HOUSE BILL No. 4869 June 5, 2001, Introduced by Reps. Birkholz, Lipsey, Waters, Kilpatrick, Raczkowski, Thomas, Daniels, Kowall, Toy, Richner, Garza, Stallworth, Hale, Rivet, Clarke, Jamnick and Lemmons and referred to the Committee on Local Government and Urban Policy. A bill to amend 1945 PA 344, entitled "An act to authorize counties, cities, villages and townships of this state to adopt plans to prevent blight and to adopt plans for the rehabilitation of blighted areas; to authorize assistance in carrying out such plans by the acquisition of real property, the improvement of such real property and the disposal of real property in such areas; to prescribe the methods of financing the exercise of these powers; and to declare the effect of this act," by amending section 4 (MCL 125.74), as amended by 1986 PA 320. THE PEOPLE OF THE STATE OF MICHIGAN ENACT: 1 Sec. 4. (1) As used in this section: 2 (a) "District area" means a portion of a municipality con- 3 sisting of 1 or more adjacent or nearby development areas and any 4 surrounding territory that will be significantly affected by the 5 plan for the development area or areas, where a majority of resi- 6 dents in the district area reside in the development area or 7 areas. 04623'01 KDD 2 1 (b) "Development plan" and "development area" mean those 2 terms as defined in section 2. 3 (c) "Citizens' district council" means a citizens' district 4 council established under this act. 5 (d) "Coordinating council on community redevelopment" means 6 any coordinating council on community redevelopment established 7 under this act. 8 (2) Except as provided in subsection (7), the plans, state- 9 ments, and actions prescribed in subsections (3) to (11) are 10 requirements and conditions for the exercise of the powers 11 granted by this act for the acquisition, sale, or lease of real 12 property for the carrying out of a development plan in a develop- 13 ment area. 14 (3) The following plans shall be adopted by the local legis- 15 lative body of the municipality in which the development area is 16 located: 17 (a) A master plan of the municipality or a master plan which 18 is sufficiently advanced to designate areas in need of rehabili- 19 tation or in need of measures to prevent blight. 20 (b) A plan of the general features of development of the 21 district within which the development area lies and of other dis- 22 tricts adjacent to the development area, of such extent, content, 23 and particularity as is necessary to the coordination of the 24 development area plan with the future development of the terri- 25 tory surrounding the development area, or, if no future develop- 26 ment is planned, then in coordination with the present 27 development. 04623'01 3 1 (4) District areas shall be designated for all development 2 areas that have been approved by a local legislative body and 3 subject to the terms of this act as of January 1, 1968, and all 4 subsequent development areas that are so approved. A district 5 area shall not be designated unless the local legislative body 6 first holds a public hearing on the designation. The legislative 7 body shall give notice of the public hearing not less than 20 nor 8 more than 30 days before the date for the public hearing. 9 (5) Citizens' district councils are governed by the 10 following: 11 (a) Except as otherwise provided in this subdivision, for 12 each district area, a citizens' district council of not less than 13 12 nor more than 25 members shall be selected in a manner that 14 ensures that the citizens' district council is to the maximum 15 extent possible representative of the residents of the area and 16 of other persons with a demonstrable and substantial interest in 17 the area. The majority of the citizens' district council shall 18 be composed of citizens living in the development area. 19 (b) The term of office on the councils shall be 3 years. If 20 terms of council members are not staggered, then, upon the expi- 21 ration of the terms of the members of the citizens' district 22 council, 1/3 shall be elected or appointed for 3 years, 1/3 for 2 23 years and 1/3 for 1 year. 24 (c) Members of the council may be selected by direct elec- 25 tion by the residents of the area and other persons with a demon- 26 strable and substantial interest in the area, or may be appointed 27 by the chief executive officer of the municipality after 04623'01 4 1 consultation with local community groups and residents of the 2 area, or by a combination of appointment and election. The 3 method of selection of the citizens' district council, and any 4 appointments to the council by the chief executive officer, shall 5 be determined with the approval of the local legislative body 6 after a public hearing has been held, with public notice of 7suchTHE hearing distributed throughout the district area at 8 least 20 days before the date of the hearing. Citizens' district 9 councils shall be established within 45 days of any initial des- 10 ignation of a development area by any local planning agency or 11 local legislative body. 12 (d) In a city of over1,000,000750,000, the local legis- 13 lative body shall adopt an ordinance governing the composition 14 and method of selecting the members of the citizens' district 15 councils, with the limitation thatsuch anTHE ordinance shall 16 provide for a majority of the citizens' district council to be 17 composed of citizens living in a development area or areas. 