State of Michigan

 

JENNIFER M. GRANHOLM

governor

DEPARTMENT OF NATURAL RESOURCES

Lansing

K. L. COOL

director

 


 

                                                                March 18, 2003

 

 

1.  Bill Number and Sponsor:

 

     Senate Bill No. 150

     Senator Allen, et al

 

2.  Purpose:

 

The purpose of Senate Bill No. 150 is to amend PA 541 by amending sections 78106, 78108, 78110, 78115, and 79112; sections 78106, 78108, 79112, as added by 1995 PA 58 and section 78110, as amended; and section 78115, as added by 1998 PA 210.

 

In general, by amending the subject sections, colleges and universities would be allowed to participate in contracts, grants and lease agreements as they relate to State waterways.

 

3.  How Does This Legislation Impact Current Programs in the Department?

 

     The proposed legislation impacts current programs as follows:

 

a)  Proposed amendments will allow competition of State waterway funds for construction, operation and maintenance of current recreational boating facilities.

b)  Proposed amendments will allow competition with local units of government for harbors and boating access sites grant funds used for acquisition or development.

 

4.  Introduced at Agency Request?

 

     No.

 

5.  Agency Support?

 

Yes, if amended by including language in section 78115 (3) that assures that college and university eligibility requires the same public use and access conditions that local governments currently must provide.  This will continue to emphasize that the Waterway Funds and Grants are designed to benefit the public, recreational boater.

 

This amendment was added in Senate Natural Resources and Environmental Affairs Committee on March 12, 2003.

 

6.  Arguments Against the Bill:

 

These funds are derived from public boat owners and users and they should only be expended for facilities open to the general public.  It allows colleges and universities to compete for already minimal funds available to maintain and operate State harbors and boating access sites and also to compete against local units of government for funds used to acquire or develop harbors or boating access sites.

 

A college or university already may enter into a cooperative agreement with a local unit of government to participate to own or manage a harbor or boating access site.  It is uncertain whether colleges or universities have authority to adopt ordinances and enforce Marine Safety Rules.  Grants can only be given for development if the site is owned by the college or university.  It is uncertain whether existing Administrative Rules or grant agreements can be enforced on sites owned by universities.

 

7.  Arguments For the Bill:

 

     None.

 

8.  State Revenue/Budgetary Implications:

 

a)  The proposed amendments will limit funds available to maintain and repair current harbors and boating access sites.

b)  The proposed amendments will compete directly with local units of government for grant funds to acquire or develop harbors or boating access sites.

c)  The proposed amendments would conflict with DMB Act 284 that promotes competition and preference to contracting services with private companies if the services exist in the private sector.

 

9.  Implications to Local Units of Government:

 

The proposed amendments will compete directly with limited funds available for local units of government to maintain or operate current harbors or boating access sites.

 

10. Administrative Rules Implications:

 

It is not certain whether the DNR could impose Administrative Rules on the college or university if they owned the land.  This ultimately would affect their ability to receive a grant to develop a harbor or boating access site.

 

Similarly, it is not certain if different laws govern college or university-owned land and, therefore, the DNR may not be able to grant funds for acquisition of lands if they cannot impose standard boating rules and regulations to make the facility open to public boaters.

 

11. Other Pertinent Information:

 

      None.

 

12. User Groups/Customers That Support This Legislation:

 

Possibly Grand Valley State University would consider support of this proposed legislation to allow development of a boating access site for their research vessel.  No land ownership is known.

 

 

 

 

 

                                                            K. L. COOL

                                                            DIRECTOR

                                                            MICHIGAN DEPARTMENT OF NATURAL RESOURCES    

 

 

GCACS/PRB