January 22, 2009, Introduced by Rep. Marleau and referred to the Committee on Judiciary.
A bill to amend 2001 PA 34, entitled
"Revised municipal finance act,"
by amending section 103 (MCL 141.2103).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 103. As used in this act:
(a) "Assessed value", "assessed valuation", "valuation as
assessed", and "valuation as shown by the last preceding tax
assessment roll", or similar terms, used in this act, any statute,
or charter as a basis for computing limitations upon the taxing or
borrowing power of any municipality, mean the state equalized
valuation as determined under the general property tax act, 1893 PA
206,
MCL 211.1 to 211.157 211.155.
(b) "Chief administrative officer" means that term as defined
in section 2b of the uniform budgeting and accounting act, 1968 PA
2, MCL 141.422b.
(c) "Debt" means all borrowed money, loans, and other
indebtedness, including principal and interest, evidenced by bonds,
obligations, refunding obligations, notes, contracts, securities,
refunding securities, municipal securities, or certificates of
indebtedness that are lawfully issued or assumed, in whole or in
part, by a municipality, or will be evidenced by a judgment or
decree against the municipality.
(d) "Debt retirement fund" means a segregated account or group
of accounts used to account for the payment of, interest on, or
principal and interest on a municipal security.
(e) "Deficit" means a situation for any fund of a municipality
in which, at the end of a fiscal year, total expenditures,
including an accrued deficit, exceeded total revenues for the
fiscal year, including any surplus carried forward.
(f) "Department" means the department of treasury.
(g) "Fiscal year" means a 12-month period fixed by statute,
charter, or ordinance, or if not so fixed, then as determined by
the department.
(h) "Governing body" means the county board of commissioners
of a county; the township board of a township; the council, common
council, or commission of a city; the council, commission, or board
of trustees of a village; the board of education or district board
of a school district; the board of an intermediate school district;
the board of trustees of a community college district; the county
drain commissioner or drainage board of a drainage district; the
board of the district library; the legislative body of a
metropolitan district; the port commission of a port district; and,
in the case of another governmental authority or agency, that
official or official body having general governing powers over the
authority or agency.
(i) "Health care trust fund" means a trust or fund created in
accordance with the public employee health care fund investment
act, 1999 PA 149, MCL 38.1211 to 38.1216, or other state or federal
statute, and used exclusively to provide funding for postemployment
health care benefits for public employee retirees of a county,
city, village, or township. A health care trust fund also includes
the retiree health fund vehicle administered by the municipal
employees retirement system described in the municipal employees
retirement act of 1984, 1984 PA 427, MCL 38.1501 to 38.1555, for a
county, city, village, or township that has adopted the municipal
employee retirement system to provide funding for postemployment
health care benefits for public employee retirees.
(j) (i)
"Municipal security" means a security that when issued
was
not exempt from this act or the municipal finance act, former
1943
PA 202, MCL 131.1 to 139.3, by the provisions of this act or
by
the provisions of the municipal finance act, former 1943
PA 202,
MCL
131.1 to 139.3, or by the
provisions of the law authorizing its
issuance and that is payable from or secured by any of the
following:
(i) Ad valorem real and personal property taxes.
(ii) Special assessments.
(iii) The limited or unlimited full faith and credit pledge of
the municipality.
(iv) Other sources of revenue described in this act for debt or
securities authorized by this act.
(k) (j)
"Municipality" means a county, township, city,
village, school district, intermediate school district, community
college district, metropolitan district, port district, drainage
district, district library, or another governmental authority or
agency in this state that has the power to issue a security.
Municipality does not include this state or any authority, agency,
fund, commission, board, or department of this state.
(l) (k)
"Outstanding security" means a security that has been
issued, but not defeased or repaid, including a security that when
issued
was exempt from this act or the municipal finance act,
former
1943 PA 202, MCL 131.1 to 139.3, by
the provisions of this
act
or by the provisions of the municipal finance act, former 1943
PA
202, MCL 131.1 to 139.3, or by the provisions of the law
authorizing its issuance.
(m) (l) "Qualified
status" means a municipality that has filed
a qualifying statement under section 303 and has been determined by
the department to be qualified to issue municipal securities
without further approval by the department.
(n) (m)
"Refunding security" means a municipal security issued
to refund an outstanding security.
(o) (n)
"Security" means an evidence of debt such as a bond,
note, contract, obligation, refunding obligation, certificate of
indebtedness, or other similar instrument issued by a municipality,
which pledges payment of the debt by the municipality from an
identified source of revenue.
(p) (o)
"Sinking fund" means a fund for the payment of
principal only of a mandatory redemption security.
(q) (p)
"Taxable value" means the taxable value of the
property as determined under section 27a of the general property
tax act, 1893 PA 206, MCL 211.27a.
(r) "Unfunded accrued liability" means the difference between
the assets and liabilities of a health care trust fund as
determined by an actuarial study conducted pursuant to Rule 43 or
45 of the governmental accounting standards board.
Enacting section 1. This amendatory act does not take effect
unless all of the following bills of the 95th Legislature are
enacted into law:
(a) Senate Bill No.____ or House Bill No. 4075(request no.
01214'09).
(b) Senate Bill No.____ or House Bill No. 4074(request no.
01215'09).