RE Course Section 5: MI Land Use Controls And Environmental Issues

Sam's kids talked him into putting up the basketball hoop that their grandparents got them for Christmas. On a quiet Saturday afternoon, Sam is busy nailing the backboard to the front of their garage facing the street when one of the officers of the homeowners association walks by. "I'm so sorry," she says, "but you'll have to take that down. Basketball hoops in direct view of the street are prohibited." What is in place in Sam's subdivision that would prohibit this? CC&Rs Deed warranty Law Regulation

CC&Rs

The process in which the government actually takes someone's property through the power of eminent domain is called __________.

Condemnation

CC&Rs?

Conditions, covenants, and restrictions

What agency administers the Interstate Land Sales Full Disclosure Act? Consumer Financial Protection Bureau Department of Energy Conservation Developers Land Sales Administration Housing and Urban Development

Consumer Financial Protection Bureau

A ________ is a limitation on the use of land that appears in the deed itself. Building permit Deed restriction Doctrine of laches Restrictive covenant

Deed restriction

In Michigan, approval for regulated activities in wetlands must be obtained from which entity? Department of Environmental Quality Supreme Court Urban Planners Zoning Board of Appeals

Department of Environmental Quality

_________ is the power of the government to take private land for public use.

Eminent domain

Which power is used by the government upon the death of a property owner when no will, heirs, or creditors can be found?

Escheat

T or F: Zoning ordinances are established prior to the planning board presenting its recommendations to the city council for the comprehensive master plan.

False, Zoning ordinances are established after the planning board presents its recommendations to the city council for the comprehensive master plan, not before.

T or F: The state controls lands and open spaces, planning and zoning, and subdivision development.

False- Although the state does have control over certain public properties, local governments and their planning boards have control over these areas.

T or F: Government agencies may exercise police power only in situations where it does not restrict the freedom of its citizens.

False- Even if it restricts citizens' freedom, government agencies may exercise police power if it is in the public's best interest.

Clean Water Act

Federal Law setting a national goal of making all natural surface water fit for fishing and swimming by 1983, banned polluted discharge into surface water and required the metals be removed from waste

Under the Michigan Department of Environmental Quality, which of the following wetland activities requires permission? Altering water levels Constructing a home Fishing Removing soil, minerals, or water

Fishing- must have permission to use wetland for recreational purposes

What is the legal power of police?

Governmental authority to do what's right for the public good

What are the four types of government power?

(PETE) Taxation, eminent domain, escheat, and police power

4 phases of environmental site assessment

1. Investigation of the property 2. Testing prompted by the results of phase 1 3. Clean up, governmental agencies may assist in this phase 4. Management by appropriate parties

criteria for use variance

1. the economic benefit or use of the property is eliminated due to the zoning 2. the hardship is unique to the property and not the neighborhood 3. the requested variance will not alter the essential character of the neighborhood 4. the hardship being claimed is NOT self-inflicted

Interstate Land Sales Full Disclosure Act

A federal law that regulates the sale of certain real estate across state lines

Radon

A gas that arises from the earth where radioactive materials are present.

Asbestos

A long, thin, fibrous silicate mineral with insulating properties, which can cause cancer when inhaled. Doesn't cause problems unless it's disturbed

Underground storage tanks

A possible cause of groundwater contamination - licensees should disclose what they know and recommend water testing

The state can use its power of escheat in which of the following circumstances?

A property owner dies without a will in place, and no heirs or creditors can be found.

Superfund site

A site where hazardous waste has been spilled- that company is responsible for cleaning the site

Restrictive covenants

A type of deed restriction; provision in a property deed preventing sale to a person of a particular race or religion; loan discrimination; ruled unconstitutional

The Johnsons have owned a small restaurant for more than 20 years. It's open for lunch and dinner six days a week, and 80% of its weekday revenue comes from the happy hour drink and appetizer specials. The town in which their restaurant is located recently constructed a new middle school and stripped the liquor license from the Johnsons' restaurant, because it no longer complies with the ordinance to be 500 feet from a school property. The Johnsons have accused the town of _____.

Inverse Condemnation

What is the legal power of escheat?

Involuntary conveyance at death when no will exists and no heirs or creditors are found

What is the legal power of eminent domain?

Involuntary title conveyance for the public good

What is the legal power of taxation?

Lien

Is the owner compensated for police power?

Maybe (The owner is usually compensated if there is a loss in value or use)

In Michigan, where are laws that provide subdivision development regulations found? Michigan City Planning Act Michigan Land Division Act National Builder's Code Planning Act of 1998

Michigan Land Division Act

Transfer of which of the following always requires a certificate of occupancy? Condominium Existing single-family home New construction Undeveloped land

New construction

Is the owner compensated for escheat?

