Bill Text: MI SB1366 | 2011-2012 | 96th Legislature | Introduced
Bill Title: Taxation; other; statewide metropolitan authority; create. Creates new act.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2012-11-08 - Referred To Committee On Finance [SB1366 Detail]
Download: Michigan-2011-SB1366-Introduced.html
SENATE BILL No. 1366
November 8, 2012, Introduced by Senators BIEDA and WARREN and referred to the Committee on Finance.
A bill to create a metropolitan authority; to prescribe the
powers, duties, and jurisdictions of the metropolitan authority;
and to prescribe the powers and duties of certain state officials.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1. This act shall be known and may be cited as the
"Michigan metropolitan areas metropolitan authority act".
Sec. 3. (1) The legislature finds and declares all of the
following:
(a) That the efficient and effective operation of local units
of government is necessary for the interests of the people of this
state to assure the provision of necessary governmental services
essential to public health, safety, and welfare in metropolitan
areas.
(b) That there exists in this state a continuing need to
strengthen and revitalize the economy of this state and to organize
the activities of local government in metropolitan areas in a
manner that reduces governmental barriers to economic growth,
facilitates economic development, preserves communities and
strengthens neighborhoods, prevents or reduces unemployment, and
creates new employment opportunities.
(c) That under section 27 of article VII of the state
constitution of 1963, the legislature may establish in metropolitan
areas additional forms of government or authorities with power,
duties, and jurisdictions as the legislature shall provide.
(d) That it is necessary and appropriate for the promotion of
the health, safety, and welfare of the people of this state to
enable the formation of metropolitan governments designed to
perform multipurpose functions.
(e) That the formation of a metropolitan government under this
act and the powers conferred by this act constitute a necessary
program and serve a necessary public purpose.
(2) The purpose of this act is to do all of the following:
(a) Provide broad and flexible authorization for the
establishment of new forms of government for metropolitan areas
throughout this state.
(b) Facilitate the provision of vital local governmental
services in metropolitan areas throughout this state, including,
but not limited to, police and fire protection services.
(c) Encourage the introduction of new forms of metropolitan
government.
(d) Improve the opportunities for more effective and efficient
provision of governmental services.
(e) Establish an authority to perform multipurpose functions.
(f) Promote the public health, safety, welfare, convenience,
and prosperity of this state and its metropolitan areas.
Sec. 5. As used in this act:
(a) "Authority" means the metropolitan areas metropolitan
authority established under section 7.
(b) "Council" means the metropolitan areas council established
under section 9.
(c) "Department" means the department of treasury.
(d) "Fiscal year" means either an annual period that begins on
October 1 and ends on September 30 or the fiscal year for the
authority established by the council.
(e) "Municipality" means a county, city, village, township,
local authority, or other local tax collecting unit of this state.
Municipality does not include the authority.
Sec. 7. (1) The metropolitan areas metropolitan authority is
established as a metropolitan government under section 27 of
article VII of the state constitution of 1963. The authority is a
public body corporate and a special authority. The authority is not
an agency or instrumentality of state government.
(2) The property of the authority is public property devoted
to an essential public and governmental purpose. Any income of the
authority is for a public and governmental purpose.
(3) Property of the authority and its income, activities, and
operations are exempt from all taxes and special assessments of
this state or a political subdivision of this state. Property of
the authority is exempt from any ad valorem property taxes levied
under the general property tax act, 1893 PA 206, MCL 211.1 to
211.155, or other law of this state authorizing the taxation of
real or personal property.
(4) The validity of the creation of the authority is presumed
unless questioned in an original action filed in the court of
appeals not later than 60 days after the creation of the authority
under this section. The court of appeals has original jurisdiction
to hear an action under this subsection. The court shall hear the
action in an expedited manner.
Sec. 9. (1) The metropolitan areas council is established
within the authority. The powers, duties, functions, and
responsibilities of the authority are vested in a metropolitan
areas council. The council shall consist of 5 residents of this
state appointed by the governor. Not less than 3 members of the
council shall be residents of separate metropolitan areas within
this state. An officer or employee of this state may not serve as a
member of the council.
(2) Of the members of the council initially appointed by the
governor, 1 member shall be appointed for an initial term of 5
years, 1 member shall be appointed for an initial term of 4 years,
1 member shall be appointed for an initial term of 3 years, 1
member shall be appointed for an initial term of 2 years, and 1
member shall be appointed for an initial term of 1 year. After the
initial appointments, a member of the council shall be appointed
for a term of 6 years. If a vacancy on the council occurs other
than by expiration of a term, the vacancy shall be filled in the
same manner as the original appointment for the balance of the
unexpired term. A member of the council may continue to serve until
a successor is appointed and qualified. The governor shall
designate a member of the council to serve as its chairperson at
the pleasure of the governor.
