HOUSE BILL NO. 6160

A bill to amend 1893 PA 206, entitled

"The general property tax act,"

(MCL 211.1 to 211.155) by adding section 34f.

the people of the state of michigan enact:

Sec. 34f. (1) A local governmental unit shall not enact or enforce a local property tax cap on the gross dollar amount of revenue levied or raised annually if the cap requires an automatic reduction on a fixed millage rate.

(2) If a local governmental unit has a local property tax cap on the gross dollar amount of revenue levied or raised annually that requires an automatic reduction on a fixed millage rate on or after the effective date of the amendatory act that added this section, the local property tax cap is void and unenforceable and the local governmental unit must not be required to reduce its millage rate.

(3) As used in this section:

(a) "Local governmental unit" means a county, city, township, or village.

(b) "Local property tax" means an ad valorem property tax levied by a local governmental unit and collected under this act.

(c) "Local property tax cap" means a fixed limitation on the gross dollar value of a local property tax levied or raised annually, imposed by a local governmental unit on its own taxing authority by charter, ordinance, policy, rule, or otherwise. Local property tax cap does not include a limitation on a local property tax imposed by the constitution or other law of this state.