Bill Text: MI HB5097 | 2017-2018 | 99th Legislature | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Counties; boards and commissions; permit fee required for a government entity or telecommunication provider working within a county right-of-way; clarify limits, and clarify bonding and insurance requirements for telecommunication providers working within a county right-of-way. Amends sec. 19b, ch. IV of 1909 PA 283 (MCL 224.19b).

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2018-04-10 - Assigned Pa 97'18 With Immediate Effect [HB5097 Detail]

Download: Michigan-2017-HB5097-Engrossed.html

HB-5097, As Passed House, February 28, 2018

 

 

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 5097

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1909 PA 283, entitled

 

"An act to revise, consolidate, and add to the laws relating to the

establishment, opening, discontinuing, vacating, closing, altering,

improvement, maintenance, and use of the public highways and

private roads; the condemnation of property and gravel therefor;

the building, repairing and preservation of bridges; maintaining

public access to waterways under certain conditions; setting and

protecting shade trees, drainage, and cutting weeds and brush

within this state; providing for the election or appointment and

defining the powers, duties, and compensation of state, county,

township, and district highway officials; and to prescribe

penalties and provide remedies,"

 

by amending section 19b of chapter IV (MCL 224.19b), as amended by

 

2016 PA 456.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

CHAPTER IV

 

     Sec. 19b. (1) A person, partnership, association, corporation,

 

or governmental entity shall not construct, operate, maintain, or

 


remove a facility or perform any other work within the right-of-way

 

of a county road, except sidewalk installation and repair, without

 

first obtaining a permit from the county road commission having

 

jurisdiction over the road and from the township, city, or village

 

in which the county road is located when a permit is required by

 

ordinance of the township, city, or village, under the authority

 

conferred by section 29 of article VII of the state constitution of

 

1963. The adjacent property owner shall is not be required to

 

obtain a permit for work incidental to the maintenance of the

 

right-of-way lying outside of the shoulder and roadway.

 

     (2) A county road commission and a local unit of government

 

may adopt, after a public hearing of which notice has been given by

 

publication at least twice in a newspaper circulated in the county

 

not more than 30 days nor less than 7 days prior to before the

 

hearing, reasonable permit requirements and, subject to subsections

 

(6) and (7), a schedule of fees to be charged sufficient to cover

 

only the necessary and actual costs applied in a reasonable manner

 

for the issuance of issuing the permit and for review of the

 

proposed activity, inspection, and related expenses. In addition, a

 

county road commission and a local unit of government may adopt a

 

schedule of civil fines that can be imposed on a provider that

 

performs work in a right-of-way without obtaining a permit as

 

required under this section or that fails to maintain a security

 

bond, right-of-way bond, or irrevocable letter of credit as

 

required under this section during construction work within the

 

right-of-way. The amount of a civil fine imposed on a provider must

 

not exceed $5,000.00 per violation, and a civil fine must not be


imposed on a provider if the work is required in a right-of-way on

 

an emergency basis to restore services impacting public safety.

 

After the work authorized in the permit has been completed,

 

itemization of all costs shall must be supplied upon request of the

 

permit holder.

 

     (3) When a road commission adopts procedures for the issuance

 

of issuing permits or adopts a schedule of fees as provided in this

 

section, separate procedures and fee schedules shall must be

 

adopted for the issuance of issuing annual and emergency permits

 

that reflect the minimal administrative burden of issuing an annual

 

permit for frequent but routine and unobtrusive work such as

 

surveying and the extraordinary emergency repairs to municipal or

 

public utilities.

 

     (4) A county road commission may not refuse a permit requested

 

by a government entity for the installation of a facility or

 

utility owned by that government entity if security is given by the

 

permittee or its contractor to the county road commission

 

sufficient to insure restoration of the road and appurtenances to

 

the road and the adjacent right-of-way to a condition reasonably

 

equal to or better than that existing prior to such before that

 

installation. nor may a

 

     (5) A county road commission shall not require a provider to

 

perform or, except as otherwise provided in this section, pay for

 

any topographic, boundary, environmental, or other kind of survey,

 

study, or analysis of a right-of-way as a condition of or in

 

connection with issuing a permit. A county road commission may

 

require a provider to submit detailed engineering plans directly


related to work in the right-of-way by that provider as a condition

 

of or in connection with issuing a permit. In addition to any

 

permit fees, a county road commission may require a provider to pay

 

for any necessary and actual costs for inspections related to work

 

in a right-of-way by that provider.

 

     (6) A county road commission shall not charge a government

 

entity or, except as otherwise provided in this section, a provider

 

a permit fee exceeding $300.00 per permit or, except as otherwise

 

provided in this section, $1,000.00 total for all permits permit

 

fees per project. In a county with a population of more than

 

250,000, a county road commission shall not charge a provider a

 

permit fee exceeding $600.00 per permit or, except as otherwise

 

provided in this section, $2,000.00 total for all permit fees per

 

project.