(3) An individual appointed as a member of the council shall
take the oath of office as provided under section 1 of article XI
of the state constitution of 1963.
(4) A member of the council shall serve without compensation
but may be reimbursed by the authority for necessary travel and
expenses to the extent not prohibited by law and consistent with a
reimbursement policy adopted by the council.
(5) A member of the council shall discharge the duties of his
or her position in a nonpartisan manner, in good faith, and with
the degree of diligence, care, and skill that an ordinarily prudent
person would exercise under similar circumstances in a like
position. In discharging his or her duties, a member of the
council, when acting in good faith, may rely upon any of the
following:
(a) The opinion of legal counsel for the authority.
(b) The report of an independent appraiser selected by the
council.
(c) Financial statements of the authority represented to the
member of the council to be correct by the officer of the authority
having charge of its books of account or stated in a written report
by an auditor or a certified public accountant, or a firm of
certified accountants, to reflect the financial condition of the
authority.
(6) Within not more than 30 days following appointment of the
initial members of the council, the council shall hold its first
meeting at a date and time determined by the chairperson of the
council. The council shall elect from among the members of the
council an individual to serve as vice-chairperson of the council
and secretary of the council and may elect other officers as the
council considers necessary. All officers under this subsection
shall be elected annually by the council.
(7) The council shall conduct its business at a public meeting
held in compliance with the open meetings act, 1976 PA 267, MCL
15.261 to 15.275. Public notice of the time, date, and place of the
meeting shall be given in the manner required by the open meetings
act, 1976 PA 267, MCL 15.261 to 15.275. The council shall adopt
bylaws consistent with the open meetings act, 1976 PA 267, MCL
15.261 to 15.275, governing its procedures and the holding of
meetings. After organization, the council shall adopt a schedule of
regular meetings and adopt a regular meeting date, place, and time.
A special meeting of the council may be called by the chairperson
of the council or as provided in bylaws adopted by the council.
Notice of a special meeting shall be given in the manner required
by the open meetings act, 1976 PA 267, MCL 15.261 to 15.275.
(8) The council shall keep a written or printed record of each
meeting, which record and any other document or record prepared,
owned, used, in the possession of, or retained by the authority in
the performance of an official function shall be made available to
the public in compliance with the freedom of information act, 1976
PA 442, MCL 15.231 to 15.246.
(9) The council shall provide for a system of accounts for the
authority to conform to a uniform system required by law and for
the auditing of the accounts of the authority. The council shall
obtain an annual audit of the authority by an independent certified
public accountant and report on the audit and auditing procedures
in the manner provided by sections 6 to 13 of the uniform budgeting
and accounting act, 1968 PA 2, MCL 141.426 to 141.433. The audit
also shall be in accordance with generally accepted government
auditing standards.
(10) Before the beginning of each fiscal year, the council
shall prepare a budget for the authority containing an itemized
statement of the estimated expenses and revenue of the authority
from all sources for the next fiscal year. Before final adoption of
the budget, the council shall hold a public hearing as required by
1963 (2nd Ex Sess) PA 43, MCL 141.411 to 141.415, and the open
meetings act, 1976 PA 267, MCL 15.261 to 15.275. The council shall
adopt a budget for the fiscal year in compliance with the uniform
budgeting and accounting act, 1968 PA 2, MCL 141.421 to 141.440a.
(11) The council shall adopt a procurement policy consistent
with the requirements of state law relating to procurement. The
procurement policy shall address all of the following:
(a) The purchase of, the contracting for, and the providing of
supplies, materials, services, insurance, utilities, third-party
financing, equipment, printing, and all other items as needed by
the authority to efficiently and effectively meet the needs of the
authority using competitive procurement methods to secure the best
value for the authority.
(b) That the council shall make all discretionary decisions
concerning the solicitation, award, amendment, cancellation, and
appeal of authority contracts.
(c) Control, supervision, management, and oversight of each
contract to which the authority is a party.
(d) Monitoring of contracts to assure the contract is being
performed in compliance with the terms of the contract and
applicable law.