No

Is the owner compensated for taxation?

No

Which one of the following statements about asbestos is true? Homeowners can safely remove it. It's harmful only if left in place. It's not harmful at low levels. No amount of it is considered safe.

No amount of it is considered safe.

After the construction project is in compliance with all building codes, the next action is to ________. File a request for the six-month waiting period to begin Obtain a Certificate of Code Compliance Obtain a Certificate of Health Obtain a Certificate of Occupancy

Obtain a Certificate of Occupancy

Property owner Skip is planning to build an addition onto his home. Before the work can begin, Skip must_____________. Make sure that the repairs are completed by a licensed professional Obtain a permit Obtain bids to complete the repairs Post a public notice in his local newspaper

Obtain a permit

Cluster zoning would include single-family homes, townhomes, apartments, and condominiums on a single parcel, provided that the developer leaves a portion ________. Of each building for a community room Of the parcel for parking Of the parking lot for RV parking Open for a playground, a park, and a walking path

Open for a playground, a park, and a walking path

PETE - acronym for the government powers over land use

P- Police power E- Eminent domain T- Taxes E- Escheat

Which group ensures that community growth is controlled and orderly? HOA Master commission Planning board Zoning board of appeals

Planning board

A property owner in Michigan is selling property that abuts a private road. Which of the following is the best way to disclose this fact to buyers? Ensure the deed mentions this fact. Include mention of this fact in the sales contract. Provide the disclosure on a separate form that's attached to the property conveyance instrument. This fact doesn't need to be disclosed.

Provide the disclosure on a separate form that's attached to the property conveyance instrument.

A ______ is a limit placed on a private owner's use of land. Building permit Deed restriction Doctrine of laches Restrictive covenant

Restrictive covenant

Clean Air Act

Set emission standards for cars, and limits for release of air pollutants

After receiving the property report from the developer, the buyer has ______ days to cancel the purchase agreement. Five Nine Seven Three

Seven

Where can radon be found in homes?

Soil, private wells (arises naturally from environment)

The power of escheat belongs to different governmental authorities, depending on the state in which the deceased resided. In Michigan, at what level of government is the power of escheat exercised?

State

T or F: A PUD is planned and built as a unit.

T

T or F: Any municipality with zoning authority is able to establish ordinances for PUDs.

T

T or F: PUD describes both the type of the development and the regulatory process that allows the developer to meet the community's goals for land use and density without being restricted by existing zoning requirements.

T

T or F: Potential benefits of a PUD include more efficient site design, preservation of amenities, such as open space, lower costs for street construction, utility extension for the developer, and lower maintenance costs for the municipality.

T

T or F: Using a PUD allows for innovative uses of spaces and structures to achieve planning goals.

T

Allentown sits on the river, and its many bridges need repair. Which police power is Allentown likely to use in order to fund improvements to its bridges?

Taxation

Moratorium

Temporary halting of new property development with the community's best interests in mind

When a city is determining zones, what should be followed? Construction standards Federal zoning codes State zoning codes The comprehensive plan

The comprehensive plan

Kelo vs. City of New London (A case centered on a city's use of the power of eminent domain)... What was significant about the court's ruling?

The court ruled that cities can exercise the power of eminent domain to promote private economic development, stating that the public will get an economic benefit.

Property owners need to be consistent in enforcement of restrictive covenants or the restrictions can be lost through ____________.

The doctrine of laches

What does a city certification certify? Advertising is permitted. Construction may begin. Legal occupancy is permitted. The property complies with local building codes.

The property complies with local building codes.

During a home inspection, if a soil sample is taken near an underground oil tank and the soil is contaminated, who is responsible for the clean-up and tank's decommissioning? The broker The buyer The licensee The seller

The seller

What do wetlands do?

They filter out pollutants/sediment in water and absorb water to prevent flooding

comprehensive master plan

This plan inventories the community's make-up: who lives there, what the businesses and industries are, the population's demographic make-up, that sort of thing.

Why might a seller in Michigan be required to disclose the fact that the property abuts a private road? To advise buyers that maintenance requests for the road must be submitted through county road commissioners. To caution buyers of the risk of eminent domain should the private road be made public. To disclose to buyers that the county or state may eventually take ownership of the private road. To inform buyers that private roads generally aren't maintained by any public body, so maintenance costs may fall on property owners.

To inform buyers that private roads generally aren't maintained by any public body, so maintenance costs may fall on property owners.

T or F: Governmental authority to do what's right for the public good

True

T or F: Local governments and their planning boards control budgeting, site plan review, and building codes.

True

T or F: The comprehensive master plan includes budgeting for long-term projects (known as capital budgeting) and a designated start date for all budgeted projects.

