Bill Text: MI HB6400 | 2019-2020 | 100th Legislature | Introduced
Bill Title: Transportation: authorities; publication requirement in metropolitan transportation authorities act of 1967; revise to make reference to the local government public notice act. Amends secs. 16 & 17 of 1967 PA 204 (MCL 124.416 & 124.417).
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2020-11-18 - Bill Electronically Reproduced 11/18/2020 [HB6400 Detail]
Download: Michigan-2019-HB6400-Introduced.html
HOUSE BILL NO. 6400
November 12, 2020, Introduced by Reps. Coleman
and Steven Johnson and referred to the Committee on Government Operations.
A bill to amend 1967 PA 204, entitled
"Metropolitan transportation authorities act of 1967,"
by amending sections 16 and 17 (MCL 124.416 and 124.417), section 16 as amended by 2002 PA 328 and section 17 as amended by 1993 PA 350.
the people of the state of michigan enact:
Sec. 16. (1) The authority may borrow money and issue bonds to finance and to carry out its powers and duties. The bonds shall be are payable from and may be issued in anticipation of payment of the proceeds of any of the methods of financing described in section 14 or elsewhere in this act or as may be provided by law. A political subdivision within the geographical boundaries of the authority may contract to make payments, appropriations, or contributions to the authority of the proceeds of taxes, special assessments, or charges imposed and collected by the political subdivision or out of any other funds money legally available and may pledge its full faith and credit in support of its contractual obligation to the authority. The contractual obligation shall is not constitute an indebtedness of a political subdivision within a statutory or charter debt limitation. If the authority has issued bonds in anticipation of payments, appropriations, or contributions to be made to the authority pursuant to under a contract by a political subdivision having that has the power to levy and collect ad valorem taxes, the political subdivision may obligate itself by the contract , and thereupon may levy a tax on all taxable property in the political subdivision , which tax as to for contract obligations in anticipation of which bonds are issued, to provide sufficient money to fulfill its contractual obligation to the authority. The rate or amount will of the tax must be as provided in section 6 of article IX of the state constitution of 1963. for contract obligations in anticipation of which bonds are issued, to provide sufficient money to fulfill its contractual obligation to the authority.
(2) The bonds of the authority shall must be issued and sold in compliance with the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821, except that the bonds may be issued for any period of years, not exceeding 40 years.
(3) A public corporation may advance money or deliver property to the authority to finance or to carry out its powers and duties. The authority may agree to repay the advances or pay for the property within a period not exceeding 10 years, from the proceeds of its bonds or from other funds money legally available for that purpose, with or without interest as may be agreed at the time of advance or of repayment. The obligation of the authority to make the repayment or payment may be evidenced by a contract or note or notes, which contract or note may pledge the full faith and credit of the authority.
(4) A political subdivision desiring to enter into a contract under subsection (1) shall must authorize, by resolution of its governing body, the execution of the contract. , which Before January 1, 2022, a resolution authorized under this subsection shall must be published in a newspaper of general circulation within the political subdivision. , and the Beginning January 1, 2022, a resolution authorized under this subsection must be posted as provided in the local government public notice act. The contract may be executed without a vote of the electors on the contract upon the expiration of 90 days after the date of the publication unless, within the 90-day period, a petition signed by not less than 5% of the registered electors residing within the limits of the political subdivision is filed with the clerk of the political subdivision requesting a referendum upon the execution of the contract, and in that event the contract shall must not be executed until approved by the vote of a majority of the electors of the political subdivision qualified to vote and voting on the contract at a general or special election to be held not more than 90 days after the filing of the petition.
(5) If the bonds or notes sold by the authority involve the pledge or use of state collected or administered funds, the authority shall seek the approval of the state transportation commission.
(6) Notwithstanding any other provision of this section, an authority shall not issue bonds , nor and shall not use the revenues of the sale of bonds , for the construction, reconstruction, maintenance, or operation of a subway unless approved by concurrent resolution by the legislature.
(7) Notes issued and contracts entered into under this section are not subject to the revised municipal finance act, 2001 PA 34, MCL 141.2101 to 141.2821.
Sec. 17. (1) Except in for the purchase of unique articles or articles which, for any other reason, cannot be obtained in the open market and except as otherwise provided in this section and in section 24, the authority must secure competitive bids shall be secured before any purchase or sale, by contract or otherwise is made or before any contract is awarded for construction, alterations, supplies, equipment, repairs, or maintenance or for rendering any services to the authority other than professional services; and the purchase shall must be made from or the contract shall must be awarded to the lowest responsive and responsible bidder; or a sale to the highest responsive and responsible bidder. The authority may reject any and or all such bids or proposals. A purchase of any a unique article or other articles which that cannot be obtained in the open market shall must not be made without express approval of the board where if the amount involved is in excess of $25,000.00.
(2) All Before January 1, 2022, all purchases and sales in excess of $25,000.00 shall must be awarded after advertising in a local newspaper of general circulation in the metropolitan area at least 2 weeks before the bid opening. Beginning January 1, 2022, at least 2 weeks before the bid opening, all purchases and sales in excess of $25,000.00 must be awarded after notice is posted as provided in the local government public notice act. Bids shall must be publicly opened and read aloud at a date, time, and place designated in the invitation to bid. Invitations to bid shall must be sent at least 1 week before the bid opening to at least 3 potential bidders who are qualified technically and financially to submit bids, or a memorandum shall must be kept on file showing that less than 3 potential bidders who are so qualified technically and financially to submit bids exist in the market area within which it is practicable to obtain bids.
(3) Except as otherwise provided in this section, written price quotations from at least 3 qualified and responsible vendors shall must be obtained for all purchases and sales of $25,000.00 or less but over $5,000.00, or a memorandum shall must be kept on file showing that less than 3 qualified and responsible vendors so qualified exist in the market area within which it is practicable to obtain quotations.
(4) Purchases or sales under $5,000.00 may be negotiated with or without competitive bidding under procurement procedures as promulgated and established by the general manager.
(5) Competitive bidding requirements may be waived if it is determined by the general manager, or in such other manner as the board may provide, by regulation, that an emergency directly and immediately affecting service, or public health, safety, or welfare requires immediate delivery of supplies, materials, equipment, or services.
(6) Savings achieved by the 1993 amendatory act that added this subsection shall PA 350 must be used as 1 funding source for funds to construct the construction of bus shelters at SMART bus stops. In the case of a state trunkline trunk line highway, a bus shelter constructed by SMART may include advertising on the shelter. This project shall must be competitively bid and shall must be completed within 12 months.
Enacting section 1. This amendatory act does not take effect unless Senate Bill No.____ or House Bill No. 6440 (request no. 02449'19) of the 100th Legislature is enacted into law.
