HOUSE BILL No. 5825

 

February 27, 2008, Introduced by Rep. LaJoy and referred to the Committee on Intergovernmental, Urban and Regional Affairs.

 

     A bill to amend 1909 PA 279, entitled

 

"The home rule city act,"

 

by amending sections 9 and 9b (MCL 117.9 and 117.9b), section 9 as

 

amended by 2004 PA 137 and section 9b as added by 1982 PA 465, and

 

by adding sections 9c, 9d, and 9e.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 9. (1) In the event of a conflict between If the

 

provisions of this act and 1968 PA 191, MCL 123.1001 to 123.1020,

 

regarding an incorporation or consolidation conflict, the

 

provisions of 1968 PA 191, MCL 123.1001 to 123.1020, shall govern.

 

The district to be affected by the proposed incorporation,

 

consolidation, or change of boundaries is considered to include the

 

whole of each city, village, or township from which territory is to


 

be taken or to which territory is to be annexed. When a territory

 

is proposed to be incorporated as a city only the residents of the

 

territory to be incorporated shall vote on the question of

 

incorporation. When

 

     (2) If a petition signed by the appropriate agency designated

 

by the state administrative board which holds legal title to the

 

entire area of the land in the territory adjacent to the city to be

 

annexed, is filed with the governing body of the city and township

 

in which the territory is situated, the annexation may be

 

accomplished by the affirmative majority vote of the governing body

 

of the city and the approval of the township board of the township.

 

     (3) (2) Except as provided in subsections (1) (2) and (8) (9),

 

a petition or resolution for annexation of territory shall be filed

 

with the state boundary commission created under 1968 PA 191, MCL

 

123.1001 to 123.1020. The commission, after determining the

 

validity of the petition or resolution, shall hold a public hearing

 

in or reasonably near the area proposed for annexation. The

 

commission in processing and approving, denying, or revising a

 

petition or resolution for annexation shall have the same powers

 

and duties as provided under 1968 PA 191, MCL 123.1001 to 123.1020.

 

, relating to petitions which propose incorporations. In addition

 

to providing notice to property owners located in the area proposed

 

for annexation, the commission shall also give notice of each

 

public hearing held under this subsection to property owners

 

located within 300 feet of the area proposed for annexation by

 

certified mail not less than 30 days before the date of the public

 

hearing. Not less than 45 days before the date of the public


 

hearing, the local unit of government capable of producing the

 

information required under this section shall provide the state

 

boundary commission with a list of the names and addresses of all

 

persons the commission is required to provide notice to under this

 

subsection. The commission is required to provide notice only to

 

the property owners included on the list provided by the local unit

 

of government as required under this section. Except as otherwise

 

provided in subsection (8), a commission order concerning the

 

annexation of territory in which 100 or fewer persons resided on

 

the date the petition or resolution for annexation was filed is

 

subject to the provisions of section 9c.

 

     (4) (3) If an annexation is denied by the commission, the

 

commission shall send a certified copy of its order to the clerk of

 

each county, city, village, and township affected.

 

     (4) If an annexation is approved, and if on the date the

 

petition or resolution was filed 100 persons or less resided in the

 

area approved for annexation, the commission's order shall not be

 

subject to a referendum. The commission shall send a certified copy

 

of its order to the clerk of each county, city, village, and

 

township affected and to the secretary of state. The annexation

 

shall be effective on a date set forth in the commission's order.

 

     (5) If an annexation is approved, and if on the date the

 

petition or resolution was filed more than 100 persons resided in

 

the area approved for annexation, the commission shall send a

 

certified copy of its order to the clerk of each county, city,

 

village, and township affected and to the secretary of state. The

 

Except as otherwise provided in subsection (10), the commission's


 

order shall become final 30 days after the date of the order unless

 

within that 30 days a petition is filed with the commission which

 

that contains the signatures of at least 25% of the registered

 

electors residing in the portion of the territory approved for

 

annexation, in the annexing city or in the balance of the township.

