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.