Lee finished 72 holes of stroke play at the Sunset Ridge Country Club in Northfield in a share of 5th while Michel was tied for 10th.
The event - one of American’s most historic amateur championships - will move into the knockout match play phase matches over the next three days to determine the winner.
Lee’s final two rounds of 66 moved him from outside the top 16 to be comfortably inside the mark and while Michel is on the other side of the draw, keeping alive the slim chance of an All-Australian final.
The first round of matches get underway on Friday morning US time with Lee taking on American Davis Riley and Michel to meet American Brandon Wu.
Lee made it through the first round matches last year after just squeezing into the Sweet 16 but was eliminated in the Quarter Finals.
For Michel it is his first time in the event and at number 250 in the world amateur rankings at present he has done extremely well to make it this far against some of the world's best.
New Zealander Daniel Hillier was unable to survive a six-man playoff for the one remaining spot in the match play field.
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