 

     (7) Except as otherwise provided in this section, a county

 

road commission shall not require a provider to obtain a permit for

 

performing routine maintenance or repair work, as defined in the

 

permit, in a right-of-way more than once a year, and shall not

 

charge a provider an annual permit fee exceeding $300.00 for that

 

permit for performing routine maintenance or repair work in a

 

right-of-way. In a county with a population of more than 250,000, a

 

county road commission shall not require a provider to obtain a

 

permit for performing routine maintenance or repair work, as

 

defined in the permit, in a right-of-way more than once a year, and

 

shall not charge a provider an annual permit fee exceeding $600.00

 

for that permit for performing routine maintenance or repair work

 

in a right-of-way. The annual permit fee provided in this


subsection is not included in the permit fee limitation provided in

 

subsection (6).

 

     (8) (5) This section does not authorize a county road

 

commission to require a permit for an activity a driveway or

 

routine maintenance in silvicultural operations that is are

 

otherwise permissible under the laws of this state. A county road

 

commission shall not be held liable for the failure of a person

 

performing work for which a permit is not required on a county road

 

right-of-way to post a sign that gives advance warning of the work

 

being performed in the right-of-way. As used in this subsection,

 

"silvicultural operations" means silvicultural practices as that

 

term is defined in section 51101 of the natural resources and

 

environmental protection act, 1994 PA 451, MCL 324.51101.

 

     (9) Except as otherwise provided in this section, a county

 

road commission shall not require a provider to have more than 1

 

security bond or right-of-way bond to secure the performance of the

 

conditions of all permits issued that authorize the provider to

 

construct, operate, maintain, or remove a facility or perform any

 

other work anywhere within the right-of-way, as designated in the

 

permits, of any road under the jurisdiction of the county road

 

commission. The provider shall determine whether the security bond

 

or right-of-way bond described in this subsection is an insurance

 

bond or a cash bond. A county road commission shall not require the

 

security bond or right-of-way bond to be a cash bond. Except as

 

otherwise provided in this section, the amount of a security bond

 

or right-of-way bond described in this subsection must not exceed

 

$20,000.00. In a county with a population of more than 250,000, the


amount of a security bond or right-of-way bond described in this

 

subsection must not exceed $40,000.00. Upon the request of a

 

provider, the county road commission shall return a security bond

 

or right-of-way bond to the provider within 120 days after the

 

provider completes construction work in the right-of-way. Instead

 

of providing a security bond or right-of-way bond, a provider may

 

provide security that consists of an irrevocable letter of credit

 

issued by a state or federally regulated financial institution

 

licensed to do business in this state to secure the performance of

 

the conditions of all permits issued that authorize the provider to

 

construct, operate, maintain, or remove a facility or perform any

 

other work anywhere within the right-of-way, as designated in the

 

permits, of any road under the jurisdiction of the county road

 

commission. Notwithstanding the limitation in this subsection

 

requiring only 1 security bond or right-of-way bond, if there is a

 

claim made against the bond, the provider must provide the county

 

road commission with another security bond or right-of-way bond in

 

order to continue working in that county. A bond required under

 

this subsection must be from a state or federally regulated entity

 

licensed to do business in this state.

 

     (10) A provider shall maintain general liability insurance

 

with minimum policy limits of $2,000,000.00 per occurrence for

 

property damage and $2,000,000.00 per occurrence for bodily injury

 

that apply to all claims, demands, suits, or causes of action

 

arising in connection with or as a direct result of the provider's

 

use and occupancy of a right-of-way under the jurisdiction of a

 

county road commission.


     (11) This section does not prohibit a county road commission

 

and a provider from entering into a voluntary agreement regarding

 

right-of-way access that includes permits, terms, and conditions

 

that are different than the requirements or limitations imposed by

 

this section, including, but not limited to, the amount of permit

 

fees, terms of insurance, the size or number of security bonds or

 

right-of-way bonds, or other valuable consideration. A county road

 

commission that enters a voluntary agreement to access the rights-

 

of-way with 1 provider shall offer similar terms and conditions

 

regarding access to the rights-of-way to other providers.

 

     (12) Except if work is required in a right-of-way on an

 

emergency basis to restore services impacting public safety, a

 

provider that performs work in a right-of-way without obtaining a

 

permit as required under this section or that fails to maintain a

 

security bond, right-of-way bond, or irrevocable letter of credit

 

as required under this section during construction work within the

 

right-of-way is responsible for a civil fine of not more than

 

$5,000.00 per violation as provided in the schedule of civil fines

 

adopted under subsection (2).

 

     (13) As used in this section:

 

     (a) "County road commission" means the board of county road

 

commissioners elected or appointed pursuant to section 6 of this

 

chapter, or, in the case of a charter county with a population of

 

750,000 or more with an elected county executive that does not have

 

a board of county road commissioners, the county executive for

 

ministerial functions and the county commission provided for in

 

section 14(1)(d) of 1966 PA 293, MCL 45.514, for legislative


functions. In addition, if a board of county road commissioners is

 

dissolved as provided in section 6 of this chapter, county road

 

commission includes the county board of commissioners of the

 

county.

 

     (b) "Provider" means either of the following:

 

     (i) A telecommunication provider as that term is defined in

 

section 102 of the Michigan telecommunications act, 1991 PA 179,

 

MCL 484.2102.

 

     (ii) A video service provider as that term is defined in

 

section 1 of the uniform video services local franchise act, 2006

 

PA 480, MCL 484.3301.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.

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