HOUSE BILL NO. 6380

November 12, 2020, Introduced by Reps. Coleman, Meerman and Steven Johnson and referred to the Committee on Government Operations.

A bill to amend 1939 PA 342, entitled

"County public improvement act of 1939,"

by amending section 5b (MCL 46.175b).

the people of the state of michigan enact:

Sec. 5b. (1) A unit of government desiring to enter into a contract under the provisions of section 5a shall authorize, by resolution of its governing body, the execution of the contract. Subsequent to the adoption of Before January 1, 2022, after adopting the resolution, a notice thereof shall of adopting the resolution must be published in a newspaper of general publication in the unit of government. which Beginning January 1, 2022, after adopting the resolution, public notice of adopting the resolution must be posted as set forth in the local government public notice act. The notice shall must state all of the following:

(a) That the governing body has adopted a resolution authorizing execution of the contract.

(b) The purpose thereof.of the contract.

(c) The source of payment of the unit of government is government's contractual obligation.

(d) The right of referendum thereon.on the contract.

(e) Such Any other information as the governing body shall determine determines to be necessary to adequately inform all interested persons of the nature of the obligation.

(2) The contract may be executed and delivered by the unit of government upon approval by its governing body without a vote of the electors thereon, on the contract, but the contract shall does not become effective until the expiration of 45 days after the date of publication or posting of such the notice. If within the 45-day period a petition signed by at least 10% or 15,000, whichever is the lesser, less, of the registered electors residing within the limits of the unit of government is filed with the clerk thereof of the unit of government requesting a referendum upon the contract, the same shall contract does not become effective until approved by the vote of a majority of the electors of the unit of government qualified to vote and voting thereon on the contract at a general or special election. Where If a unit of government has, prior to the effective date of this 1974 amendment, before March 19, 1974, published a resolution authorizing the execution of a contract hereunder in substantial compliance with this section, as amended, and the referendum period formerly provided by this section has expired, but the bonds have not been issued, the resolution and the publication thereof of the resolution are hereby validated and, if no petition for a referendum on execution of the contract has been or is signed and filed within the time period formerly provided by this section, the contract may be executed and shall thereupon become becomes effective without submitting the proposition for approval thereof to the electors, or if a petition has been or is so signed and filed, the contract may be executed and thereupon become effective if approved at an election as above provided . When in this subsection. If any such contract is to be entered into by any township only on behalf of the unincorporated area of the township, only the registered electors residing within the unincorporated area of the township shall be are qualified to sign the petition and vote at the election.

(3) (2) Any special election called for such purpose shall must not be included in any statutory or charter limitation as to the number of special elections to be called within any period of time. Signatures on any such petition shall must be verified by some person under oath , as the actual signatures of the persons individuals whose names are signed thereto, on the petition, and the clerk of the unit of government shall have has the same power to reject signatures as city clerks under the provisions of section 25 of Act No. 279 of the Public Acts of 1909, as amended, being section 117.25 of the Michigan Compiled Laws. the home rule city act, 1909 PA 279, MCL 117.25. The number of registered electors in any unit of government shall must be determined by the unit of government registration books.

(4) (3) Where If a contracting unit of government has outstanding any revenue bonds issued under the provisions of Act. No. 94 of the Public Acts of 1933, as amended, being sections 141.101 to 141.139 of the Michigan Compiled Laws, revenue bond act of 1933, 1933 PA 94, MCL 141.101 to 141.140, for the type of improvements or facilities to be constructed pursuant to under this act and the contract, such the contract may provide for the refunding of the outstanding bonds and the inclusion , in the total financing required for the construction of the improvements or facilities contemplated by this act of an amount sufficient to provide for the refunding, including such the call premiums as may be required in the ordinance authorizing their issuance. Nothing herein contained shall be construed as authorizing This section does not authorize the refunding of noncallable unmatured bonds without the consent of the holder or holders thereof. Where of those bonds. If the refunding is provided for by the contract, any bonds issued pursuant to under section 5c may be issued and sold in a sufficient amount to provide additional funds over and above acquisition and construction costs of the new improvements or facilities to enable the contracting unit of government to retire the outstanding revenue bonds.

Enacting section 1. This amendatory act does not take effect unless Senate Bill No.____ or House Bill No. 6440 (request no. 02449'19) of the 100th Legislature is enacted into law.