Bill Text: MI HB4251 | 2023-2024 | 102nd Legislature | Engrossed
Bill Title: Traffic control: driver license; penalties for operating a vehicle while sending or receiving a message on an electronic wireless device; enhance. Amends secs. 319b, 320a & 320d of 1949 PA 300 (MCL 257.319b et seq.). TIE BAR WITH: HB 4250'23, HB 4252'23
Spectrum: Partisan Bill (Democrat 10-0)
Status: (Passed) 2023-06-07 - Assigned Pa 39'23 With Immediate Effect [HB4251 Detail]
Download: Michigan-2023-HB4251-Engrossed.html
Substitute For
HOUSE BILL NO. 4251
A bill to amend 1949 PA 300, entitled
"Michigan vehicle code,"
by amending sections 319b, 320a, and 320d (MCL 257.319b, 257.320a, and 257.320d), section 319b as amended by 2015 PA 11, section 320a as amended by 2018 PA 349, and section 320d as amended by 2012 PA 498.
the people of the state of michigan enact:
1
2
3
4
5
6
Sec. 319b. (1) The secretary of state shall immediately suspend or revoke, as applicable, all commercial learners permits or vehicle group designations on the operator's or chauffeur's license of a person an individual upon receiving notice of a conviction, bond forfeiture, or civil infraction determination of the person, individual, or notice that a court or administrative
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
tribunal has found the person individual responsible, for a violation described in this subsection of a law of this state, a local ordinance substantially corresponding to a law of this state while the person individual was operating a commercial motor vehicle, or a law of another state substantially corresponding to a law of this state, or notice that the person individual has refused to submit to a chemical test of his or her the individual's blood, breath, or urine for the purpose of determining the amount of alcohol or presence of a controlled substance or both in the person's individual's blood, breath, or urine while the person individual was operating a commercial motor vehicle as required by a law or local ordinance of this or another state. The period of suspension or revocation is as follows:
(a) Suspension for 60 days, to run consecutively with any commercial driver license action imposed under this section, if the person individual is convicted of or found responsible for 1 of the following while operating a commercial motor vehicle:
(i) Two serious traffic violations arising from separate incidents within 36 months.
(ii) A violation of section 667, 668, 669, or 669a.
(iii) A violation of motor carrier safety regulations 49 CFR 392.10 or 392.11, as adopted by section 1a of the motor carrier safety act of 1963, 1963 PA 181, MCL 480.11a.
(iv) A violation of section 57 of the pupil transportation act, 1990 PA 187, MCL 257.1857.
(v) A violation of motor carrier safety regulations 49 CFR 392.10 or 392.11, as adopted by section 31 of the motor bus transportation act, 1982 PA 432, MCL 474.131.
(v) (vi) A violation of motor carrier safety regulations 49 CFR
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
392.10 or 392.11 while operating a commercial motor vehicle other than a vehicle covered under subparagraph (iii) , or (iv). , or (v).
(vi) (vii) A violation of commercial motor vehicle fraudulent testing law.
(b) Suspension for 120 days, to be served consecutively with a 60-day suspension imposed under subdivision (a)(i), if the person individual is convicted of or found responsible for 1 of the following arising from separate incidents within 36 months while operating a commercial motor vehicle:
(i) Three serious traffic violations.
(ii) Any combination of 2 violations described in subdivision (a)(ii).
(c) Suspension for 1 year, to run consecutively with any commercial driver license action imposed under this section, if the person individual is convicted of or found responsible for 1 of the following:
(i) A violation of section 625(1), (3), (4), (5), (6), (7), or (8), section 625m, or former section 625(1) or (2), or former section 625b, while operating a commercial or noncommercial motor vehicle.
(ii) Leaving the scene of an accident involving a commercial or noncommercial motor vehicle operated by the person.individual.
(iii) Except for a felony described in 49 CFR 383.51(b)(9), a felony in which a commercial or noncommercial motor vehicle was used.
