Bill Text: MI HB4663 | 2013-2014 | 97th Legislature | Introduced
Bill Title: Water; conservation; agricultural land uses; modify water withdrawal dispute resolution process and allowable expenditures from the agricultural preservation fund. Amends secs. 31701, 31702, 31703, 31704, 31705, 31706, 31708, 31711, 31712, 36201 & 36202 of 1994 PA 451 (MCL 324.31701 et seq.) & adds sec. 31702a.
Spectrum: Slight Partisan Bill (Republican 13-5)
Status: (Passed) 2013-07-03 - Assigned Pa 86'13 With Immediate Effect [HB4663 Detail]
Download: Michigan-2013-HB4663-Introduced.html
HOUSE BILL No. 4663
May 2, 2013, Introduced by Rep. Potvin and referred to the Committee on Appropriations.
A bill to amend 1994 PA 451, entitled
"Natural resources and environmental protection act,"
by amending sections 36201 and 36202 (MCL 324.36201 and 324.36202),
section 36201 as added by 2000 PA 262 and section 36202 as amended
by 2004 PA 75.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 36201. As used in this part:
(a) "Agricultural conservation easement" means a conveyance,
by a written instrument, in which, subject to permitted uses, the
owner relinquishes to the public in perpetuity his or her
development rights and makes a covenant running with the land not
to undertake development.
(b) "Agricultural use" means substantially undeveloped land
devoted to the production of plants and animals useful to humans,
including forages and sod crops; grains, feed crops, and field
crops; dairy and dairy products; poultry and poultry products;
livestock, including breeding and grazing of cattle, swine, captive
cervidae, and similar animals; berries; herbs; flowers; seeds;
grasses; nursery stock; fruits; vegetables; Christmas trees; and
other similar uses and activities. Agricultural use includes use in
a federal acreage set-aside program, a federal conservation reserve
program, or a wetland reserve program. Agricultural use does not
include the management and harvesting of a woodlot.
(c) "Board" means the agricultural preservation fund board
created in section 36204.
(d) "Commission" means the commission of agriculture and rural
development.
(e) "Department" means the department of agriculture and rural
development.
(f) "Development" means an activity that materially alters or
affects the existing conditions or use of any land in a manner that
is inconsistent with an agricultural use.
(g) "Development rights" means an interest in land that
includes the right to construct a building or structure, to improve
land for development, or to divide a parcel for development
purposes.
(h) "Farmland" means 1 or more of the following:
(i) A farm of 40 or more acres in 1 ownership, with 51% or more
of the land area devoted to an agricultural use.
(ii) A farm of 5 acres or more in 1 ownership, but less than 40
acres, with 51% or more of the land area devoted to an agricultural
use, that has produced a gross annual income from agriculture of
$200.00 per year or more per acre of cleared and tillable land. A
farm described in this subparagraph enrolled in a federal acreage
set-aside program or a federal conservation reserve program is
considered to have produced a gross annual income from agriculture
of $200.00 per year or more per acre of cleared and tillable land.
(iii) A farm designated by the department of
agriculture as a
specialty farm in 1 ownership that has produced a gross annual
income of $2,000.00 or more from an agricultural use. Specialty
farms include, but are not limited to, greenhouses; equine breeding
and grazing; the breeding and grazing of cervidae, pheasants, and
other game animals; bees and bee products; mushrooms; aquaculture;
and other similar uses and activities.
(iv) Parcels of land in 1 ownership that are not contiguous but
which constitute an integral part of a farming operation being
conducted on land otherwise qualifying as farmland may be included
in an application under this part.
(i) "Fund" means the agricultural preservation fund created in
section 36202.
(j) "Grant" means a grant for the purchase of an agriculture
conservation easement under this part.
(k) "Owner" means a person having a freehold estate in land
coupled with possession and enjoyment. If land is subject to a land
contract, owner means the vendee in agreement with the vendor.
(l) "Permitted use" means any use expressly authorized within
an agriculture conservation easement consistent with the farming
operation or that does not adversely affect the productivity of the
farmland. Storage, retail or wholesale marketing, or processing of
agricultural products is a permitted use in a farming operation if
more than 50% of the stored, processed, or merchandised products
are produced by the farm operator for at least 3 of the immediately
preceding 5 years. Permitted use includes oil and gas exploration
and extraction, but does not include other mineral development that
is inconsistent with an agricultural use.
Sec. 36202. (1) The agricultural preservation fund is created
within the state treasury.
(2) The state treasurer may receive money or other assets from
any source for deposit into the fund, including federal funds,
other state revenues, gifts, bequests, and other donations. The
state treasurer shall direct the investment of the fund and shall
credit to the fund interest and earnings from fund investments.
(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 department shall be the administrator of the fund for
auditing purposes.
(5) (4)
Money in the fund may be expended,
upon appropriation,
following approval of the board and the commission, as follows:
(a)
Not more than $900,000.00 $1,400,000.00
annually for the
administrative costs of the department and the board in
implementing
this part and part 361. However, if deposits into the
fund
during any given fiscal year exceed $11,250,000.00, up to 8%
of
the deposits may be expended for administrative costs pursuant
to
this subdivision.Each fiscal
year, the maximum amount allowed
for administrative costs under this subdivision shall be adjusted
by an amount determined by the state treasurer to reflect the
cumulative annual percentage change in the Detroit consumer price
index over the preceding 1-year period. An adjustment of the
maximum administrative cost amount shall not exceed 5% even if the
amount determined by the state treasurer to reflect the cumulative
annual percentage change over the 1-year period is more than 5%. As
used in this subdivision, "Detroit consumer price index" means the
most comprehensive index of consumer prices available for the
Detroit area from the bureau of labor statistics of the United
States department of labor.
(b) After expenditures for the administrative costs under
subdivision (a), money in the fund may be used to provide grants to
local units of government pursuant to section 36203.
(c) After expenditures under subdivisions (a) and (b) have
been made, if the amount of money remaining in the fund exceeds
$5,000,000.00, money in the fund may be used pursuant to part 361
for the purchase of development rights to farmland or the
acquisition of agricultural conservation easements.
(6) (5)
Expenditures of money in the fund
as provided in this
part are consistent with the state's interest in preserving
farmland
and are declared to be for an important public purpose.
