HB-6074, As Passed Senate, September 29, 2004
SENATE SUBSTITUTE FOR
HOUSE BILL NO. 6074
A bill to amend 1994 PA 451, entitled
"Natural resources and environmental protection act,"
by amending sections 21502, 21504, 21505, 21506, 21508, 21546,
21548, and 21550 (MCL 324.21502, 324.21504, 324.21505, 324.21506,
324.21508, 324.21546, 324.21548, and 324.21550), sections 21506
and 21508 as amended by 1995 PA 269, sections 21546 and 21548 as
amended by 1996 PA 181, and section 21550 as amended by 1995 PA
252, by amending the part heading of part 215, and by adding
sections 21506a and 21552; and to repeal acts and parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 PART 215 UNDERGROUND
STORAGE TANK FINANCIAL ASSURANCE
2 REFINED PETROLEUM FUND
3 Sec. 21502. As used in this part:
4 (a) "Administrator" means the fund administrator provided for
5 in section 21513.
1 (b) "Approved claim" means a claim that is approved pursuant
2 to section 21515.
3 (c) "Authority" means the Michigan underground storage tank
4 financial assurance authority created in section 21523.
5 (d) "Board" means the Michigan underground storage tank
6 financial assurance policy board created in section 21541.
7 (e) "Board of directors" means the board of directors of the
8 authority.
9 (f) "Bond proceeds account" means the account or fund to
10 which proceeds of bonds or notes issued under this part have been
11 credited.
12 (g) "Bonds or notes" means the bonds, notes, commercial
13 paper, other obligations of indebtedness, or any combination of
14 these, issued by the authority pursuant to this part.
15 (h) "Claim" means the submission by the owner or operator or
16 his or her representative of documentation on an application
17 requesting payment from the fund. A claim shall include, at a
18 minimum, a completed and signed claim form and the name, address,
19 telephone number, and federal tax identification number of the
20 consultant retained by the owner or operator to carry out
21 responsibilities pursuant to part 213.
22 (i) "Consultant" means a person on the list of qualified
23 underground storage tank consultants prepared pursuant to
24 section 21542.
25 (j) "Co-pay amount" means the co-pay amount provided for in
26 section 21514.
27 (k) "Corrective action" means the investigation, assessment,
1 cleanup, removal, containment, isolation, treatment, or
2 monitoring of regulated substances released into the environment
3 or the taking of such other actions as may be necessary to
4 prevent, minimize, or mitigate injury to the public health,
5 safety, or welfare, the environment, or natural resources.
6 (l) "Department" means the department of environmental
7 quality.
8 (m) (l) "Financial
responsibility requirements" means the
9 financial responsibility for taking corrective action and for
10 compensating third parties for bodily injury and property damage
11 caused by a release from an underground storage tank system that
12 the owner or operator of an underground storage tank system must
13 demonstrate under part 211 and the rules promulgated under that
14 part.
15 (n) (m) "Fund"
means the Michigan underground storage tank
16 financial assurance fund created in section 21506.
17 (o) (n) "Heating
oil" means petroleum that is No. 1, No. 2,
18 No. 4--light, No. 4--heavy, No. 5--light, No. 5--heavy, and No. 6
19 technical grades of fuel oil; other residual fuel oils including
20 navy special fuel oil and bunker C; and other fuels when used as
21 substitutes for 1 of these fuel oils.
22 (p) (o) "Indemnification"
means indemnification of an owner
23 or operator for a legally enforceable judgment entered against
24 the owner or operator by a third party, or a legally enforceable
25 settlement entered between the owner or operator and a third
26 party, compensating that third party for bodily injury or
27 property damage, or both, caused by an accidental release as
1 those terms are defined in R 29.2163 of the Michigan
2 administrative code.
3 (q) (p) "Location"
means a facility or parcel of property
4 where petroleum underground storage tank systems are registered
5 pursuant to part 211.
6 (r) (q) "Operator"
means a person who was, at the time of
7 discovery of a release, in control of or responsible for the
8 operation of a petroleum underground storage tank system or a
9 person to whom an approved claim has been assigned or
10 transferred.
