DISSOLUTION OF LAKE IMPROVEMENT BOARDS

House Bill 4379

Sponsor:  Rep. Eileen Kowall

Committee:  Natural Resources, Tourism, and Outdoor Recreation

Complete to 5-9-11

A SUMMARY OF HOUSE BILL 4379 AS INTRODUCED 3-3-11

House Bill 4379 would amend the Natural Resources and Environmental Protection Act by altering the procedure by which a lake improvement board may be dissolved.

Currently for a public inland lake, a public hearing to dissolve a lake improvement board must be held upon petition of 2/3 of the property owners owning land abutting the lake.  This legislation would add a similar provision requiring a public hearing to be called upon petition of the property owners who have been assessed 2/3 of the cost of the lake improvement projects.

Also, these two forms of seeking dissolution would apply to lake boards on private inland lakes as well as on public inland lakes.  Currently, this section of NREPA appears to apply only to public inland lake boards.

The governing body of each relevant local unit can hold a public hearing on dissolution on its own initiative.  That would continue to apply, but would only apply to lake boards on public inland lakes.

As is now the case, a lake board would be dissolved if, after a public hearing, the governing body of each local unit in which all or part of the lake is located determines the lake board is no longer necessary because the reasons it was established no longer exist.  Certain other specified requirements must also be met, including that all outstanding indebtness and expense of the board are paid in full, excess funds are refunded, and the lake board itself determines it is no longer needed.

MCL 324.30929

FISCAL IMPACT:

A fiscal analysis is in process.

                                                                                           Legislative Analyst:   Jeff Stoutenburg

                                                                                                  Fiscal Analyst:   Viola Bay Wild

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.