February 25, 2010, Introduced by Reps. Rogers, Denby, Calley, Pavlov, Haines and Crawford and referred to the Committee on Government Operations.
A bill to amend 1978 PA 361, entitled
"Michigan exposition and fairgrounds authority act,"
by amending the title and sections 1, 2, 5, 6, 7, 8, 11, 12, 14a,
15a, and 15b (MCL 285.161, 285.162, 285.165, 285.166, 285.167,
285.168, 285.171, 285.172, 285.174a, 285.175a, and 285.175b), the
title and sections 1, 2, 5, 6, 7, 8, 11, 12, 14a, and 15a as
amended and section 15b as added by 2004 PA 468; and to repeal acts
and parts of acts.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
TITLE
An act to authorize the holding of a Michigan state fair; to
provide for the control and management of certain state exposition
centers
and fairgrounds; to create a state exposition center and
fairgrounds
authority and board within the department of management
and
budget; to prescribe the authority's
and board's powers and
duties of certain state agencies and officials; to provide for the
appointment
of a state exposition center and fairgrounds manager
and
to prescribe the manager's powers and duties; to designate the
method of financing state exposition centers and fairgrounds; to
create
certain funds; to provide for appropriations; and to repeal
acts and parts of acts.
Sec. 1. This act shall be known and may be cited as the
"Michigan exposition
and fairgrounds authority state
fair act".
Sec. 2. As used in this act:
(a)
"Authority" means the state exposition and fairgrounds
authority
created in section 9.
(b)
"Authority board" means the board for the authority
appointed
under section 9.
(a) (c)
"Department" means the
department of management and
budget.
(b) (d)
"Director" means the
director of the department.
(c) (e)
"Fund" means the state
exposition and fairgrounds fund
created in section 14a.
(d) "Person" means an individual, partnership, corporation,
association, or other public or private entity.
(f)
"Manager" means the manager of the authority appointed
under
section 4.
(g)
"Type I transfer" means that term as defined in section 3
of
the executive organization act of 1965, 1965 PA 380, MCL 16.103.
Sec. 5. The control of all land and other property held or
acquired by this state or its people for the purpose of holding and
conducting agricultural and industrial fairs and exhibitions is
vested
in the authority department.
Sec.
6. (1) The authority shall department
may do all 1 or
more of the following:
(a) Conduct an annual state fair and other exhibits or events
for the purpose of promoting all phases of the economy of this
state. This fair and the exhibits or events shall encourage and
demonstrate agricultural, industrial, commercial, educational,
entertainment, tourism, technological, cultural, and recreational
pursuits.
(b) If the department does not conduct an annual state fair
under subdivision (a), authorize, on an annual basis, a person to
designate 1 fair to be held in the state as the "Michigan State
Fair" if it will accomplish the purposes described in subdivision
(a).
(c) (b)
Lease the state exposition and
fairgrounds, a portion
of the state exposition and fairgrounds, or a building on the state
exposition
and fairgrounds for purposes considered by the authority
department
to be consistent with the staging of the
a state fair
and
other exhibits or events. The authority department may
determine and impose rental charges and other fees for the use or
lease of the buildings and grounds or a portion of the buildings
and
grounds. The authority department
may lease properties to
private and public organizations for a period not to exceed 30
years
for consideration established by the authority department.
The
authority department may grant leases for all or a portion of
the state exposition and fairgrounds to private and public
organizations, conditional upon construction and improvements
according
to plans approved by the authority department to be
financed by the lessees, for terms not to exceed 30 years. The
authority
department may grant an extension of the lease term for
not more than an additional 20 years. The use of the state
exposition and fairgrounds, a portion of the state exposition and
fairgrounds, or a building on the state exposition and fairgrounds
shall
not interfere with the preparation for or holding of the a
state fair and other exhibits or events. Land, a building, or other
property that is leased under this subdivision to a for-profit
business shall be leased at fair market value. All leases and
contracts entered into under this act remain valid until the
expiration of the term of the lease or contract.
(d) (c)
Enter into contracts, subject to
the requirements of
the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594,
to
conduct the annual a state fair, exhibits, or other events, at
the state exposition and fairgrounds that enhance agricultural,
industrial, commercial, recreational, educational, entertainment,
tourism, technological, or cultural pursuits or government services
to citizens.
(2)
The authority department may enter into cooperative
agreements, contracts, or other agreements with 1 or more
governmental entities to use the personnel, services, or facilities
of
the governmental entity to assist the authority department with
carrying out its duties under this act and as otherwise provided by
law.
Sec.
7. (1) The authority department
annually shall present a
report
to the governor , and
the legislature, and the department
describing the receipts or expenditures through appropriation,
gift, grant, or conveyance that have a material bearing on the
operation
of the a state fair or the state exposition and
fairgrounds.
(2)
The authority department shall be subject to annual post
audits of its financial transactions and accounts and to
performance post audits by the auditor general.
(3)
The authority department may promulgate rules governing
the
conduct of the an annual state fair and state exposition and
fairgrounds and the development and administration of the state
exposition and fairgrounds as a commercial, agricultural,
recreational, and multipurpose facility, pursuant to the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328.
Any rules in effect on the effective date of the amendatory
act
that added this sentence March
1, 2005 shall remain in effect
until
rescinded by the authority.department.
Sec.
8. The manager department shall do all of the following:
(a)
Be directly responsible to the authority.
(b)
Be the chief administrative officer for the management and
operation
of the state exposition and fairgrounds, and may enter
into
contracts and leases, subject to the requirements of the
management
and budget act, 1984 PA 431, MCL 18.1101 to 18.1594, as
authorized
by rule promulgated under this act.
(c)
Have as a primary work station the site of the state
exposition
and fairgrounds.