(iv) A refusal of a peace officer's request to submit to a chemical test of his or her the individual's blood, breath, or urine to determine the amount of alcohol or presence of a controlled substance or both in his or her the individual's blood,
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
breath, or urine while he or she the individual was operating a commercial or noncommercial motor vehicle as required by a law or local ordinance of this state or another state.
(v) Operating a commercial motor vehicle in violation of a suspension, revocation, denial, or cancellation that was imposed for previous violations committed while operating a commercial motor vehicle.
(vi) Causing a fatality through the negligent or criminal operation of a commercial motor vehicle, including, but not limited to, the crimes of motor vehicle manslaughter, motor vehicle homicide, and negligent homicide.
(vii) A violation of commercial motor vehicle fraudulent testing law.
(viii) Any combination of 3 violations described in subdivision (a)(ii) arising from separate incidents within 36 months while operating a commercial motor vehicle.
(d) Suspension for 3 years, to run consecutively with any commercial driver license action imposed under this section, if the person individual is convicted of or found responsible for an offense enumerated in subdivision (c)(i) to (vi) in which a commercial motor vehicle was used if the vehicle was carrying hazardous material required to have a placard under 49 CFR parts 100 to 199.
(e) Revocation for life, to run consecutively with any commercial driver license action imposed under this section, but with eligibility for reissue of a group vehicle designation after not less than 10 years and after approval by the secretary of state, if the person individual is convicted of or found responsible for 2 violations or a combination of any 2 violations
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
arising from 2 or more separate incidents involving any of the following:
(i) Section 625(1), (3), (4), (5), (6), (7), or (8), section 625m, or former section 625(1) or (2), or former section 625b, while operating a commercial or noncommercial motor vehicle.
(ii) Leaving the scene of an accident involving a commercial or noncommercial motor vehicle operated by the licensee.
(iii) Except for a felony described in 49 CFR 383.51(b)(9), a felony in which a commercial or noncommercial motor vehicle was used.
(iv) A refusal of a request of a police officer to submit to a chemical test of his or her the individual's blood, breath, or urine for the purpose of determining the amount of alcohol or presence of a controlled substance or both in his or her the individual's blood while he or she the individual was operating a commercial or noncommercial motor vehicle in this state or another state.
(v) Operating a commercial motor vehicle in violation of a suspension, revocation, denial, or cancellation that was imposed for previous violations committed while operating a commercial motor vehicle.
(vi) Causing a fatality through the negligent or criminal operation of a commercial motor vehicle, including, but not limited to, the crimes of motor vehicle manslaughter, motor vehicle homicide, and negligent homicide.
(f) Revocation for life if a person an individual is convicted of or found responsible for any of the following:
(i) One violation of a felony in which a commercial motor vehicle was used and that involved the manufacture, distribution,
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
or dispensing of a controlled substance or possession with intent to manufacture, distribute, or dispense a controlled substance.
(ii) A conviction of any offense described in subdivision (c) or (d) after having been approved for the reissuance of a vehicle group designation under subdivision (e).
(iii) A conviction of a violation of chapter LXXXIII-A of the Michigan penal code, 1931 PA 328, MCL 750.543a to 750.543z.
(2) The secretary of state shall immediately deny, cancel, or revoke a hazardous material indorsement on the operator's or chauffeur's license of a person an individual with a vehicle group designation upon receiving notice from a federal government agency that the person individual poses a security risk warranting denial, cancellation, or revocation under the uniting and strengthening America by providing appropriate tools required to intercept and obstruct terrorism (USA PATRIOT ACT) act of 2001, Public Law 107-56. The denial, cancellation, or revocation cannot be appealed under section 322 or 323 and remains in effect until the secretary of state receives a federal government notice that the person individual does not pose a security risk in the transportation of hazardous materials.
