SB-0539, As Passed Senate, December 1, 2007

SUBSTITUTE FOR

SENATE BILL NO. 539

     A bill to amend 1996 PA 381, entitled

"Brownfield redevelopment financing act,"

by amending section 16 (MCL 125.2666), as amended by 2000 PA 145.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 16. (1) The municipal and county treasurers shall

transmit tax increment revenues to the authority not more than 30

days after tax increment revenues are collected.

     (2) The authority shall expend the tax increment revenues

received only in accordance with the brownfield plan. All surplus

funds not deposited in the local site remediation revolving fund of

the authority under section 13(5) shall revert proportionately to

the respective taxing bodies, except as provided in section 15(20).

The governing body may abolish the plan when it finds that the

purposes for which the plan was established are accomplished.

However, the plan shall not be abolished until the principal and

interest on bonds issued under section 17 and all other obligations

to which the tax increment revenues are pledged have been paid or

funds sufficient to make the payment have been segregated.

     (3) The authority shall submit annually to the governing body

and the state tax commission a financial report on the status of

the activities of the authority. The report shall include all of

the following:

     (a) The amount and source of tax increment revenues received.

     (b) The amount and purpose of expenditures of tax increment

revenues.

     (c) The amount of principal and interest on all outstanding

indebtedness.

     (d) The initial taxable value of all eligible property subject

to the brownfield plan.

     (e) The captured taxable value realized by the authority.

     (f) Information concerning any transfer of ownership of or

interest in each eligible property.

     (g) The amount of tax increment revenues attributable to taxes

levied for school operating purposes used for activities described

in section 15(1)(a) and section 2(m)(vii).

(h) (g) All additional information that the governing body or

the state tax commission considers necessary.

     (4) The state tax commission shall collect the financial

reports submitted under subsection (3), compile and analyze the

information contained in those reports, and submit annually a

report based on that information to all of the following standing

committees of the legislature:

     (a) In the house of representatives, the committees

responsible for natural resource management, conservation,

environmental protection, commerce, economic development, and

taxation.

     (b) In the senate, the committees responsible for natural

resource management, conservation, environmental protection,

economic development, and taxation.

     (5) In addition to any other requirements under this act, not

less than once every 3 years beginning not later than June 30,

2008, the auditor general shall conduct and report a performance

postaudit on the effectiveness, efficiency, and economy of the

program established under this act. As part of the performance

postaudit, the auditor general shall assess the extent to which the

implementation of the program by the department and the Michigan

economic growth authority facilitate and affect the redevelopment

or reuse of eligible property and identify any factors that inhibit

the program's effectiveness. The performance postaudit shall also

assess the extent to which the interpretation of statutory

language, the development of guidance or administrative rules, and

the implementation of the program by the department and the

Michigan economic growth authority is consistent with the

fundamental objective of facilitating and supporting timely and

efficient brownfield redevelopment of eligible properties. Copies

of the performance postaudits shall be provided to the governor,

the clerk of the house of representatives, the secretary of the

senate, and the chairpersons of the senate and house of

representatives standing committees on commerce and economic

development.

     Enacting section 1. This amendatory act does not take effect

unless all of the following bills of the 94th Legislature are

enacted into law:

     (a) Senate Bill No. 534.

     (b) House Bill No. 4711.

     (c) House Bill No. 4712.