Michigan Compiled Laws, Chapter 280. Drain Code of 1956 § 280.283

Sec. 283. (1) The drain commissioner or drainage board shall use any surplus construction funds remaining in the construction fund after completion of the project for the inspection, repair, and maintenance of the drain as provided in section 196  1 or shall authorize the transfer of the funds to the bond and interest account, if bonds were issued, in the amounts the drain commissioner or drainage board considers proper.

(2) The drainage board or drain commissioner shall contract with a public corporation if that public corporation has been assessed for all or part of the cost of the drain or if land in a city, village, township, or combination thereof has been assessed for all or any part of the cost of a drain. The contract shall provide that after all outstanding drain orders or bonds are paid on a drainage district project, the drain commissioner or drainage board shall authorize the respective county treasurers to pay over any portion of the surplus not needed for more than the cost of inspection, repair, and maintenance of the drain as provided in section 196 to the county, township, city, or village in which the drain was located or in which assessments for benefits have been assessed and collected. The payments shall be on a pro rata basis in direct proportion to the amounts assessed and collected from each county, city, village, or township. The contract shall also provide that upon receipt of the surplus funds the county, city, village, or township shall utilize those surplus funds to alleviate drainage problems in their respective jurisdictions.

(3) If state highway funds are involved in a project, the drain commissioner or drainage board, upon completion of a construction project, shall return, on a pro rata basis, surplus construction funds in excess of the amount necessary to pay for inspection, repair, and maintenance of the drain as provided in section 196 to the state transportation department for the construction, maintenance, and administration of state highways.

(4) As used in this section, “public corporation” includes a city, village, township, or county, or the state.