Bill Text: MI HB5347 | 2017-2018 | 99th Legislature | Introduced


Bill Title: Natural resources; other; reference to emergency managers in the natural resources and environmental protection act; modify to include reference to financial management teams. Amends sec. 5204e of 1994 PA 451 (MCL 324.5204e). TIE BAR WITH: HB 5337'17

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2017-12-13 - Bill Electronically Reproduced 12/12/2017 [HB5347 Detail]

Download: Michigan-2017-HB5347-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 5347

 

 

December 12, 2017, Introduced by Rep. Yaroch and referred to the Committee on Local Government.

 

     A bill to amend 1994 PA 451, entitled

 

"Natural resources and environmental protection act,"

 

by amending section 5204e (MCL 324.5204e), as amended by 2016 PA

 

164.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 5204e. (1) In addition to other requirements of this

 

part, the grant program shall must provide grants to municipalities

 

for sewage collection and treatment systems or storm water or

 

nonpoint source pollution control as provided for in this section.

 

     (2) The grant program is subject to all of the following:

 

     (a) The grant program shall must provide grants in accordance

 

with the following:

 

     (i) Subject to subparagraph (iii), for grants of up to


$1,000,000.00, not more than 90% of the costs incurred by the

 

municipality.

 

     (ii) Subject to subparagraph (iii), for grants of more than

 

$1,000,000.00 and less than $2,000,000.00, not more than 90% of the

 

costs incurred by the municipality up to $1,000,000.00 and not more

 

than 75% of the costs above $1,000,000.00 incurred by the

 

municipality.

 

     (iii) If any of the following conditions are met, a grant may

 

be issued to cover 100% of the costs incurred by the municipality:

 

     (A) The municipality is a disadvantaged community as defined

 

in part 53.

 

     (B) The municipality is in receivership.

 

     (C) The municipality is operating under an emergency manager

 

or an emergency a financial manager management team appointed under

 

state law.the local financial stability and choice act, 2012 PA

 

436, MCL 141.1541 to 141.1575.

 

     (D) The municipality is operating under a consent agreement as

 

provided under the local financial stability and choice act, 2012

 

PA 436, MCL 141.1541 to 141.1575.

 

     (b) A grant may be used for 1 or more of the following

 

purposes:

 

     (i) Development of an asset management program for a sewage

 

collection and treatment system or a storm water system. For sewage

 

collection and treatment systems, the program shall must include

 

the development of a funding structure and implementation schedule

 

that provides sufficient resources to implement the program. The

 

municipality shall coordinate, as feasible, with other


infrastructure activities in the same geographic area. In addition,

 

a disadvantaged community may expend not more than $500,000.00 in

 

grant funds to implement projects identified in the asset

 

management program.

 

     (ii) Development of management plans for the treatment of

 

storm water.

 

     (iii) Planning and design of a sewage treatment works project

 

or stormwater treatment project as defined in section 5301(n) or

 

(o) or planning and design of construction activities designed to

 

reduce nonpoint source pollution.

 

     (iv) Project costs of a municipality related to the testing

 

and demonstration of innovative wastewater and storm water

 

technologies approved by the department.

 

     (v) For projects to address a substantial public health risk

 

from treatment system failure, up to 50% of the project costs

 

related to the planning, design, and construction of a sewage

 

collection and treatment system. To be eligible for a grant under

 

this subparagraph, a municipality shall apply on or after June 1,

 

2016, meet criteria developed by the department, and provide a

 

demonstration of financial need, including an economic feasibility

 

study with which the department of treasury concurs. Construction

 

funding under this subparagraph shall must not exceed

 

$10,000,000.00 and shall must be allocated from wetland mitigation

 

bank funding authorized in section 5204f(1).

 

     (c) The local match is not eligible for loan assistance from

 

the state water pollution control revolving fund or the fund.

 

     (d) Grant funds shall must not be used for general local


government administrative activities or activities performed by

 

municipal employees that are unrelated to the project.

 

     (e) A municipality shall not receive more than $2,000,000.00

 

in total grant assistance under this section.

 

     (3) The department shall establish an application and review

 

process for considering grant applications under this section. The

 

application shall must contain the information required by the

 

department and the authority. Within 60 days after receipt of an

 

application, the department shall publish notice of the application

 

on the department's calendar. Within 120 days after receipt of an

 

administratively complete grant application, the department shall,

 

in writing, notify the applicant whether the application is

 

approved or rejected. If the department approves a grant under this

 

section, the department and the authority shall enter into a grant

 

agreement with the recipient prior to before transferring funds.

 

The grant agreement shall must contain terms established by the

 

department and the authority, including both of the following:

 

     (a) A requirement that a grant recipient proceed with a

 

project for which grant funding is provided within 3 years after

 

the department approves the grant. For asset management programs

 

related to sewage collection and treatment systems, this includes

 

significant progress, as determined by the department, toward

 

achieving the funding structure necessary to implement the program.

 

     (b) A requirement that the grant recipient repay the grant,

 

within 90 days of being informed to do so, with interest at a rate

 

not to exceed 8% per year, to the authority for deposit into the

 

fund if the applicant is unable to, or decides not to, proceed with


a construction project or begin implementation of an asset

 

management program for which grant funding is provided.

 

     (4) For each year in which the department receives grant

 

applications under this section, the department shall report by

 

October 1 of that year to the standing committees of the senate and

 

the house of representatives with primary jurisdiction over issues

 

pertaining to natural resources and the environment and to the

 

senate and house of representatives appropriations committees on

 

the utilization of funds under this part that were received from

 

the Great Lakes water quality bond fund created in section 19706.

 

The report shall must include, at a minimum, all of the following:

 

     (a) The number of grant applications received under this

 

section.

 

     (b) The name of each municipality applying for a grant.

 

     (c) The type of project being funded for each grant awarded.

 

     (d) The number of users potentially affected by each grant

 

awarded.

 

     (e) The amount of the local match for each grant awarded.

 

     (f) The individual and annual cumulative amount of grant funds

 

awarded, including an identification of whether each award was for

 

the purpose of applying for assistance from the state water

 

pollution control revolving fund or the fund.

 

     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.____ or House Bill No. 5337 (request no.

 

03826'17) of the 99th Legislature is enacted into law.

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