HOUSE BILL No. 5968


     September 27, 2000, Introduced by Rep. Pappageorge and referred to the Committee on Tax Policy.


        A bill to amend 1943 PA 202, entitled

   "Municipal finance act,"

   (MCL 131.1 to 139.3) by adding section 10 to chapter 5.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 1
                                  CHAPTER 5

 2
           SEC. 10.  IF THE GOVERNING BODY OF A MUNICIPALITY PLEDGES

 3
      ANY PORTION OF THE GENERAL FUND OF THE MUNICIPALITY AND ISSUES

 4
      ANY BOND OTHER THAN A GENERAL OBLIGATION BOND OR A REVENUE BOND

 5
      UNDER THIS ACT, THE MUNICIPALITY SHALL PUBLISH A NOTICE OF INTENT

 6
      TO ISSUE THE BONDS.  THE NOTICE OF INTENT SHALL BE DIRECTED TO

 7
      THE ELECTORS OF THE MUNICIPALITY, SHALL BE PUBLISHED IN A NEWSPA-

 8
      PER THAT HAS GENERAL CIRCULATION IN THE MUNICIPALITY, AND SHALL

 9
      STATE THE MAXIMUM AMOUNT OF BONDS TO BE ISSUED, THE PURPOSE OF

10
      THE BONDS, THE SOURCE OF PAYMENT, THE RIGHT OF REFERENDUM ON THE

11
      BONDS, AND OTHER INFORMATION THE GOVERNING BODY DETERMINES


   02614'99 *                                               JLB
                                                2

 1
      NECESSARY TO ADEQUATELY INFORM THE ELECTORS OF THE NATURE OF THE

 2
      ISSUE.  THE NOTICE OF INTENT SHALL ALSO STATE WHAT PORTION OF THE

 3
      GENERAL FUND REVENUES OF THE MUNICIPALITY WILL BE USED TO BACK

 4
      THE BONDS AND SHALL STATE ANY LIMITATIONS ON THE USE OF GENERAL

 5
      FUND REVENUE.  THE NOTICE OF INTENT SHALL NOT BE LESS THAN 1/4

 6
      PAGE IN SIZE IN THE NEWSPAPER.  IF WITHIN 45 DAYS AFTER THE PUB-

 7
      LICATION OF THE NOTICE OF INTENT A PETITION, SIGNED BY NOT LESS

 8
      THAN 10% OR 15,000 OF THE REGISTERED ELECTORS, WHICHEVER IS LESS,

 9
      RESIDING WITHIN THE MUNICIPALITY, IS FILED WITH THE GOVERNING

10
      BODY OF THE MUNICIPALITY, REQUESTING A REFERENDUM UPON THE QUES-

11
      TION OF THE ISSUANCE OF THE BONDS, THEN THE BONDS SHALL NOT BE

12
      ISSUED UNTIL APPROVED BY THE VOTE OF A MAJORITY OF THE ELECTORS

13
      OF THE MUNICIPALITY QUALIFIED TO VOTE AND VOTING ON THE BONDS AT

14
      A GENERAL OR SPECIAL ELECTION.  A SPECIAL ELECTION CALLED FOR

15
      THIS PURPOSE SHALL NOT BE INCLUDED IN A STATUTORY OR CHARTER LIM-

16
      ITATION AS TO THE NUMBER OF SPECIAL ELECTIONS TO BE CALLED WITHIN

17
      A PERIOD OF TIME.  SIGNATURES ON THE PETITION SHALL BE VERIFIED

18
      BY A PERSON UNDER OATH, AS THE ACTUAL SIGNATURES OF THE PERSONS

19
      WHOSE NAMES ARE SIGNED TO THE PETITION, AND THE GOVERNING BODY OF

20
      THE MUNICIPALITY SHALL HAVE THE SAME POWER TO REJECT SIGNATURES

21
      AND PETITIONS AS CITY CLERKS UNDER SECTION 25 OF THE HOME RULE

22
      CITY ACT, 1909 PA 279, MCL 117.25.  THE NUMBER OF REGISTERED

23
      ELECTORS IN THE MUNICIPALITY SHALL BE DETERMINED BY THE GOVERNING

24
      BODY OF THE MUNICIPALITY.









   02614'99 *          Final page.                          JLB