11 (s) (r) "Owner"
means a person, other than a regulated
12 financial institution, who, at the time of discovery of a
13 release, held a legal, equitable, or possessory interest of any
14 kind in an underground storage tank system or in the property on
15 which an underground storage tank system is located, including,
16 but not limited to, a trust, vendor, vendee, lessor, or lessee.
17 Owner includes a person to whom an approved claim is assigned or
18 transferred. Owner does not include a person or a regulated
19 financial institution who, without participating in the
20 management of an underground storage tank system and without
21 being otherwise engaged in petroleum production, refining, or
22 marketing relating to the underground storage tank system, is
23 acting in a fiduciary capacity or who holds indicia of ownership
24 primarily to protect the person's or the regulated financial
25 institution's security interest in the underground storage tank
26 system or the property on which it is located. This exclusion
27 does not apply to a grantor, beneficiary, remainderman, or other
1 person who could directly or indirectly benefit financially from
2 the exclusion other than by the receipt of payment for fees and
3 expenses related to the administration of a trust.
4 (t) (s) "Oxygenate"
means an organic compound containing
5 oxygen and having properties as a fuel that are compatible with
6 petroleum, including, but not limited to, ethanol, methanol, or
7 methyl tertiary butyl ether (MTBE).
8 Sec. 21504. The
objectives of this part are to assist
9 persons in this state
in meeting the financial responsibility
10 requirements provided
for in subtitle I of the solid waste
11 disposal act, title II
of Public Law 89-272, 42 U.S.C. 6991 to
12 6991i, to address certain problems associated with releases
from
13 petroleum underground
storage tank systems, and to promote
14 compliance with parts 211 and 213, and to fund environmental and
15 consumer protection programs necessary to protect public health,
16 safety, or welfare or the environment due to the sale, use, or
17 release of refined petroleum products.
18 Sec. 21505. The
legislature finds that leaking releases
19 from underground storage tanks are a significant cause of
20 contamination of the natural resources, water resources, and
21 groundwater in this state. It is hereby declared to be the
22 purpose of this part and of the authority created by this part to
23 preserve and protect the water resources of the state and to
24 prevent, abate, or control the pollution of water resources and
25 groundwater, to protect and preserve the public health, safety,
26 and welfare, to assist in the financing of repair and replacement
27 of petroleum underground storage tanks and to improve property
1 damaged by any petroleum
releases from those tanks, and to
2 preserve jobs and employment opportunities or improve the
3 economic welfare of the people of the state, and to fund
4 environmental and consumer protection programs necessary to
5 protect public health, safety, or welfare or the environment due
6 to the sale, use, or release of refined petroleum products.
7 Sec. 21506. (1) The Michigan underground storage tank
8 financial assurance fund is created in the state treasury.
9 (2) The state treasurer shall direct the investment of the
10 fund. Interest and earnings from fund investments shall be
11 credited to the fund.
12 (3) Money in the fund at the close of the fiscal year shall
13 remain in the fund and shall not lapse to the general fund.
14 (4) Except as
provided in subsection (5) subsections (5)
15 and (6), money in the fund shall be expended only as follows and
16 in the following order of priority:
17 (a) To pay off defease
principal and interest due and owing
18 on bonds or notes issued
by the authority pursuant to this part
19 plus any amount
necessary to maintain a fully funded debt
20 reserve or other
reserve intended to secure the principal and
21 interest on the bonds
or notes as may be required by resolution
22 indenture or other agreement
of the authority that are
23 outstanding on the effective date of the 2004 amendatory act that
24 amended this section.
25 (b) For the reasonable administrative cost of implementing
26 this part by the department, the department of treasury, the
27 department of attorney general, and the authority as annually
1 appropriated by the legislature. Administrative costs include
2 the actual and necessary expenses incurred by the board and its
3 members in carrying out the duties imposed by this part. Total
4 administrative costs expended under this subdivision shall not
5 exceed 7% of the fund's projected revenues in any year. Costs
6 incurred by the authority for the issuance of bonds or notes
7 which may also be payable from the proceeds of the bonds or notes
8 shall not be considered
administrative costs. in making such a
9 determination.