(12) Members of the council are public servants subject to
1968 PA 317, MCL 15.321 to 15.330, and are subject to any other
applicable law with respect to conflicts of interest. The council
shall establish policies and procedures requiring periodic
disclosure of relationships which may give rise to conflicts of
interest. The council shall require that a member of the council
with a direct interest in any matter before the authority disclose
the member's interest before the council takes any action with
respect to the matter. The council shall establish an ethics manual
for the authority governing authority business and the conduct of
authority officers and employees. The council shall establish
policies that are no less stringent than those provided for public
officers and employees by 1973 PA 196, MCL 15.341 to 15.348, and
coordinate efforts for the authority to preclude the opportunity
for and the occurrence of transactions by the authority that would
create a conflict of interest involving officers or employees of
the authority. At a minimum, the policies shall include compliance
by each officer and employee of the authority who regularly
exercise significant discretion over the award and management of
authority procurements with policies governing all of the
following:
(a) Immediate disclosure of the existence and nature of any
financial interest that could reasonably be expected to create a
conflict of interest.
(b) Withdrawal by an officer or employee from participation in
or discussion or evaluation of any recommendation or decision
involving an authority procurement that would reasonably be
expected to create a conflict of interest for that officer or
employee.
(13) The governor may remove a member of the council from
office for gross neglect of duty, corrupt conduct in office, or any
other misfeasance or malfeasance in office.
Sec. 11. (1) Except as otherwise provided in this act, an
authority may do all things necessary or convenient to implement
the purposes, objectives, and provisions of this act and the
purposes, objectives, and jurisdictions vested in the authority by
this act or other law, including, but not limited to, all of the
following:
(a) Adopt and use a corporate seal.
(b) Adopt, amend, and repeal bylaws for the regulation of its
affairs and the conduct of its business.
(c) Sue and be sued in its own name and plead and be
impleaded.
(d) Make and enter into contracts, agreements, or instruments
necessary, incidental, or convenient to the performance of its
duties and execution of its powers, duties, and jurisdictions under
this act with any federal, state, local, or intergovernmental
governmental agency or with any other person or entity, public or
private, upon terms and conditions acceptable to the authority.
(e) Solicit, receive, and accept gifts from any public or
private source.
(f) Make application for and receive loans, grants,
guarantees, or other financial assistance from any state, federal,
local, or intergovernmental government or agency or from any other
source, public or private.
(g) Procure insurance or become a self-funded insurer against
loss in connection with the property, assets, or activities of the
authority.
(h) Indemnify and procure insurance indemnifying members of
the council from personal loss or accountability for actions within
their capacity as members of the council.
(i) Incur indebtedness in the manner authorized by law for the
carrying out of the powers, duties, functions, and responsibilities
of the authority.
(j) Invest money of the authority, at the discretion of the
council, in instruments, obligations, securities, or property
determined proper by the council and name and use depositories for
authority money. Investments shall be made consistent with an
investment policy adopted by the council that complies with this
act and 1943 PA 20, MCL 129.91 to 129.97a.
(k) Contract for goods and services.
(l) Employ legal and technical experts, other officers, agents,
employees, or other personnel, permanent or temporary, including,
but not limited to, an executive director of the authority.
(m) Contract for the services of persons or entities for
rendering professional or technical assistance, including, but not
limited to, consultants, managers, legal counsel, engineers,
accountants, and auditors.
(n) Establish and maintain an office.
(o) Acquire, hold, maintain, convey, sell, exchange, or lease
rights or interests in property.
(p) Collect data regarding intergovernmental cooperation and
shared governmental services activities.
(q) Study the feasibility of intergovernmental cooperation
activities.
(r) Promote joint endeavors, joint undertakings, cooperative
agreements, municipal partnerships, or other forms of
intergovernmental cooperation among public agencies in this state.
(s) Exercise the powers, duties, functions, and
responsibilities vested in the authority under the metropolitan
extension telecommunications rights-of-way oversight act, 2002 PA
48, MCL 484.3101 to 484.3120, and other laws of this state.
(t) Do all other acts and things necessary or convenient to
exercise the powers, duties, and jurisdictions of the authority
under this act or other laws that relate to the purposes, powers,
duties, and jurisdictions of the authority.
(2) The powers, duties, functions, and responsibilities of the
authority may be exercised throughout this state. The authority
possesses the jurisdiction to exercise its powers, duties,
functions, and responsibilities on a statewide basis.
Sec. 17. This act shall be construed liberally to effectuate
the legislative intent and the purposes of this act as complete and
independent authorization for the performance of each and every act
and thing authorized in the act, and all powers granted in this act
shall be broadly interpreted to effectuate the intent and purposes
of this act and not as to limitation of powers. Powers granted to
an authority shall include those fairly implied and not prohibited
by law.
