RESOLUTIONS FOR COLLECTION

OF DELINQUENT TAXES

Senate Bill 350 as passed by the Senate

Sponsor:  Sen. Kimberly LaSata

House Committee:  Local Government and Municipal Finance

Senate Committee:  Finance

Complete to 2-29-20

SUMMARY:

Senate Bill 350 would amend Chapter 9 (Finance and Taxation) of the General Law Village Act to revise the way villages determine when delinquent tax bills are forwarded to the county treasurer.

Now and under the bill, taxes collected by the village must be returned delinquent to the county treasurer on September 15 unless the village’s governing body has adopted a resolution providing that they be returned on the same date that county taxes are returned delinquent for collection. In order to apply to the immediately following summer tax levy, the resolution must be adopted by June 1 of that year.  

Under the bill, the resolution would apply to all subsequent tax levies until revoked by the village’s governing body, thus removing the requirement that villages adopt the resolution annually. Likewise, a revoking resolution would have to be adopted by June 1 to apply to the following summer tax levy and subsequent tax levies.

MCL 69.18

FISCAL IMPACT:

The bill would have no fiscal impact on state or local government. While the bill would marginally reduce administrative activities of affected villages, there would be no identifiable budgetary savings.

                                                                                        Legislative Analyst:   Jenny McInerney

                                                                                                Fiscal Analyst:   Ben Gielczyk

■ This analysis was prepared by nonpartisan House Fiscal Agency staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.