Bill Text: MI SB0425 | 2015-2016 | 98th Legislature | Engrossed
Bill Title: Aeronautics; funds; expenditure of money in qualified airport fund; provide for. Amends sec. 35 of 1945 PA 327 (MCL 259.35). TIE BAR WITH: SB 0418'15, SB 0426'15, SB 0612'15, SB 0613'15, SB 0614'15
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2015-12-31 - Assigned Pa 0258'15 With Immediate Effect [SB0425 Detail]
Download: Michigan-2015-SB0425-Engrossed.html
SB-0425, As Passed House, December 15, 2015
HOUSE SUBSTITUTE FOR
SENATE BILL NO. 425
A bill to amend 1945 PA 327, entitled
"Aeronautics code of the state of Michigan,"
by amending section 35 (MCL 259.35), as amended by 2002 PA 352.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
35. (1) There is appropriated all All money
in and
currently
credited to the state aeronautics
fund created under
section
34, 34(1) is appropriated for carrying out the purposes and
provisions
of this act, and to meet the
expenses of the department.
However, money in and credited to the state aeronautics fund is not
appropriated for carrying out subsection (2), except as provided in
subsection (4). Upon appropriation, the state treasurer may draw a
warrant
upon on the state treasury to make payments in the amounts
and to the persons as directed by the department subject to
approval and release by the state administrative board of the
authorized
amounts. However, funds money
appropriated under this
section
subsection or subsequently later made
available shall must
not
be expended upon any on an
aviation project that is not
carried
out under the supervision and direction of the department.
(2) Subject to subsection (3), all money in and credited to
the qualified airport fund created under section 34(2) is
appropriated for carrying out the purposes described in this
subsection. On a quarterly basis, the state treasurer shall
disburse from the qualified airport fund to the operator of a
qualified airport an amount equal to the amount deposited into the
qualified airport fund. If there is more than 1 qualified airport
the state treasurer shall disburse the amount deposited into the
qualified airport fund to each operator of a qualified airport in
the same proportion that the amount of taxable gallons of fuel sold
at the qualified airport during the preceding fiscal year bears to
the total amount of taxable gallons of fuel sold at all qualified
airports during the preceding fiscal year. An operator of a
qualified airport shall use money disbursed to the operator under
this subsection in the following order of priority:
(a) For deposit in a bond and interest redemption account
created by ordinance of the qualified airport solely to pay the
next scheduled payments for revenue bonds issued by the operator of
the qualified airport pursuant to an ordinance under the revenue
bond act of 1933, 1933 PA 94, MCL 141.101 to 141.140, to finance
capital improvements to landing areas at the qualified airport. The
capital improvements to landing areas may include, but are not
limited to, runway and taxiway design, construction, repair or
rehabilitation, lighting, drainage systems, land acquisition,
airfield roadways, noise mitigation systems, deicing pads, and
surveillance systems at the qualified airport.
(b) To defray the costs of capital improvements to landing
areas of the qualified airport. The capital improvements to landing
areas may include, but are not limited to, runway and taxiway
design, construction, repair or rehabilitation, lighting, drainage
systems, land acquisition, airfield roadways, noise mitigation
systems, deicing pads, and surveillance systems at the qualified
airport.
(3) If the Federal Aviation Administration or a federal court
of competent jurisdiction issues a final decision, decision and
order, or order in a proceeding finding that the deposit or credit
of money to the qualified airport fund under this act, section 25
of the general sales tax act, 1933 PA 167, MCL 205.75, and section
21 of the use tax act, 1937 PA 94, MCL 205.111, does not comply
with, or disbursements from the qualified airport fund as
authorized under subsection (2) do not comply with, the federal
airport revenue use requirements under 49 USC 47107(b) or 49 USC
47133, the state treasurer shall transfer money in the qualified
airport fund to the state aeronautics fund as necessary to comply
with the final decision, decision and order, or order. The state
treasurer shall only transfer money from the qualified airport fund
under this subsection while the final decision, decision and order,
or order is in effect and binding on this state.
(4) The department shall, on a quarterly basis, disburse all
money transferred from the qualified airport fund to the state
aeronautics fund under subsection (3) to the operator of a
qualified airport. The department shall not disburse money under
this subsection if the disbursement would violate the terms of the
final decision, decision and order, or order of the Federal
Aviation Administration or federal court. If there is more than 1
qualified airport, the department shall disburse the money to each
operator of a qualified airport in the same proportion that the
amount of taxable gallons of fuel sold at the qualified airport
during the preceding fiscal year bears to the total amount of
taxable gallons of fuel sold at all qualified airports during the
preceding fiscal year. An operator of a qualified airport that
receives money under this subsection shall only use the money for
the purposes, and in the order of priority, described in subsection
(2).
(5) By April 1, 2017, and by April 1 of each year after 2017,
the operator of a qualified airport shall file a report with the
department describing how the money disbursed to the operator of
the qualified airport under this section was spent or otherwise
used by the operator of the qualified airport during the preceding
calendar year. The report must be on a form or in a format
prescribed or approved by the department.
(6) As used in this section, "ordinance" means that term as
defined in section 3 of the revenue bond act of 1933, 1933 PA 94,
MCL 141.103.
Enacting section 1. This amendatory act takes effect 90 days
after the date it is enacted into law.
Enacting section 2. This amendatory act does not take effect
unless all of the following bills of the 98th Legislature are
enacted into law:
(a) Senate Bill No. 418.
(b) Senate Bill No. 426.
(c) Senate Bill No. 612.
(d) Senate Bill No. 613.
(e) Senate Bill No. 614.