(3) The secretary of state shall immediately suspend or revoke, as applicable, all commercial learners permits or vehicle group designations on a person's an individual's operator's or chauffeur's license upon receiving notice of a conviction, bond forfeiture, or civil infraction determination of the person, individual, or notice that a court or administrative tribunal has found the person individual responsible, for a violation of section 319d(4) or 319f, a local ordinance substantially corresponding to section 319d(4) or 319f, or a law or local ordinance of another
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
state, the United States, Canada, the United Mexican States, or a local jurisdiction of either of these countries substantially corresponding to section 319d(4) or 319f, while operating a commercial motor vehicle. The period of suspension or revocation, which shall that must run consecutively with any commercial driver license action imposed under this section, is as follows:
(a) Suspension for 180 days if the person individual is convicted of or found responsible for a violation of section 319d(4) or 319f while operating a commercial motor vehicle.
(b) Suspension for 180 days if the person individual is convicted of or found responsible for a violation of section 319d(4) or 319f while operating a commercial motor vehicle that is either carrying hazardous material required to have a placard under 49 CFR parts 100 to 199 or designed to carry 16 or more passengers, including the driver.
(c) Suspension for 2 years if the person individual is convicted of or found responsible for 2 violations, in any combination, of section 319d(4) or 319f while operating a commercial motor vehicle arising from 2 or more separate incidents during a 10-year period.
(d) Suspension for 3 years if the person individual is convicted of or found responsible for 3 or more violations, in any combination, of section 319d(4) or 319f while operating a commercial motor vehicle arising from 3 or more separate incidents during a 10-year period.
(e) Suspension for 3 years if the person individual is convicted of or found responsible for 2 or more violations, in any combination, of section 319d(4) or 319f while operating a commercial motor vehicle carrying hazardous material required to
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
have a placard under 49 CFR parts 100 to 199, or designed to carry 16 or more passengers, including the driver, arising from 2 or more separate incidents during a 10-year period.
(4) The secretary of state shall suspend or revoke, as applicable, any privilege to operate a commercial motor vehicle as directed by the federal government or its designee.
(5) For the purpose of this section only, a bond forfeiture or a determination by a court of original jurisdiction or an authorized administrative tribunal that a person an individual has violated the law is considered a conviction.
(6) The secretary of state shall suspend or revoke a vehicle group designation under subsection (1) or deny, cancel, or revoke a hazardous material indorsement under subsection (2) notwithstanding a suspension, restriction, revocation, or denial of an operator's or chauffeur's license or vehicle group designation under another section of this act or a court order issued under another section of this act or a local ordinance substantially corresponding to another section of this act.
(7) A conviction, bond forfeiture, or civil infraction determination, or notice that a court or administrative tribunal has found a person an individual responsible for a violation described in this subsection while the person individual was operating a noncommercial motor vehicle counts against the person individual who holds a license to operate a commercial motor vehicle the same as if the person individual had been operating a commercial motor vehicle at the time of the violation. For the purpose of this subsection, a noncommercial motor vehicle does not include a recreational vehicle used off-road. This subsection applies to the following state law violations or a local ordinance
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
substantially corresponding to any of those violations or a law of another state or out-of-state jurisdiction substantially corresponding to any of those violations:
(a) Operating a vehicle in violation of section 625.
(b) Refusing to submit to a chemical test of his or her the individual's blood, breath, or urine for the purpose of determining the amount of alcohol or the presence of a controlled substance or both in the person's individual's blood, breath, or urine as required by a law or local ordinance of this or another state.
(c) Leaving the scene of an accident.
(d) Using a vehicle to commit a felony.
(8) When determining the applicability of conditions listed in this section, the secretary of state shall consider only violations that occurred after January 1, 1990.
(9) When determining the applicability of conditions listed in subsection (1)(a) or (b), the secretary of state shall count only from incident date to incident date.
(10) As used in this section:
(a) "Felony in which a commercial motor vehicle was used" means a felony during the commission of which the person individual convicted operated a commercial motor vehicle and while the person individual was operating the vehicle 1 or more of the following circumstances existed:
(i) The vehicle was used as an instrument of the felony.
(ii) The vehicle was used to transport a victim of the felony.
(iii) The vehicle was used to flee the scene of the felony.
(iv) The vehicle was necessary for the commission of the felony.
(b) "Serious traffic violation" means any of the following:
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
(i) A traffic violation that occurs in connection with an accident in which a person an individual died.
