HOUSE BILL No. 5847

 

March 8, 2006, Introduced by Reps. Moolenaar, Caul, Kahn, Mayes and Moore and referred to the Committee on Commerce.

 

     A bill to amend 1996 PA 376, entitled

 

"Michigan renaissance zone act,"

 

by amending section 8a (MCL 125.2688a), as amended by 2004 PA 430.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 8a. (1) Except as provided in subsections (2), (3), and

 

(4), the board shall not designate more than 9 additional

 

renaissance zones within this state under this section. Not more

 

than 6 of the renaissance zones shall be located in urban areas and

 

not more than 5 of the renaissance zones shall be located in rural

 

areas. For purposes of determining whether a renaissance zone is

 

located in an urban area or rural area under this section, if any

 

part of a renaissance zone is located within an urban area, the

 

entire renaissance zone shall be considered to be located in an

 

urban area.


 

     (2) The board of the Michigan strategic fund described in

 

section 4 of the Michigan strategic fund act, 1984 PA 270, MCL

 

125.2004, may designate not more than  6  11 additional renaissance

 

zones within this state in 1 or more cities, villages, or townships

 

if that city, village, or township or combination of cities,

 

villages, or townships consents to the creation of a renaissance

 

zone within their boundaries. The board of the Michigan strategic

 

fund may designate not more than 1 of the  6  11 additional

 

renaissance zones described in this subsection as an alternative

 

energy zone. An alternative energy zone shall promote and increase

 

the research, development, and manufacturing of alternative energy

 

technology as that term is defined in the Michigan next energy

 

authority act. An alternative energy zone shall have a duration of

 

renaissance zone status for a period not to exceed 20 years as

 

determined by the board of the Michigan strategic fund. Not later

 

than April 16, 2004, the board of the Michigan strategic fund may

 

designate not more than 1 of the  6  11 additional renaissance

 

zones described in this subsection as a pharmaceutical renaissance

 

zone. A pharmaceutical renaissance zone shall promote and increase

 

the research, development, and manufacturing of pharmaceutical

 

products of an eligible pharmaceutical company. The board of the

 

Michigan strategic fund may designate not more than  1  2 of the

 

additional  6  11 renaissance zones described in this subsection as

 

a redevelopment renaissance zone. A redevelopment renaissance zone

 

shall promote the redevelopment of existing industrial facilities.

 

Before designating a renaissance zone under this subsection, the

 

board of the Michigan strategic fund may enter into a development


 

agreement with the city, township, or village in which the

 

renaissance zone will be located.

 

     (3) In addition to the not more than 9 additional renaissance

 

zones described in subsection (1), the board may designate

 

additional renaissance zones within this state in 1 or more

 

qualified local governmental units if that qualified local

 

governmental unit or units contain a military installation that was

 

operated by the United States department of defense and was closed

 

in 1977 or after 1990.

 

     (4) Land owned by a county or the qualified local governmental

 

unit or units adjacent to a zone as described in subsection (3) may

 

be included in this zone.

 

     (5) Notwithstanding any other provision of this act, property

 

located in the alternative energy zone that is classified as

 

commercial real property under section 34c of the general property

 

tax act, 1893 PA 206, MCL 211.34c, and that the authority, with the

 

concurrence of the assessor of the local tax collecting unit,

 

determines is not used to directly promote and increase the

 

research, development, and manufacturing of alternative energy

 

technology is not eligible for any exemption, deduction, or credit

 

under section 9.

 

     (6) As used in this section:

 

     (a) "Eligible pharmaceutical company" means a company that

 

meets all of the following criteria:

 

     (i) Is engaged primarily in manufacturing, research and

 

development, and sale of pharmaceuticals.

 

     (ii) Has not less than 8,500 employees located in this state,


 

all of whom are located within a 100-mile radius of each other.

 

     (iii) Of the total number of employees located in this state,

 

has not less than 5,000 engaged primarily in research and

 

development of pharmaceuticals.

 

     (b) "Redevelopment renaissance zone" means a renaissance zone

 

that meets  all  1 of the following:

 

     (i) All of the following:

 

     (A)  (i)  Is located in a city with a population of more than

 

7,500 and less than 8,500 and is located in a county with a

 

population of more than 60,000 and less than 70,000.

 

     (B)  (ii)  Contains an industrial site of 200 or more acres.

 

     (ii) All of the following:

 

     (A) Is located in a city with a population of more than 40,000

 

and less then 44,000 and is located in a county with a population

 

of more than 81,000 and less than 87,000.

 

     (B) Contains an industrial site of more than 475 acres.