Section R. 299.4004 - Offer at public auction; procedureRule 4.
(1) Metallic mineral lease rights in state lands may be offered at public auction.(2) The lessor shall stipulate the terms and conditions under which lands may be offered for lease auction.(3) Any qualified party may make a bid on metallic mineral rights offered for lease.(4) The full amount of the bonus must be paid or arrangements which are satisfactory to the lessor must be made for the payment of the bonus on the same date on which the lease rights are bid. Bidders may establish credit with the department through prior leasing activity or by filing 3 references acceptable to the department, 1 of which shall be a bank, in which case total payment may be made by personal or company check. Bidders who do not have an established credit rating with the department shall pay not less than 1/2 of the total bonus bid in cash or by certified check or money order. All remittances must be made payable to: "State of Michigan."(5) Failure of the successful bidder to pay the total bid at the time of auction or make arrangements satisfactory to the lessor for payment thereof at the time of the auction shall result in the forfeiture of the bonus and the lease rights to the lands involved.(6) The lessor reserves the right to reject any bid or stop the auction of any offered lease rights at any time for good and sufficient reasons.(7) Lands for which no bids are received must not be offered at lease auction unless applied for again. The lessor, in its discretion, may include the unbid land in a future lease auction.(8) Available lands on which bids were not accepted or where the successful bidder defaults must be offered at the following lease auction unless withdrawn from auction for any stated reason, or leased under R 299.4005.Mich. Admin. Code R. 299.4004
1984 AACS; 2018 MR 4, Eff. 2/9/2018An obvious error in R 299.4001 was corrected at the request of the promulgating agency, pursuant to Section 56 of 1969 PA 306, as amended by 2000 PA 262, MCL 24.256. The rule containing the error was published in Michigan Register, 2018 MR 4. The memorandum requesting the correction was published in Michigan Register, 2018 MR 5.