December 3, 2008, Introduced by Rep. Clemente and referred to the Committee on New Economy and Quality of Life.
A bill to amend 2003 PA 260, entitled
"Tax reverted clean title act,"
by amending sections 4 and 5 (MCL 211.1024 and 211.1025).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4. (1) Not later than December 31 of each year, an
authority shall provide a list of all property sold by the
authority in that calendar year to the assessor of each local tax
collecting unit in which the property sold by the authority is
located.
(2) The assessor of each local tax collecting unit in which
there is eligible tax reverted property shall determine annually as
of December 31 the true cash value and taxable value of each parcel
of eligible tax reverted property and shall furnish that
information to the legislative body of the local tax collecting
unit.
Sec. 5. (1) There is levied upon every owner of eligible tax
reverted property a specific tax to be known as the eligible tax
reverted property specific tax.
(2) The amount of the eligible tax reverted property specific
tax in each year is the amount of tax that would have been
collected on that parcel under the general property tax act, 1893
PA
206, MCL 211.1 to 211.157 211.155, if that parcel was not exempt
under section 3. An owner of eligible tax reverted property that is
a principal residence may claim an exemption for that portion of
the specific tax attributable to the tax levied by a local school
district for school operating purposes to the extent provided under
section 1211 of the revised school code, 1976 PA 451, MCL 380.1211,
if an owner of that eligible tax reverted property claims or has
claimed an exemption for the property as a principal residence as
provided in section 7cc of the general property tax act, 1893 PA
206, MCL 211.7cc.
(3) Except as otherwise provided in section 6, the eligible
tax reverted property specific tax shall be collected, disbursed,
and assessed in accordance with this act.
(4) The eligible tax reverted property specific tax is an
annual tax, payable at the same times, in the same installments,
and to the same officer or officers as taxes imposed under the
general
property tax act, 1893 PA 206, MCL 211.1 to 211.157
211.155, and the state education tax act, 1993 PA 331, MCL 211.901
to 211.906, are payable. Except as otherwise provided in this
section, the officer or officers shall disburse the eligible tax
reverted property specific tax payments received by the officer or
officers each year as follows:
(a) Fifty percent of the eligible tax reverted property
specific tax to and among this state and cities, townships,
villages, school districts, counties, or other taxing units, at the
same times and in the same proportions as required by law for the
disbursement of taxes collected under the general property tax act,
1893
PA 206, MCL 211.1 to 211.157 211.155.
(b) Fifty percent of the eligible tax reverted property
specific tax to the authority that sold or otherwise conveyed the
property under the land bank fast track act, 2003 PA 258, MCL
124.751 to 124.774, which sale or conveyance caused the property to
be eligible tax reverted property. The eligible tax reverted
property specific tax disbursed under this subdivision shall only
be used by the authority for 1 or more of the following:
(i) For the purposes authorized under the land bank fast track
act, including, but not limited to, costs to clear, quiet, or
defend title to property held by the authority.
(ii) To repay a loan made to the authority under section 2f of
1855 PA 105, MCL 21.142f.
(5) For intermediate school districts receiving state aid
under sections 56, 62, and 81 of the state school aid act of 1979,
1979 PA 94, MCL 388.1656, 388.1662, and 388.1681, of the amount of
eligible tax reverted property specific tax that would otherwise be
disbursed to an intermediate school district, all or a portion, to
be determined on the basis of the tax rates being utilized to
compute the amount of state aid, shall be paid to the state
treasury to the credit of the state school aid fund established by
section 11 of article IX of the state constitution of 1963.
(6) The amount of eligible tax reverted property specific tax
described in subsection (2) that would otherwise be disbursed to a
local school district for school operating purposes shall be paid
instead to the state treasury and credited to the state school aid
fund established by section 11 of article IX of the state
constitution of 1963.
(7) The officer or officers shall send a copy of the amount of
disbursement made to each unit under this section to the commission
on a form provided by the commission.
(8) Eligible tax reverted property located in a renaissance
zone under the Michigan renaissance zone act, 1996 PA 376, MCL
125.2681 to 125.2696, is exempt from the eligible tax reverted
property specific tax levied under this act to the extent and for
the duration provided pursuant to the Michigan renaissance zone
act, 1996 PA 376, MCL 125.2681 to 125.2696, except for that portion
of the eligible tax reverted property specific tax attributable to
a tax described in section 7ff(2) of the general property tax act,
1893 PA 206, MCL 211.7ff. The eligible tax reverted property
specific tax calculated under this subsection shall be disbursed
proportionately to the taxing unit or units that levied the tax
described in section 7ff(2) of the general property tax act, 1893
PA 206, MCL 211.7ff.