SB-0926, As Passed Senate, June 7, 2006
December 7, 2005, Introduced by Senator CASSIS and referred to the Committee on Finance.
A bill to amend 1984 PA 270, entitled
"Michigan strategic fund act,"
by amending section 74 (MCL 125.2074), as amended by 1987 PA 278.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 74. (1) The fund may utilize the money held in the
research center fund to provide financial aid to nonprofit research
and development enterprises that perform or cause to be performed,
or both, research and development in present and emerging
technology and in the application of that technology to business
and industry.
(2) The present or emerging technologies that are provided
financial aid should serve as a foundation for future job growth or
retention in this state, encourage economic stability or
diversification in this state, and establish this state as a center
of excellence in high technology.
(3) Financial aid under this act may be provided for the
purposes of designing and constructing new facilities, designing
and rehabilitating existing facilities, acquiring an interest in
real or personal property, providing working capital, which may
include salaries, rent, supplies, inventory, accounts receivable,
mortgage payments, legal costs, utility costs, telephone, travel,
and other incidental costs normally classified as working capital
according to standard accounting principles. Working capital
financing grants provided by the fund to a particular research and
development enterprise shall not be granted for a period exceeding
10 years calculated from the effective date of the first grant to
the expiration date of the last grant.
(4) Financial aid provided by the fund may be on those terms
and conditions as the fund, in its sole discretion, shall determine
to be reasonable, appropriate, and consistent with the purposes and
objectives of the fund and this act.
(5) The minimum financial aid grant under this act shall be
$2,500,000.00 to be paid over the period of time as the fund shall
specify in the grant unless this restriction is waived by a 2/3
vote of the members of the board.
(6) Property
Personal property that is
leased, owned, and
used, or that portion of real property that is leased, subleased,
owned, and
used or occupied by a nonprofit research and
development
enterprise that receives or has received financial aid
benefit or support pursuant to this act or under section 117 of
2000
PA 291 in the amount of $1,000,000.00
or more pursuant to
this
section or pursuant to former Act No. 70 of the
Public Acts
of
1982 1982 PA 70 or that has
received financial benefit or
support in the amount of $1,000,000.00 or more from an organization
with tax-exempt status under section 501(c)(3) of the internal
revenue code, 26 USC 501, that received financial benefit or
support directly or indirectly under this act or section 117 of
2000
PA 291 is exempt from ad
valorem real and personal property
taxes imposed
collected under the general property tax act, Act
No.
206 of the Public Acts of 1893, being sections 211.1 to 211.157
of
the Michigan Compiled Laws 1893 PA 206, MCL 211.1 to 211.157,
while the property is leased, subleased, owned, used, or occupied
by that nonprofit research and development enterprise solely for
the purpose of performing or coordinating research and development
in present and emerging technology and of the application of that
technology to business and industry and provided that the research
and
development enterprise retains its
nonprofit tax-exempt
status under section 501(c)(3) of the internal revenue code, 26 USC
501.