HOUSE BILL No. 4554

 

April 13, 2011, Introduced by Reps. MacMaster, Huuki, Foster, Horn, Opsommer, Rutledge, McBroom, Johnson, Hughes, Wayne Schmidt, Haugh and Yonker and referred to the Committee on Natural Resources, Tourism, and Outdoor Recreation.

 

     A bill to amend 1994 PA 451, entitled

 

"Natural resources and environmental protection act,"

 

by amending sections 32601, 32603, 32604, 32606, 32607, and 32609

 

(MCL 324.32601, 324.32603, 324.32604, 324.32606, 324.32607, and

 

324.32609), sections 32601, 32603, 32604, 32606, and 32609 as added

 

by 2000 PA 278 and section 32607 as amended by 2004 PA 546.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 32601. As used in this part:

 

     (a) "Bottomlands" means land in the Great Lakes , and bays and

 

harbors of the Great Lakes, lying below and lakeward of the

 

ordinary high-water mark as described in section 32502 and land in

 

any adjoining inland lakes and streams.

 

     (b) "Department" means the department of environmental

 

quality.

 


     (c) "Fair market value" means the price based upon the unique

 

historical and physical properties, including, but not limited to,

 

species, growth rates, volume, and condition of the submerged logs

 

as calculated at dockside following delivery to shore.

 

     (d) "Fund" means the submerged log recovery fund created in

 

section 32610.

 

     (e) "Great Lakes" means Lake Superior, Lake Michigan, Lake

 

Huron, and Lake Erie, and includes Lake St. Clair.

 

     (f) "Ordinary high-water mark" means the elevations described

 

in section 32502. When If the soil, configuration of the surface,

 

or vegetation has been altered by human activity, the ordinary

 

high-water mark is located where it would have been if this

 

alteration had not occurred.

 

     (g) "Patented lands" means any bottomlands lying within a

 

specific government grant area, including a private claim patent or

 

federal patent.

 

     (h) "Riparian owner" means a person who owns frontage

 

bordering bottomlands or an inland lake or stream.

 

     (i) "Riparian rights" means those rights that are associated

 

with the ownership of frontage bordering bottomlands or an inland

 

lake or stream, subject to the public trust.

 

     (j) "Submerged log" means a portion of the trunk of a felled

 

tree that has not been further processed for any end use and is

 

located on, in, over, or under bottomlands. Submerged log does not

 

include a portion of a tree that is located in the Great Lakes or

 

on, in, over, or under bottomlands that poses a navigational or

 

safety hazard or is of no or little commercial value.

 


     (k) "Unpatented lands" means all bottomlands except patented

 

lands.

 

     Sec. 32603. (1) A person shall obtain a permit from the

 

department under this part prior to removing submerged logs from

 

bottomlands.

 

     (2) The department may issue a permit under this part to a

 

person for the removal of submerged logs from patented lands or the

 

bottomlands of inland lakes and streams if permission is received

 

from the lawful owner or owners of the patented lands or the

 

bottomlands of the inland lakes and streams, or both.

 

     (3) A person shall not recover, alter, or destroy abandoned

 

property as defined in part 761 while engaging in submerged log

 

removal operations under a submerged log removal permit issued

 

under this part.

 

     (4) For submerged log recovery in underwater preserves

 

established under part 761, the department shall place reasonable

 

conditions on submerged log removal permits to prevent damage to

 

abandoned watercraft or other features of archaeological,

 

historical, recreational, or environmental significance and to

 

minimize conflicts between recreational activities within the

 

preserve and the submerged log recovery operation.

 

     Sec. 32604. (1) For calendar year 2000, the department shall

 

establish a time period for the submission of applications for

 

submerged log removal permits under this part. Beginning in 2001,

 

and each year thereafter, applications Applications for submerged

 

log removal permits shall be submitted before February 1 of each

 

calendar year. However, the department shall not issue a submerged

 


log removal permit under this part after December 31, 2003.

 

     (2) An application for a submerged log removal permit shall be

 

submitted in writing on a form provided by the department and shall

 

include all of the following:

 

     (a) A description of the proposed bottomland log removal area

 

with boundaries delineated by the use of current technology such as

 

a digital global positioning system or other technology approved by

 

the department. The proposed bottomland log removal area for

 

patented lands shall be a contiguous area of not more than 320

 

acres. The area proposed for patented lands shall be square or

 

rectangular in shape, and the length shall not exceed the width by

 

more than a factor of 6.

 

     (b) A description of the methods to be used to raise the

 

submerged logs, the time of year during which submerged logs will

 

be raised, and the procedures to be used for transferring logs to

 

the shore.

 

     (c) Identification of any adverse environmental impacts

 

associated with the proposed submerged log removal method.

 

     (d) Identification of the steps proposed to mitigate any

 

adverse environmental impacts caused by the proposed submerged log

 

removal operation.

 

     (e) Other information that the department considers necessary

 

in evaluating a submerged log removal permit application.

 

     (f) A $3,500.00 $500.00 application fee.

 

     (3) An application for a submerged log removal permit is not

 

complete until all information requested on the application form

 

and any other information requested by the department are received.

 


Within 30 days of its receipt of an application, the department

 

shall notify the applicant in writing if the application is

 

deficient. The applicant shall submit the requested information to

 

the department within 30 days after the date the notice is

 

provided. If the applicant fails to respond within the 30-day

 

period, the department shall deny the submerged log removal permit

 

unless the applicant requests and the department approves an

 

extension of time based upon the applicant's reasonable

 

justification for the extension. If the department does not respond

 

in the required time, the permit is considered approved. If the

 

permit is denied, the department shall provide site-specific

 

reasons based upon sound science to support the denial. The

 

response shall also include an economic impact fiscal analysis.

