What’s Going on Around the State of Michigan - Sept. 2009 by Don Eichstaedt, Secretary, Rental Property Owners Assoc. Of Michigan (RPOAM)

LOBBYIST REPORT - The legislature is still working mainly on the budget to get it done by the Oct. 1 deadline. Not much else is being worked on - that is good for rental property owners. Speaker Dillion has proposed a health care plan to put all state employees which could save $900 million. Several taxes have been proposed: tickets, cigarettes, bottle beverages; tax credits may be reduced. Some are proposing a part-time legislature. Inspection fees may be raised. There is a potential state Inspection Program to raise revenue. The legislature is trying to workout a 2 year budget to reduce the yearly budget.

1) Senator Scott has proposed a bill to hold off foreclosure for people in poverty.

2) A law has been proposed to certify Pre-Purchase Home Inspectors to make sure they are qualified.

3) HB 4869 (Shaltron) To allow property managers to represent rental property owners (RPO’s) in eviction procedures.
 STATUS: No Action - state bar association opposes this bill.

OLD BUSINESS

1) New Member Recruitment - Saginaw - President Koeitsier and Lou Sesti are working to set up a meeting with the Saginaw president to present the RPOAM “story”. Secretary Don Eichstaedt will go to the October Livingston association meeting to make a presentation on RPOAM at their request.

2) Legislative Reception -  The reception will be held on Tuesday evening, 5/7 PM, Oct. 20, 2009 in Lansing in Karoub’s reception room. The board approved spending $1,000 for light snacks and beverages; there will be no charge for attendees. We will invite all known associations in the state and their members.

NEW BUSINESS -   

1) DTE Legislative Proposal - DTE is starting talks with some legislators and RPOAM in ways to reduce the big problem they have with energy theft, primarily in Detroit. Unfortunately any solution will cover the entire state, not just Detroit! A preliminary first meeting has been with DTE, our lobbyist and our executive director. Several ideas were discussed including giving RPO’s limited computer access to resident’s utility account information, and possibly emailing the RPO notice any time a change is made to the account, such as a disconnect or transfer. We will contact the REIA of Wayne County president to get them into these discussions because they will be directly affected by any final legislation, even though they are not currently members of RPOAM. This is a great opportunity to help craft energy-theft legislation that could be very detrimental to RPO’s if we are not a part of the solution.
All electric meters could have an internet address which could facilitate identity and communication. One DTE proposal is to bar utility usage to a property that has had utility theft in the past! (Not sure that is constitutional - since the RPO is not stealing the energy nor has any knowledge of the theft?)

2) LEAD PAINT REMOVAL CERTIFICATION - A new federal law going into effect April 1, 2010 requires that all workers on a property built before 1978 get 8 hours of training and certification if the work will disturbs more than 6 sq.ft. of painted surface that may hay have lead paint on it. Their company must also be licensed for this type of work; this will include plumbers, electricians, painters, carpenters, HVAC, etc.

The Grand Rapids Association is setting up training for the requirement and will provide this training for other associations.

LOCAL ISSUES -

Battle Creek _ Still fighting the city on zoning and appeals.

Grand Rapids - They have a new city manager that the association has worked within the past on housing issues. This is positive for the association.
They held a Continuing Education (Con Ed.) class for Realtors on “How To Rent Properties That Won’t Sell” with a good turnout. G/R teaches about 10 classes a month that are all Con. Ed approved to provide realtors with their required 6 hours of Con. Ed. This causes the Realtors to become association members.

Kalamazoo - They have hired a program director to improve programs, membership is good.

Kentland (G/R) - A charter school is causing problems with traffic and road congestion, and is not subject to local codes.
 
Lansing - Their membership is up. They are looking into group insurance for their members.

Muskegon - A member had a problem with a hidden unpaid water bill on a purchase.

Oakland - Working to increase membership, has started to increase.

Next RPOAM Meeting: Monday,October 12, 2009: LOCATION: Karoub office.
 

Don Eichstaedt