SENATE BILL No. 1278

 

 

May 23, 2006, Introduced by Senator THOMAS and referred to the Committee on Transportation.

 

 

 

     A bill to create the Michigan border development and

 

protection authority; to prescribe the powers and duties of the

 

authority; to provide for certain regulations at border crossings;

 

and to provide for certain fees.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"Michigan border development and protection authority act".

 

     Sec. 2. As used in this act:

 

     (a) "Authority" means the border development and protection

 

authority created under section 3.

 

     (b) "Bond" means any bonds, notes, or other obligations.

 

     (c) "Bondholder" means a person who is the owner of a bond,

 

regardless of whether the bond is registered.

 


     (d) "Mortgage" means a mortgage or a mortgage and deed of

 

trust or the pledge and hypothecation of any assets as collateral

 

security.

 

     (e) "Port of entry" means any international port of entry in

 

Michigan at which customs services are provided by the United

 

States customs service.

 

     (f) "Project" means any land or building or any other

 

improvements acquired as a part of a port of entry or associated

 

with a port of entry or to aid commerce, and all real and personal

 

property considered necessary, whether or not now in existence,

 

that is suitable for use by 1 or more of the following:

 

     (i) A port of entry, a foreign trade zone, and other facilities

 

to be used by any agency or entity of the United States government

 

or by any other foreign international state or local public agency

 

or entity at the port of entry or foreign trade zone.

 

     (ii) An industry for the manufacturing, processing, or

 

assembling of any agricultural, mining, or manufactured product.

 

     (iii) A railroad switching yard, railroad station, bus terminal,

 

airport, or other passenger, commuter, or mass transportation

 

system or freight transportation system.

 

     (iv) A commercial business or other enterprise engaged in

 

storing, warehousing, distributing, or selling products of

 

manufacturing, agriculture, mining, or related industries, not

 

including facilities designed for the distribution to the public of

 

electricity or gas.

 

     (v) An enterprise in which all or part of the activities of

 

the enterprise involve supplying services to the general public or

 


to governmental agencies or to a specific industry or customer.

 

     (vi) Any industrial, commercial, agricultural, professional, or

 

other business enterprise seeking to occupy office space.

 

     (vii) Infrastructure development involving acquiring,

 

repairing, improving, or maintaining storm sewers and other

 

drainage improvements, sanitary sewers, sewage treatment, or water

 

utilities, including acquiring rights-of-way or water rights.

 

     (viii) Infrastructure development involving reconstructing,

 

resurfacing, maintaining, repairing, or improving existing alleys,

 

streets, roads, or bridges or laying off, opening, constructing, or

 

acquiring new alleys, streets, roads, or bridges, including

 

acquiring rights-of-way.

 

     (ix) Any industry that involves any water distribution or

 

irrigation system, including pumps, distribution lines,

 

transmission lines, fences, dams, and similar facilities and

 

equipment, including acquiring rights-of-way.

 

     (x) Fire protection services or equipment or police protection

 

services or equipment.

 

     (g) "Property" means land, improvements to the land, buildings

 

and improvements to the buildings, machinery and equipment of any

 

kind necessary to the project, operating capital, and any other

 

personal properties considered necessary in connection with the

 

project.

 

     Sec. 3. (1) The Michigan border development and protection

 

authority is created within the state transportation department.

 

     (2) The authority shall be made up of the following members:

 

     (a) The president and CEO of the Michigan economic development

 


corporation.

 

     (b) The director of the state transportation department.

 

     (c) The director of the department of environmental quality.

 

     (d) The director of the department of state police.

 

     (e) The director of the department of labor and economic

 

growth.

 

     (f) Two individuals who are residents of the state appointed

 

by the senate majority leader.

 

     (g) Two individuals who are residents of the state appointed

 

by the speaker of the house of representatives.

 

     (h) The following individuals appointed by the governor:

 

     (i) One individual representing commerce.

 

     (ii) One individual representing transportation.

 

     (iii) One individual representing border operators.

 

     (iv) Three individuals who live within 3 miles of an

 

international border crossing but not from the same area of the

 

state.

 

     Sec. 4. (1) The authority shall have and exercise all of the

 

following powers and duties:

 

     (a) Advise the governor and appropriate state agencies on

 

methods, proposals, programs, and initiatives involving the

 

Michigan-Canada border area that may further stimulate the border

 

economy and provide additional employment opportunities for

 

Michigan.

 

     (b) Create avenues of communication between Michigan and

 

Ontario and the federal government of Canada concerning economic

 

development, trade and commerce, transportation, and industrial

 


affairs in border communities.

 

     (c) Perform, or cause to be performed, environmental,

 

transportation, communication, land use, and other technical

 

studies necessary or advisable for projects or programs or to

 

secure port-of-entry approval by the United States and the Canadian

 

governments and other appropriate governmental agencies.

 

     (d) Promote legislation that will further the goals of the

 

authority and development of the border region.

 

     (e) Perform, or cause to be performed, traffic studies of

 

border communities and ensure border-related traffic is managed in

 

a way that minimizes impacts to the adjacent community.

 

     (f) Study, promote, or cause to be implemented economic

 

development projects in border crossing communities.

 

     (g) Advise the governor and appropriate state agencies

 

regarding any new port of entry into Michigan constructed or

 

financed by a political subdivision or private entity. An entity

 

proposing a new port of entry shall submit to the authority a

 

report that details the feasibility, location, economic effect, and

 

environmental impact of the proposed port of entry and any other

 

information the authority may require. A new port of entry shall

 

not be constructed without the approval of the authority.