 

The commission after After verifying the validity of any referendum

 

petition, the commission shall order that a referendum on the

 

question of annexation be held in each area from which a valid

 

petition was filed. If a valid petition is not filed within the 30

 

days or if the majority of the electorate voting on the question in

 

each area in which a referendum was held, voting separately,

 

approve the annexation, except as otherwise provided in subsection

 

(10), the annexation shall be effective on a date set by order of

 

the commission, otherwise the annexation shall not take effect.

 

     (6) The commission shall reject process petitions or

 

resolutions for annexation as follows:

 

     (a) Reject a petition or resolution for annexation of

 

territory that includes all or any part of the territory which that

 

was described in any petition or resolution for annexation filed

 

within the preceding 2 years and which that was denied by the

 

commission or was defeated in an election under subsection (5) or

 

(10) or section 9c.

 

     (b) If a notice of intent to petition the commission for

 

annexation has been provided by a city, a property owner, or

 

qualified electors under section 9c(2), finally dispose of an

 

annexation petition of the city, property owner, or qualified

 

electors that has been so noticed before processing any other


 

petitions that deal with all or any part of the same territory.

 

     (7) In addition to the methods for initiating annexation as

 

provided in this act, a petition or resolution as follows may be

 

submitted to the state boundary commission in a form and manner

 

prescribed by the state boundary commission as follows:

 

     (a) By resolution of the legislative body of the city to which

 

the area is proposed to be annexed.

 

     (b) By petition by the persons, firms, corporations, the

 

United States government, or the this state or any of its

 

subdivisions political subdivision of this state who collectively

 

hold equitable title as a vendee under a recorded land contract or

 

memorandum of land contract, or record title as recorded fee owner

 

to 75% or more of the area of the land, exclusive of streets, in

 

the territory proposed for annexation at the time of filing the

 

petition is filed.

 

     (c) By petition by 20% of the registered electors who reside

 

in the area proposed for annexation.

 

     (8) Where the territory proposed to be annexed to any city is

 

adjacent to the city and consists of a park or vacant property

 

located in a township and owned by the city annexing the territory,

 

and there is no one residing in the territory, the territory may be

 

annexed to the city solely by resolution of the city council of the

 

city. In any case where Notwithstanding the provisions of section

 

9c, if the territory proposed to be annexed to a city is located in

 

a township, has no residents, and is adjacent to and owned by the

 

city proposing to annex the territory, the territory may be annexed

 

under 1 of the following methods:


 

     (a) If a resolution to annex the territory is adopted by the

 

city council before the effective date of the amendatory act that

 

added section 9c, and the territory consists of park or vacant

 

property, the territory may be annexed solely by that resolution of

 

the city council.

 

     (b) If a resolution to annex the territory is adopted by the

 

city council on or after the effective date of the amendatory act

 

that added section 9c, and the territory will be used for a public

 

purpose for a period that begins with the adoption of the

 

resolution and lasts not less than 8 years, the territory is

 

annexed by that resolution of the city council. For the purpose of

 

this subdivision, territory is used for a public purpose if it is

 

exempt from the collection of taxes under the general property tax

 

act, 1893 PA 206, MCL 211.1 to 211.155. The township from which

 

property is annexed under this subdivision may file a petition with

 

the commission at any time within the 8-year period beginning with

 

the adoption of the resolution, alleging that the property annexed

 

is not being used for a public purpose. If the commission finds

 

after a hearing on the petition that the property is not being used

 

for a public purpose, the commission shall issue and enter in its

 

records an order that the property be reattached to the township

 

from which it was annexed.

 

     (c) By the affirmative majority votes of both the city council

 

and the township board.

