or she shall certify
to
such those facts and report the same to the legislative body of
the
district. If he shall find or
she finds that there are less
than
the required number, he or
she shall report such that fact
to
the legislative body of the district and no further action upon
such
the petitions shall be had. When such petition shall
conform
to
this act, it shall be the duty of the clerk of each city,
village
and township comprising the district within 60 days of the
date
of the filing of such petition to call a special election, the
same
to be held not less than 90 days or more than 100 days after
the
date of filing such petition unless a primary or regular
election
shall occur or a special election shall have been called
for
other purposes to be held within 100 days after the date of the
filing
of such petitions. In that event, the proposal shall be
submitted
at such primary, regular or special election and no
special
election shall be so called. If
the petition conforms to
this act, the legislative body of the metropolitan district shall
submit the ballot question to the metropolitan district electors as
provided in section 389 of the Michigan election law, 1954 PA 116,
MCL 168.389. Other proposals, whether initiated by petition as
hereinbefore
provided in this section, or proposed by the
legislative body, within the times respectively within this act
provided,
may be submitted at such special election. No proposal
submitted
to the electors by the initiative and receiving an
affirmative
majority of the votes cast thereon in each city,
village
and township comprising said district shall be held
unconstitutional,
invalid or void on account of the insufficiency
of
the petition by which submission of the same was procured:
Provided,
That each signer of such initiatory petition shall
inscribe
upon such petition immediately after his signature the
date
of signing and his street address.to
the metropolitan district
electors as provided in section 389 of the Michigan election law,
1954 PA 116, MCL 168.389.
Sec. 17a. (1) In addition to the method for dissolving a
metropolitan district as provided in section 16, the dissolution of
a metropolitan district may be initiated by a petition signed by
not less than 5% of the registered electors residing in the
metropolitan district. The petition shall be filed with the county
clerk of the county in which the largest number of registered
electors in the metropolitan district reside as provided in section
646a(2) of the Michigan election law, 1954 PA 116, MCL 168.646a.
The ballot question proposing the dissolution of the metropolitan
district shall be submitted to the electors in the metropolitan
district at the next regular election held in the metropolitan
district that occurs not less than 84 days after the filing of the
petition.
(2) The ballot question language for the proposed dissolution
of the metropolitan district shall be in substantially the
following form on the ballot:
"Shall the ____________________________________ be dissolved?
(legal name of metropolitan district)
Yes (__)
No (__).".
(3) If a majority of the electors in the metropolitan district
voting at the election approve of the dissolution of the
metropolitan district, the metropolitan district shall be dissolved
within 2 years after the election as provided in section 17b.
Sec. 17b. (1) If the dissolution of a metropolitan district is
approved under section 17a, the legislative body of the
metropolitan district is immediately dissolved and the powers and
duties of the legislative body of the metropolitan district are
transferred to the 5-member board of trustees as provided in
subsection (2). In addition, all of the assets and liabilities of
the metropolitan district are transferred to the the 5-member board
of trustees as provided in subsection (2).
(2) Within 30 days after the election approving of the
dissolution of the metropolitan district, the presiding or senior
judge of probate of the county in which the largest number of
registered electors of the metropolitan district reside, the county
clerk of the county in which the largest number of registered
electors of the metropolitan district reside, and the prosecuting
attorney of the county in which the largest number of registered
electors of the metropolitan district reside shall appoint a 5-
member board of trustees composed of the following members who
shall dissolve the metropolitan district:
(a) Two members who are elected county officers from the
county in which the largest number of registered electors of the
metropolitan district reside.
(b) Two members who are elected city, township, or village
officers from a city, township, or village in the metropolitan
district.
(c) One member who is a citizen residing in the metropolitan
district.
(3) Within 2 years after the election approving the
dissolution of the metropolitan district, the 5-member board of
trustees as provided in subsection (2) shall do all of the
following in order to dissolve the metropolitan district:
(a) Prepare or cause to be prepared the financial report as
described in section 17(1)(b). A copy of the financial report shall
be provided to the legislative body of each city, township, and
village in the metropolitan district.
(b) Prepare a plan for the disposition of the assets and
liabilities of the metropolitan district as provided in section
17(2).
(c) Deposit all records of the metropolitan district with the
county clerk as provided in section 18.
(d) Notify the governor in writing of the dissolution.
Enacting section 1. This amendatory act does not take effect
unless House Bill No. 4121 of the 96th Legislature is enacted into
law.