MILLAGE; MOSQUITO ABATEMENT                                     H.B. 5024 (H-1) & 5025 (H-1):

                                                                                                    SUMMARY OF BILL

                                                                                     REPORTED FROM COMMITTEE

House Bill 5024 (Substitute H-1 as reported)

House Bill 5025 (Substitute H-1 as reported)

Sponsor:  Representative Tim Sneller (H.B. 5024)

               Representative Gary Howell (H.B. 5025)

House Committee:  Local Government and Municipal Finance

                             Ways and Means

Senate Committee:  Local Government

CONTENT

House Bill 5024 (H-1) would amend Chapter 16 of the Revised Statutes of 1846 to do the following:

-- Allow a township to levy a tax of up to one mill for up to six years on all of the taxable property in the township for mosquito abatement.

-- Prohibit a proposal for a mosquito abatement tax from being placed on the ballot unless it was adopted by a resolution of the township board.

-- Require that a tax levied under the bill be levied and collected at the same time and in the same manner as provided under the General Property Tax Act.

House Bill 5025 (H-1) would amend Chapter 16 of the Revised Statutes of 1846 to do the following:

-- Allow a township to finance by special assessment the provision of mosquito abatement by private contractors.

-- Allow a township board to initiate the establishment of a township-wide special assessment district for mosquito abatement by resolution or the use of petitions to initiate the establishment of a special assessment district, or both.

-- Require a petition to be signed by the owners of at least 10% of the land in the township.

-- Require the township board to submit the question of raising money for mosquito abatement by special assessment to electors in that township at a general or special election if the requirements for a resolution or petition were met.

-- Require a ballot to include the duration of the special assessment.

-- Establish a special assessment district for mosquito abatement if a majority of the electors in the township approved it on a ballot.

-- Require that all proceedings related to making, levying, and collecting of special assessment for mosquito abatement conform as nearly as practicable with proceedings provided under Public Act 188 of 1954.

House Bill 5024 (H-1) is tie-barred to House Bill 5025 (H-1).

MCL 41.1a et al. (H.B. 5024)                                         Legislative Analyst:  Dana Adams

Proposed MCL 41.110c (H.B. 5025)                                                                            

FISCAL IMPACT

The bills would have no fiscal impact on the State and would likely have no net fiscal impact on local governments. The provisions of the bill are permissive, and so any fiscal impact would depend on the actions of individual townships. If a township chose to hold a special election regarding the millage, there would be costs incurred that would otherwise be avoided if the question were put on the ballot of a general election. The revenue from the special assessment would presumably be enough to pay the costs of mosquito abatement, so that would not result in a net increase in costs for the township.

Date Completed:  12-8-20                                                   Fiscal Analyst:  Ryan Bergan

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.