 

     (h) Promulgate rules under the administrative procedures act

 

of 1969, 1969 PA 306, MCL 24.201 to 24.328, necessary to implement

 

and administer this act.

 

     (i) Initiate, develop, acquire, own, construct, and maintain

 

border development projects.

 

     (j) Perform environmental impact studies.

 


     (k) Enforce all applicable state and federal hazardous waste

 

transport regulations related to border crossings, regardless if

 

private or public, through the Michigan state police or the

 

appropriate agency.

 

     (l) Ensure appropriate signage on all state highways directing

 

vehicles with hazardous waste to appropriate crossings.

 

     (m) Require local governments' building inspection authorities

 

and the state fire marshal to perform as otherwise provided by law

 

annual inspections of border crossings to ensure structural safety.

 

     (n) Regulate the tolls levied at border crossings.

 

     (2) In determining whether to approve construction of the new

 

border crossing under subsection (1)(g), the authority shall

 

consider all of the following:

 

     (a) The financial resources available to the political

 

subdivision or private entity for construction of the border

 

crossing.

 

     (b) Whether the revenue to be generated by the border crossing

 

is sufficient to finance the planning, design, construction,

 

operation, and maintenance of the bridge.

 

     (c) Whether the construction of the border crossing is

 

consistent with the transportation plan adopted by the state and,

 

if appropriate, by the regional planning organization with

 

jurisdiction over the border crossing.

 

     (d) The potential effect of the border crossing on any of the

 

following:

 

     (i) The economy of the region in which the border crossing is

 

to be located.

 


     (ii) The environment of the region in which the border crossing

 

is to be located.

 

     (iii) Traffic congestion and mobility.

 

     (iv) The free flow of trade between Canada and this state.

 

     (e) Commitments from the appropriate jurisdictions of Canada

 

to provide adequate approach roadways to the bridge.

 

     (f) Compliance with all federal and state laws.

 

     (3) In determining whether to approve the construction of the

 

border crossing under subsection (1)(g), the authority shall

 

solicit the advice of all of the following:

 

     (a) The department of labor and economic growth.

 

     (b) The state police.

 

     (c) The Michigan department of environmental quality.

 

     (d) The Michigan state historical preservation office.

 

     (e) The Michigan department of transportation.

 

     (f) Any other state agency the authority determines is

 

appropriate.

 

     (g) Any local units of government affected by the proposed

 

border crossing.

 

     Sec. 5. The authority may do 1 or more of the following:

 

     (a) Solicit and accept federal, state, local, and private

 

grants of funds, property, or financial or other aid in any form

 

for the purpose of carrying out the provisions of this act.

 

     (b) Act as an applicant for and operator of port of entry

 

facilities and, as the applicant, carry out all tasks and

 

functions, including acquisition by purchase or gift of any real

 

property necessary for port of entry facilities, acquisition by

 


purchase, gift, or construction of any facilities or other real or

 

personal property necessary for a port of entry, and filing all

 

necessary documents and follow-up of the filings with appropriate

 

agencies.

 

     (c) As part of a port of entry, give or transfer real

 

property, facilities, and improvements owned by the authority to

 

the United States government.

 

     (d) Acquire by construction, purchase, gift, or lease projects

 

that are located within the state.

 

     (e) Sell, lease, or otherwise dispose of a project upon terms

 

and conditions acceptable to the authority and in the best

 

interests of the state.

 

     (f) Issue revenue bonds and borrow money for the purpose of

 

defraying the cost of acquiring a project by purchase or

 

construction and to secure the payment of the bonds or repayment of

 

a loan.

 

     (g) Refinance a project.

 

     (h) Make recommendations for improvements to safeguard the

 

public safety and welfare, mitigate traffic, and lessen

 

environmental impact.

 

     Sec. 6. (1) All border crossings will be required to apply for

 

an annual permit from the authority.

 

     (2) In order to obtain or renew a border crossing permit, a

 

border crossing will have to provide the following information

 

related to its activities, finances, and performance, including any

 

public safety incidences at the crossing, which would include all

 

of the following:

 


     (a) Audited financial statements or substantially similar

 

financial documents.

 

     (b) Inspection reports.

 

     (c) Evaluation of homeland security, hazardous waste, and

 

other safety factors at the crossing.

 

     (d) Local traffic impacts of the crossing.

 

     (e) General information on the number of vehicles crossing and

 

the value of trade moved across the border.

 

     (f) Procedures and policies initiated and applied at the

 

border crossing that ensure the public safety and welfare.

 

     (3) Any failure to obtain a permit or to renew an existing

 

permit will allow the authority to temporarily suspend operation of

 

the border crossing until such time as the permit can be renewed or

 

it can be determined that public safety can be ensured at the

 

border crossing.

 

     (4) The authority may suspend operation of any border crossing

 

if the authority determines that the operator of the border

 

crossing cannot ensure the public safety.

 

     Sec. 7. (1) The authority may levy civil and criminal

 

penalties, not to exceed $25,000.00 per day, if provisions of the

 

act are violated by any public or privately owned border crossing.

 

     (2) In case of a determination by the authority that public

 

safety is in jeopardy, the authority has the power to close the

 

border crossing in question until the threat to public safety is

 

removed.

 

     Sec. 8. Power to issue revenue bonds.

 

     Sec. 9. The authority can levy an additional fee per vehicle

 


crossing either a privately or publicly owned border crossing in

 

addition to the tolls levied by private or public border crossings

 

in order to fund the oversight required by this act.