Bill Text: MI SB0711 | 2017-2018 | 99th Legislature | Engrossed
Bill Title: State financing and management; authorities; port authority act; revise. Amends secs. 2, 8 & 9 of 1978 PA 639 (MCL 120.102 et seq.).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2018-06-12 - Referred To Committee On Commerce And Trade [SB0711 Detail]
Download: Michigan-2017-SB0711-Engrossed.html
SB-0711, As Passed Senate, June 12, 2018
SUBSTITUTE FOR
SENATE BILL NO. 711
(as amended May 30, 2018)
A bill to amend 1978 PA 639, entitled
"Hertel-Law-T. Stopczynski port authority act,"
by amending sections 2, 8, 9, and 12 (MCL 120.102, 120.108,
120.109, and 120.112)<< and by adding section 16A>>.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2. As used in this act:
(a) "Authority" means a port authority created under this act
and may also include the area within the jurisdiction of an
authority.
(b) "Constituent unit" means a city or county requesting the
incorporation of an authority.
(c) "Governing body of the city" means the city council or
city commission of a city requesting incorporation of an authority
created under this act.
(d) "Governing body of the county" means the county board of
commissioners of a county participating in an authority created
under this act.
(e)
"Port facilities" means, those except as otherwise
provided in subparagraph (ii), 1 of the following:
(i) Those facilities
owned by the port authority such as: that
include, but are not limited to: seawall jetties; piers; wharves;
docks; boat landings; marinas; warehouses; storehouses; elevators;
grain bins; cold storage plants; terminal icing plants; bunkers;
oil
tanks; ferries; canals; locks; bridges; tunnels; seaways;
conveyors; modern appliances for the economical handling, storage,
and transportation of freight and handling of passenger traffic;
transfer and terminal facilities required for the efficient
operation and development of ports and harbors; other harbor
improvements;
or improvements, enlargements, remodeling, or
extensions of any of these buildings or structures.
(ii) For authorities created before the effective date of the
amendatory act that added this subparagraph, those facilities
described in subparagraph (i), whether or not they are owned by the
port authority and include other real or personal property
necessary to enhance commercial or recreational maritime
activities. Port facilities shall not include a bridge or a tunnel,
directly or indirectly.
(f) "Project" means the acquisition, purchase, construction,
reconstruction, rehabilitation, remodeling, improvement,
enlargement,
repair, condemnation, maintenance, or operation of
port facilities. For authorities created before the effective date
of the amendatory act that added this sentence, project includes
public infrastructure, and other real and personal property
necessary to achieve the purpose of this act. Project shall not
include a bridge or a tunnel, directly or indirectly.
Sec. 8. (1) An authority may:
(a) Adopt, amend, and repeal bylaws for the regulation of its
affairs and the conduct of its business.
(b) Sue and be sued on the same basis as the state; and adopt
and register with the secretary of state an official seal and alter
that seal at its pleasure.
(c) Maintain offices at a place or places, either within or
without its jurisdiction as it may determine.
(d) Acquire, construct, reconstruct, rehabilitate, improve,
maintain, lease as lessor or as lessee, repair, or operate port
facilities within its territorial jurisdiction, including, but not
limited to, the dredging of ship channels and turning basins and
the filling and grading of land therefor. An authority may operate
a leased facility, owned by the authority, if the lessee defaults
and a new lease is negotiated or competitively bid.
(e) Designate the location and character of the port
facilities which the authority may hold or own or over which it is
authorized to act and regulate all matters related to the location
and character of those port facilities.
(f) Acquire, hold, and dispose of real and personal property.
(g) Make directly, or through the hiring of expert
consultants, investigations and surveys of whatever nature,
including studies of business conditions, freight rates, port
services, physical surveys of the conditions of channels and
structures, and the necessity for additional port facilities for
the development and improvement of commerce and recreation and for
the more expeditious handling of that commerce and recreation, and
make studies, surveys, and estimates, as necessary for the
execution of its powers under this act.
