S.B. 666: COMMITTEE SUMMARY - SPECIAL ASSESSMENT DEFERMENT


Senate Bill 666 (as introduced 7-10-97)

Sponsor: Senator Dan L. DeGrow

Committee: Finance


Date Completed: 3-25-98


CONTENT


The bill would amend Public Act 25 of 1976, which provides for the deferment of the collection of special assessments on homestead property, to delete a requirement that a special assessment be at least $300 to be eligible for deferment.


Currently, under the Act, to be eligible to defer a special assessment, the owner of a homestead must be 65 years old or older or totally and permanently disabled, a U.S. citizen, a resident of Michigan for at least five years, and the sole owner of the homestead for at least five years; have a household income during the last calendar year that did not exceed an amount specified in the Act that is adjusted annually for inflation ($16,044 in 1998); and owe a special assessment, exclusive of interest, that is at least $300. Special assessments due on a homestead in any year in which the owner is eligible for a deferral are deferred until one year after the owner's death, or until the homestead is sold, conveyed, or transferred to another person. A deferred special assessment may be paid in full at any time.


MCL 211.763 - Legislative Analyst: G. Towne


FISCAL IMPACT


The bill would have no State fiscal impact. Local unit special assessment collections, for senior citizens who meet the household income requirements specified in the bill and owe less than $300, could be deferred. The local unit fiscal impact would be minimal.


- Fiscal Analyst: R. Ross

S9798\S666SA

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.