HB-6475, As Passed House, December 7, 2006

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 6475

 

September 14, 2006, Introduced by Reps. Gillard, Miller, Palsrok and Pavlov and referred to the Committee on Natural Resources, Great Lakes, Land Use, and Environment.

 

     A bill to amend 1994 PA 451, entitled

 

"Natural resources and environmental protection act,"

 

(MCL 324.101 to 324.90106) by adding section 16908b.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 16908b. (1) All unpaid cleanup costs for scrap tires

 

accumulated after January 1, 1991 that are incurred under section

 

16908(2)(c), including any staff costs, costs of surveillance and

 

enforcement, and attorney costs or fees constitute a lien in favor

 

of this state upon a collection site that has been the subject of

 

cleanup activity by this state. A lien under this subsection has

 

priority over all other liens and encumbrances except liens and

 

encumbrances recorded before the date the lien under this

 

subsection is recorded. A lien under this subsection arises when


 

this state first incurs such cleanup costs at the collection site.

 

     (2) If the attorney general determines that the lien provided

 

in subsection (1) is insufficient to protect the interest of this

 

state in recovering the cleanup costs at a collection site, the

 

attorney general may file a petition in the circuit court for the

 

county in which the property is located seeking either or both of

 

the following:

 

     (a) A lien upon the collection site subject to the scrap tire

 

cleanup activity that takes priority over all other liens and

 

encumbrances that are or have been recorded on the collection site.

 

     (b) A lien upon real or personal property or rights to real or

 

personal property other than the collection site, owned by the

 

person who owns the collection site, having priority over all other

 

liens and encumbrances recorded prior to the date the lien under

 

this subsection is recorded. However, the following are not subject

 

to the lien provided for in this subdivision:

 

     (i) Assets of a qualified pension plan or individual retirement

 

account under the internal revenue code.

 

     (ii) Assets held expressly for the purpose of financing a

 

dependent's college education.

 

     (iii) Up to $500,000.00 in nonbusiness real or personal property

 

or rights to real or personal property, except that not more than

 

$25,000.00 of this amount may be cash or securities.

 

     (3) A petition submitted pursuant to subsection (2) shall set

 

forth with as much specificity as possible the type of lien sought,

 

the property that would be affected, and the reasons the attorney

 

general believes the lien is necessary. Upon receipt of a petition


 

under subsection (2), the court shall promptly schedule a hearing

 

to determine whether the petition should be granted. Notice of the

 

hearing shall be provided to the attorney general, the property

 

owner, and any persons holding liens or perfected security

 

interests in the real property subject to the cleanup activity.

 

     (4) In addition to the lien provided in subsections (1) and

 

(2), if this state incurs costs for cleanup activity under section

 

16908(2)(c) that increase the market value of the real property

 

that is the location of the cleanup activity, the increase in value

 

caused by the state-funded cleanup activity, to the extent this

 

state incurred unpaid cleanup costs, constitutes a lien in favor of

 

the state upon the real property. This lien has priority over all

 

other liens or encumbrances that are or have been recorded upon the

 

property.

 

     (5) A lien provided in subsection (1), (2), or (4) is

 

perfected against real property when a notice of lien is filed by

 

the department with the register of deeds in the county in which

 

the real property is located. In addition, the department shall, at

 

the time of the filing of the notice of lien, provide a copy of the

 

notice of lien to the owner of that property by certified mail.

 

     (6) A lien under this section continues until the liability

 

for the cleanup costs is satisfied.

 

     (7) Upon satisfaction of the liability secured by the lien,

 

the department shall file a notice of release of lien in the same

 

manner as provided in subsection (5).

 

     Enacting section 1.  This amendatory act does not take effect

 

unless all of the following bills of the 93rd Legislature are


 

enacted into law:

 

     (a) Senate Bill No. 1423 or House Bill No.____ (request no.

 

05010'05).

 

     (b) Senate Bill No.____ or House Bill No. 6477 (request no.

 

06892'06).

 

     (c) Senate Bill No. 1424 or House Bill No.____ (request no.

 

07116'06 *).

 

     (d) Senate Bill No. 1418 or House Bill No.____ (request no.

 

07316'06).

 

     (e) Senate Bill No. 1419 or House Bill No.____ (request no.

 

07318'06).

 

     (f) Senate Bill No. 1420 or House Bill No.____ (request no.

 

07326'06).

 

     (g) Senate Bill No.____ or House Bill No. 6474 (request no.

 

07328'06).

 

     (h) Senate Bill No. 1422 or House Bill No.____ (request no.

 

07332'06).

 

     (i) Senate Bill No. 1421 or House Bill No.____ (request no.

 

07333'06).

 

     (j) Senate Bill No.____ or House Bill No. 6476 (request no.

 

07338'06).