SB-0339, As Passed Senate, October 21, 2003                                 

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                              SUBSTITUTE FOR                                    

                                                                                

                           SENATE BILL NO. 339                                  

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1970 PA 169, entitled                                             

                                                                                

    "Local historic districts act,"                                             

                                                                                

    by amending sections 1a and 5 (MCL 399.201a and 399.205), as                

                                                                                

    amended by 2001 PA 67.                                                      

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 1a.  As used in this act:                                              

                                                                                

2       (a) "Alteration" means work that changes the detail of a                    

                                                                                

3   resource but does not change its basic size or shape.                       

                                                                                

4       (b) "Certificate of appropriateness" means the written                      

                                                                                

5   approval of a permit application for work that is appropriate and           

                                                                                

6   that does not adversely affect a resource.                                  

                                                                                

7       (c) "Commission" means a historic district commission created               

                                                                                

8   by the legislative body of a local unit  pursuant to  under                 

                                                                                

9   section 4.                                                                  

                                                                                

10      (d) "Committee" means a historic district study committee                   

                                                                                


                                                                                

1   appointed by the legislative body of a local unit  pursuant to              

                                                                                

2   under section 3 or 14.                                                      

                                                                                

3       (e) "Demolition" means the razing or destruction, whether                   

                                                                                

4   entirely or in part, of a resource and includes, but is not                 

                                                                                

5   limited to, demolition by neglect.                                          

                                                                                

6       (f) "Demolition by neglect" means neglect in maintaining,                   

                                                                                

7   repairing, or securing a resource that results in deterioration             

                                                                                

8   of an exterior feature of the resource or the loss of structural            

                                                                                

9   integrity of the resource.                                                  

                                                                                

10      (g) "Denial" means the written rejection of a permit                        

                                                                                

11  application for work that is inappropriate and that adversely               

                                                                                

12  affects a resource.                                                         

                                                                                

13      (h) "Department" means the department of history, arts, and                 

                                                                                

14  libraries.                                                                  

                                                                                

15      (i) "Fire alarm system" means a system designed to detect and               

                                                                                

16  annunciate the presence of fire or by-products of fire.  Fire               

                                                                                

17  alarm system includes smoke alarms.                                         

                                                                                

18      (j)  (i)  "Historic district" means an area, or group of                    

                                                                                

19  areas not necessarily having contiguous boundaries, that contains           

                                                                                

20  1 resource or a group of resources that are related by history,             

                                                                                

21  architecture, archaeology, engineering, or culture.                         

                                                                                

22      (k)  (j)  "Historic preservation" means the identification,                 

                                                                                

23  evaluation, establishment, and protection of resources                      

                                                                                

24  significant in history, architecture, archaeology, engineering,             

                                                                                

25  or culture.                                                                 

                                                                                

26                                                                               (l)  (k)  "Historic resource" means a publicly or privately                          

                                                                                

27  owned building, structure, site, object, feature, or open space             


                                                                                

1   that is significant in the history, architecture, archaeology,              

                                                                                

2   engineering, or culture of this state or a community within this            

                                                                                

3   state, or of the United States.                                             

                                                                                

4       (m)  (l)  "Local unit" means a county, city, village, or                    

                                                                                

5   township.                                                                   

                                                                                

6       (n)  (m)  "Notice to proceed" means the written permission to               

                                                                                

7   issue a permit for work that is inappropriate and that adversely            

                                                                                

8   affects a resource, pursuant to a finding under section 5(6).               

                                                                                

9       (o)  (n)  "Open space" means undeveloped land, a naturally                  

                                                                                

10  landscaped area, or a formal or man-made landscaped area that               

                                                                                

11  provides a connective link or a buffer between other resources.             

                                                                                

12      (p)  (o)  "Ordinary maintenance" means keeping a resource                   

                                                                                

13  unimpaired and in good condition through ongoing minor                      

                                                                                

14  intervention, undertaken from time to time, in its exterior                 

                                                                                

15  condition.  Ordinary maintenance does not change the external               

                                                                                

16  appearance of the resource except through the elimination of the            

                                                                                

17  usual and expected effects of weathering.  Ordinary maintenance             

                                                                                

18  does not constitute work for purposes of this act.                          

                                                                                

19      (q)  (p)  "Proposed historic district" means an area, or                    

                                                                                

20  group of areas not necessarily having contiguous boundaries, that           

                                                                                

21  has delineated boundaries and that is under review by a committee           

                                                                                

22  or a standing committee for the purpose of making a                         

                                                                                

23  recommendation as to whether it should be established as a                  

                                                                                

24  historic district or added to an established historic district.             