10 (c) For payment of rewards under section 21549.
11 (d) For the interest subsidy program established in
12 section 21522. The money expended under this subdivision shall
13 not exceed 10% of the fund's projected revenues in any year.
14 However, 10% of the revenue of the fund during the first year of
15 the fund's operation shall be expended on the interest subsidy
16 program. If this money is not expended during the first year,
17 this money shall be carried over for expenditure in the
18 succeeding years of the fund's operation. Additional fund
19 revenue shall not be set aside for the interest subsidy program
20 until all of the first year revenue is expended.
21 (e) For corrective action and indemnification including all
22 of the following:
23 (i) Payments for work invoices submitted prior to 5 p.m. on
24 June 29, 1995 and approved by the department pursuant to this
25 part.
26 (ii) Payments for requests for indemnification submitted
27 prior to 5 p.m. on June 29, 1995 and approved by the department
1 pursuant to this part.
2 (iii) Payments for work invoices or requests for
3 indemnification that were submitted prior to 5 p.m. on June 29,
4 1995 and denied by the department pursuant to this part but which
5 denials were subsequently reversed on appeal.
6 (5) All revenue collected during the state fiscal years
7 ending September 30, 2003 and September 30, 2004 from the
8 environmental protection regulatory fee imposed under section
9 21508 shall be allocated and expended by the state treasurer for
10 the purchase of United States treasury obligations in an amount
11 sufficient, together with interest on the obligations, to
12 implement subsection (4)(a).
13 (6) (5) Upon
payment in full determination by the state
14 treasurer of the amount of money need to satisfy all obligations
15 listed in subsection (4),
the state treasurer shall file with
16 the secretary of state
a notice of final payment of all
17 obligations lawfully
payable from the fund transfer
all
18 remaining money in the fund to the refined petroleum fund created
19 in section 21506a.
20 (7) (6) The
board shall make recommendations to the
21 appropriations committees in the senate and house of
22 representatives on the distribution and amount of administrative
23 costs under subsection (4)(b). The board shall provide a copy of
24 these recommendations to each affected department.
25 Sec. 21506a. (1) The refined petroleum fund is created
26 within the state treasury.
27 (2) The state treasurer may receive money or other assets
1 from any source for deposit into the refined petroleum fund. The
2 state treasurer shall direct the investment of the refined
3 petroleum fund. The state treasurer shall credit to the refined
4 petroleum fund interest and earnings from refined petroleum fund
5 investments.
6 (3) Money in the refined petroleum fund at the close of the
7 fiscal year shall remain in the refined petroleum fund and shall
8 not lapse to the general fund.
9 (4) Money from the refined petroleum fund shall be expended,
10 upon appropriation, only for 1 or more of the following
11 purposes:
12 (a) For gasoline inspection programs under both of the
13 following:
14 (i) The weights and measures act, 1964 PA 283, MCL 290.601 to
15 290.634.
16 (ii) The motor fuels quality act, 1984 PA 44, MCL 290.641 to
17 290.650d.
18 (b) For corrective actions necessary to address releases of
19 refined petroleum products under a refined petroleum product
20 cleanup program established by law following the issuance of
21 recommendations from the refined petroleum cleanup advisory
22 council created in section 21552.
23 (c) For the reasonable administrative costs of the
24 department, the department of agriculture, the department of
25 attorney general, and the department of treasury in administering
26 the refined petroleum fund and in implementing the programs
27 receiving revenue from the refined petroleum fund.
1 Sec. 21508. (1) An environmental protection regulatory fee
2 is imposed on all refined petroleum products sold for resale in
3 this state or consumption
in this state. The regulatory fee
4 shall be used pursuant
to section 21506(4) for the cleanup and
5 prevention of
environmental contamination resulting from releases
6 of refined petroleum
products from underground storage tank
7 systems and to pay off
bonds or notes pursuant to this part. The
8 regulatory fee shall be charged for capacity utilization of
9 underground storage tanks measured on a per gallon basis. The
10 regulatory fee shall be charged against all refined petroleum
11 products sold for resale in this state or consumption in this
12 state so as to not exclude any products that may be stored in an
13 underground tank at any point after the petroleum is refined.