18 (6) The local official responsible for preparation of the 19 development plan within the district area shall periodically con- 20 sult with and advise the citizens' district council regarding all 21 aspects of the plan, including the development of new housing for 22 relocation purposes located either inside or outside of the 23 development area. The consultation shall begin before any final 24 decisions by any local planning agency or local legislative body 25 regarding the development plan other than the designation of the 26 development area. The consultation shall continue throughout the 27 various stages of the development plan, including the final 04623'01 5 1 implementation of the plan. The local officials responsible for 2 the development of the plan shall incorporate into the develop- 3 ment plan the desires and suggestions of the citizens' district 4 council to the extent feasible. A local commission, public 5 agency, or local legislative body of any municipality shall not 6 approve any development plan for a development area unless there 7 has previously been consultation between the citizens' district 8 council and the local officials responsible for the development 9 plan. A record of the meetings, including information and data 10 presented, shall be maintained and included in official presenta- 11 tion of the proposed development plan to the local legislative 12 body. 13 (7) The chief executive officer of the municipality shall 14 give the citizens' district council written notice of any contem- 15 plated zoning change, hearing, or condemnation proceedings within 16 the district area. The notice shall be given at least 20 days 17 before the effective date of the change or the date of the hear- 18 ing or proceedings. Upon receiving a request from the citizens' 19 district council, the local legislative body shall hold a public 20 hearing on the proposed zoning change or condemnation 21 proceedings. Each citizens' district council may call upon any 22 city department for information. 23 (8) In a municipality with 2 or more district areas, each 24 citizens' district council shall elect 4 of its members who shall 25 compose the entire membership of the coordinating council on com- 26 munity redevelopment. The committee shall advise local units of 27 government on proposed policy on urban renewal, make 04623'01 6 1 recommendations for new projects, and promote better relations 2 between local units of government and residents of urban renewal 3 areas. Notwithstanding any other provisions of this act, the 4 formation of a coordinating council on community redevelopment 5 shall not be a requisite for or condition of the exercise of the 6 powers granted by this act for the acquisition, sale, or lease of 7 real property, or the carrying out of a development plan in a 8 development area. 9 (9) The local legislative body shall adopt a development 10 plan after consultation with a citizens' district council, if 11 required, and a public hearing on the development plan as pro- 12 vided in subsection (11), for the development area in which the 13 land proposed to be acquired is located or for the effectuation 14 or protection of which development the proposed land acquisition 15 isdeemedCONSIDERED necessary. A development plan shall 16 comply with the following: 17 (a) The plan shall designate the location and extent of 18 streets and other public facilities within the area and shall 19 designate the location, character, and extent of the categories 20 of public and private land uses proposed for and within the area, 21 such as residential, recreation, business, industry, schools, 22 open spaces, and others, and shall also include a feasible method 23 for the relocation of families who will be displaced from the 24 area in decent, safe, and sanitary dwelling accommodations and 25 without undue hardship to those families, andsuchWHATEVER 26 other general features of the proposed rehabilitationasTHAT 27 may be determined by the local legislative body. A feasible 04623'01 7 1 method for relocation of displaced families shall demonstrate 2 that standard housing units are or will be available to the dis- 3 placed families and individuals at rents or prices within their 4 financial means, in reasonably convenient locations not less 5 desirable than the development area with respect to utilities and 6 facilities. 7 (b) The plan shall designate the location, extent, charac- 8 ter, and estimated cost of the improvements contemplated for the 9 area and may include any or all of the following improvements: 10 (i) Partial or total vacation of plats, or replatting. 11 (ii) Opening, widening, straightening, extending, vacating, 12 or closing streets, alleys, or walkways. 