                                                                                

25      (r)  (q)  "Repair" means to restore a decayed or damaged                    

                                                                                

26  resource to a good or sound condition by any process.  A repair             

                                                                                

27  that changes the external appearance of a resource constitutes              


                                                                                

1   work for purposes of this act.                                              

                                                                                

2       (s)  (r)  "Resource" means 1 or more publicly or privately                  

                                                                                

3   owned historic or nonhistoric buildings, structures, sites,                 

                                                                                

4   objects, features, or open spaces located within a historic                 

                                                                                

5   district.                                                                   

                                                                                

6       (t) "Smoke alarm" means a single-station or multiple-station                

                                                                                

7   alarm responsive to smoke and not connected to a system.  As used           

                                                                                

8   in this subdivision, "single-station alarm" means an assembly               

                                                                                

9   incorporating a detector, the control equipment, and the alarm              

                                                                                

10  sounding device into a single unit, operated from a power supply            

                                                                                

11  either in the unit or obtained at the point of installation.                

                                                                                

12  "Multiple-station alarm" means 2 or more single-station alarms              

                                                                                

13  that are capable of interconnection such that actuation of 1                

                                                                                

14  alarm causes all integrated separate audible alarms to operate.             

                                                                                

15      (u)  (s)  "Standing committee" means a permanent body                       

                                                                                

16  established by the legislative body of a local unit  pursuant to            

                                                                                

17  under section 14 to conduct the activities of a historic district           

                                                                                

18  study committee on a continuing basis.                                      

                                                                                

19      (v)  (t)  "Work" means construction, addition, alteration,                  

                                                                                

20  repair, moving, excavation, or demolition.                                  

                                                                                

21      Sec. 5.  (1) A permit shall be obtained before any work                     

                                                                                

22  affecting the exterior appearance of a resource is performed                

                                                                                

23  within a historic district or, if required under subsection (4),            

                                                                                

24  work affecting the interior arrangements of a resource is                   

                                                                                

25  performed within a historic district.  The person, individual,              

                                                                                

26  partnership, firm, corporation, organization, institution, or               

                                                                                

27  agency of government proposing to do that work shall file an                


                                                                                

1   application for a permit with the inspector of buildings, the               

                                                                                

2   commission, or other duly delegated authority.  If the inspector            

                                                                                

3   of buildings or other authority receives the application, the               

                                                                                

4   application shall be immediately referred together with all                 

                                                                                

5   required supporting materials that make the application complete            

                                                                                

6   to the commission.  A permit shall not be issued and proposed               

                                                                                

7   work shall not proceed until the commission has acted on the                

                                                                                

8   application by issuing a certificate of appropriateness or a                

                                                                                

9   notice to proceed as prescribed in this act.  A commission shall            

                                                                                

10  not issue a certificate of appropriateness unless the applicant             

                                                                                

11  certifies in the application that the property where work will be           

                                                                                

12  undertaken has, or will have before the proposed project                    

                                                                                

13  completion date, a fire alarm system or a smoke alarm complying             

                                                                                

14  with the requirements of the Stille-DeRossett-Hale single state             

                                                                                

15  construction code act, 1972 PA 230, MCL 125.1501 to 125.1531. A             

                                                                                

16  local unit may charge a reasonable fee to process a permit                  

                                                                                

17  application.                                                                

                                                                                

18      (2) An applicant aggrieved by a decision of a commission                    

                                                                                

19  concerning a permit application may file an appeal with the state           

                                                                                

20  historic preservation review board  of the Michigan historical              

                                                                                

21  commission  within the department.  The appeal shall be filed               

                                                                                

22  within 60 days after the decision is furnished to the applicant.            

