Bill Text: MI HB4703 | 2013-2014 | 97th Legislature | Engrossed
Bill Title: State financing and management; escheats; appeals process for unclaimed property; create. Amends 1995 PA 29 (MCL 567.221 - 567.265) by adding sec. 31a.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2014-12-31 - Assigned Pa 423'14 2014 Addenda [HB4703 Detail]
Download: Michigan-2013-HB4703-Engrossed.html
HB-4703, As Passed Senate, December 11, 2014
SENATE SUBSTITUTE FOR
HOUSE BILL NO. 4703
A bill to amend 1995 PA 29, entitled
"Uniform unclaimed property act,"
(MCL 567.221 to 567.265) by adding section 31a.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 31a. (1) If the administrator determines that a holder
has failed to report or deliver to the administrator unclaimed
property as required by this act, the administrator shall mail to
the holder by certified or registered mail a notice of examination
determination, which shall include the property deliverable. The
notice of examination determination shall constitute a decision of
the administrator. Within 90 days after the decision of the
administrator is mailed, a holder that is aggrieved of the decision
may bring an action in the circuit court, or within the same
period, the holder may elect to contest the decision by filing a
request for reconsideration with the administrator prior to
bringing an action in circuit court.
(2) If the holder elects to contest the decision in subsection
(1) by filing a request for reconsideration with the administrator,
in lieu of filing an action in circuit court, the holder may later
file an action in circuit court under the provisions of subsection
(4) or (8).
(3) The request for reconsideration shall be in writing,
identify the contested property, and state the reason that the
holder believes the decision is in error. The administrator shall
only reconsider that portion of the property due that is identified
in the request for reconsideration. The administrator may delegate
a reconsideration under this subsection to an individual who is
employed by the department to enforce this act.
(4) At any time prior to receipt of a reconsidered decision,
the holder may file with the administrator a written notice of
withdrawal of the request for reconsideration. Within 90 days after
the notice of withdrawal is mailed to the administrator, the holder
may file an action in circuit court.
(5) The holder shall deliver to the administrator the property
that is not contested. While the request for reconsideration is
pending, interest continues to accrue on all undelivered property.
Payment or delivery of the contested amount due or property does
not waive the right to reconsideration under subsection (3).
(6) Within 60 days of filing the request for reconsideration,
the holder may submit additional documentation and written
submissions to the administrator in support of the reconsideration.
The administrator may meet with the holder or have informal
communication with the holder as part of the reconsideration
process.
(7) Within 60 days of receipt of the holder's request for
reconsideration or within 60 days after the receipt of additional
documentation, the administrator shall mail the holder a written
decision regarding the contested property. The decision shall state
the reasons and authority that support the administrator's
decision. The time period for a decision in this subsection may be
extended by the administrator for good cause, but shall not exceed
183 days from the day the administrator received the holder's
request for reconsideration. The decision shall be mailed to the
holder by certified or registered mail at the address provided in
the request for reconsideration. If the holder prevails as to any
portion of the contested property, the administrator shall return
to the holder any property that had been delivered. That property
shall be returned to the holder within 60 days as of the date of
the decision.
(8) Within 90 days after mailing the decision regarding
reconsideration in subsection (7), the holder may contest the
decision by filing an action in circuit court, unless, within that
time, the holder files an appeal with the administrator. The
administrator shall select a delegate to conduct the appeal. The
delegate may not be employed by, or contracted with, the department
to provide auditing or administrative services for the enforcement
of this act other than as a delegate for an appeal. If the holder
elects to contest the decision in this subsection by filing an
appeal with the administrator, in lieu of filing an action in
circuit court, the holder may later file an action in circuit court
under the provisions of subsection (9) or (13). The delegate shall
have the knowledge, skill, and ability to qualify as an
administrative law examiner under the Michigan civil service
commission's job specifications.
(9) At any time, the holder may file with the administrator a
written notice of withdrawal of the appeal to the administrator.
Within 90 days after the notice of withdrawal is mailed to the
administrator, the holder may file an action in circuit court based
on the decision as reconsidered by the administrator in subsection
(7).
(10) The notice of appeal under subsection (8) shall state the
holder's name, mailing address, and telephone number; the name of
the person or persons representing the holder; the representative's
mailing address and telephone number; and the reason that holder
believes the reconsidered decision of the administrator was in
error. The administrator's delegate shall set the time and place
for conducting a hearing on the appeal and shall give the holder
written notice at least 21 days before the appeal is heard. The
appeal is not subject to the administrative procedures act of 1969,
1969 PA 306, MCL 24.201 to 24.328. The holder may appear or be
represented by any person before the delegate and may present
testimony and argument. At the party's own expense and with advance
notice to the other party, a holder or the delegate, or both, may
make an audiorecording of the appeal.
(11) The hearing on the appeal to the administrator shall be
conducted by the administrator's delegate within 90 days after the
filing of the appeal unless otherwise agreed to by the parties. A
written recommendation shall be issued by the delegate to the
administrator within 90 days of the conclusion of the hearing or
the submission of any posthearing documentation, whichever is
later. The written recommendation shall include the reasons and the
authority that support the recommendation.
(12) Within 60 days of the date of the recommendation of the
delegate, the administrator shall affirm, modify, or reject all, or
portions of, the reconsidered decision. The administrator shall
state the reasons and authority for any action on the decision that
does not follow the delegate's recommendation. A copy of the
administrator's decision and a copy of the delegate's
recommendation shall be mailed to the holder by certified or
registered mail at the address provided in the holder's notice of
appeal. If the holder prevails as to any portion of the contested
property, the administrator shall return any contested property
that had been remitted to the holder, including any related amount
of interest or penalty paid.
(13) Within 90 days after the administrator's decision in
subsection (12) is mailed, the holder may appeal the decision by
filing an action in the circuit court.
(14) A holder that has requested a waiver of penalties or
interest based on reasonable cause may contest any denial of a
waiver through a request for reconsideration, an appeal to the
administrator, or an action in circuit court as provided in this
section.
(15) As used in this section, "notice of examination
determination" means a notice that states the property that is
deliverable by the holder to the administrator as a result of an
examination.
