CITY/VILLAGE EMPLOYEE LAND PURCHASE

Senate Bill 654

Sponsor:  Sen. Laura M. Toy

House Committee:  Local Government and Urban Policy

Senate Committee:  Local, Urban and State Affairs

Complete to 11-8-05

A SUMMARY OF SENATE BILL 654 AS PASSED BY THE SENATE 10-27-05

The bill would amend the Code of Criminal Procedure to specify that the purchase of public residential property by a public servant in violation of a provision that would be added by House Bill 4729 would be a Class G felony against the public trust with a maximum term of imprisonment of one year.  It is tie-barred to House Bill 4729, which has been enrolled is awaiting the Governor's signature.

House Bill 4729 would amend Public Act 317 of 1968 to specify that the ban on a public servant who works for a city or village from entering into a contract with the employing public entity would not apply to contracts to purchase residential property.  Under that bill, a public servant could purchase between one and four parcels, but would have to wait at least 18 months between each purchase.  A violation would be a felony punishable by not more than one year imprisonment or a fine of not less than $1,000 or more than three times the value of the property purchased.

MCL 777.11a

FISCAL IMPACT:

The bill is a companion to House Bill 4729.  In and of itself, it has no fiscal impact.

                                                                                           Legislative Analyst:   Susan Stutzky

This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.