SENATE BILL No. 846

November 29, 2001, Introduced by Senator YOUNG and referred to the Committee on Finance.

A bill to amend 1931 PA 246, entitled

"An act to provide for the construction, repair, and maintenance

of pavements, sidewalks, and elevated structures on or along

public roads and highways; to provide for the levying of taxes

and of special assessments; to authorize the borrowing of money

and the issuance of bonds; to prescribe the powers and duties of

certain state and local agencies and officers; to validate

actions taken, special assessments levied, and bonds issued; and

to provide for the lighting of certain roads, highways, and

bridges,"

by amending section 13a (MCL 41.283a).

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1 Sec. 13a. The commissioners may issue and sell bonds bear-

2 ing not to exceed the maximum rate permitted by Act No. 202 of

3 the Public Acts of 1943, as amended, to an amount not exceeding

4 the total assessments levied in any district, and pledge the full

5 faith and credit of the assessment district for the payment of

6 said bonds. When bonds are issued, all payments made on the

7 assessments shall be paid into and constitute a fund, hereinafter

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1 referred to as the assessment district sinking fund, for the

2 payment of the principal and interest on said bonds until such

3 fund is sufficient to retire all bonds at maturity.

4 (1) The township board of any township in which a special

5 assessment district is created under the provisions of this act

6 may, by resolution duly adopted, pledge the full faith and credit

7 of the township for the payment of bonds issued on said THAT

8 special assessment district. Whenever an assessment district

9 sinking fund is insufficient to pay the bonds and interest

10 thereon ON THE BONDS when due, and the FULL faith and credit of

11 the township have been pledged to the payment of such THOSE

12 bonds, the amount necessary to make such THE payment shall be

13 IMMEDIATELY paid into such THE assessment district sinking fund

14 by the township. forthwith. In any case where such THE pay-

15 ment is made by the township, all special assessments collected

16 in such THE district after all bonds issued have been retired

17 or sufficient funds have been accumulated in the assessment dis-

18 trict sinking fund to retire all such THE bonds shall belong to

19 and be turned over to the township.

20 (2) BONDS ISSUED UNDER THIS ACT ARE SUBJECT TO THE REVISED

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

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