H.B. 5079: COMMITTEE SUMMARY - NEW BUFFALO CONVEYANCE

House Bill 5079 (as passed by the House)

Sponsor: Representative Ron Jelinek

House Committee: Regulatory Affairs

Senate Committee: Local, Urban and State Affairs


Date Completed: 10-29-97


CONTENT


The bill would permit the Department of Natural Resources (DNR) to convey for $1 to the City of New Buffalo property located in New Buffalo Township, in Berrien County. The property would have to used exclusively for public harbor purposes and would have to be open to all State residents.


Under the bill, the property would be conveyed subject to existing easements for public roads, public highways, public utilities, railroads, pipelines, and other utilities that were located over and across the property.


The conveyance would have to provide for both of the following:


-- That the property would have to be used exclusively for public harbor purposes and would have to be open to all State residents on the same terms, fees, and conditions. Upon termination of that use or use for any other purpose, the State could reenter and repossess the property, terminating the grantee's estate in the property.

-- That if the grantee disputed the State's exercise of its right of reentry and failed to deliver promptly possession of the property to the State, the Attorney General, on behalf of the State, could bring an action to quiet title to, and regain possession of, the property.


The conveyance would have to be by quitclaim deed approved by the Attorney General and would have to coney all rights held by the State including all rights to coal, oil, gas and other minerals and excluding sand, gravel, clay or other nonmetallic minerals found on or under the conveyed property. Revenue received would have to be deposited in a restricted account held by the DNR.


- Legislative Analyst: L. Arasim


FISCAL IMPACT


The bill would result in a liability reduction to the State regarding operation of the property for harbor purposes.


- Fiscal Analyst: M. Hansen

S9798\S5079SA

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.