SENATE BILL No. 514

 

 

May 17, 2007, Introduced by Senators ALLEN, SANBORN, BARCIA, RICHARDVILLE and GARCIA and referred to the Committee on Finance.

 

 

 

     A bill to amend 1893 PA 206, entitled

 

"The general property tax act,"

 

(MCL 211.1 to 211.155) by adding section 7nn.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 7nn. (1) Except as otherwise limited in subsection (2),

 

the governing body of a local tax collecting unit may adopt a

 

resolution to exempt from the collection of taxes under this act

 

all real and personal property owned or leased by an eligible food

 

service establishment located in that local tax collecting unit.

 

Before acting on the resolution, the clerk of the local tax

 

collecting unit shall notify in writing the assessor of the local

 

tax collecting unit and the legislative body of each taxing unit

 

that levies ad valorem property taxes in the local tax collecting

 


unit. The governing body of the local tax collecting unit shall

 

afford the assessor and a representative of the affected taxing

 

units an opportunity for a hearing on the proposed resolution.

 

     (2) The exemption under this section does not apply to ad

 

valorem property taxes specifically levied for the payment of

 

principal and interest of obligations approved by the electors or

 

obligations pledging the unlimited taxing power of the local

 

governmental unit.

 

     (3) The exemption under this section is effective on the

 

December 31 immediately succeeding the adoption of the resolution

 

by the governing body of the local tax collecting unit and shall

 

continue in effect for a period specified in the resolution. A copy

 

of the resolution shall be filed with the state tax commission.

 

     (4) As used in this section:

 

     (a) "Eligible food service establishment" means a food service

 

establishment that prohibits its patrons from smoking tobacco

 

products within that food service establishment.

 

     (b) "Food service establishment" means that term as defined in

 

section 1107 of the food law of 2000, 2000 PA 92, MCL 289.1107.