HB-4083,As Passed Senate, June 10, 2003                                     

    REPRINT                                                                     

    SUBSTITUTE FOR                                                              

    HOUSE BILL NO. 4083                                                         

(As Passed the House, March 27, 2003)                                       

                                                                             A bill to amend 1994 PA 451, entitled                                             

"Natural resources and environmental protection act,"                       

by amending section 36103 (MCL 324.36103), as amended by 1996               

PA 233.                                                                     

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1       Sec. 36103.  (1) The execution and acceptance of a                          

2   development rights agreement or easement by the state or local              

3   governing body and the owner dedicates to the public the                    

4   development rights in the land for the term specified in the                

5   instrument.  A development rights agreement or easement shall be            

6   for an initial term of not less than 10 years.  A development               

7   rights agreement or easement entered into after  the effective              

8   date of the amendatory act that added this sentence June 5, 1996

9   shall not be for a term of more than 90 years.                              

10      (2) The state or local governing body shall not sell,                       

House Bill No. 4083 as amended June 5, 2003                                 

1   transfer, convey, relinquish, vacate, or otherwise dispose of a             

2   development rights agreement or easement except with the                    

3   agreement of the owner as provided in sections 36111, 36111a,

4   36112, and 36113.                                                           

5       (3) An agreement or easement does not supersede any prior                   

6   lien, lease, or interest that is properly recorded with the                 

7   county register of deeds.                                                   

8       (4) A lien created under this part in favor of the state or a               

9   local governing body is subordinate to a lien of a mortgage that            

10  is recorded in the office of the register of deeds before the               

11  recording of the lien of the state or local governing body.                 

12  (5) The state shall subordinate its interest in a recorded                  

13  agreement under section 36104 or an easement under section 36105            

14  or 36106 to a subsequently recorded mortgage lien, lease, or                

15  interest if both of the following conditions are met:                       

16      (a) The parcel meets the requirements set forth under section               

17  <<36111(2)(a)>> for parcels containing existing structures.                 

18      (b) The landowner requesting the subordination is an                        

19  individual essential to the operation of the farm as defined in             

20  section 36110(5).