HOUSE BILL No. 5074

June 10, 2009, Introduced by Reps. DeShazor, Agema, Opsommer, Kowall and McMillin and referred to the Committee on Transportation.

 

     A bill to amend 1933 PA 167, entitled

 

"General sales tax act,"

 

by amending section 25 (MCL 205.75), as amended by 2008 PA 361.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 25. (1) All money received and collected under this act

 

shall be deposited by the department in the state treasury to the

 

credit of the general fund, except as otherwise provided in this

 

section.

 

     (2) Fifteen Seventeen percent of the collections of the tax

 

imposed at a rate of 4% shall be distributed to cities, villages,

 

and townships pursuant to the Glenn Steil state revenue sharing act

 

of 1971, 1971 PA 140, MCL 141.901 to 141.921.

 

     (3) Six percent of the collections of the tax imposed at a

 


rate of 4% shall be deposited into the priority now! fund created

 

in section 10f of 1951 PA 51, MCL 247.660f.

 

     (4) (3) Sixty percent of the collections of the tax imposed at

 

a rate of 4% shall be deposited in the state school aid fund

 

established in section 11 of article IX of the state constitution

 

of 1963 and distributed as provided by law. In addition, all of the

 

collections of the tax imposed at the additional rate of 2%

 

approved by the electors March 15, 1994 shall be deposited in the

 

state school aid fund.

 

     (5) (4) For the fiscal year ending September 30, 1988 and each

 

fiscal year ending after September 30, 1988, of the 25% of the

 

collections of the general sales tax imposed at a rate of 4%

 

directly or indirectly on fuels sold to propel motor vehicles upon

 

highways, on the sale of motor vehicles, and on the sale of the

 

parts and accessories of motor vehicles by new and used car

 

businesses, used car businesses, accessory dealer businesses, and

 

gasoline station businesses as classified by the department of

 

treasury remaining after the allocations and distributions are made

 

pursuant to subsections (2), and (3), and (4), the following

 

amounts shall be deposited each year into the respective funds:

 

     (a) For the fiscal year ending September 30, 2003 and for the

 

fiscal year ending September 30, 2006 and each fiscal year ending

 

after September 30, 2006, not less than 27.9% to the comprehensive

 

transportation fund. For the fiscal year ending September 30, 2004

 

through the fiscal year ending September 30, 2005, not less than

 

24% to the comprehensive transportation fund. For the fiscal year

 

ending September 30, 2006 only, the amount deposited to the

 


comprehensive transportation fund under this subdivision shall be

 

reduced by $11,100,000.00. For the fiscal year ending September 30,

 

2007 only, the amount deposited to the comprehensive transportation

 

fund under this subdivision shall be reduced by $10,270,000.00. For

 

the fiscal year ending September 30, 2008 only, the amount

 

deposited to the comprehensive transportation fund under this

 

subdivision shall be reduced by $5,000,000.00 and shall be

 

deposited in the state treasury to the credit of the general fund.

 

     (b) The balance to the state general fund.

 

     (6) (5) After the allocations and distributions are made

 

pursuant to subsections (2), and (3), and (4), an amount equal to

 

the collections of the tax imposed at a rate of 4% under this act

 

from the sale at retail of computer software as defined in section

 

1a shall be deposited in the Michigan health initiative fund

 

created in section 5911 of the public health code, 1978 PA 368, MCL

 

333.5911, and shall be considered in addition to, and is not

 

intended as a replacement for any other money appropriated to the

 

department of community health. The funds deposited in the Michigan

 

health initiative fund on an annual basis shall not be less than

 

$9,000,000.00 or more than $12,000,000.00.

 

     (7) (6) The balance in the state general fund shall be

 

disbursed only on an appropriation or appropriations by the

 

legislature.

 

     Enacting section 1. This amendatory act does not take effect

 

unless Senate Joint Resolution ____ or House Joint Resolution V

 

(request no. 00283'09 *) of the 95th Legislature becomes a part of

 

the state constitution of 1963 as provided in section 1 of article

 


XII of the state constitution of 1963.