HB-5656, As Passed Senate, December 2, 2004                                 

SUBSTITUTE FOR

HOUSE BILL NO. 5656

                                                                             A bill to amend 1984 PA 431, entitled                                             

"The management and budget act,"                                            

(MCL 18.1101 to 18.1594) by adding section 237c.                            

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1   Sec. 237c.  (1) When entering into a contract with an                       

2   architect, professional engineer, or contractor for any capital             

3   outlay project, capital improvement, or facility, the department            

4   shall not require the architect, professional engineer, or                  

5   contractor to assume any liability or indemnify this state for              

6   any amount greater than the degree of fault of the architect,               

7   professional engineer, or contractor.                                       

8   (2) As used in this section, "contractor" means a person who,               

9   pursuant to a contract with the owner or lessee of real property,           

10  provides an improvement to real property.