SENATE BILL No. 1160

 

 

May 31, 2012, Introduced by Senators CASPERSON, GREEN and BOOHER and referred to the Committee on Banking and Financial Institutions.

 

 

 

     A bill to provide for restitution for victims of certain

 

mortgage-related crimes; to provide funding for foreclosure-related

 

services, blight elimination, certain programs of the Michigan

 

state housing development authority, educational improvements, and

 

assistance to homeless children and certain veterans; and to

 

provide for the powers and duties of certain state governmental

 

officers and entities.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. As used in this act:

 

     (a) "Achievement authority" means the education achievement

 

authority, the public body corporate and special authority

 

initially created under section 5 of article III and section 28 of

 

article VII of the state constitution of 1963 and the urban

 


cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to

 

124.512, by an interlocal agreement effective August 11, 2011,

 

between the school district of the city of Detroit and the board of

 

regents of eastern Michigan university, a state public university.

 

     (b) "Claim" means a request for restitution that meets all of

 

the following requirements:

 

     (i) Is on a form as prescribed by the attorney general.

 

     (ii) Specifies and provides evidence supporting the amount of

 

restitution sought and the basis for the request.

 

     (c) "Fund" means the homeowner protection fund created in

 

section 2.

 

     (d) "Qualifying crime" means a criminal offense resulting in a

 

conviction for conduct involving the exchange of money or services

 

for promised assistance with obtaining, servicing, modifying,

 

refinancing, negotiating, or stopping foreclosure of a mortgage on

 

a primary residence or with redeeming a mortgaged primary residence

 

after foreclosure.

 

     (e) "Qualifying victim" means a resident of this state to whom

 

1 of the following applies:

 

     (i) The resident was awarded restitution by a court in a

 

prosecution for a qualifying crime, but the defendant is unable to

 

pay the full amount of restitution.

 

     (ii) The resident is a victim of a qualifying crime and can

 

provide evidence of the amount of loss but was not awarded

 

restitution in court.

 

     Sec. 2. (1) The homeowner protection fund is created in the

 

state treasury. The state treasurer, in consultation with the

 


department of attorney general, shall be the administrator of the

 

fund for auditing purposes. 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. The state

 

treasurer shall credit to the fund interest and earnings from fund

 

investments. Money in the fund at the close of the fiscal year

 

shall remain in the fund and shall not lapse to the general fund.

 

     (2) The department of treasury may expend money from the fund,

 

upon appropriation, for 1 or more of the following purposes:

 

     (a) Payments to qualifying victims pursuant to section 3.

 

     (b) Programs approved by the attorney general to assist

 

homeless children.

 

     (3) The department of attorney general may expend money from

 

the fund, upon appropriation, for operational and enforcement

 

purposes.

 

     (4) The Michigan state housing development authority may

 

expend money from the fund, upon appropriation, for any of the

 

following:

 

     (a) Foreclosure counseling approved by the attorney general

 

and foreclosure-related legal aid services approved by the attorney

 

general.

 

     (b) Blight elimination.

 

     (c) The purposes of sections 58a to 58d of the state housing

 

and development authority act of 1966, 1966 PA 346, MCL 125.1458a

 

to 125.1458d.

 

     (5) The department of education may expend money from the

 

fund, upon appropriation, for any of the following:

 


     (a) Technology improvements for or renovation, rehabilitation,

 

or equipping of a building or facility in which an instructional

 

program is being operated, maintained, authorized, established, or

 

overseen by the achievement authority.

 

     (b) Programs approved by the attorney general to assist

 

homeless children.

 

     (6) The department of military and veterans affairs may expend

 

money from the fund, upon appropriation, for programs to assist

 

military service members who have been affected by the foreclosure

 

crisis.

 

     Sec. 3. (1) To obtain restitution under this act for a

 

qualifying crime, a qualifying victim shall submit a claim to the

 

attorney general.

 

     (2) After receiving a claim under subsection (1), the attorney

 

general may direct the state treasurer in writing to pay to the

 

qualifying victim money from the fund in an amount determined by

 

the attorney general under subsection (3).

 

     (3) A payment under subsection (2) to a qualifying victim

 

shall not exceed the lesser of $3,000.00 and the following:

 

     (a) For a qualifying victim described in section 1(e)(i), the

 

amount of restitution awarded by the court that the defendant is

 

unable to pay.

 

     (b) For a qualifying victim described in section 1(e)(ii), the

 

amount of loss from a qualifying crime as supported by evidence

 

provided with the claim.

 

     (4) The determination of whether to direct the payment of a

 

claim and of the amount to be paid, subject to the limitations of

 


subsection (3), is in the sole discretion of the attorney general.

 

The determination is not judicial or quasi-judicial in nature, does

 

not create or affect a private right or license, and is not subject

 

to or reviewable under the revised judicature act of 1961, 1961 PA

 

236, MCL 600.101 to 600.9947, the administrative procedures act of

 

1969, 1969 PA 306, MCL 24.201 to 24.328, or any other law.