HOUSE BILL No. 6356

 

July 28, 2010, Introduced by Rep. Durhal and referred to the Committee on Judiciary.

 

     A bill to amend 1978 PA 368, entitled

 

"Public health code,"

 

by amending section 7524 (MCL 333.7524), as amended by 2006 PA 558.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 7524. (1) When property is forfeited under this article,

 

the local unit of government that seized the property may do any of

 

the following, or if the property is seized by or in the custody of

 

the state, the state may do any of the following, subject to

 

section 7523(1)(d):

 

     (a) Retain it for official use.

 

     (b) Sell that which is not required to be destroyed by law and

 

which is not harmful to the public. The proceeds and any money,

 

negotiable instruments, securities, or any other thing of value as

 

described in section 7521(1)(f) that are forfeited pursuant to


 

under this article shall be deposited with the treasurer of the

 

entity having budgetary authority over the seizing agency and

 

applied as follows:

 

     (i) For the payment of proper expenses of the proceedings for

 

forfeiture and sale, including expenses incurred during the seizure

 

process, maintenance of custody, advertising, and court costs,

 

except as otherwise provided in subsection (4).

 

     (ii) The balance remaining after the payment of expenses shall

 

be distributed by the court having jurisdiction over the forfeiture

 

proceedings to the treasurer of the entity having budgetary

 

authority over the seizing agency. If more than 1 agency was

 

substantially involved in effecting the forfeiture, the court

 

having jurisdiction over the forfeiture proceeding shall equitably

 

distribute the money among the treasurers of the entities having

 

budgetary authority over the seizing agencies. A seizing agency may

 

direct that the funds or a portion of the funds it would otherwise

 

have received under this subsection be paid to nonprofit

 

organizations whose primary activity is to assist law enforcement

 

agencies with drug-related criminal investigations and obtaining

 

information for solving crimes. The money received by a seizing

 

agency under this subparagraph and all interest and other earnings

 

on money received by the seizing agency under this subparagraph

 

shall be used to enhance only for law enforcement efforts

 

pertaining to this article purposes, as appropriated by the entity

 

having budgetary authority over the seizing agency. A distribution

 

made under this subparagraph shall serve as a supplement to, and

 

not a replacement for, the funds budgeted on January 1, 1991, for


 

law enforcement efforts pertaining to this article.

 

     (c) Require the administrator to take custody of the property

 

and remove it for disposition in accordance with law.

 

     (d) Forward it to the bureau for disposition.

 

     (2) Notwithstanding subsection (1), this state or local units

 

of government may donate lights for plant growth or scales

 

forfeited under this article to elementary or secondary schools or

 

institutions of higher education that request in writing to receive

 

those lights or scales pursuant to this subsection, for educational

 

purposes. This state or local units of government shall donate

 

lights and scales pursuant to this subsection to elementary or

 

secondary schools or institutions of higher education in the order

 

in which the written requests are received. This state or local

 

units of government may limit the number of lights and scales

 

available to each requestor.

 

     (3) In the course of selling real property pursuant to under

 

subsection (1)(b), the court that has entered an order of

 

forfeiture may, on motion of the agency to whom the property has

 

been forfeited, appoint a receiver to dispose of the real property

 

forfeited. The receiver shall be entitled to reasonable

 

compensation. The receiver shall have authority to do all of the

 

following:

 

     (a) List the forfeited real property for sale.

 

     (b) Make whatever arrangements are necessary for the

 

maintenance and preservation of the forfeited real property.

 

     (c) Accept offers to purchase the forfeited real property.

 

     (d) Execute instruments transferring title to the forfeited


 

real property.

 

     (4) If a court enters an order of forfeiture, the court may

 

order a person who claimed an interest in the forfeited property

 

pursuant to under section 7523(1)(c) to pay the expenses of the

 

proceedings of forfeiture to the entity having budgetary authority

 

over the seizing agency.