SENATE BILL No. 1269

May 2, 2002, Introduced by Senator EMMONS and referred to the Committee on Finance.

A bill to amend 1951 PA 51, entitled

"An act to provide for the classification of all public roads,

streets, and highways in this state, and for the revision of that

classification and for additions to and deletions from each clas-

sification; to set up and establish the Michigan transportation

fund; to provide for the deposits in the Michigan transportation

fund of specific taxes on motor vehicles and motor vehicle fuels;

to provide for the allocation of funds from the Michigan trans-

portation fund and the use and administration of the fund for

transportation purposes; to set up and establish the truck safety

fund; to provide for the allocation of funds from the truck

safety fund and administration of the fund for truck safety pur-

poses; to set up and establish the Michigan truck safety commis-

sion; to establish certain standards for road contracts for cer-

tain businesses; to provide for the continuing review of trans-

portation needs within the state; to authorize the state trans-

portation commission, counties, cities, and villages to borrow

money, issue bonds, and make pledges of funds for transportation

purposes; to authorize counties to advance funds for the payment

of deficiencies necessary for the payment of bonds issued under

this act; to provide for the limitations, payment, retirement,

and security of the bonds and pledges; to provide for appropria-

tions and tax levies by counties and townships for county roads;

to authorize contributions by townships for county roads; to pro-

vide for the establishment and administration of the state trunk

line fund, critical bridge fund, comprehensive transportation

fund, and certain other funds; to provide for the deposits in the

state trunk line fund, critical bridge fund, comprehensive

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transportation fund, and certain other funds of money raised by

specific taxes and fees; to provide for definitions of public

transportation functions and criteria; to define the purposes for

which Michigan transportation funds may be allocated; to provide

for Michigan transportation fund grants; to provide for review

and approval of transportation programs; to provide for submis-

sion of annual legislative requests and reports; to provide for

the establishment and functions of certain advisory entities; to

provide for conditions for grants; to provide for the issuance of

bonds and notes for transportation purposes; to provide for the

powers and duties of certain state and local agencies and offi-

cials; to provide for the making of loans for transportation pur-

poses by the state transportation department and for the receipt

and repayment by local units and agencies of those loans from

certain specified sources; and to repeal acts and parts of acts,"

by amending section 18f (MCL 247.668f), as amended by 1983 PA

82.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1 Sec. 18f. (1) Unless an exception from prior approval is

2 available pursuant to subsection (2), a bond issued by any county

3 under section 18c shall be issued subject to the prior approval

4 of the municipal finance commission or its successor agency. If

5 the aggregate maturities of the bonds exceed 15 years, the

6 municipal finance commission or its successor agency shall not

7 give its approval, when prior approval is required, and the

8 bonds shall not be issued until the state transportation depart-

9 ment has approved the construction to be financed by the proceeds

10 of the bonds. Bonds issued under section 18b and bonds issued

11 under section 18d shall not require the prior permission of the

12 municipal finance commission or its successor agency for their

13 issuance. All bonds issued under this act shall be sold at

14 public sale on at least 7 days' notice by publication in

15 accordance with the requirements of section 2 of chapter III of

16 the municipal finance act, Act No. 202 of the Public Acts of

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1 1943, as amended, being section 133.2 of the Michigan Compiled

2 Laws, or at negotiated sale. The sale price of the bonds shall

3 not be less than the minimum price specified in the proceedings

4 authorizing their issuance.

5 (2) The requirement of subsection (1) for obtaining the

6 prior approval of the municipal finance commission or its succes-

7 sor agency before a county issues bonds under section 18c shall

8 be subject to sections 10 and 11 of chapter III of Act No. 202 of

9 the Public Acts of 1943, being sections 133.10 and 133.11 of the

10 Michigan Compiled Laws, and the department of treasury shall have

11 the same authority as provided by section 11 of chapter III of

12 Act No. 202 of the Public Acts of 1943 to issue an order provid-

13 ing or denying an exception from the prior approval required by

14 subsection (1) for bonds authorized for issuance by a county by

15 section 18c.

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