(ii) Reckless driving.
(iii) Excessive speeding as defined in regulations promulgated under 49 USC 31301 to 31317.
(iv) Improper lane use.
(v) Following too closely.
(vi) Operating a commercial motor vehicle without obtaining any vehicle group designation on the person's individual's license.
(vii) Operating a commercial motor vehicle without either having an operator's or chauffeur's license in the person's individual's possession or providing proof to the court, not later than the date by which the person individual must appear in court or pay a fine for the violation, that the person individual held a valid vehicle group designation and indorsement on the date that the citation was issued.
(viii) Operating a commercial motor vehicle while in possession of an operator's or chauffeur's license that has a vehicle group designation but does not have the appropriate vehicle group designation or indorsement required for the specific vehicle group being operated or the passengers or type of cargo being transported.
(ix) Beginning October 28, 2013, a violation of section 602b(2) or (3) or, beginning on the effective date of the amendatory act that added section 602b(8), a violation of section 602b(2).
(x) Any other serious traffic violation as defined in 49 CFR 383.5 or as prescribed under this act.
Sec. 320a. (1) Within 5 days after receipt of a properly prepared abstract from a court of this state or another state, the
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
secretary of state shall record the date of conviction, civil infraction determination, or probate court disposition, and the number of points for each, based on the following formula, except as otherwise provided in this section and section 629c:
|
(a) Manslaughter, negligent homicide, or a felony resulting from the operation of a motor vehicle, ORV, or snowmobile........................ |
6 points |
|
(b) A violation of section 601b(2) or (3), 601c(1) or (2), or 653a(3) or (4) or, beginning October 31, 2010, a violation of section 601d...... |
6 points |
|
(c) A violation of section 625(1), (4), (5), (7), or (8), section 81134 or 82127(1) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.81134 and 324.82127, or a law or ordinance substantially corresponding to section 625(1), (4), (5), (7), or (8), or section 81134 or 82127(1) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.81134 and 324.82127.......................................... |
6 points |
|
(d) Failing to stop and disclose identity at the scene of an accident when required by law...... |
6 points |
|
(e) Operating a motor vehicle in violation of section 626........................................ |
6 points |
|
(f) Fleeing or eluding an officer............. |
6 points |
|
(g) A violation of section 627(6) pertaining to speed in a work zone described in that section by exceeding the lawful maximum by more than 15 miles per hour........................................... |
5 points |
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
|
(h) A violation of any law or ordinance pertaining to speed by exceeding the lawful maximum by more than 15 miles per hour..................... |
4 points |
|
(i) A violation of section 625(3) or (6), section 81135 or 82127(3) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.81135 and 324.82127, or a law or ordinance substantially corresponding to section 625(3) or (6) or section 81135 or 82127(3) of the natural resources and environmental protection act, 1994 PA 451, MCL 324.81135 and 324.82127................... |
4 points |
|
(j) A violation of section 626a or a law or ordinance substantially corresponding to section 626a............................................... |
4 points |
|
(k) A violation of section 627(6) pertaining to speed in a work zone described in that section by exceeding the lawful maximum by more than 10 but not more than 15 miles per hour........................ |
4 points |
|
(l) Beginning October 31, 2010, a moving violation resulting in an at-fault collision with another vehicle, a person, an individual, or any other object....................................... |
4 points |
|
(m) Careless driving in violation of section 626b or a law or ordinance substantially corresponding to section 626b...................... |
3 points |
|
(n) A violation of any law or ordinance pertaining to speed by exceeding the lawful maximum by more than 10 miles per hour but not more than 15 miles per hour..................................... |
3 points |
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
|
(o) A violation of section 653a(2)............ |
2 points |
|
(p) A violation of any law or ordinance pertaining to speed by exceeding the lawful maximum by more than 5 miles per hour but not more than 10 miles per hour..................................... |
2 points |
|
(q) A violation of any law or ordinance pertaining to speed by exceeding the lawful maximum by more than 1 mile per hour but not more than 5 miles per hour..................................... |
1 point |
|
(r) Disobeying a traffic signal or stop sign, or improper passing................................ |
3 points |
|
(s) A violation of section 624a, 624b, or a law or ordinance substantially corresponding to section 624a or 624b............................... |
2 points |
|
(t) A violation of section 310e(4) or (6) or a law or ordinance substantially corresponding to section 310e(4) or (6)............................. |
2 points |
|
(u) All other moving violations pertaining to the operation of motor vehicles reported under this section............................................ |
2 points |
|
(v) A refusal by a person an individual less than 21 years of age to submit to a preliminary breath test required by a peace officer under section 625a....................................... |
2 points |
|
(w) A violation of section 627(6) pertaining to speed in a work zone described in that section by exceeding the lawful maximum by 10 miles per hour or less............................................... |
3 points |
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
|
(x) A third or subsequent violation of section 602b............................................... |
2 points |
|
(y) A second violation of section 602b........ |
1 point |
(2) Points shall must not be entered for a violation of section 310e(14), 311, 602b(1), 602c, 625m, 658, 710d, 717, 719, 719a, or 723.
