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Bill

HB 5913

Property: conveyance of state property; transfer of certain state-owned property in Eaton County; provide for. Creates land transfer act.

2023-2024 Regular Session Introduced by Angela Witwer

The bill lets the state convey a 0.29-acre Eaton County parcel to MPEC to resolve a minor encroachment, for fair market value with proceeds going to the general fund.

REFERRED TO COMMITTEE ON GOVERNMENT OPERATIONS
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Bill Summary · HB 5913

HB 5913 — Summary (Property conveyance: Eaton County)

Status and procedural history
- Introduced by Rep. Angela Witwer (House Bill No. 5913), first introduced 9/11/2024.
- Passed by the Michigan House with immediate effect on 12/13/2024 (Roll Call #513: Yeas 56, Nays 0).
- Referred to Committee on Government Operations (12/18/2024) and subsequently to the Joint Committee on Environment (1/22/2025).
- Current legislative status: pending committee review.

Purpose
- Authorizes the State Administrative Board to convey a small parcel of state-owned land in Windsor Township, Eaton County (0.29 acres, more or less) to the Michigan Police Equipment Company (MPEC) to resolve a slight encroachment by MPEC buildings onto state land that DTMB has declared surplus.

Key provisions
- Property described: a 0.29-acre parcel in the SE 1/4 of the NW 1/4 of Section 9, T3N R3W, Windsor Township, Eaton County (legal description included in the bill). The description may be adjusted if needed after survey/legal review.
- Conveyance authority and timing: State Administrative Board may convey the property on behalf of the state not later than 2 years after the act’s effective date.
- Price and appraisal: Sale must be for not less than fair market value (based on highest and best use) as determined by an independent fee appraisal commissioned by the Department of Technology, Management, and Budget (DTMB), plus the state’s reasonable and demonstrable costs to implement the conveyance.
- Form of conveyance: By quitclaim deed prepared or approved as to legal form by the Attorney General.
- Property included: All surplus, salvage, scrap property and permanent improvements on the property as of conveyance date transfer with the parcel.
- Mineral rights: The state will not reserve oil, gas, or mineral rights, but the conveyance must require that if MPEC (or successor) develops those resources, the state receives 1/2 of the gross revenue; payments deposited to the general fund.
- Aboriginal antiquities: The state reserves rights to all aboriginal antiquities (mounds, burial sites, earthworks, relics) on or under the property and may enter to explore or excavate them.
- Revenue disposition: Net proceeds from the sale (sale proceeds less DTMB’s reimbursable costs, including surveying, appraising, research, closing, environmental remediation, legal fees, and litigation costs) must be deposited into the state general fund.

Who is affected
- Michigan Police Equipment Company: prospective purchaser and beneficiary of the encroachment resolution.
- Department of Technology, Management, and Budget: disposing agency responsible for appraisal and transaction implementation.
- State Administrative Board and Attorney General: must approve and finalize the conveyance.
- State general fund: will receive net proceeds of the sale and any mineral-development revenue share.

Fiscal impact
- No appraisal or market estimate provided; any revenue depends on market value at sale.
- The state is expected to realize negligible savings from avoided maintenance/upkeep/security costs after conveyance. Net revenue (if any) flows to the general fund.

Other notes
- House Fiscal Agency analysis notes the bill is intended to remove a minor encroachment and that DTMB has declared the parcel surplus. The bill’s protections for aboriginal antiquities and the state’s share of potential mineral revenue are explicit safeguards.

Compiled from official sources — confirm details with the bill’s official record.

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