HOUSE BILL No. 6014

 

December 2, 2014, Introduced by Rep. Price and referred to the Committee on Local Government.

 

      A bill to amend 1963 PA 55, entitled

 

"An act to provide for the incorporation of public authorities to

acquire, own, and operate or cause to be operated mass

transportation systems; to require the state to guarantee payment

of certain claims against certain transportation authorities and

to give the state a lien in satisfaction of payment; to prescribe

the rights, powers, and duties of those public authorities; to

provide for the issuance of bonds; to provide for the levy and

collection of certain taxes; and to authorize contracts between

those authorities and either public or private corporations to

carry out the operation of those mass transportation systems,"

 

by amending section 2 (MCL 124.352), as amended by 1983 PA 137.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

 1        Sec. 2. (1) The legislative body of any a city having a

 

 2  population of not more than 300,000 may incorporate a public

 

 3  authority for the purpose of acquiring, owning, operating, to

 

 4  acquire, own, or operate, or causing cause to be operated, a mass

 

 5  transportation system. The authority shall be authorized to

 

 6  operate the mass transportation system within the boundaries of


 

 1  the city which that incorporates the public authority. However, a

 

 2  public authority created before the effective date of section 7a

 

 3  July 18, 1983 may operate a mass transportation system within the

 

 4  same political subdivisions in which it operates a mass

 

 5  transportation system immediately before the effective date of

 

 6  section 7a July 18, 1983 and those political subdivisions, other

 

 7  than those the political subdivisions which that only receive

 

 8  public transportation services from the authority pursuant to

 

 9  under a contract, shall be considered to be members of the

 

10  authority. A public authority may also operate a mass

 

11  transportation system within a political subdivision which, that,

 

12  by a resolution adopted by a majority vote of the members elected

 

13  to and serving on the legislative body of the political

 

14  subdivision, requests membership in the authority, but only if a

 

15  majority of the members of the board of the authority, by

 

16  resolution, approve the request. If a political subdivision joins

 

17  the authority, the board shall amend the articles of

 

18  incorporation accordingly. The clerk of the political subdivision

 

19  being added shall execute the amendment, which shall be filed and

 

20  published in the same manner as the original articles of

 

21  incorporation.

 

22        (2) The incorporation shall be accomplished by adoption of

 

23  articles of incorporation by an affirmative vote of a majority of

 

24  the members elect of the legislative body of the city. The fact

 

25  of adoption shall be indorsed on the articles of incorporation by

 

26  the mayor and clerk of the city in form substantially as follows:

 

27        "The foregoing articles of incorporation were adopted by an


 

 1  affirmative vote of a majority of the members elect of the (name

 

 2  of legislative body) of the city of .........., ..........

 

 3  county, Michigan, at a meeting duly held on the ..... day of

 

 4  .........., A.D. ..... (year)".

 

 

                                .............................

                                Mayor

                                .............................

                                Clerk

 

 

 9        The Before January 1, 2015, the articles of incorporation

 

10  shall be published at least once in a newspaper designated in the

 

11  articles and circulated within the area proposed to be served by

 

12  the mass transportation system. Beginning January 1, 2015, the

 

13  articles of incorporation shall be published using tier B public

 

14  notice with a link as provided in the local government public

 

15  notice act. One printed copy of the articles of incorporation

 

16  certified as a "true copy" by the person or persons designated

 

17  with the date and place of the publication, shall be filed with

 

18  the secretary of state and with the clerk of the county within

 

19  which the area to be served by the mass transportation system is

 

20  located. The authority shall become becomes operative at the time

 

21  provided in the articles of incorporation. The validity of the

 

22  incorporation shall be is conclusively presumed unless questioned

 

23  in a court of competent jurisdiction within 60 days after the

 

24  filing of the certified copies with the secretary of state and

 

25  with the county clerk.

 

26        (3) If the authority ceases to operate or is dissolved and a

 


 1  successor agency is not created to assume its assets and

 

 2  liabilities and perform its functions, and the this state

 

 3  guarantees the payment of claims for benefits arising under Act

 

 4  No. 317 of the Public Acts of 1969, as amended, being sections

 

 5  418.101 to 418.941 of the Michigan Compiled Laws, the worker's

 

 6  disability compensation act of 1969, 1969 PA 317, MCL 418.101 to

 

 7  418.941, against the authority, during the time the authority was

 

 8  approved as a self-insurer under section 611(1)(a) of Act No. 317

 

 9  of the Public Acts of 1969, as amended, being section 418.611 of

 

10  the Michigan Compiled Laws, the the worker's disability

 

11  compensation act of 1969, 1969 PA 317, MCL 418.611, this state

 

12  shall be is entitled to a lien which that shall take precedence

 

13  over all other liens on its portion of the assets of the

 

14  authority in satisfaction of the payment of claims for benefits

 

15  under Act No. 317 of the Public Acts of 1969, as amended.the

 

16  worker's disability compensation act of 1969, 1969 PA 317, MCL

 

17  418.101 to 418.941.

 

18        Enacting section 1. This amendatory act does not take effect

 

19  unless Senate Bill No. ___ or House Bill No. 5560 (request no.

 

20  03796'13) of the 97th Legislature is enacted into law.