MUNICIPAL COURT JURISDICTION - H.B. 5268 (H-1): FLOOR ANALYSIS

House Bill 5268 (Substitute H-1 as reported without amendment)

Sponsor: Representative William Callahan

House Committee: Judiciary

Senate Committee: Judiciary

CONTENT

The bill would amend the Michigan Uniform Municipal Court Act to allow a city to increase the jurisdictional amount for a municipal court located in that city. Currently, municipal courts have jurisdiction in civil actions in which the amount in controversy does not exceed $1,500. Under the bill, this amount would apply unless the city in which a municipal court was located increased the court's jurisdictional amount to $3,000 by resolution of the city's legislative body.

The Act also allows a municipal court to provide for a conciliation division in which civil actions may be settled informally, if the debt or damages claimed do not exceed $100. Under the bill, this amount would apply unless the city in which a municipal court was located increased the amount to $600 by resolution of the city's legislative body.

In either case, the resolution would have to be submitted to the State Court Administrative Office (SCAO), and the increase would take effect January 1 in the year immediately following the year in which the SCAO received the resolution.

MCL 730.522 & 730.530 - Legislative Analyst: P. Affholter

FISCAL IMPACT

The bill would have no fiscal impact on State government. The bill would increase costs to municipal courts but result in overall administrative savings due to the reduced time of proceedings in circuit court. There are five municipal courts in Michigan (Eastpointe, Grosse Pointe, Grosse Pointe Farms, Grosse Pointe Park, and Grosse Pointe Shores and Woods).

Date Completed: 9-17-98 - Fiscal Analyst: B. BowermanFLOOR\HB5268 - Analysis available @ http://www.michiganlegislature.org

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.