 

     (9) If the territory proposed to be annexed is adjacent to the

 

a city and consists of property owned by the city or consists of

 

fractional parts of platted subdivision lots, located in an


 

adjoining city, village, or township, the annexation may also be

 

accomplished by the majority vote of the legislative body of the

 

city and the approval of the legislative body of the adjoining

 

city, village, or township. As an alternate method, where if there

 

are no qualified electors residing in the territory proposed to be

 

annexed to the city , other than the person or persons petitioning,

 

a petition signed by a person or persons, firms, corporations, the

 

United States government, or the this state or any of its

 

subdivisions political subdivision of this state who collectively

 

hold the equitable title as a vendee under a recorded land contract

 

or memorandum of land contract, or record legal title as recorded

 

fee owner to more than 1/2 of the area of the land in the territory

 

to be annexed is filed with the city council of the city and with

 

the township board of the township in which the territory is

 

situated, the annexation may be accomplished by the affirmative

 

majority vote of the city council of the city and the approval of

 

the township board of the township. At least 10 days prior to the

 

approval by the township board, the township treasurer shall

 

notify, personally or by registered mail with return receipt

 

demanded requested, the owners of all real property in the

 

territory to be annexed as shown on the assessment rolls of the

 

township at the last known address on file with the township

 

treasurer.

 

     (10) Except as otherwise provided in subsection (9), this

 

section shall not be construed to give any city the authority a

 

city shall not proceed under this section to attach territory from

 

any other city unless the question relative to the territory of the


 

annexation has been voted upon approved by the voters of the entire

 

cities affected. where the territory proposed to be annexed is

 

adjacent to a city and consists of property owned by the city or

 

consists of fractional parts of platted subdivision lots, located

 

in an adjoining city.

 

     (11) (9) The provisions of section 14 shall are not be

 

applicable to an annexation approved by the commission under this

 

section of part of a township or village to a city except in the

 

event of outstanding bonds or other evidences of indebtedness of

 

the township or village. In such that event, the state boundary

 

commission shall determine and order an equitable division of

 

assets and liabilities which that relate to the bonds or other

 

indebtedness.

 

     (12) (10) The provisions of sections 8 and 8a shall are not be

 

applicable to petitions or resolutions filed with the state

 

boundary commission.

 

     (13) (11) After March 31, 1971, and so long as 1968 PA 191,

 

MCL 123.1001 to 123.1020, is in effect, annexation Annexation of

 

territory from a village, or of territory with more than 100

 

residents from a township, or village to a home rule city shall be

 

as provided in this section and no other means of annexation shall

 

be is effective.

 

     (14) Territory may be annexed to a city from a township only

 

if the territory to be annexed does not contain any real property

 

owned by the township, except for utilities and other facilities

 

that are located within a public right-of-way.

 

     (15) The incorporation as a city by a village is not an


 

annexation under this act.

 

     (16) (12) The state boundary commission shall mail a copy of

 

any final order issued under this section to each property owner

 

the commission is required to provide notice to under subsection

 

(2) (3).

 

     Sec. 9b. (1) In addition to the detachment procedures

 

otherwise authorized by this act, territory Territory may be

 

detached from a city to another city or village only if all of the

 

following conditions are met:

 

     (a) The territory to be detached was annexed to the city after

 

the city was incorporated.

 

     (b) The territory to be detached is to be reattached to the

 

municipality from which that territory was annexed.

 

     (c) The city does not provide water or sewer service in the

 

territory to be detached.

 

     (d) The council of the city from which the territory is being

 

detached approves a resolution authorizing the detachment of the

 

territory and confirming an agreement relating to the detachment.

 

     (e) The legislative body of the municipality from which the

 

territory to be detached was annexed approves a resolution

 

authorizing detachment of the territory and confirming an agreement

 

related to the detachment.

 

     (2) The city and municipality involved in a detachment under

 

this section subsection (1) may enter into an intergovernmental

 

agreement which that imposes conditions on the detachment. The

 

conditions may include, but need not be limited to, building

 

restrictions and zoning within the territory to be detached.