                                                                                

23  The appellant may submit all or part of the appellant's evidence            

                                                                                

24  and arguments in written form.  The review board shall consider             

                                                                                

25  an appeal at its first regularly scheduled meeting after                    

                                                                                

26  receiving the appeal, but may not charge a fee for considering an           

                                                                                

27  appeal.  The review board may affirm, modify, or set aside a                


                                                                                

1   commission's decision and may order a commission to issue a                 

                                                                                

2   certificate of appropriateness or a notice to proceed.  A permit            

                                                                                

3   applicant aggrieved by the decision of the state historic                   

                                                                                

4   preservation review board may appeal the decision to the circuit            

                                                                                

5   court having jurisdiction over the historic district commission             

                                                                                

6   whose decision was appealed to the state historic preservation              

                                                                                

7   review board.                                                               

                                                                                

8       (3) In reviewing plans, the commission shall follow the                     

                                                                                

9   United States secretary of the interior's standards for                     

                                                                                

10  rehabilitation and guidelines for rehabilitating historic                   

                                                                                

11  buildings, as set forth in 36 C.F.R. part 67.  Design review                

                                                                                

12  standards and guidelines that address special design                        

                                                                                

13  characteristics of historic districts administered by the                   

                                                                                

14  commission may be followed if they are equivalent in guidance to            

                                                                                

15  the secretary of interior's standards and guidelines and are                

                                                                                

16  established or approved by the department.  The commission shall            

                                                                                

17  also consider all of the following:                                         

                                                                                

18      (a) The historic or architectural value and significance of                 

                                                                                

19  the resource and its relationship to the historic value of the              

                                                                                

20  surrounding area.                                                           

                                                                                

21      (b) The relationship of any architectural features of the                   

                                                                                

22  resource to the rest of the resource and to the surrounding                 

                                                                                

23  area.                                                                       

                                                                                

24      (c) The general compatibility of the design, arrangement,                   

                                                                                

25  texture, and materials proposed to be used.                                 

                                                                                

26      (d) Other factors, such as aesthetic value, that the                        

                                                                                

27  commission finds relevant.                                                  


                                                                                

1       (e) Whether the applicant has certified in the application                  

                                                                                

2   that the property where work will be undertaken has, or will have           

                                                                                

3   before the proposed project completion date, a fire alarm system            

                                                                                

4   or a smoke alarm complying with the requirements of the                     

                                                                                

5   Stille-DeRossett-Hale single state construction code act, 1972 PA           

                                                                                

6   230, MCL 125.1501 to 125.1531.                                              

                                                                                

7       (4) The commission shall review and act upon only exterior                  

                                                                                

8   features of a resource and, except for noting compliance with the           

                                                                                

9   requirement to install a fire alarm system or a smoke alarm,                

                                                                                

10  shall not review and act upon interior arrangements unless                  

                                                                                

11  specifically authorized to do so by the local legislative body or           

                                                                                

12  unless interior work will cause visible change to the exterior of           

                                                                                

13  the resource.  The commission shall not disapprove an application           

                                                                                

14  due to considerations not prescribed in subsection (3).                     

                                                                                

15      (5) If an application is for work that will adversely affect                

                                                                                

16  the exterior of a resource the commission considers valuable to             

                                                                                

17  the local unit, state, or nation, and the commission determines             

                                                                                

18  that the alteration or loss of that resource will adversely                 

                                                                                

19  affect the public purpose of the local unit, state, or nation,              

                                                                                

20  the commission shall attempt to establish with the owner of the             

                                                                                

21  resource an economically feasible plan for preservation of the              

                                                                                

22  resource.                                                                   

                                                                                

23      (6) Work within a historic district shall be permitted                      

                                                                                

24  through the issuance of a notice to proceed by the commission if            

                                                                                

25  any of the following conditions prevail and if the proposed work            

                                                                                

26  can be demonstrated by a finding of the commission to be                    

                                                                                

27  necessary to substantially improve or correct any of the                    


                                                                                

1   following conditions:                                                       

                                                                                

2       (a) The resource constitutes a hazard to the safety of the                  

                                                                                

3   public or to the structure's occupants.                                     

                                                                                

4       (b) The resource is a deterrent to a major improvement                      

                                                                                

5   program that will be of substantial benefit to the community and            

                                                                                

6   the applicant proposing the work has obtained all necessary                 

                                                                                

7   planning and zoning approvals, financing, and environmental                 

                                                                                

8   clearances.                                                                 

                                                                                

9       (c) Retaining the resource will cause undue financial                       

                                                                                

10  hardship to the owner when a governmental action, an act of God,            

                                                                                

11  or other events beyond the owner's control created the hardship,            

                                                                                

12  and all feasible alternatives to eliminate the financial                    

                                                                                

13  hardship, which may include offering the resource for sale at its           

                                                                                

14  fair market value or moving the resource to a vacant site within            

                                                                                

15  the historic district, have been attempted and exhausted by the             

                                                                                

16  owner.                                                                      