(3) Points shall must not be entered for bond forfeitures.
(4) Points shall must not be entered for overweight loads or for defective equipment.
(5) If more than 1 conviction, civil infraction determination, or probate court disposition results from the same incident, points shall must be entered only for the violation that receives the highest number of points under this section.
(6) If a person an individual has accumulated 9 points as provided in this section, the secretary of state may call the person individual in for an interview as to the person's individual's driving ability and record after due notice as to time and place of the interview. If the person individual fails to appear as provided in this subsection, the secretary of state shall add 3 points to the person's individual's record.
(7) If a person an individual violates a speed restriction established by an executive order issued during a state of energy emergency as provided by 1982 PA 191, MCL 10.81 to 10.89, the secretary of state shall enter points for the violation under subsection (1).
(8) The secretary of state shall enter 6 points upon the record of a person an individual whose license is suspended or denied under section 625f. However, if a conviction, civil infraction determination, or probate court disposition results from
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
the same incident, additional points for that offense shall must not be entered.
(9) If a Michigan driver commits a violation in another state that would be a civil infraction if committed in Michigan, this state, and a conviction results solely because of the failure of the Michigan driver to appear in that state to contest the violation, upon receipt of the abstract of conviction by the secretary of state, the violation shall must be noted on the Michigan driver's record, but no points shall must not be assessed against his or her driver's the Michigan driver license.
Sec. 320d. (1) Notwithstanding section 320a, the secretary of state shall not enter the points corresponding to a moving violation committed in this state by an individual the secretary of state determines to be eligible under this section on the individual's driving record or make information concerning that violation available to any insurance company if the individual attends and successfully completes a basic driver improvement course under this section and an approved sponsor provides a certificate of successful completion of that course to the secretary of state not more than 60 days after the date on which the secretary of state notified the individual that he or she the individual was eligible to take a basic driver improvement course. This subsection does not apply to an individual who completes a court-ordered basic driver improvement course as described in subsection (17).
(2) The secretary of state shall determine if an individual is eligible under subsection (3) to attend a basic driver improvement course upon receipt of an abstract of a moving violation. If the secretary of state determines that an individual is eligible to
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
attend a basic driver improvement course, the secretary of state shall do all of the following:
(a) Notify the individual of his or her the individual's eligibility by first-class mail at the individual's last known address as indicated on the individual's operator's or chauffeur's license and inform the individual of the manner and time within which the individual is required to attend and complete a basic driver improvement course.
(b) Provide all eligible participants with information on how to access a list of approved sponsors and basic driver improvement course locations, including the secretary of state's website address and telephone number to call for more information.
(c) If an approved sponsor does not provide notice of successful completion of the course by the individual within the time prescribed in subsection (1), the secretary of state shall enter the points required under section 320a.
(3) An Except as provided in subsection (17), an individual is ineligible to take a basic driver improvement course if any of the following apply:
(a) The violation occurred while the individual was operating a commercial motor vehicle or was licensed as a commercial driver while operating a noncommercial motor vehicle.