True

What is the most common way that asbestos enters the body? Asbestos coating in water pipes can contaminate drinking water, which is then ingested. Asbestos in paint can be released into the air as the paint peels, which is then inhaled or ingested. When asbestos fibers decay or are disturbed, the friable particles can be inhaled. When rocks and soil decay, asbestos gas is released, which is then inhaled.

When asbestos fibers decay or are disturbed, the friable particles can be inhaled.

Condemnation

When the government actually takes someone's property under eminent domain, it's called condemnation.

Taking

When the government does take away private property, it's called a taking.

Inverse Condemnation

When the taking is regulatory in nature, or any time the government is physically occupying private property without the owner's consent, it's called inverse condemnation. In this case, the property owner must sue the government for compensation.

Which of the following scenarios accurately represents your environmental disclosure responsibility as a real estate licensee? You must disclose all known environmental hazards for both residential and commercial properties. You must disclose all known environmental hazards for commercial properties only; residential disclosure is the seller's sole responsibility. You must disclose all known environmental hazards for residential properties only; commercial disclosure is the seller's sole responsibility. You must disclose all suspected environmental hazards for both residential and commercial properties.

You must disclose all known environmental hazards for both residential and commercial properties.

Deed Restriction/covenant (a type of deed restriction)

a private agreement that impacts the use of land (ex: may specify the heights of fencing that may be used by residents)

Toxic Substances Control Act

administered by EPA to regulate chemical substances that pose an unreasonable risk of injury to health and the environment

Cumulative Zoning

allows any use that would be allowed in a higher-use, less intensive zone to also be permitted in a lower-use, more intensive zone (EX: a residential unit could be built in an industrial zone, but an industrial building isn't permitted to be built in a residential zone)

Michigan Environmental Protection Act (MEPA)

allows courts to prevent activities that might harm the environment

Use Variance

allows the owner to use the land for a purpose that would otherwise not be allowed due to the current zoning

Area variance

allows the owner to use the land in a way that is not normally allowed by the physical or dimensional requirements of the current zoning

Zoning

an area of police power that impacts private landownership and the use of that land.

Floodplains

areas of low relief adjacent to channel (like a river). They store floodwaters, prevent erosion, and help maintain water quality

Before a developer can build/renovate a building, where most the permit they get from local government be posted?

at the job site

Actions that can be taken to detect radon in homes...

buy a radon detection kit, hire a professional, seal any crakes or spaces in foundation walls/chimney/etc where soil and water could enter the house, install a system to vent and filter radon out of home

Purpose of a city certification?

certifies that the property complies with local building codes

Mixed Use Properties

combine complementary uses such as residential and commercial. Often these are built with a retail space below and condominiums above.

Resource Conservation and Recovery Act

controls hazardous waste with a cradle to grave system

Planning board

decides the layout of the community by mapping out zones and specifying the allowed use within those zones, approves special use permit requests

Who can impose a covenant/deed restriction?

developers or property owners

Planned unit development (PUDs)

examples of mixed-use properties, In a PUD, individuals will own the building or unit they live in, and will share joint ownership with other members of the development or association. This differs from condominiums, in which the owners simply own the airspace of their individual units, and the buildings and common areas are jointly owned.

Mold

found in newer and older homes, appears where there is moisture and a lack of air circulation, dangerous because it can cause respiratory problems at high levels

How can you determine if asbestos is present in a home?

hire an accredited professional to test for it.

Comprehensive Environmental Response, Compensation and Liability Act (CERCLA)

identifies sites that have hazardous substances and requires the responsible party to clean them up

doctrine of laches

if one does not act within a reasonable time, equity will not hear your case

Zoning ordinances

implement the comprehensive plan and regulate and control zoning and land use

What are some subdivision regulations?

land design, access to and from building lots, special assessments to cover development costs

Superfund Amendments and Reauthorization Act (SARA)

land owners aren't responsible if they didn't know about the contamination when the property was purchased

Cluster zoning (also called density zoning)

method of determining density by a specific area rather than lot-by-lot

Exclusive Use

opposite of mixed-use zoning, only one type of land use allowed

Non-navigable water belongs to ____(public or private)

private landowner

navigable water belongs to ______(public or private).

public

The National Environmental Policy Act (NEPA)

requires federal agencies to evaluate the environmental effects of their proposed actions before making decisions

Eminent Domain

the power of the government to take private land for public use. It's part of the Fifth Amendment to the Constitution which says that no person may be deprived of property "without due process of law; nor shall private property be taken for public use, without just compensation."

Non-conforming use

when a property is no longer permitted because of a zoning change

Spot zoning

when a specific property is rezoned for another use within a zoning area

Is the owner compensated for eminent domain?

yes