SB-1422, As Passed Senate, November 30, 2006

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 1422

 

 

September 12, 2006, Introduced by Senators BIRKHOLZ, McMANUS, JELINEK, BROWN, KUIPERS, CHERRY, GOSCHKA, ALLEN, SCOTT, OLSHOVE, BARCIA, SWITALSKI, BASHAM, CLARK-COLEMAN and BRATER and referred to the Committee on Natural Resources and Environmental Affairs.

 

 

 

     A bill to amend 1994 PA 451, entitled

 

"Natural resources and environmental protection act,"

 

by amending section 16908 (MCL 324.16908), as amended by 2002 PA

 

496.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 16908. (1) The scrap tire regulatory fund is created in

 

the state treasury. The fund shall receive money as provided by law

 

and any gifts or contributions to the fund. The state treasurer

 

shall direct the investment of the fund. Interest and earnings of

 

the fund shall be credited to the fund. Money in the fund at the

 

close of the fiscal year shall remain in the fund and shall not

 

revert to the general fund.

 

     (2) Money in the fund shall be used, upon appropriation, for


 

all of the following purposes:

 

     (a) For administrative costs of the department associated with

 

this part including the implementation and enforcement of this

 

part. However, money shall not be expended under this subdivision

 

for the employment of more than  the following:

 

     (i) For state fiscal year 2002, 13.5 full-time equated

 

positions.

 

     (ii) For state fiscal year 2003, 12 full-time equated

 

positions.

 

     (iii) For state fiscal year 2004 and each subsequent state

 

fiscal year,  11 full-time equated positions.

 

     (b) For the administrative costs of the secretary of state

 

associated with the collection of the tire disposal surcharge

 

pursuant to section 806 of the Michigan vehicle code, 1949 PA 300,

 

MCL 257.806.

 

     (c) For the cleanup or collection of abandoned scrap tires and

 

scrap tires at collection sites. The department shall give priority

 

to funding activities under this subdivision at collection sites in

 

which the scrap tires were accumulated prior to January 1, 1991 and

 

to collection sites that pose an imminent threat to public health,

 

safety, welfare, or the environment. The department shall make

 

every effort to assure that all abandoned scrap tires accumulated

 

at collection sites prior to January 1, 1991 are cleaned up or

 

collected by September 31, 2009. For collection sites that have

 

accumulated tires after January 1, 1991, a lien, in favor of the

 

state up to the value of the cleanup grant amount and any increase

 

in the value of the property as a result of the cleanup of the


Senate Bill No. 1422 as amended November 30, 2006

 

property with grant funds, shall be placed on the property that is

 

affected by the removal of the tires as provided in section 16908b.

<<Before making a grant under this subdivision, the department shall consider the extent to which the making of the grant would contribute to the achievement of a balanced distribution of grants under this subdivision throughout the state.>>

 

     (3) Money expended under subsection (2)(c) may be expended for

 

either or both of the following:

 

     (a) Not more than $500,000.00 each year for  reimbursement

 

grants to users of scrap tire processed material  grants to

 

reimburse the cost of purchasing scrap tires to support the

 

development of increased markets for scrap  tire material other

 

than tire-derived fuel usage. A grant issued under this subsection

 

shall be for projects that demonstrate new uses for scrap tire

 

processed material in manufactured products, such as placement of

 

scrap tire processed material in modified asphalt, molded rubber

 

products, extruded rubber products, and aggregate replacement

 

materials. A grant under this subdivision shall reimburse the scrap

 

tire processed material user up to 50% of the cost of purchasing

 

scrap tire processed material, but shall not exceed a reimbursed

 

cost of $50.00 per ton. However, the scrap tire processed material

 

purchased shall be purchased from Michigan scrap tire processors

 

that produce scrap tire processed material under a grant issued

 

under subsection (2)(c).

 

     (b) For grants to end-users who receive scrap tires or tire

 

chips. However, as a condition of a grant under this subdivision,

 

an end-user who receives a grant under this subdivision shall agree

 

to purchase 1 ton of scrap tires or tire chips for every 1 ton of

 

scrap tires or tire chips received as a result of the grant. The

 

purchases shall be at the minimum rate of the established statewide

 

market price.  tires. Only the cost of purchasing scrap tires from


 

scrap tire processors in this state or other generators of scrap

 

tires in this state is eligible for reimbursement under this

 

subdivision.

 

     (b) For grants of up to 50% of the cost of purchasing

 

equipment, or research and development, to provide for a new or

 

increased use for scrap tires.

 

     (4) Applications for grants under subsection (3) shall be

 

submitted on a form approved by the department and containing the

 

information required by the department.  For grants under

 

subsection (3)(a), the  The department shall publish criteria upon

 

which the grants will be issued and shall make that information

 

available to grant applicants.

 

     (5) Not later than 4 years after the effective date of the

 

amendatory act that added this subsection, the department shall

 

prepare an assessment of the impact that the grants under

 

subsection (3)(a) have had on the reduction in the surplus of scrap

 

tires in the state and on the establishment of new end uses for

 

scrap tires. A copy of this assessment shall be provided to the

 

standing committees of the senate and the house of representatives

 

with jurisdiction over subject matter pertaining to natural

 

resources and the environment.

 

     (6) The department shall annually report to the standing

 

committees of the senate and house of representatives with

 

jurisdiction over subject matter pertaining to natural resources

 

and the environment on the utilization of revenues of the fund.

 

     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.                                  

 

          

 

     (b) House Bill No. 6477.                                  

 

         

 

     (c) Senate Bill No. 1424.                                

 

              

 

     (d) Senate Bill No. 1418.                                  

 

                        

 

     (e) Senate Bill No. 1419.                                  

 

         

 

     (f) Senate Bill No. 1420.                                  

 

          

 

     (g) House Bill No. 6474.                                  

 

         

 

     (h) Senate Bill No. 1421.                                   

 

          

 

     (i) House Bill No. 6476.            

 

               

 

     (j) House Bill No. 6475.