 

     (3) Territory detached under this section subsection (1) is

 

immediately reannexed to the detaching city if any of the following

 

occurs:

 

     (a) The city can and agrees to provide water and sewer

 

services, the city certifies these facts to the state boundary

 

commission, and the state boundary commission finds that the city

 

can provide water and sewer services to this territory.

 

     (b) The municipality to which the territory was reattached

 

fails to comply with the intergovernmental agreement, the city

 

certifies that fact to the state boundary commission, and the state

 

boundary commission finds that the municipality is not in

 

compliance.

 

     (4) Reannexation pursuant to subsection (3) shall is not be

 

subject to the annexation requirements and restrictions of this act

 

; Act No. 191 of the Public Acts of 1968, being sections 123.1001

 

to 123.1020 of the Michigan Compiled Laws; or Act No. 359 of the

 

Public Acts of 1947, being sections 42.1 to 42.34 of the Michigan

 

Compiled Laws or any of the following:

 

     (a) 1968 PA 191, MCL 123.1001 to 123.1020.

 

     (b) The charter township act, 1947 PA 359, MCL 42.1 to 42.34.

 

     (5) All or part of territory detached under this section

 

subsection (1) shall not be subject to annexation.

 

     Sec. 9c. (1) The annexation of any territory with 100 or fewer

 

residents to a city from a township for which a petition is filed

 

with the commission on or after the effective date of the

 

amendatory act that added this section is subject to the procedures

 

and conditions set forth in this section, except as provided in


 

section 9d.

 

     (2) A city, property owner, or registered electors that intend

 

to petition the state boundary commission for annexation of

 

territory with 100 or fewer residents to a city from a township

 

shall provide written notice of that intent by certified mail,

 

return receipt requested, to the clerk of any city or township that

 

is affected by the proposal and to the state boundary commission.

 

     (3) The city and township may negotiate an agreement

 

concerning the annexation of the territory that includes, but is

 

not limited to, an agreement not to contest the annexation petition

 

before the commission, the sharing of tax revenues, the future land

 

use of the territory, and any other factors or terms that may be

 

considered or provided for in a contract negotiated under 1984 PA

 

425, MCL 124.21 to 124.30, or an interlocal agreement negotiated

 

under the urban cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL

 

124.501 to 124.512.

 

     (4) Forty-five days after receipt of the notice under

 

subsection (2), if no agreement has been reached under subsection

 

(3) between the city and the township concerning the proposed

 

annexation, a petition for annexation of territory may be filed

 

with the state boundary commission. On the same day that the

 

petition is filed, the petitioner shall send a copy of the petition

 

by certified mail, return receipt requested, to the clerks of both

 

the city and the township in which the territory is located.

 

     (5) If no agreement is reached within 45 days after receipt of

 

the notice under subsection (2), the city or the township may file

 

a claim not later than 10 days after the expiration of that period


 

in the circuit court asserting that the other party did not

 

participate in negotiations in good faith. If the court finds that

 

the city or township did not participate in negotiations in good

 

faith, it may provide appropriate equitable relief, including, but

 

not limited to, prohibiting the annexation for a period of not more

 

than 2 years or prohibiting the referendum provided for in

 

subsection (6).

 

     (6) If, within 30 days after receipt by the clerk of the

 

township of the petition for annexation, a petition for a

 

referendum on the question of annexation is filed with the county

 

election commission that contains the signatures of at least 25% of

 

the registered electors in the affected township, based on the most

 

recent certification of the number of registered electors made by

 

the township clerk to the county clerk, the county election

 

commission shall certify that the referendum petition meets the

 

requirements for petitions under the Michigan election law, 1954 PA

 

