HOUSE BILL NO. 4904

May 25, 2021, Introduced by Reps. Glenn, Hauck, O'Neal, Outman, Wozniak, Eisen, Wentworth, Rendon, Beson, Martin, Mueller and Whitsett and referred to the Committee on Appropriations.

A bill to amend 1994 PA 451, entitled

"Natural resources and environmental protection act,"

(MCL 324.101 to 324.90106) by adding sections 31528a, 31528b, and 31528c.

the people of the state of michigan enact:

Sec. 31528a. (1) The dam risk reduction revolving loan fund is created within the state treasury. The state treasurer may receive money or other assets from any source for deposit into the revolving loan fund. The state treasurer shall direct the investment of the revolving loan fund and credit to the revolving loan fund interest and earnings from revolving loan fund investments. Money in the revolving loan fund at the end of the fiscal year remains in the revolving loan fund and does not lapse to the general fund. The department is the administrator of the revolving loan fund for auditing purposes.

(2) Upon appropriation, the department shall expend money from the revolving loan fund to provide loans to owners for projects that address dam infrastructure and risk reduction.

(3) As used in this section, "revolving loan fund" means the dam risk reduction revolving loan fund created under subsection (1).

Sec. 31528b. (1) The emergency dam safety action fund is created within the state treasury. The state treasurer may receive money or other assets from any source for deposit into the fund. The state treasurer shall direct the investment of the fund and credit to the fund interest and earnings from fund investments. Money in the fund at the end of the fiscal year remains in the fund and does not lapse to the general fund. The department is the administrator of the fund for auditing purposes.

(2) Upon appropriation, the department shall expend money from the fund for either of the following purposes:

(a) To take remedial or corrective actions that remove or reduce significant safety risks posed by dams when an owner is unable or unwilling to take remedial or corrective action. The department and the department of attorney general may recover costs expended from the fund under this subsection from an owner.

(b) To administer the emergency dam safety grant program created under section 31528c.

(3) As used in this section and section 31528c, "fund" means the emergency dam safety action fund created under subsection (1).

Sec. 31528c. (1) The department shall establish an emergency dam safety grant program as provided in this section.

(2) The program must provide grants to owners to complete any of the following projects:

(a) Repair or alteration of a dam.

(b) Reconstruction of a failed dam.

(c) Removal of a dam.

(3) An owner shall apply to the program on an application and in a manner prescribed by the department. To be eligible to receive a grant from the program, the owner must be able to contribute matching funds of at least 25%.

(4) By December 31 of each year, the department shall prepare a report that contains all of the following information:

(a) The fund's starting and ending balances for the preceding fiscal year.

(b) A list of each dam in this state that required emergency action from the fund including, but not limited to, all of the following information for each dam:

(i) Location.

(ii) The name of the owner.

(iii) A description of the action or actions taken.

(iv) The total expenditures.

(v) A summary of the enforcement actions taken and the status of fund recovery.

(c) A summary of the total expenditures from the fund made in the previous fiscal year.

(d) Department recommendations for appropriations that reflect anticipated fund needs.

(5) The department shall post a copy of a report prepared under subsection (4) on the department's website and provide copies to all of the following:

(a) The relevant house of representatives and senate appropriations subcommittees.

(b) The relevant house of representatives and senate standing committees.

(c) The budget director.

(6) As used in this section, "program" means the emergency dam safety grant program created under subsection (1).

Enacting section 1. This amendatory act does not take effect unless Senate Bill No.____ or House Bill No. 4906 (request no. 02749'21) of the 101st Legislature is enacted into law.