                                                                                

17      (d) Retaining the resource is not in the interest of the                    

                                                                                

18  majority of the community.                                                  

                                                                                

19      (7) The business that the commission may perform shall be                   

                                                                                

20  conducted at a public meeting of the commission held in                     

                                                                                

21  compliance with the open meetings act, 1976 PA 267, MCL 15.261 to           

                                                                                

22  15.275.  Public notice of the time, date, and place of the                  

                                                                                

23  meeting shall be given in the manner required by the open                   

                                                                                

24  meetings act, 1976 PA 267, MCL 15.261 to 15.275.  A meeting                 

                                                                                

25  agenda shall be part of the notice and shall include a listing of           

                                                                                

26  each permit application to be reviewed or considered by the                 

                                                                                

27  commission.                                                                 


                                                                                

1       (8) The commission shall keep a record of its resolutions,                  

                                                                                

2   proceedings, and actions.  A writing prepared, owned, used, in              

                                                                                

3   the possession of, or retained by the commission in the                     

                                                                                

4   performance of an official function shall be made available to              

                                                                                

5   the public in compliance with the freedom of information act,               

                                                                                

6   1976 PA 442, MCL 15.231 to 15.246.                                          

                                                                                

7       (9) The commission shall adopt its own rules of procedure and               

                                                                                

8   shall adopt design review standards and guidelines for resource             

                                                                                

9   treatment to carry out its duties under this act.                           

                                                                                

10      (10) The commission may delegate the issuance of certificates               

                                                                                

11  of appropriateness for specified minor classes of work to its               

                                                                                

12  staff, to the inspector of buildings, or to another delegated               

                                                                                

13  authority.  The commission shall provide to the delegated                   

                                                                                

14  authority specific written standards for issuing certificates of            

                                                                                

15  appropriateness under this subsection.  On at least a quarterly             

                                                                                

16  basis, the commission shall review the certificates of                      

                                                                                

17  appropriateness, if any, issued for work by its staff, the                  

                                                                                

18  inspector, or another authority to determine whether or not the             

                                                                                

19  delegated responsibilities should be continued.                             

                                                                                

20      (11) Upon a finding by a commission that a historic resource                

                                                                                

21  within a historic district or a proposed historic district                  

                                                                                

22  subject to its review and approval is threatened with demolition            

                                                                                

23  by neglect, the commission may do either of the following:                  

                                                                                

24      (a) Require the owner of the resource to repair all                         

                                                                                

25  conditions contributing to demolition by neglect.                           

                                                                                

26      (b) If the owner does not make repairs within a reasonable                  

                                                                                

27  time, the commission or its agents may enter the property and               


                                                                                

1   make such repairs as are necessary to prevent demolition by                 

                                                                                

2   neglect.  The costs of the work shall be charged to the owner,              

                                                                                

3   and may be levied by the local unit as a special assessment                 

                                                                                

4   against the property.  The commission or its agents may enter the           

                                                                                

5   property for purposes of this section upon obtaining an order               

                                                                                

6   from the circuit court.                                                     

                                                                                

7       (12) When work has been done upon a resource without a                      

                                                                                

8   permit, and the commission finds that the work does not qualify             

                                                                                

9   for a certificate of appropriateness, the commission may require            

                                                                                

10  an owner to restore the resource to the condition the resource              

                                                                                

11  was in before the inappropriate work or to modify the work so               

                                                                                

12  that it qualifies for a certificate of appropriateness.  If the             

                                                                                

13  owner does not comply with the restoration or modification                  

                                                                                

14  requirement within a reasonable time, the commission may seek an            

                                                                                

15  order from the circuit court to require the owner to restore the            

                                                                                

16  resource to its former condition or to modify the work so that it           

                                                                                

17  qualifies for a certificate of appropriateness.  If the owner               

                                                                                

18  does not comply or cannot comply with the order of the court, the           

                                                                                

19  commission or its agents may enter the property and conduct work            

                                                                                

20  necessary to restore the resource to its former condition or                

                                                                                

21  modify the work so that it qualifies for a certificate of                   

                                                                                

22  appropriateness in accordance with the court's order.  The costs            

                                                                                

23  of the work shall be charged to the owner, and may be levied by             

                                                                                

24  the local unit as a special assessment against the property.                

                                                                                

25  When acting pursuant to an order of the circuit court, a                    

                                                                                

26  commission or its agents may enter a property for purposes of               

                                                                                

27  this section.