14 The regulatory fee shall be 7/8 cent per gallon for each gallon
15 of refined petroleum sold for resale in this state or consumption
16 in this state, with the per gallon charge being a direct measure
17 of capacity utilization of an underground storage tank system.
18 (2) The department of treasury shall precollect regulatory
19 fees from persons who refine petroleum in this state for resale
20 in this state or consumption in this state and persons who import
21 refined petroleum into this state for resale in this state or
22 consumption in this state. The department of treasury shall
23 collect regulatory fees that can be collected at the same time as
24 the sales tax under
section 6a of the general sales tax act, Act
25 No. 167 of the Public
Acts of 1933, being section 205.56a of the
26 Michigan Compiled Laws
1933 PA 167, MCL 205.56a, at
that time.
27 The remainder of the regulatory fees shall be collected in the
1 manner determined by the
state treasurer. Notwithstanding any
2 other provision of
this part, the department of treasury shall
3 stop collecting
regulatory fees under this part when it has
4 received sufficient
revenues to pay in full all obligations
5 listed in section
21506(4).
6 (3) A public utility with more than 500,000 customers in this
7 state is exempt from any fee or assessment imposed under this
8 part if that fee or assessment is imposed on petroleum used by
9 that public utility for the generation of steam or electricity.
10 (4) All Beginning
on the effective date of the 2004
11 amendatory act that amended this section, all regulatory fees
12 collected pursuant to this part shall be deposited into the
13 emergency response refined petroleum fund created in section
14 21507 until the
emergency response fund reaches $3,000,000.00
15 21506a. When the
emergency response fund is at $3,000,000.00,
16 all regulatory fees
shall be deposited into the fund.
17 (5) Consistent with the March 31, 1995 determination by the
18 state treasurer that revenue will not be sufficient to pay
19 expected expenditures, and consistent with the April 3, 1995
20 notice of the fund administrator pursuant to subsection (6),
21 funding is no longer available under this part for new claims,
22 work invoices, and requests for indemnification received after 5
23 p.m. on June 29, 1995. Claims, work invoices, and requests for
24 indemnification received after 5 p.m. on June 29, 1995 are not
25 eligible for funding under this part. Work invoices and requests
26 for indemnification received prior to 5 p.m. on June 29, 1995 may
27 be paid to the extent money is available in the fund as provided
1 in this part.
2 (6) If the state treasurer determines that fund revenues will
3 not be sufficient to pay expected expenditures from the fund, the
4 state treasurer shall notify the administrator, and 90 days after
5 this notification has been given the administrator shall not
6 accept any new work invoices or requests for indemnification.
7 Upon receiving this notification from the state treasurer, the
8 administrator shall notify by certified mail the owners and
9 operators of petroleum underground storage tank systems
10 registered under part 211 that funding under this part will no
11 longer be available for new claims after the 90-day period has
12 expired. However, work invoices and requests for indemnification
13 that were submitted to the administrator prior to or during this
14 90-day period may be paid to the extent money is available in the
15 fund as provided in this part.
16 (7) The department of treasury may audit, enforce, collect,
17 and assess the fee imposed by this part in the same manner and
18 subject to the same requirements as revenues collected pursuant
19 to Act No. 122 of the
Public Acts of 1941, being sections 205.1
20 to 205.31 of the Michigan
Compiled Laws 1941 PA 122, MCL
205.1
21 to 205.31.
22 Sec. 21546. (1) This part does not create any liability on
23 behalf of the state. This part shall not be construed as making
24 the state the guarantor of the fund.
25 (2) This part does not relieve any person who may be eligible
26 to receive money from the fund or the former emergency response
27 fund from any liability that he or she may incur as the owner or
1 operator of an underground storage tank system. The state is not
2 assuming the liability of an owner or operator eligible for
3 funding under this part; it is only providing assistance to such
4 owners or operators in meeting the financial responsibility
5 requirements.
