WATERCRAFT/SNOWMOBILE OWNERSHIP H.B. 4920: FLOOR ANALYSIS






House Bill 4920 (as reported without amendment)
Sponsor: Representative David Farhat
House Committee: Transportation
Senate Committee: Transportation

CONTENT
The bill would amend Parts 801 (Marine Safety), 803 (Watercraft Transfer and Certificate of Title), 811 (Off-Road Recreation Vehicles), and 821 (Snowmobiles) of the Natural Resources and Environmental Protection Act to do the following:

-- Require the SOS to require an applicant for the registration of a watercraft or snowmobile valued at $2,500 or less to certify that he or she was the owner of the watercraft or snowmobile, if the SOS were not satisfied as to the watercraft's or snowmobile's ownership.
-- Allow the Secretary of State (SOS) to require an applicant for the registration of a watercraft or snowmobile valued at more than $2,500 to file a surety bond, if the SOS were not satisfied as to the watercraft's or snowmobile's ownership.
-- Require the bond to be in an amount equal to twice the value of the watercraft or snowmobile and be conditioned to indemnify or reimburse the SOS, any prior owner, and any subsequent purchaser and their successors in interest against any expense, loss, or damage incurred as a result of the issuance of a certificate of title or any defect in the right, title, or interest of the applicant.
-- Provide that an interested person would have a right of action to recover on the bond for a breach of its conditions.
-- Require the SOS to sell at least 2,000 Great Lakes Protection specialty watercraft decals in the two-year period ending September 30, 2006, rather than the fiscal year ending September 30, 2005, to avoid discontinuing sales.
MCL 324.80124a et al. Legislative Analyst: Julie Koval

FISCAL IMPACT
The bill would have no fiscal impact on State or local government.


Date Completed: 12-1-05 Fiscal Analyst: Bill Bowerman

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. hb4920/0506