April 25, 2006, Introduced by Rep. Huizenga and referred to the Committee on Commerce.
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 9f (MCL 211.9f), as amended by 2004 PA 79.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
9f. (1) The governing body of an eligible local
assessing
district a local tax
collecting unit may adopt a
resolution to exempt from the collection of taxes under this act
all new personal property owned or leased by an eligible business
located
in 1 or more eligible districts designated in the
resolution
that local tax collecting
unit. The clerk of the
eligible
local assessing district local
tax collecting unit shall
notify
in writing the assessor of the local tax collecting unit in
which
the eligible district is located and the legislative body of
each
taxing unit that levies ad valorem property taxes in the
eligible
local assessing district in which the eligible district is
located
local tax collecting unit. Before acting on the
resolution,
the governing body of the eligible local assessing
district
local tax collecting unit shall afford the assessor and a
representative of the affected taxing units an opportunity for a
hearing.
(2) The exemption under this section is effective on the
December 31 immediately succeeding the adoption of the resolution
by
the governing body of the eligible local assessing district
local tax collecting unit and shall continue in effect for a period
specified in the resolution. A copy of the resolution shall be
filed with the state tax commission. A resolution is not effective
unless approved by the state tax commission as provided in
subsection (3).
(3) Not more than 60 days after receipt of a copy of the
resolution adopted under subsection (1), the state tax commission
shall approve or disapprove the resolution. The state treasurer,
with the written concurrence of the president of the Michigan
strategic fund, shall advise the state tax commission as to whether
exempting new personal property of the eligible business is
necessary to reduce unemployment, promote economic growth, and
increase capital investment in this state.
(4) Notwithstanding the amendatory act that added section
2(1)(c), all of the following shall apply to an exemption under
this section that was approved by the state tax commission on or
before April 30, 1999, regardless of the effective date of the
exemption:
(a) The exemption shall be continued for the term authorized
by
the resolution adopted by the governing body of the eligible
local
assessing district and approved by the state tax commission
with respect to buildings and improvements constructed on leased
real property during the term of the exemption if the value of the
real property is not assessed to the owner of the buildings and
improvements.
(b) The exemption shall not be impaired or restricted with
respect to buildings and improvements constructed on leased real
property during the term of the exemption if the value of the real
property is not assessed to the owner of the buildings and
improvements.
(5) As used in this section:
(a) "Eligible business" means, effective August 7, 1998, a
business engaged primarily in manufacturing, mining, research and
development, wholesale trade, or office operations. Eligible
business does not include a casino, retail establishment,
professional sports stadium, or that portion of an eligible
business used exclusively for retail sales. As used in this
subdivision, "casino" means a casino regulated by this state
pursuant to the Michigan gaming control and revenue act, the
Initiated Law of 1996, MCL 432.201 to 432.226, and all property
associated or affiliated with the operation of a casino, including,
but not limited to, a parking lot, hotel, motel, or retail store.
(b)
"Eligible district" means 1 or more of the following:
(i) An industrial development district as that term is
defined
in
1974 PA 198, MCL 207.551 to 207.572.
(ii) A renaissance zone as that term is defined in the
Michigan
renaissance
zone act, 1996 PA 376, MCL 125.2681 to 125.2696.
(iii) An enterprise zone as that term is defined in the
enterprise
zone act, 1985 PA 224, MCL 125.2101 to 125.2123.
(iv) A brownfield redevelopment zone as that term is
designated
under
the brownfield redevelopment financing act, 1996 PA 381, MCL
125.2651
to 125.2672.
(v) An empowerment zone designated under subchapter U
of
chapter
1 of the internal revenue code of 1986, 26 USC 1391 to
1397F.
(vi) An authority district or a development area as
those terms
are
defined in the tax increment finance authority act, 1980 PA
450,
MCL 125.1801 to 125.1830.
(vii) An authority district as that term is defined in
the
local
development financing act, 1986 PA 281, MCL 125.2151 to
125.2174.
(viii) A downtown district or a development area as those
terms
are
defined in 1975 PA 197, MCL 125.1651 to 125.1681.
(c)
"Eligible distressed area" means 1 of the following:
(i) That term as defined in section 11 of the state
housing
development
authority act of 1966, 1966 PA 346, MCL 125.1411.
(ii) An area that contains an eligible business as
described in
section
8(5)(b)(ii) of the Michigan
economic growth authority act,
1995
PA 24, MCL 207.808.
(d)
"Eligible local assessing district" means a city, village,
or
township that contains an eligible distressed area.
(b) (e)
"New personal property" means personal property
that
was not previously subject to tax under this act and that is placed
in an
eligible district a local
tax collecting unit after a
resolution
under subsection (1) is approved by the
eligible local
assessing
district local tax collecting
unit. As used in this
subdivision, for exemptions approved by the state tax commission
under subsection (3) after April 30, 1999, new personal property
does not include buildings described in section 14(6) and personal
property described in section 8(h), (i), and (j).