SB-0815, As Passed Senate, December 2, 2009
September 15, 2009, Introduced by Senators SANBORN and McMANUS and referred to the Committee on Appropriations.
A bill to amend 1909 PA 278, entitled
"The home rule village act,"
by amending section 26 (MCL 78.26), as amended by 1995 PA 211.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 26. (1) A village shall not do any of the following:
(a) Submit to the electors a charter or a revision of a
charter more often than once in every 2 years or file it with the
village clerk less than 90 days before the election. This
subdivision does not apply to the submission and resubmission of
charters to villages that may be incorporated under this act until
they have first adopted a charter.
(b) Call more than 2 special elections within 1 year. This
prohibition does not apply to elections that may be held in the
submission and resubmission of charters to villages that may be
incorporated under this act until they have first adopted a
charter.
(c) Change the salary or emoluments of a public official after
his or her election or appointment, or during his or her term of
office, if the office is held for a fixed term, or shorten or
extend the term of a public official from the period for which he
or she was elected or appointed, unless he or she is removed for
cause.
(d) Adopt a charter or amendment to a charter, unless approved
by a majority of the electors voting on the charter or amendment at
a general or special election.
(e) Authorize an issue of bonds unless approved at an election
by a majority of the electors of the village voting on the issuance
of the bonds. This subdivision does not apply to special assessment
bonds, bonds for the village portion of local improvements, not to
exceed 40% of the cost of the improvement, refunding bonds, bonds
for relief from fire, flood, or calamity, or for payment of
judgments, or bonds that the legislative body is authorized by
specific statute to issue without vote of the electors.
(f) Adopt a scheme for exemption from municipal taxation.
(g) Repudiate a debt by a change in its charter or by
consolidation with any other municipality.
(h) Incur indebtedness by the issue of bonds, or otherwise, in
a sum that, including existing indebtedness, exceeds 10% of the
assessed valuation of the real and personal property within the
village subject to taxation, as shown by the last assessment roll
of the village. Bonds issued in anticipation of the collection of
special assessments, even though they are a general obligation of
the village, motor vehicle highway fund bonds, revenue bonds, and
bonds issued, or contract or assessment obligations incurred, to
comply
with an order of the department of environmental quality
natural resources or a court of competent jurisdiction, even though
they are a general obligation of the village, bonds issued, or
contract or assessment obligations incurred, for water supply,
sewerage, drainage, or refuse disposal projects necessary to
protect the public health by abating pollution, even though they
are a general obligation of the village, and bonds issued or
assessments or contract obligations incurred for the construction,
improvement, or replacement of a combined sewer overflow abatement
facility are not included in this limitation. Money on hand in a
sinking fund limited to the payment of indebtedness may be treated
as a reduction of the indebtedness to that extent. If, because of
fire, flood, or other calamity, an emergency fund is required for
the relief of the inhabitants of the village or for the repairing
or rebuilding of any of its municipal buildings, works, bridges, or
streets, the legislative body of the village may borrow money due
in not more than 3 years and in an amount not exceeding 1/4 of 1%
of the assessed valuation of the village, notwithstanding that the
loan may increase the indebtedness of the village beyond the
limitations fixed by its charter or in this subdivision. If a
village is authorized to acquire or operate a public utility, it
may issue mortgage bonds for that purpose beyond the general limit
of bonded indebtedness prescribed by law. The mortgage bonds issued
beyond the limit of general indebtedness prescribed by law shall
not impose a liability upon the village, but shall be secured only
upon the property and revenues of the public utility, including a
franchise, stating the terms upon which, in case of foreclosure,
the purchaser may operate the public utility. The franchise shall
not extend for a period longer than 20 years from the date of the
sale of the public utility and franchise on foreclosure. Bonds
issued, or contract or assessment obligations incurred, before July
31, 1973 are validated. As used in this subdivision:
(i) "Combined sewer overflow" means a discharge from a combined
sewer system that occurs when the flow capacity of the combined
sewer system is exceeded.
(ii) "Combined sewer overflow abatement facility" means works,
instrumentalities, or equipment necessary or appropriate to abate
combined sewer overflows.
(iii) "Combined sewer system" means a sewer designed and used to
convey both storm water runoff and sanitary sewage, and which
contains lawfully installed regulators and control devices that
allow for delivery of sanitary flow to treatment during dry weather
periods and divert storm water and sanitary sewage to surface
waters during storm flow periods.
(iv) "Construction" means any action taken in the designing or
building of a combined sewer overflow abatement facility.
Construction includes, but is not limited to, all of the following:
(A) Engineering services.
(B) Legal services.
(C) Financial services.
(D) Design of plans and specifications.
(E) Acquisition of land or structural components.
(F) Building, erection, alteration, remodeling, or extension
of a combined sewer overflow abatement facility.
(G) Village supervision of the project activities described in
sub-subparagraphs (A) to (F).
(v) "Improvement" means any action undertaken to expand,
rehabilitate, or restore a combined sewer overflow abatement
facility.
(vi) "Replacement" means action taken to obtain and install
equipment, accessories, or appurtenances during the useful life of
a combined sewer overflow abatement facility necessary to maintain
the capacity and performance for which the equipment, accessories,
or appurtenances are designed and constructed.
(i) Lay or collect taxes for municipal purposes except as
otherwise provided by law, at a rate in excess of 2% of the
assessed value of all real and personal property in the village.
(j) Issue bonds without creating a sinking fund for the
payment of the bonds, except special assessment bonds that are a
charge upon a special district created for the payment of the
bonds, and serial bonds payable annually.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No. 807
of the 95th Legislature is enacted into law.