October 29 - November 4, 2007
Volume 5 Issue 44

Due to the holiday, next week’s Public Policy Update will be published on Tuesday, November 13.

FOCUS: Possible Service Tax Repeal
The business community continues to advocate for a repeal of the recently adopted sales tax on services set to take effect December 1, 2007. Last week, the House Tax Policy Committee began hearings on the tax. The Senate passed SB 845, which delays the effective date of the tax to December 20. SB 845 is tie-barred to SB 838, which repeals the tax. Both the House Tax Policy Committee and the Senate Finance Committee have scheduled hearings on the issue for this week.
See related:
Senate Votes to Delay Sales Tax
(Detroit News, 11/2/07)

Lansing May Repeal Service Tax
(Detroit News, 11/1/07)

FYI: Michigan Business Tax
Dykema has launched a website devoted to the Michigan Business Tax.

In the Capitol
Committee meetings of interest for the week of 11/5
11/6 House Tax Policy
Agenda item of interest: Testimony on the service tax.

11/6 Senate Finance
Agenda: SB 838 Repeal application of tax to certain services.

11/6 Senate Judiciary
Agenda: SB 591 Enact limits for liability of successor corporation for asbestos claims; Presentation on gang activity by City of Holland Police Department and Michigan State Police.

11/7 House Judiciary
Agenda: HB 4616 Prohibition on embryonic research and human cloning; HB 4617 Increase the penalty for human cloning; HB 4618 Revise the sentencing guidelines for the crime of human cloning to reflect increase penalty.
The following bills are for referral to the Committee on Intergovernmental, Urban and Regional Affairs: HB 5292 Provide for litigation under the Michigan zoning act; HB 5293 Provide for qualifications of individuals designated as referees for certain litigation.

11/7 House Tax Policy
Agenda item of interest: Testimony on the service tax.

11/7 House Families and Children's Services
Agenda: Testimony on the Flint Family Drug Court by Judge Duncan Beagle of the 7th Judicial Circuit Court and Diane Melton, Flint Family Drug Court Supervisor

Complete Committee Meeting List

New Public Acts

Legislation Introduced 10/29 – 11/2
Of Interest to the Legal Community
HB 5379 Occupations; notaries public; requirement for record keeping of certain notarial acts; provide for. Amends sec. 25 of 2003 PA 238 (MCL 55.285).

HB 5381 Juveniles; truancy; family division of the circuit court to notify secretary of state of truancy disposition; provide for. Amends 1939 PA 288 (MCL 710.21 - 712A.32) by adding sec. 2f to ch. XIIA.

HB 5398 Torts; personal injury; individuals fleeing and eluding law enforcement officers; prohibit from filing suit for physical injury or property damage. Amends 1949 PA 300 (MCL 257.1 - 257.923) by adding sec. 405.

SB 865 Civil procedure; statute of limitations; statute of limitations and statute of repose for actions against architects, engineers, and construction contractors; revise. Amends secs. 5805 & 5839 of 1961 PA 236 (MCL 600.5805 & 600.5839).

Of General Interest
HB 5386 Use tax; collections; service tax; exempt certain small businesses. Amends sec. 3d of 1937 PA 94 (MCL 205.93d).

HB 5399 Use tax; collections; application of tax to certain services; revise. Amends sec. 3d of 1937 PA 94 (MCL 205.93d).

HB 5400 Business tax; other; revenue from Michigan business tax to cover repeal of use tax on certain services; increase by raising certain rates. Amends secs. 201, 203, 235, 263, 417 & 601 of 2007 PA 36 (MCL 208.1201 et seq.) & repeals sec. 6a of 1937 PA 94 (MCL 205.96a) & repeals secs. 353c, 353e & 353f of 1984 PA 431 (MCL 18.1353c et seq.).

SB 857 Use tax; collections; application of tax related to couriers and messengers, travel agency, and skiing; clarify. Amends sec. 3d of 1937 PA 94 (MCL 205.93d).

In the Hall of Justice
Same-Sex Partner Benefits, Marrriage Amendment at Issue in Case Before Michigan Supreme Court in Oral Arguments this Week

Proposed Amendments
2007-21 Proposed Amendment of Rule 2.510 of the Michigan Court Rules
The proposed amendment of MCR 2.510 would require that, in a district-court district comprised of a city located in two or more counties, jurors must be selected for district court attendance regardless of the county in which the juror resides or the county where the cause of action arose, pursuant to MCL 600.1324.
Issued: October 31, 2007
Comment Period Expires: February 1, 2008
Public Hearing: To be scheduled

At the Bar
The State Bar of Michigan’s Public Policy, Image, and Identity Committee and Board of Commissioners will meet on Friday, November 16. For a copy of either agenda, please contact elyon@mail.michbar.org.

Panel Discussion on Business Transactions and Intellectual Property Set for November 14

July 2007 Bar Examination Results and Admission Ceremonies

Sections and Committees
The Animal Law Section submitted a public policy report stating its support to HB 5263 Animals; other; research facility or dealer obtaining dogs or cats from an animal control shelter or animal protection shelter; prohibit, and regulate the purchase and sale of random source animals. Amends secs. 1, 8 & 9 of 1969 PA 224 (MCL 287.381 et seq.).

The Appellate Practice Section submitted an Amicus Brief in Houdini Properties, LLC vs. City of Romulus.

The Business Law Section submitted an Amicus Brief in Estes vs. Titus.

State News
State Leaders Aim to Create Agenda that's Citizen Based
(Lansing State Journal, 11/5/07)

Legislature Finishes State Budget
(AP/Mlive.com, 10/31/07)

Links of Interest
Public Policy Resource Center | Michigan Supreme Court | Michigan Legislature | MCL Search Engines