(a) (d)
Serve as an appointing authority for any necessary
personnel
associated with the management and operation of Manage
and operate the state exposition and fairgrounds.
(b) (e)
Be responsible for the financial
operation of the
state exposition and fairgrounds.
(c) (f)
Develop ideas and programs that
enhance the operation
and functioning of the state exposition and fairgrounds.
(d) (g)
Be responsible for the preparation of the Prepare an
annual
budget for the state exposition and fairgrounds. for
presentation
to the department.
(h)
Develop and present to the authority board for its
approval
each of the following:
(i) A financial plan submitted annually.
(ii) A rolling 5-year operations plan submitted
annually.
(iii) A facility and utility renovation plan, updated as
determined
by the manager or as requested by the authority board.
(iv) A long-range master plan for authority facilities
and the
state
exposition and fairgrounds, updated as determined by the
manager
or as requested by the authority board.
Sec. 11. Except as otherwise provided in this act, the
authority
board department shall do all things necessary or
convenient to implement the purposes, objectives, and provisions of
this
act, and the purposes, objectives, and powers delegated to the
authority
by other laws or executive orders, including,
but not
limited to, all of the following:
(a)
Review and approve policies, including dates for the a
state fair and the budget.
(b) Develop and submit to the department, the legislature, and
the governor on a yearly basis a rolling 5-year operational plan
and construction plan, including a master plan for the use of
buildings and the grounds.
(c) Report to the director, the legislature, and the governor
on the operating budget, capital improvements, programs, exhibits,
and other matters relevant to the state exposition and fairgrounds.
(d)
Approve or authorize the manager to approve utilization of
the state exposition and fairgrounds, including its use as the site
for
the annual a state fair, and on any other matter which the
authority
may regard as considered appropriate.
(e)
Promote, encourage, and assist the manager in conducting
conduct exhibits or other events at the state exposition and
fairgrounds that enhance agricultural, industrial, commercial,
recreational, educational, or cultural pursuits or government
service to citizens.
Sec.
12. (1) In staging the annual a
state fair, the authority
department may enter into licensing agreements with concessionaires
permitting
games of skill which that shall be conducted in
accordance with the following criteria:
(a) Winning the game of skill does not require great skill on
the part of the participant.
(b) The game does not constitute a fraud upon the
participants.
(c) The game is not similar to games of chance in which
winning depends primarily upon fortuitous or accidental
circumstances beyond the control of the participant including games
such as roulette, beano, cards, dice, or wheels of fortune and the
game does not include a mechanical or physical device that directly
or indirectly impedes, impairs, or thwarts the skill of the player.
(d) If the game is a group or contest participation game, each
participant shall be in attendance at the time the game is played
and shall actively participate throughout the entire game by
personally designating his or her target, goal, or desired
objective. A winner shall be determined by the skill of 1 or more
of the participants in the group or contest game, and each
participant shall be randomly selected. The distribution of prizes
shall be made in the presence of each participant at the time the
game is played.
(e) The prize has nominal value and is not redeemable or
convertible into cash, directly or indirectly.
(2) The department may promulgate rules pursuant to the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328, consistent with the criteria established in subsection (1)
to
regulate the conduct of games of skill during the annual a state
fair and to protect the public from unauthorized or dishonest
practices in conducting those games.
(3) The department may, after an administrative hearing held
pursuant to the administrative procedures act of 1969, 1969 PA 306,
MCL 24.201 to 24.328, revoke the licensing agreement of a
concessionaire if the department determines that the public is
being defrauded, or that this act or a rule promulgated pursuant to
this act is being violated.
(4) The department may promulgate rules pursuant to the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328, to permit the operation of a bingo or a millionaire party
permitted and licensed under the Traxler-McCauley-Law-Bowman bingo
act,
1972 PA 382, MCL 432.101 to 432.120. The authority department
may lease facilities as a location within or at which an
organization qualified and licensed under that act may conduct
bingo or a millionaire party.
Sec. 14a. (1) The state exposition and fairgrounds fund is
created
within the state treasury. The fund shall be administered
by
the authority .
(2) The state treasurer shall direct the investment of the
fund. The state treasurer shall credit to the fund interest and
earnings from fund investments. The state treasurer may receive
money or other assets from any source for deposit into the fund.
Money generated from the operation of activities authorized by this
act shall be deposited into the fund. The department shall be the
administrator of the fund for auditing purposes.
(3) Money in the fund at the close of the fiscal year shall
remain in the fund and shall not lapse to the general fund.
(4)
The authority shall submit an annual report to the
legislature
and the department showing the amount of money received
under
this act and how that money was spent.
(4) (5)
The money in the fund shall be
expended pursuant to
appropriation
of the legislature by the authority in the following
order of priority:
(a)
Providing for an annual a state fair
conducted by the
department.
(b) Maintaining the state exposition and fairgrounds.
(c) Any other purpose authorized under this act.
Sec.
15a. The authority department
may demolish or permit the
demolition of any building or structure on the state exposition and
fairgrounds
that is determined by the authority department to be
unsuitable for uses consistent with the holding of the state fair.
Sec.
15b. (1) The authority department
shall develop a
newsletter to be published not less often than twice per calendar
year for residents of the surrounding area of the state exposition
and
fairgrounds. The authority department
shall make the newsletter
available electronically on its website and, if requested, by mail.
(2)
The minutes of the meeting of the authority board shall be
posted
on the authority's website.
(2) (3)
The authority department shall establish a local
neighborhood advisory council for the purpose of public input on
the
authority's activities.use
of the state exposition and
fairgrounds.
Enacting section 1. Sections 4, 9, 10, and 15 of the Michigan
exposition and fairgrounds authority act, 1978 PA 361, MCL 285.164,
285.169, 285.170, and 285.175, are repealed.