6 (3) If all bonds or notes of the authority payable from the
7 fund have been fully paid or provided for and if any provision of
8 this part is found to be unconstitutional by a court of competent
9 jurisdiction and the allowable time for filing an appeal has
10 expired or the appellant has exhausted all of his or her avenues
11 of appeal, this whole part shall be considered unconstitutional
12 and invalid.
13 Sec. 21548. (1) Beginning
August 8, 1993, a A
person who
14 makes or submits or causes to be made or submitted either
15 directly or indirectly any statement, report, affidavit,
16 application, claim, bid, work invoice, or other request for
17 payment or indemnification under this part knowing that the
18 statement, report, application, claim, bid, work invoice, or
19 other request for payment or indemnification is false or
20 misleading is guilty of a felony punishable by imprisonment for
21 not more than 5 years or a fine of not more than $50,000.00, or
22 both. In addition to any penalty imposed under this subsection,
23 a person convicted under this subsection shall pay restitution to
24 the fund for the amount received in violation of this
25 subsection.
26 (2) A person who makes or submits or causes to be made or
27 submitted either directly or indirectly any statement, report,
1 application, claim, bid, work invoice, or other request for
2 payment or indemnification under this part knowing that the
3 statement, report, affidavit, application, claim, bid, work
4 invoice, or other request for payment or indemnification is
5 false, misleading, or fraudulent, or who commits a fraudulent
6 practice, is subject to a civil fine of not more than $50,000.00
7 or twice the amount submitted, whichever is greater. In addition
8 to any civil fine imposed under this subsection, a person found
9 responsible under this subsection shall pay restitution to the
10 fund for the amount received in violation of this subsection.
11 The legislature intends that this subsection be given retroactive
12 application.
13 (3) As used in subsection (2), "fraudulent" or "fraudulent
14 practice" includes, but is not limited to, the following:
15 (a) Submitting a work invoice for the excavation, hauling,
16 disposal, or provision of soil, sand, or backfill for an amount
17 greater than the legal capacity of the carrying vehicle or
18 greater than was actually carried, excavated, disposed, or
19 provided.
20 (b) Submitting paperwork for services done or work provided
21 that was not in fact provided or that was not directly provided
22 by the individual indicated on the paperwork.
23 (c) Contaminating an otherwise clean resource or site with
24 contaminated soil or product from a contaminated resource or
25 site.
26 (d) Returning any load of contaminated soil to its original
27 site for reasons other than remediation of the soil.
1 (e) Causing damage intentionally or as the result of gross
2 negligence to an underground storage tank system, which damage
3 results in a release at a site.
4 (f) Placing an underground storage tank system at a
5 contaminated site where no underground storage tank system
6 previously existed for purposes of disguising the source of
7 contamination or to obtain funding under this part.
8 (g) Submitting a work invoice for the excavation of soil from
9 a site that was removed for reasons other than removal of the
10 underground storage tank system or remediation.
11 (h) Any intentional act or act of gross negligence that
12 causes or allows contamination to spread at a site.
13 (i) Registration of a nonexistent underground storage tank
14 system with the department.
15 (j) Loaning to an owner or operator the co-pay amount
16 required under section 21514 and then submitting or causing to be
17 submitted inflated claims or invoices designed to recoup the
18 co-pay amount.
19 (k) Confirming a release without simultaneously providing
20 notice to the owner or operator.
21 (l) Inflating bills or work invoices, or both, by adding
22 charges for work that was not performed.
23 (m) Submitting a false or misleading laboratory report.
24 (n) Submitting bills or work invoices, or both, for sampling,
25 testing, monitoring, or excavation that are not justified by the
26 site condition.
27 (o) Falsely characterizing the contents of an underground
1 storage tank system for purposes of obtaining funding under this
2 part.
3 (p) Submitting or causing to be submitted bills or work
4 invoices by or from a person who did not directly provide the
5 service.