(b) The violation is a criminal offense.
(c) The violation is a violation for which 4 or more points may be assessed under section 320a.
(d) The violation is a violation of section 626b, 627(9), 627a, or 682.
(e) The individual was cited for more than 1 moving violation arising from the same incident.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
(f) The individual's license was suspended under section 321a(2) in connection with the violation.
(g) The individual previously successfully completed a basic driver improvement course.
(h) The individual has 3 or more points on his or her the individual's driving record.
(i) The individual's operator's or chauffeur's license is restricted, suspended, or revoked, or the individual was not issued an operator's or chauffeur's license.
(4) The Except as provided in subsection (17), an individual is not eligible to take a basic driver improvement course for a second or subsequent violation an individual receives within the time allowed under subsection (1).
(5) The secretary of state shall maintain a computerized database of the following:
(a) Individuals who have attended a basic driver improvement course.
(b) Individuals who have successfully completed a basic driver improvement course.
(6) The database maintained under subsection (5) shall must only be used for determining eligibility under subsections (3) and (4). The secretary of state shall only make the information contained in the database available to approved sponsors under subsection (10). Information in this database concerning an individual shall must be maintained for the life of that individual.
(7) An individual shall be charged a fee of not more than $100.00 by an approved sponsor to participate in a basic driver improvement course and, if applicable, to obtain a certificate in a
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
form as approved by the secretary of state demonstrating that he or she the individual successfully completed the course. An approved sponsor shall remit a portion of the fee, as determined annually by the secretary of state, to cover the costs of implementing and administering this course program.
(8) Fees remitted to the department under subsection (7) by an approved sponsor shall must be credited to the basic driver improvement course fund created under subsection (9).
(9) The basic driver improvement course fund is created within the state treasury. The state treasurer may receive money or other assets from any source for deposit into the fund. The state treasurer shall direct the investment of the fund. Money in the fund at the close of the fiscal year shall remain remains in the fund and shall does not lapse to the general fund. The secretary of state shall be is the administrator of the fund for auditing purposes. The secretary of state shall expend money from the fund, upon appropriation, only to pay the costs of administering this section.
(10) An approved sponsor shall conduct a study of the effect, if any, that the successful completion of its basic driver improvement course has on reducing collisions, moving violations, or both for students completing its course in this state. An approved sponsor shall conduct this study every 5 years on each of the course delivery modalities employed by the approved sponsor. The secretary of state shall make all of the following information available to the approved sponsor for that purpose, subject to applicable state and federal laws governing the release of information:
(a) The number of individuals who successfully complete a
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
basic driver improvement course under this section.
(b) The number of individuals who are eligible to take a basic driver improvement course under this section but who do not successfully complete that course.
(c) The number and type of moving violations committed by individuals after successfully completing a basic driver improvement course under this section in comparison to the number and type of moving violations committed by individuals who have not taken a basic driver improvement course.
(11) The secretary of state shall report on the findings of all studies conducted under subsection (10) to the standing committees of the house of representatives and senate on transportation issues.
(12) The secretary of state shall approve basic driver improvement course sponsors, and enter into an agreement with approved sponsors, if the basic driver improvement course offered by that sponsor satisfies the requirements listed in section 3a.
(13) A sponsor seeking to be an approved sponsor shall submit to the secretary of state an application on a form prescribed by the secretary of state along with a properly executed security bond in the principal sum of $20,000.00 with good and sufficient surety. Every sponsor that is an approved sponsor on the effective date of the amendatory act that added this subsection March 28, 2013 also shall submit to the secretary of state a security bond described in this subsection. The bond shall must indemnify or reimburse the secretary of state or an individual taking the sponsor's basic driver improvement course for monetary loss caused through fraud, cheating, or misrepresentation in the conduct of the sponsor's business where the fraud, cheating, or misrepresentation was made
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
by the sponsor or by an employee, agent, instructor, or salesperson of the sponsor. The surety shall make indemnification or reimbursement for a monetary loss only after judgment based on fraud, cheating, or misrepresentation has been entered in a court of record against the sponsor. The aggregate liability of the surety shall must not exceed the sum of the bond. The surety on the bond may cancel the bond by giving 30 days' written or electronic notice to the secretary of state and after giving notice is not liable for a breach of condition occurring after the effective date of the cancellation.
