Michigan 2023-2024 Regular Session

Michigan House Bill HB4645

Introduced
5/23/23  
Refer
5/23/23  
Report Pass
6/21/23  
Engrossed
6/27/23  
Refer
6/28/23  
Report Pass
10/17/23  
Refer
10/18/23  
Report Pass
10/19/23  
Enrolled
10/24/23  
Chaptered
11/8/23  

Caption

Probate: powers of attorney; reference to powers of attorney in natural resources and environmental protection act; revise to reflect adoption of uniform power of attorney act. Amends sec. 20101b of 1994 PA 451 (MCL 324.20101b). TIE BAR WITH: HB 4644'23

Impact

The amendments proposed by HB 4645 reflect a critical adjustment in the state's approach towards environmental liability, particularly concerning fraudulent or negligent management of hazardous substances. By delineating the boundaries of personal liability for fiduciaries and lenders who have not participated in management decisions before they took ownership, the bill aims to encourage more entities, especially financial institutions, to engage in property management without the excessive fear of liabilities associated with environmental breaches.

Summary

House Bill 4645 aims to amend 1994 PA 451, enhancing the protection of the environment and natural resources of Michigan. This legislative measure specifically seeks to adjust the liabilities associated with property management and fiduciary responsibilities under environmental laws. By amending section 20101b of the existing legislation, the bill introduces provisions that exempt certain lenders and fiduciaries from liability regarding properties that they control without having actively managed, thereby clarifying their responsibilities in these contexts.

Sentiment

The reception of this bill appears to be largely positive among legislators, especially among those representing business and financial interests. Proponents argue that clarifying the limits of liability will foster greater participation by lenders in property management arrangements, which could ultimately benefit property revitalization and environmental cleanup efforts. However, there may be concerns from environmental advocates regarding the potential for decreased accountability in property management practices, especially relating to hazardous waste.

Contention

Notable points of contention include the implications of reduced liability for fiduciaries and the extent to which this could lead to neglect of environmental responsibilities. Critics of the bill may express fears that granting such exemptions may incentivize insufficient vigilance over hazardous substances on managed properties, undermining the goals of environmental protection legislation. The effectiveness of this bill will hinge on balancing incentives for responsible property management with maintaining stringent environmental standards.

Companion Bills

MI HB4644

Same As Probate: powers of attorney; uniform power of attorney act; create. Creates new act & repeals secs. 5501 - 5505 of 1998 PA 386 (MCL 700.5501 - 700.5505). TIE BAR WITH: HB 4645'23, HB 4646'23

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MI HB4598

Probate: powers of attorney; reference to powers of attorney in natural resources and environmental protection act; revise to reflect adoption of uniform power of attorney act. Amends sec. 20101b of 1994 PA 451 (MCL 324.20101b). TIE BAR WITH: HB 4597'23

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