MI HB4186

Local governments and land bank authorities must include a provision in asbestos abatement contracts allowing payment withholding if the contractor, demolition contractor, or subcontractor enters into or negotiates an administrative consent order or consent judgment with the Michigan Department of Environment, Great Lakes, and Energy for environmental violations related to that project or other asbestos abatement projects.

Payment may be withheld until the local government or land bank authority receives verification that environmental violations cited in the administrative consent order, consent judgment, or proposed order have been corrected.

Asbestos abatement contractors, demolition contractors, and their subcontractors must disclose to local governments or land bank authorities if they are subject to an active administrative consent order or consent judgment, or are negotiating one, with environmental regulatory agencies for any environmental regulation violations.

Defines key terms including "asbestos," "asbestos abatement contractor," "asbestos abatement project," and "local government" for purposes of the act.

Effective date is 91 days after final adjournment of the 2024 Regular Session.