13 (iii) Locating or relocating water mains, sewers, or other 14 public or private utilities. 15 (iv) Paving of streets, alleys, or sidewalks in special 16 situations. 17 (v) Acquiring parks, playgrounds, or other recreational 18 areas or facilities. 19 (vi) Street tree planting, green belts, or buffer strips. 20 (vii) Property renovation in accordance with this act. 21 (viii) Parking facilities. 22 (ix) Commercial area promotion. 23 (x) Economic restructuring of commercial areas. 24 (xi) Recruiting of new businesses. 25 (xii) Other appropriate public improvements and activities 26whichTHAT address rehabilitation or blight prevention in 27 accordance with this act. 04623'01 8 1 (c) The plan shall include estimates of the number of 2 persons residing in the development area and the number of fami- 3 lies and individuals to be displaced; a survey of their income 4 and racial composition; a statistical description of the housing 5 supply in the community, including the number of private and 6 public units in existence or under construction, the annual rate 7 of turnover of the various types of housing, and the range of 8 rents and sale prices; an estimate of the total demand for hous- 9 ing in the community; and the estimated capacity of private and 10 public housing available to displaced families and individuals. 11 (10) A local administrative agency shall be designated to 12 provide information concerning private and public housing avail- 13 able to displaced families and individuals and to advise and 14 assist in their relocation. 15 (11) Before the determination of a blighted area and a 16 determination that there is a feasible method for relocation of 17 families and individuals who will be displaced from the area, and 18 before adoption of a development plan, the local legislative body 19 shall hold a public hearing, which hearingTHAT shall comply 20 with the following: 21 (a) Notice of the time and place of the hearing shall be 22 given by publication in a newspaper of general circulation not 23 less than 30 days before the date set for the hearing. Notice of 24 the hearing shall be distributed in the blighted area at least 25 25 days before the hearing. Notice of the hearing shall be mailed 26 at least 25 days before the hearing to the last known owner of 27 each parcel of land in the blighted area at the last known 04623'01 9 1 address of that owner as shown by the records of the assessor. 2 The notice shall contain a description of the development area. 3 For purposes of this notice it shall be sufficient to describe 4 the boundaries of the development area by its location in rela- 5 tion to highways, streets, streams, or otherwise. The notice 6 shall further contain a statement that maps, plats, and a partic- 7 ular description of the development plan, including the method of 8 relocating families and individuals who will be displaced from 9 the area, are available for public inspection at a place to be 10 designated in the notice, and that all aspects of the development 11 plan will be open for discussion at the public hearing. 12 (b) At the time set for hearing the local legislative body 13 shall provide an opportunity for all persons interested to be 14 heard and shall receive and consider communications in writing 15 with reference to the development plan. The hearing shall pro- 16 vide the fullest opportunity for expression of opinion, for argu- 17 ment on the merits of the development plan, and for introduction 18 of documentary evidence pertinent to the development plan. 19 (c) The local legislative body shall make and preserve a 20 record of the public hearing, including specific findings of fact 21 with respect to its determination of the blighted area and its 22 determination that there is a feasible method for relocation of 23 families and individuals who will be displaced from the area, all 24 data presented at the public hearing and all other datawhich25 THAT the legislative body considered in making its 26 determinations. If no individuals reside in the development 04623'01 10 1 area, the legislative body is not required to determine a 2 feasible method for relocating residents. 3 (12) Within 10 days after the completion of the public hear- 4 ing as provided in subsection (11), the citizens' district coun- 5 cil for the district within which the proposed development area 6 is located shall notify the local legislative body in writing of 7 its approval or disapproval of the development plan. If the 8 citizens' district council approves the plan or fails to notify 9 the local legislative body of its approval or disapproval of the 10 plan, the local legislative body is free to act on the plan. If 11 the citizens' district council disapproves the plan andso12 notifiesin writingthe local legislative body IN WRITING OF 13 THIS DISAPPROVAL, the local legislative body shall not adopt the 14 plan for at least 30 days after receipt of the notice and during 15 that period shall consult with the citizens' district council 16 concerning its objections. 04623'01 Final page. KDD