Bill Text: MI HB5811 | 2015-2016 | 98th Legislature | Engrossed
Bill Title: Public employees and officers; ethics; contracts between educational institutions and public servants; revise prohibitions. Amends sec. 3 of 1968 PA 317 (MCL 15.323).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2016-12-13 - Referred To Committee On Oversight [HB5811 Detail]
Download: Michigan-2015-HB5811-Engrossed.html
HB-5811, As Passed House, December 8, 2016
HOUSE BILL No. 5811
September 7, 2016, Introduced by Rep. Price and referred to the Committee on Oversight and Ethics.
A bill to amend 1968 PA 317, entitled
"An act relating to the conduct of public servants in respect to
governmental decisions and contracts with public entities; to
provide penalties for the violation of this act; to repeal certain
acts and parts of acts; and to validate certain contracts,"
by amending section 3 (MCL 15.323), as amended by 1997 PA 145.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
3. (1) Section Except as
provided in subsection (2),
section
2 does not apply to either any of
the following:
(a) A public servant who is paid for working an average of 25
hours per week or less for a public entity.
(b) A public servant who is an employee of a public community
college, junior college, or state college or university.
(c) A contract between a public community college, junior
college, or state college or university and a public servant who is
an employee of the same public community college, junior college,
or state college or university for the purchase of goods or
services that are available for purchase at the same price by the
general public.
(2) A contract as defined in and limited by section 2
involving a public entity and a public servant described in
subsection
(1) shall meet (1)(a) or (b)
is exempt from section 2
only if it meets all of the following requirements:
(a) The public servant promptly discloses any pecuniary
interest in the contract to the official body that has power to
approve
the contract, which and
the official body includes that
disclosure
shall be made a matter of in
the record in of its
official proceedings. Unless the public servant making the
disclosure will directly benefit from the contract in an amount
less
than $250.00 $1,500.00 and less than 5% of the public cost of
the contract and the public servant files a sworn affidavit to that
effect with the official body or the contract is for emergency
repairs
or services, he or she shall make
the disclosure shall be
made
in either of the following manners:
(i) The public servant promptly discloses in writing to the
presiding officer, or if the presiding officer is the public
servant
who is a party to the contract, to the clerk, the pecuniary
interest
in the contract at least 7 days prior
to before the
meeting at which a vote concerning the contract will be taken. The
disclosure shall be made public in the same manner as a public
meeting notice.
(ii) The public servant discloses the pecuniary
interest at a
public
meeting of the official body. The vote shall be taken at a
meeting
of the official body held at least 7 days after the meeting
at
which the disclosure is made. If the amount of the direct
benefit
to the public servant is more than $5,000.00, disclosure
must
be made as provided under this subparagraph.
(b) The contract is approved by a vote of not less than 2/3 of
the full membership of the approving body in open session without
the vote of the public servant making the disclosure.
(c) The official body discloses the following summary
information in its official minutes:
(i) The name of each party involved in the contract.
(ii) The terms of the contract, including duration, financial
consideration between parties, facilities or services of the public
entity included in the contract, and the nature and degree of
assignment of employees of the public entity for fulfillment of the
contract.
(iii) The nature of any pecuniary interest.
(3) This section and section 2 do not prevent a public servant
from making or participating in making a governmental decision to
the extent that the public servant's participation is required by
law. If 2/3 of the members are not eligible under this act to vote
on a contract or to constitute a quorum, a member may be counted
for purposes of a quorum and may vote on the contract if the member
will directly benefit from the contract in an amount less than
$250.00
$1,500.00 and less than 5% of the public cost of the
contract and the member files a sworn affidavit to that effect with
the official body. The affidavit shall be made a part of the public
record of the official proceedings. As used in this subsection,
"governmental decision" means a determination, action, vote, or
disposition upon a motion, proposal, recommendation, resolution,
ordinance, order, or measure on which a vote by members of a local
legislative or governing body of a public entity is required and by
which a public body effectuates or formulates public policy.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.