(14) An approved sponsor shall not engage in a deceptive or unconscionable method, act, or practice, including, but not limited to, all of the following:
(a) Using, adopting, or conducting business under a name that is the same as, like, or deceptively similar to the name of another approved sponsor.
(b) Except as otherwise provided in this subsection, using the words "state", "government", "municipal", "city", or "county" as part of the name of the approved sponsor.
(c) Advertising, representing, or implying that an approved sponsor is supervised, recommended, or endorsed by, or affiliated or associated with, or employed by, or an agent or representative of this state, the secretary of state, or a bureau of the secretary of state.
(d) Advertising or publicizing under a name other than the approved sponsor's full business name as identified on the sponsor's application to be an approved sponsor.
(e) Advertising that the sponsor is open for business before the sponsor becomes an approved sponsor.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
(f) Soliciting business on the premises of any facility rented, leased, owned, or used by the secretary of state.
(g) Misrepresenting the quantity or quality of the instruction provided by, or the requirements for, a basic driver improvement course.
(h) Failing to promptly restore any deposit, down payment, or other payment that a person is entitled to after an agreement is rescinded, canceled, or otherwise terminated as required under the agreement or applicable law.
(i) Taking advantage of a student's or potential student's inability to reasonably protect his or her the student's or potential student's interest because of a disability, illiteracy, or inability to understand the language of an agreement, if the sponsor knows or reasonably should have known of the student's or potential student's inability.
(j) Failing to honor a term of an agreement.
(k) Falsifying a document, agreement, record, report, or certificate associated with a basic driver improvement course.
(15) Except as otherwise provided in this act, the secretary of state may impose 1 or more of the sanctions listed under subsection (16) if the secretary of state determines that an approved sponsor did 1 or more of the following:
(a) Failed to meet a requirement under this act or an agreement established under this act.
(b) Violated this act or an agreement established under this act.
(c) Made an untrue or misleading statement of a material fact to the secretary of state or concealed a material fact in connection with an application or record under this act.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
(d) Permitted fraud or engaged in a fraudulent method, act, or practice in connection with a basic driver improvement course, or induced or countenanced fraud or a fraudulent method, act, or practice in connection with a basic driver improvement course.
(e) Engaged in an unfair or deceptive method, act, or practice or made an untrue statement of a material fact.
(f) Violated a suspension or an order issued under this act.
(g) Failed to maintain good moral character as defined and determined under 1974 PA 381, MCL 338.41 to 338.47, in connection with its business operations.
(16) After the secretary of state determines that an approved sponsor committed a violation listed in subsection (15), the secretary of state may impose upon the approved sponsor 1 or more of the following sanctions:
(a) Denial of an application for approval as a basic driver improvement course sponsor.
(b) Suspension or revocation of the approval of an approved sponsor.
(c) A requirement to take the affirmative action determined necessary by the secretary of state, including, but not limited to, payment of restitution to a student or to an injured person.
(17) An individual who is ordered by a court to complete a basic driver improvement course shall take the basic driver improvement course whether or not the individual is eligible under subsections (3) and (4). The secretary of state shall enter the points required under section 320a for an individual who completes a court-ordered basic driver improvement course but is not otherwise eligible under subsections (3) and (4).
(18) (17) As used in this section, "approved sponsor" means a
1
2
3
4
5
6
7
8
9
10
sponsor of a basic driver improvement course that is approved by the secretary of state under subsection (12) and whose approved status is not suspended or revoked under subsection (16).
Enacting section 1. This amendatory act does not take effect unless all of the following bills of the 102nd Legislature are enacted into law:
(a) House Bill No. 4250.
(b) House Bill No. 4252.
Enacting section 2. This amendatory act takes effect June 30, 2023.