6 (q) Characterizing legal services as consulting services for
7 purposes of obtaining funding under this part.
8 (r) Misrepresenting or concealing the identity, credentials,
9 affiliation, or qualifications of principals or persons seeking,
10 either directly or indirectly, funding or approval for
11 participation under this part.
12 (s) Falsifying a signature on a claim application or a work
13 invoice.
14 (t) Failing to accurately disclose the actual amount and
15 carrier of unencumbered insurance coverage available for new
16 environmental impairment or professional liability claims.
17 (u) Any other act or omission of a false, fraudulent, or
18 misleading nature undertaken in order to obtain funding under
19 this part.
20 (4) The attorney general or county prosecutor may conduct an
21 investigation of an alleged violation of this section and bring
22 an action for a violation of this section.
23 (5) If the attorney general or county prosecutor has
24 reasonable cause to believe that a person has information or is
25 in possession, custody, or control of any document or records,
26 however stored or embodied, or tangible object which is relevant
27 to an investigation of a violation or attempted violation of this
1 part or a crime or attempted crime against the fund, the attorney
2 general or county prosecutor may, before bringing any action,
3 make an ex parte request to a magistrate for issuance of a
4 subpoena requiring that person to appear and be examined under
5 oath or to produce the document, records, or object for
6 inspection and copying, or both. Service may be accomplished by
7 any means described in the Michigan court rules. Requests made
8 by the attorney general may be brought in Ingham county.
9 (6) If a person objects to or otherwise fails to comply with
10 a subpoena served under subsection (5), an action may be brought
11 in district court to enforce the demand. Actions filed by the
12 attorney general may be brought in Ingham county.
13 (7) The attorney general or county prosecutor may apply to
14 the district court for an order granting immunity to any person
15 who refuses to provide or objects to providing information,
16 documents, records, or objects sought pursuant to this section.
17 If the judge is satisfied that it is in the interest of justice
18 that immunity be granted, he or she shall enter an order granting
19 immunity to the person
and requiring them the person to appear
20 and be examined under oath or to produce the document, records,
21 or object for inspection and copying, or both.
22 (8) A person who fails to comply with a subpoena issued
23 pursuant to subsection (5) or a requirement to appear and be
24 examined pursuant to subsection (7) is subject to a civil fine of
25 not more than $25,000.00 for each day of continued
26 noncompliance.
27 (9) In addition to any civil fines or criminal penalties
1 imposed under this part or the criminal laws of this state, the
2 person found responsible shall repay any money obtained directly
3 or indirectly under this part. Money owed pursuant to this
4 section constitutes a claim and lien by the fund upon any real or
5 personal property owned either directly or indirectly by the
6 person. This lien shall attach regardless of whether the person
7 is insolvent and may not be extinguished or avoided by
8 bankruptcy. The lien imposed by this section has the force and
9 effect of a first in time and right judgment lien.
10 (10) Subsection (1) does not preclude prosecutions under
11 other laws of the state including, but not limited to, section
12 157a, 218, 248, 249, 280,
or 422 of the Michigan penal code, Act
13 No. 328 of the Public
Acts of 1931, being sections 750.157a,
14 750.218, 750.248,
750.249, 750.280, and 750.422 of the Michigan
15 Compiled Laws 1931 PA 328, MCL 750.157a, 750.218, 750.248,
16 750.249, 750.280, and 750.422.
17 (11) All civil fines collected pursuant to this section shall
18 be apportioned in the following manner:
19 (a) Fifty percent shall be deposited in the general fund and
20 shall be used by the department to fund fraud investigations
21 under this part.
22 (b) Twenty-five percent shall be paid to the office of the
23 county prosecutor or attorney general, whichever office brought
24 the action.
25 (c) Twenty-five percent shall be paid to a local police
26 department or sheriff's office, or a city or county health
27 department, if investigation by that office or department led to
1 the bringing of the action. If more than 1 office or department
2 is eligible for payment under this subsection, division of
3 payment shall be on an equal basis. If there is not a local
4 office or department that is entitled to payment under this
5 subdivision, the money shall be forwarded to the state treasurer
6 for deposit into the emergency
response fund created in section
7 21507 refined petroleum fund.
