July 19, 2007, Introduced by Rep. David Law and referred to the Committee on Education.
A bill to amend 1933 PA 99, entitled
"An act to authorize villages, townships, cities, and school
districts to enter into contracts and agreements for the purchase
of real or personal property for public purposes; to provide for
the payment of the purchase price thereof; to authorize school
districts to enter into certain other contracts; and to prescribe
the use of the real or personal property,"
by amending section 1 (MCL 123.721), as amended by 2002 PA 545.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1. (1) A village, township, city, or school district,
after adoption of a resolution by its governing body approving the
action, may enter into any contract or agreement for the purchase
of real or personal property for public purposes, to be paid for in
installments
over a period of not to exceed 15 years and not to
exceed
the useful life of the property
acquired as determined by
the
resolution. For school buses, the determined useful life shall
not
exceed 6 years. The outstanding
balance of all purchases
authorized under this act, exclusive of interest, shall not exceed
1-1/4% of the taxable value of the real and personal property in
the village, township, city, or school district at the date of the
contract or agreement. The limitations do not apply to contracts or
leases entered into under 1948 (1st Ex Sess) PA 31, MCL 123.951 to
123.965, or to other contracts or leases between public
corporations
or municipalities. The contracts or agreements , and
the purchase of property under the contracts or agreements are not
subject to the provisions of the revised municipal finance act,
2001 PA 34, MCL 141.2101 to 141.2821.
(2) The governing body of a village, township, city, or school
district may include in its budget and pay a sum or sums as may be
necessary each year to meet the payments of any installments, and
the interest thereon, when and as the installment becomes due,
including overdue installments.
(3) The authority granted in this act shall not be construed
to authorize the governing body of a city, village, township, or
school district to levy taxes in excess of statutory or charter
limitations without the approval of its electors.
(4) The limitations imposed by subsection (1) are not
applicable to a contract for purchase of lands declared surplus by
the United States government or one of its agencies, subject to the
prior approval of the contract by the department of treasury.