HOUSE BILL No. 5848


     April 9, 2002, Introduced by Rep. Bovin and referred to the Committee on Tax Policy.


        A bill to amend 1945 PA 327, entitled

   "Aeronautics code of the state of Michigan,"

   by amending section 131 (MCL 259.131).

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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             Sec. 131.  (1) The legislative body of any political subdi-

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        vision in this state  is hereby authorized to  MAY submit to the

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        qualified electors of the political subdivision at any regular or

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        special election called for that purpose the question of the

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        issuance of general obligation bonds of  such  THE political sub-

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        division, the proceeds of which shall be used for the acquisi-

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        tion, construction, operation, maintenance, and equipping of air-

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        ports  ,  and landing fields, including buildings, structures, or

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        facilities  thereof or  relating  thereto,  TO THEM and the

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        necessary land  therefor  FOR THEM.  A majority vote of the

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        qualified voters voting  thereon  ON THE QUESTION shall authorize


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        the issuance of  such  THE general obligation bonds.  , but their

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        issuance shall be limited and governed by the provisions of the

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        statutes in force at the time of issuance.  GENERAL OBLIGATION

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        BONDS ISSUED UNDER THIS ACT ARE SUBJECT TO THE REVISED MUNICIPAL

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        FINANCE ACT, 2001 PA 34, MCL 141.2101 TO 141.2821.

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             (2) Revenue bonds may be issued for the  above  purposes SET

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        FORTH IN SUBSECTION (1), and the legislative body of  such  THE

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        political subdivision may pledge as security for  such  THE bonds

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        all or any portion of the landing fees, concession fees, rents,

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        charges, or any other revenues derived from the operation of the

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        airport.   Such  THE revenue bonds shall be issued in accordance

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        with the applicable provisions of  Act No.  94 of the Public Acts

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        of 1933, as amended, being sections 141.101 to 141.139, inclu-

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        sive, of the Compiled Laws of 1948:  Provided, That any such  THE

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        REVENUE BOND ACT OF 1933, 1933 PA 94, MCL 141.101 TO 141.140.

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        HOWEVER, THE fees, rents, or charges  so  pledged that are fixed

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        and established  pursuant to  UNDER the provisions of a lease or

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        contract  ,  shall not be subject to revision or change except in

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         such  THE manner  as is  provided in  such  THE
    lease or

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        contract.  As additional security for the payment of the princi-

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        pal of and interest on any revenue bonds issued  pursuant to

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        UNDER the provisions of this section, any issuing political sub-

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        division may,  upon proper  BY resolution adopted by a majority

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        vote of its governing body, agree that  in the event  IF the

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        funds pledged for the payment of  such  THE revenue bonds are not

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        sufficient  for the payment of  TO PAY the principal and interest

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         thereon  ON THE BONDS as  the same shall  THEY become due, the



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        political  subdivisions  SUBDIVISION shall advance sufficient

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         moneys  MONEY out of its general funds for the payment of  such

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        THE principal and interest, if the proceeds of the revenue bonds

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        are used exclusively within the territorial limits of the county

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        in which  such  THE political subdivision is located, and  it

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        shall become the duty of  the treasurer of  such  THE political

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        subdivision  to  SHALL promptly make  such  THE advancement.  The

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        political subdivision shall be reimbursed for any  moneys so

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        MONEY advanced out of funds pledged for the payment of  said  THE

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        revenue bonds  thereafter  SUBSEQUENTLY paid or collected.

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             (3) Except for the additional security  which  THAT may be

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        agreed upon by resolution of the governing body as  hereinabove

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        specifically  provided IN THIS SECTION, the principal of and

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        interest on  such  THE revenue bonds shall be payable solely from

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        the revenues  hereinbefore specifically enumerated:  Provided,

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        That the term revenues as  DESCRIBED IN THIS SECTION.  AS used in

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        this section,  shall mean  "REVENUES" MEANS net revenues after

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        operating expenses.





















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