HOUSE BILL No. 6639

 

November 14, 2006, Introduced by Reps. Drolet, Tobocman and Lemmons, III and referred to the Committee on Government Operations.

 

     A bill to amend 1945 PA 344, entitled

 

"An act to authorize counties, cities, villages and townships of

this state to adopt plans to prevent blight and to adopt plans for

the rehabilitation of blighted areas; to authorize assistance in

carrying out such plans by the acquisition of real property, the

improvement of such real property and the disposal of real property

in such areas; to prescribe the methods of financing the exercise

of these powers; and to declare the effect of this act,"

 

by amending sections 2, 3, and 5 (MCL 125.72, 125.73, and 125.75),

 

sections 2 and 3 as amended by 1986 PA 320.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 2. As used in this act:

 

     (a) "Blighted area" means a portion of a municipality,

 

developed or undeveloped, improved or unimproved, with business or

 

residential uses, marked by a demonstrated pattern of deterioration

 


in physical, economic, or social conditions, and characterized by

 

such conditions as functional or economic obsolescense of buildings

 

or the area as a whole, physical deterioration of structures,

 

substandard building or facility conditions, improper or

 

inefficient division or arrangement of lots and ownerships and

 

streets and other open spaces, inappropriate mixed character and

 

uses of the structures, deterioration in the condition of public

 

facilities or services, or any other similar characteristics which

 

endanger the health, safety, morals, or general welfare of the

 

municipality, and which may include any buildings or improvements

 

not in themselves obsolescent, and any real property, residential

 

or nonresidential, whether improved or unimproved, the acquisition

 

of which is considered necessary for rehabilitation of the area. It

 

is expressly recognized that blight is observable at different

 

stages of severity, and that moderate blight unremedied creates a

 

strong probability that severe blight will follow. Therefore, the

 

conditions that constitute blight are to be broadly construed to

 

permit a municipality to make an early identification of problems

 

and to take early remedial action to correct a demonstrated pattern

 

of deterioration and to prevent worsening of blight conditions.

 

     (b) "Blighted property" means property that meets any of the

 

following criteria:

 

     (i) The property has been declared a public nuisance in

 

accordance with a local housing, building, plumbing, fire, or other

 

related code or ordinance.

 

     (ii) The property is an attractive nuisance because of physical

 

condition or use.

 


     (iii) The property is a fire hazard or is otherwise dangerous to

 

the safety of persons or property.

 

     (iv) The property has had the utilities, plumbing, heating, or

 

sewerage disconnected, destroyed, removed, or rendered ineffective

 

for a period of 1 year or more so that the property is unfit for

 

its intended use.

 

     (v) The property is tax reverted property owned by a qualified

 

local governmental unit, by a county, or by this state. The sale,

 

lease, or transfer of tax reverted property by a qualified local

 

governmental unit, county, or this state shall not result in the

 

loss to the property of the status as blighted for purposes of this

 

act.

 

     (vi) The property is owned or is under the control of a land

 

bank fast track authority under the land bank fast track act, 2003

 

PA 258, MCL 124.751 to 124.774, whether or not located within a

 

qualified local governmental unit, as that term is defined in

 

section 2 of the brownfield redevelopment financing act, 1996 PA

 

381, MCL 125.2652. The sale, lease, or transfer of the property by

 

a land bank fast track authority shall not result in the loss to

 

the property of the status as blighted property for purposes of

 

this act.

 

     (vii) The property is improved real property that has remained

 

vacant for 5 consecutive years and that is not maintained in

 

accordance with applicable local housing or property maintenance

 

codes or ordinances.

 

     (viii) The property has code violations posing a severe and

 

immediate health or safety threat and has not been substantially

 


rehabilitated within 1 year after the receipt of notice to

 

rehabilitate from the appropriate code enforcement agency or final

 

determination of any appeal, whichever is later.

 

     (c)  (b)  "Municipality" means a county, city, village, or

 

township in the state.

 

     (d)  (c)  "Development plan" means a plan for the

 

rehabilitation of all or any part of a blighted area.

 

     (e)  (d)  "Development area" means that portion of a blighted

 

area to which a development plan is applicable.

 

     (f)  (e)  "Real property" means land, buildings, improvements,

 

land under water, waterfront property, and any and all easements,

 

franchises and hereditaments, corporeal or incorporeal, and every

 

estate, interest, privilege, easement, franchise and right therein,

 

or appurtenant thereto, legal or equitable, including rights of

 

way, terms for years, and liens, charges, or incumbrances by

 

mortgage, judgment, or otherwise.

 

     (g)  (f)  "Local taxes" means state, county, city, village,

 

township and school taxes, any special district taxes, and any

 

other tax on real property, but does not include special assessment

 

for local benefit improvements.

 

     (h)  (g)  "Public use" when used with reference to land

 

reserved for public use means only such uses as are for the general

 

use and benefit of the public as a whole, such as schools,

 

libraries, public institutions, administration buildings, parks,

 

boulevards, playgrounds, streets, alleys, or easements for sewers,

 

public lighting, water, gas, or other similar utilities.

 

     (i)  (h)  "Project" means all of the undertakings authorized

 


in this act for the rehabilitation of a blighted area.

 

     Sec. 3. A municipality may bring about the rehabilitation of

 

blighted areas and the prevention, reduction, or elimination of

 

blight, blighting factors, or causes of blight, and for that

 

purpose may  acquire  do any of the following:

 

     (a) Acquire real property by purchase, gift, or exchange.  ,

 

or

 

     (b) Acquire blighted property by condemnation.  , and may

 

lease,

 

     (c) Lease, sell, renovate, improve, or exchange  such  

 

blighted property or other real property in accordance with the  

 

provisions of  state constitution of 1963 and this act.

 

     Sec. 5. (1) For the accomplishment of the purposes of this

 

act, the municipality shall acquire fee simple title in real

 

property by purchase, gift, or exchange, and may acquire fee simple

 

title to blighted property by condemnation.  or otherwise, and  The

 

municipality shall then apply  such  that blighted property and

 

other real property  thereafter  to the expressed purposes of this

 

act.

 

     (2)  The  With regard to blighted property, the local

 

legislative body may institute and prosecute proceedings under the

 

power of eminent domain in accordance with the state constitution

 

of 1963 and the laws of the state or provisions of any local

 

charter relative to condemnation.  The purposes contemplated by

 

this act are hereby declared to be public purposes within the

 

meaning of the constitution, state laws and charters relative to

 

the power of eminent domain. No  A resident owner in a development

 


area may not be dispossessed after condemnation under the

 

provisions of this act until other adequate housing accommodations

 

are available, to the people displaced.