May 10, 2006, Introduced by Reps. Taub, Farrah, Elsenheimer, Hildenbrand, Stakoe, Amos, Garfield, Leland, Tobocman, Accavitti, Clack, Condino, Clemente, McConico, Hunter and Cheeks and referred to the Committee on Local Government and Urban Policy.
A bill to amend 1984 PA 431, entitled
"The management and budget act,"
by amending section 251 (MCL 18.1251), as amended by 1999 PA 8.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 251. (1) This section applies to all real property of the
state except all of the following:
(a) Property under the jurisdiction of the state
transportation department.
(b) Property under the jurisdiction of a state institution of
higher education.
(c) Property under the jurisdiction of the department of
natural resources.
(d) Property under the jurisdiction of the department of
military affairs.
(2) The department shall provide for the development and
maintenance of real property records and facility inventories. The
department may award appropriate service contracts or employ land
surveyors to survey, monument, map, describe, and record real
property and facilities.
(3) The department shall issue directives to provide for the
disposition process for facilities and lands that are considered
surplus. The department shall require a public notice component in
its directives regarding the disposition process under this
subsection.
(4) Before offering real property for public sale, the
director of the department of management and budget shall first
offer the property for sale for less than fair market value to the
local units of government in which the property is located. In
order to exercise its right to purchase the property under this
subsection, a local government must enter into a purchase agreement
within 60 days after the date of the offer and shall complete the
purchase within 120 days after the date of the offer. Except as
provided under subsection (5), if a local unit of government
purchases the property and, within 1 year after the date of that
purchase, conveys the property for use other than for public
purposes, the local unit of government shall pay to the state 50%
of the net profit, if any, realized from that conveyance.
(5) A local unit of government may utilize the savings of
property purchased under subsection (4) to create or improve the
overall economic opportunities for the local unit of government and
its residents. Property purchased under this subsection may be used
for nonpublic purposes, and the local unit of government may
proceed either in its own right, in conjunction with a private
entity, or through the sale of the property under the terms and
conditions which comply with the restrictions of this subsection.