(h) Promulgate all necessary rules to fulfill the purposes of
this act.
(i) Issue its bonds, notes, or other evidences of indebtedness
as provided in this act.
(j) Fix and revise from time to time and charge and collect
rates, fees, rentals, or other charges for the use of a facility
owned by the authority.
(k) For authorities created before the effective date of the
amendatory act that added this subdivision, enter into public-
private partnerships with other owners or property or port
facilities within the jurisdiction of the authority.
(2) Nothing in this act shall limit the property rights of any
person that owns property or port facilities within the
jurisdiction of the authority.
(3) The powers granted under this act are in addition to those
powers granted by charter or other statute.
Sec. 9. An authority may:
(a) Appear in its own behalf before boards, commissions,
departments, or other agencies of the federal government or of any
state or international conferences and before committees of the
congress of the United States and the state legislature in all
matters relating to the design, establishment, construction,
extension, operation, improvement, repair, or maintenance of a
project
operated, and maintained, financed, or supported by
the
authority under this act, and appear before any federal or state
agencies in matters relating to transportation rates, port services
and charges, demurrage, switching, wharfage, towage, pilotage,
differentials, discriminations, labor relations, trade practices,
river and harbor improvements, aids to navigation, permits for
structures in navigable waters, and all other matters affecting the
physical development of, and the business interest of, the
authority and those it serves.
(b) Make application for, receive and accept from any federal,
state, or municipal agency, foundation, public or private agency,
or individual, a grant or loan for, or in aid of, the planning,
construction,
operation, or financing of a port facility; project;
and receive and accept contributions from any source of money,
property, labor, or other things of value, to be held, used, and
applied for the purposes for which the grant or contribution may be
made.
(c) Appoint an executive director who shall be the chief
administrative
executive officer of the authority, and to whom the
authority may delegate any of its administrative powers and
authorizations. During employment the executive director shall not
have a financial interest in port facilities or projects over which
the authority has jurisdiction or power or authorization to act.
(d) Employ personnel as is necessary and employ the services
of private consultants and engineers, legal counsel, accountants,
construction and financial experts, and other agents for rendering
professional and technical assistance and advice as may be
necessary, and whose compensation, including the executive
director,
shall be is determined by the authority.
Sec. 12. (1) An authority may acquire by purchase or lease,
when it considers the purchase or lease expedient, lands,
structures, property, rights, rights of way, franchises, easements,
and other interests in lands as it considers necessary or
convenient for the construction or operation of a project, upon
terms and at a price as considered reasonable and agreed upon
between
the authority and the owner thereof.of that property.
(2)
An authority may acquire by condemnation lands, property
rights,
rights of way, franchises, easements, and other property,
or
parts thereof or rights therein, of a person, partnership,
association,
or corporation considered by the authority to be
necessary
for the construction or efficient operation of a project.
However,
a facility currently operated as a port facility by a
terminal
operator or a facility owned or operated by and for the
exclusive
use of the owner or operator and a facility owned or
operated
by a common carrier or public utility shall be exempt from
this
subsection. The condemnation shall be made in the manner
provided
by Act No. 295 of the Public Acts of 1966, as amended,
being
sections 213.361 to 213.391 of the Michigan Compiled Laws,
except
where that procedure may be inconsistent with this act.
(2) (3)
An authority may sell or remove the
buildings or other
structures
upon lands taken owned or
leased by the authority, and
may sell or lease lands or rights or interest in lands or other
Senate Bill No. 711 as amended May 30, 2018
property
taken or purchased or
leased for the purposes of this act.
<<Sec. 16a. Beginning on the effective date of the amendatory act that added this section, an authority shall not issue revenue bonds under this act for a project that is not owned by an authority but is financed by an authority unless that project is located within 5 miles of the commercially navigable waters that provide water access to 1 or more port facilities within the jurisdiction of that authority.>>