SJR-H, As Passed Senate, March 18, 2009

SUBSTITUTE FOR

SENATE JOINT RESOLUTION H

A joint resolution proposing an amendment to the state

constitution of 1963, by amending section 3 of article IX, to limit

the increase in taxable value of real property under certain

circumstances.

Resolved by the Senate and House of Representatives of the

state of Michigan, That the following amendment to the state

constitution of 1963, to limit the increase in taxable value of

real property under certain circumstances, is proposed, agreed to,

and submitted to the people of the state:

ARTICLE IX

Sec. 3. The legislature shall provide for the uniform general

ad valorem taxation of real and tangible personal property not

exempt by law except for taxes levied for school operating

purposes. The legislature shall provide for the determination of

true cash value of such property; the proportion of true cash value

at which such property shall be uniformly assessed, which shall

not, after January 1, 1966, exceed 50 percent; and for a system of

equalization of assessments. For taxes levied in 1995 and each year

thereafter, the legislature shall provide that the taxable value of

each parcel of property adjusted for additions and losses, shall

not increase each year by more than the increase in the immediately

preceding year in the general price level, as defined in section 33

of this article, or 5 percent, whichever is less until ownership of

the parcel of property is transferred. However, for taxes levied

after 2009, the legislature shall provide that if a property's

assessed value has decreased, adjusted for additions and losses,

the property's taxable value in the immediately succeeding year

shall be the lesser of the property's taxable value in the

immediately preceding year or the property's assessed value. When

ownership of the parcel of property is transferred as defined by

law, the parcel shall be assessed at the applicable proportion of

current true cash value. The legislature may provide for

alternative means of taxation of designated real and tangible

personal property in lieu of general ad valorem taxation. Every tax

other than the general ad valorem property tax shall be uniform

upon the class or classes on which it operates. A law that

increases the statutory limits in effect as of February 1, 1994 on

the maximum amount of ad valorem property taxes that may be levied

for school district operating purposes requires the approval of 3/4

of the members elected to and serving in the Senate and in the

House of Representatives.