Bill Text: MI SB0449 | 2017-2018 | 99th Legislature | Introduced


Bill Title: Property; conveyances; transfer of certain state-owned property in Ingham County; provide for. Creates new act.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2018-06-12 - Reassigned To Committee On Government Operations [SB0449 Detail]

Download: Michigan-2017-SB0449-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 449

 

 

June 13, 2017, Introduced by Senators HERTEL and MEEKHOF and referred to the Committee on Government Operations.

 

 

 

     A bill to authorize the department of technology, management,

 

and budget to convey parcels of state-owned property in Ingham

 

County; to provide for powers and duties of state departments,

 

agencies, and officers and branches of state government in regard

 

to the property; and to provide for disposition of revenue derived

 

from the conveyances.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. (1) The department of technology, management, and

 

budget, on behalf of this state, may convey by quitclaim deed all

 

or portions of real property owned by this state located in the

 

city of Lansing, County of Ingham, Michigan, and further described

 

as follows:

 

PARCEL 1

 

The East 30 feet of the West 78 feet of the North 100 feet of Lots


11 and 12 and the North 100 feet of the West 48 feet of Lots 11 and

 

12, Block 115, Original Plat of the City of Lansing, City of

 

Lansing, Ingham County, Michigan, according to the recorded plat

 

thereof.

 

PARCEL 2

 

The north 32 5/6 feet of Lot 10 and the South 21 feet of Lot 11,

 

Block 115, Original Plat of the City of Lansing, City of Lansing,

 

Ingham County, Michigan, according to the recorded plat thereof.

 

     (2) The department of technology, management, and budget may

 

take the necessary steps to convey real property described in

 

subsection (1) using any publicly disclosed competitive method of

 

sale, selected to realize the fair market value to this state, as

 

determined by the department of technology, management, and budget,

 

or by a value-for-value conveyance negotiated by the department of

 

technology, management, and budget designed to realize the best

 

value to this state. In determining whether a value-for-value

 

conveyance of the property represents the best value, the

 

department may consider the fair market value or the total value

 

based on a property exchange, or any positive economic impact to

 

this state likely to be generated by the proposed use of the

 

property.

 

     (3) The department of technology, management, and budget shall

 

not convey property under this section unless the conveyance and

 

the terms of the conveyance have been approved by the state

 

administrative board or the director of the department of

 

technology, management, and budget.

 

     (4) The fair market value must be determined by an independent


fee appraisal prepared for the department of technology,

 

management, and budget, or by an appraiser who is an employee or

 

contractor of this state.

 

     (5) The state agency or branch of state government with

 

jurisdiction over real property conveyed or transferred under this

 

section is responsible for all expenses of maintaining the property

 

until the time of conveyance or transfer.

 

     (6) A deed authorized by this section must be approved as to

 

legal form by the department of the attorney general.

 

     (7) Real property conveyed or transferred under this section

 

includes all surplus, salvage, and personal property or equipment

 

remaining on the property on the date of the conveyance or

 

transfer.

 

     (8) This state shall not reserve oil, gas, or mineral rights

 

to property conveyed under this section. However, the conveyance

 

authorized under this section must provide that, if the grantee or

 

any successor develops any oil, gas, or minerals found on, within,

 

or under the conveyed property, the grantee or any successor must

 

pay this state 1/2 of the gross revenue generated from the

 

development of the oil, gas, or minerals. A payment under this

 

subsection must be deposited in the general fund.

 

     (9) A conveyance under this section must reserve to this state

 

all aboriginal antiquities, including mounds, earthworks, forts,

 

burial and village sites, mines, or other relics lying on, within,

 

or under the property, with power to this state and all others

 

acting under its authority to enter the property for any purpose

 

related to exploring, excavating, and taking away the aboriginal


antiquities.

 

     (10) The revenue received from the sale of property under this

 

section must be used to reimburse the department of technology,

 

management, and budget as required by section 896 of article VIII

 

of 2014 PA 252 and to reimburse the department of technology,

 

management, and budget for costs incurred related to the sale of

 

the property, related expenses, and other ongoing costs, including,

 

but not limited to, administrative costs, costs of appraisals,

 

reports and studies, and other materials necessary to the

 

preparation of sale; environmental remediation; legal fees; and any

 

litigation related to the conveyance of the property. Any remaining

 

revenue must be deposited in the general fund.

 

     (11) If property conveyed under this section is used in a

 

manner that violates any of the restrictions imposed under

 

subsection (8) or (9), this state may reenter and take the

 

property, terminating the grantee's or any successor's estate in

 

the property. An action to regain possession of the property under

 

this section may be brought and maintained by the attorney general

 

on behalf of this state.

 

     (12) If this state reenters and repossesses property under

 

subsection (11), this state is not liable to reimburse any person

 

for any improvements made on the property or to compensate any

 

person for any part of an unfulfilled contract or license issued to

 

provide goods or services on or for the property.

 

     (13) The department of technology, management, and budget may

 

require a grantee of property conveyed under this section to record

 

the sale with the appropriate register of deeds and provide the


department of technology, management, and budget with a recorded

 

copy of the recorded instrument.

 

     (14) As used in this section, "fair market value" means the

 

highest estimated price that the real property will bring if

 

offered for sale on the open market, allowing a reasonable time to

 

find a purchaser who would buy with knowledge of the property's

 

possible uses.

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