 

     (4) Application fees received under this section shall be

 

forwarded to the state treasurer for deposit into the fund and may

 

be returned to the permittee if the permit is approved because of

 

lack of response from the department.

 

     Sec. 32606. (1) The department shall review each complete

 

application received for a submerged log removal permit and shall

 

not issue a permit unless the department determines both of the

 

following:

 

     (a) That any adverse impacts, including, but not limited to,

 

impacts to the environment, natural resources, riparian rights, and

 

the public trust are minimal and will be mitigated to the extent

 

practicable.

 

     (b) That the proposed activity will not unreasonably affect

 

the public health, safety, and welfare.

 


     (2) The department may determine that certain areas within a

 

proposed bottomland log removal area described in an application

 

for a submerged log removal permit shall not be authorized for

 

submerged log removal based upon adverse impacts, including, but

 

not limited to, adverse impacts to the environment, natural

 

resources, riparian rights, and the public trust.

 

     (3) The department shall make a decision on whether or not to

 

issue a submerged log removal permit under this part within 90 days

 

after the close of the review and comment period under section

 

32605 or, if a public hearing is held under section 32608, within

 

90 days after the date of that public hearing.

 

     (4) If the department denies the issuance of a submerged log

 

removal permit, the department shall notify the applicant in

 

writing within 10 days after the date of the denial. The written

 

notice of denial shall include a justification based upon sound

 

science and shall include an economic impact fiscal analysis.

 

     Sec. 32607. (1) The department shall not authorize the same

 

bottomland log removal area in more than 1 submerged log removal

 

permit at any 1 time.

 

     (2) The department may modify the boundaries of a proposed

 

bottomland log removal area in a submerged log removal permit to

 

avoid overlaps with other active submerged log removal permits or

 

adverse impacts, including, but not limited to, impacts to the

 

environment, natural resources, riparian rights, and the public

 

trust.

 

     (3) A submerged log removal plan approved by the department

 

shall be included in each submerged log removal permit.

 


     (4) A submerged log removal permit shall contain terms and

 

conditions that are determined by the department to protect the

 

environment, natural resources, riparian rights, and the public

 

trust.

 

     (5) Each submerged log removal permit shall expire on January

 

1, 2013 5 years after the date the permit is approved. An If

 

federal approval is required, an applicant shall notify the

 

department of the date on which the federal government issued its

 

approval for the submerged log removal permit. Processing fees

 

received under this subsection shall be forwarded to the state

 

treasurer for deposit into the fund.

 

     (6) A submerged log removal permit issued under this section

 

is not transferrable unless the transfer is approved in writing by

 

the department.

 

     (7) An applicant for a submerged log removal permit shall

 

provide a performance bond acceptable to the department in the

 

amount of $100,000.00 $20,000.00. The performance bond shall be

 

provided to the department at least 10 days prior to beginning

 

submerged log removal in a bottomland log removal area. The

 

performance bond shall ensure compliance with the submerged log

 

removal permit for the period of the permit or until the authorized

 

submerged log removal is completed to the satisfaction of the

 

department and all payments under section 32609 have been made. The

 

department shall issue a written statement releasing the permittee

 

and or bonding company, or both, upon termination of the submerged

 

log removal permit and upon satisfaction of the department as to

 

the compliance of the permittee with the terms and conditions of

 


the permit. The department may draw upon the performance bond for

 

delinquent payments as required in section 32609.

 

     (8) A permittee may request, in writing, and the department

 

may grant, termination of a submerged log removal permit prior to

 

the expiration date, including release from quarterly reports and

 

performance bond requirements.

 

     Sec. 32609. (1) The state reserves a payment of 2.0 0.5 times

 

sawlog stumpage value for each submerged log that is removed from

 

unpatented lands. As used in this subsection, "sawlog stumpage

 

value" means the most recent average value of standing timber on

 

state forestlands for each species as determined and reported by

 

the department of natural resources. However, if a species is no

 

longer harvested on state forestlands, "sawlog stumpage value"

 

means the most recent highest value of any species currently being

 

harvested on state forestlands as determined and reported by the

 

department of natural resources.

 

     (2) The holder of a submerged log removal permit under this

 

part shall provide the department with a detailed report and all

 

payments due under this section within 30 days after the close of

 

each calendar quarter. The report shall include an accurate scaling

 

at dockside of all submerged logs removed, by species. The

 

permittee shall provide for an independent agent, approved by the

 

department in writing, to conduct the scaling and species

 

determination.

 

     (3) All payments received under this section shall be

 

forwarded to the state treasurer for deposit into the fund.

 

     (4) After a permittee is notified in writing that a payment

 


under this section is overdue, the department may order suspension

 

of the submerged log removal permit until the payment is submitted

 

in full. The permittee shall not resume submerged log removal

 

operations until the department provides written authorization for

 

the operations to resume.

 

     (5) Not later than December 31, 2001 1 year after submerged

 

log removal operations have commenced, the department shall conduct

 

a study to determine the fair market value of submerged logs as a

 

potential basis for determining the payment to the state under

 

subsection (1). The department may conduct the study or may enter

 

into a contract, following issuing a request for proposal, with a

 

qualified person to conduct the study. Upon completion, the

 

department shall submit a report of the results of the study to the

 

standing committees of the legislature with jurisdiction primarily

 

related to natural resources and the environment and to the senate

 

and house appropriations subcommittees on environmental quality and

 

natural resources.