8 Sec. 21550. (1)
Section 21507 21508 is repealed effective
9 December 22, 1998 December 31, 2010.
10 (2) Upon the
repeal of section 21507, any unexpended money
11 in the emergency
response fund reverts to the fund.
12 (3) This part is
repealed on the date on which the state
13 treasurer files with
the secretary of state a notice of final
14 payment of all
obligations lawfully payable from the fund
15 pursuant to section
21506(5).
16 (4) Upon repeal
of this part, any money in the fund or in
17 the possession of the
authority reverts to the environmental
18 response fund created
in part 201.
19 (2) (5) The
authority's obligation to pay off any bonds or
20 notes issued pursuant to this part shall survive the repeal of
21 this part section 21508.
22 Sec. 21552. (1) The refined petroleum cleanup advisory
23 council is created.
24 (2) The council shall consist of all of the following:
25 (a) Two members appointed by the senate majority leader, 1 of
26 whom shall be a representative of the petroleum industry.
27 (b) Two members appointed by the speaker of the house of
1 representatives, 1 of whom shall be a representative of the
2 petroleum industry.
3 (c) Three members appointed by the governor, 1 of whom shall
4 be a representative of the petroleum industry.
5 (3) The members first appointed to the council shall be
6 appointed not later than 60 days after the effective date of the
7 amendatory act that added this section.
8 (4) Members of the council shall serve until a successor is
9 appointed.
10 (5) If a vacancy occurs on the council, the unexpired term
11 shall be filled in the same manner as the original appointment
12 was made.
13 (6) The first meeting of the council shall be called by the
14 director. At the first meeting, the council shall elect from
15 among its members a chairperson and other officers as it
16 considers necessary or appropriate. After the first meeting, the
17 council shall meet at least quarterly, or more frequently at the
18 call of the chairperson or if requested by 2 or more members.
19 (7) Five of the members of the council constitute a quorum
20 for the transaction of business at a meeting of the council. An
21 affirmative vote of a majority of the members of the council is
22 required for official action of the council.
23 (8) Members of the council shall serve without compensation.
24 However, members of the council may be reimbursed for their
25 actual and necessary expenses incurred in the performance of
26 their official duties as members of the council.
27 (9) As soon as practical, but not later than 60 days after
1 all members of the council have been appointed under subsection
2 (2), the council shall make a recommendation to the governor and
3 the legislature on how the money transferred under section
4 21506(6), less any amounts appropriated for the fiscal year
5 ending September 30, 2004, should be expended.
6 (10) By April 1, 2005, the council shall submit to the
7 governor and the legislature a report that does all of the
8 following:
9 (a) Evaluates and makes recommendations for a refined
10 petroleum cleanup program that provides for corrective actions
11 necessary to address releases of refined petroleum products. The
12 recommended refined petroleum cleanup program shall be designed
13 to benefit owners and operators and to provide for corrective
14 actions at locations for which an owner or operator who is liable
15 for corrective actions has not been identified or is insolvent.
16 (b) Makes recommendations on an appropriate limitation on
17 administrative costs under section 21506a(4)(c).
18 (c) Makes recommendations to update obsolete provisions of
19 this part.
20 (11) Effective 180 days after the council submits its report
21 under subsection (10), the council is dissolved.
22 (12) This section is repealed August 1, 2006.
23 Enacting section 1. The provisions of this amendatory act
24 relating to the extension and collection of the regulatory fee
25 provided for under this part and the obligation to pay the fee
26 shall be applied retroactively. The requirement to impose and
27 collect the regulatory fee and the obligation to pay the fee
1 shall not be considered to have ceased at any time since the date
2 the requirement and obligation were originally enacted into law.
3 The requirement that this enacting section be applied
4 retroactively extends to any regulatory fee imposed or collected
5 even if it is alleged or determined that sufficient regulatory
6 fees were collected to pay in full bonds or notes issued by the
7 Michigan underground storage tank financial assurance authority.