HOUSE BILL No. 4509

March 17, 2005, Introduced by Rep. Acciavatti and referred to the Committee on Government Operations.

 

     A bill to amend 1980 PA 524, entitled

 

"An act to provide for the terms of certain construction contracts

with certain public agencies; to regulate the payment and retainage

of payments on construction contracts with certain public agencies;

and to provide for the resolution of certain disputes,"

 

by amending section 5 (MCL 125.1565).

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 5. (1)  Except as provided in subsection (2), this  This

 

act shall apply only to a construction contract entered into after

 

the effective date of this act.

 

      (2) For a construction contract entered into before the

 

effective date of this act, the provisions of this act may be

 

implemented by a public agency, through a contract amendment, upon

 

the written request of the contractor, with such consideration as

 

the public agency considers adequate.


 

     (2) For a contract involving a governmental unit and

 

conforming to the provisions of section 7(4), (5), and (6) of 1963

 

PA 213, MCL 129.207, the parties enforcing the contract are allowed

 

to utilize the additional remedy provided for under section 7(6) of

 

1963 PA 213, MCL 129.207. As used in this subsection, "governmental

 

unit" means that term as defined in section 6 of 1963 PA 213, MCL

 

129.206.

 

     Enacting section 1.  This amendatory act does not take effect

 

unless Senate Bill No.____ or House Bill No. 4510(request no.

 

00199'05) of the 93rd Legislature is enacted into law.