116, MCL 168.1 to 168.992, and call a special election for the

 

referendum to be held in the township within which the territory

 

proposed for annexation is located. If a township referendum

 

petition is certified, the governing body of the city may also

 

schedule a referendum on the annexation to be held in the city on

 

the same day as the township referendum. Up to 30 days after the

 

referendum petition is filed, the governing body of the city or

 

township may adopt a resolution to delay the scheduling of the

 

referendum to allow time for the city and township to continue

 

negotiations concerning the annexation. Upon adoption of a

 

resolution by the governing body of the city or township, the


 

scheduling of the referendum shall be delayed until 90 days after

 

the date on which the referendum petition is certified. The county

 

election commission shall not meet to schedule the referendum until

 

30 days after the petition is filed. The special election shall be

 

held not less than 60 days or more than 90 days after the county

 

election commission meets to schedule the election under this

 

subsection, unless a primary or regular election, or a special

 

election called for another purpose, occurs not less than 60 days

 

or more than 90 days after the referendum petition is filed. In

 

that event, the referendum shall be submitted at that primary,

 

regular, or special election and an additional special election

 

shall not be called.

 

     (7) If a petition containing sufficient valid signatures for a

 

referendum on the question of annexation is not filed with the

 

county election commission under subsection (6), the state boundary

 

commission shall proceed to process the annexation petition under

 

section 9.

 

     (8) If an agreement under subsection (3) is reached 30 days

 

before the date of an election scheduled under subsection (6), the

 

referendum shall not be held. If no agreement is reached, the

 

referendum shall be held as ordered by the county election

 

commission. The annexation shall be allowed to occur only if a

 

majority of the electors voting on the issue in the township within

 

which the territory proposed for annexation is located, and in the

 

city if it holds an election under subsection (6), counted

 

separately, vote for the annexation.

 

     (9) If a majority of the electors voting on the issue in the


 

township within which the territory proposed for annexation is

 

located, and in the city if it holds an election under subsection

 

(6), vote for the annexation, and the commission approves the

 

annexation under section 9(3), the commission shall send a

 

certified copy of its order to the clerk of each county, city, and

 

township affected and to the secretary of state. The annexation

 

shall be effective on a date set forth in the commission's order.

 

     (10) As used in this section, "commission" means the state

 

boundary commission established under 1968 PA 191, MCL 123.1001 to

 

123.1020.

 

     Sec. 9d. If the governing bodies of a city and township

 

approve by resolution an agreement to annex, or not to contest the

 

annexation of, territory in the township with 100 or fewer

 

residents before a petition for annexation is filed with the

 

commission, the provisions of section 9c do not apply and a

 

petition for annexation may be filed at any time. If the territory

 

meets the requirements of section 9(9), the annexation may proceed

 

under section 9(9).

 

     Sec. 9e. Notwithstanding any other provisions of this act,

 

territory may be detached from a city to a township only if all of

 

the following conditions are met:

 

     (a) The territory to be detached does not contain any real

 

property owned by the city, except for utilities and other

 

facilities that are located within a public right-of-way.

 

     (b) The territory to be detached was not annexed within the

 

previous 2 years, calculated from the date that the most recent

 

annexation of that territory, if any, was completed.


 

     (c) The detachment is approved by a majority vote of the

 

qualified electors residing in each of the following, counted

 

separately:

 

     (i) The territory proposed to be detached from the city.

 

     (ii) The remaining portion of the city.

 

     (iii) The township to which the territory will be attached.

 

     Enacting section 1. This amendatory act does not take effect

 

unless all of the following bills of the 94th Legislature are

 

enacted into law:

 

     (a) Senate Bill No.____ or House Bill No. 5823(request no.

 

06118'07).

 

     (b) Senate Bill No.____ or House Bill No. 5822(request no.

 

06119'07).

 

     (c) Senate Bill No.____ or House Bill No. 5821(request no.

 

06120'07).

 

     (d) Senate Bill No.____ or House Bill No. 5824(request no.

 

06121'07).

 

     (e) Senate Bill No.____ or House Bill No. 5779(request no.

 

H06190'07*).