Bill Text: MI HB4540 | 2013-2014 | 97th Legislature | Engrossed
Bill Title: Economic development; plant rehabilitation; taxation of certain industrial facilities exemption certificates; clarify. Amends secs. 6 & 7 of 1974 PA 198 (MCL 207.556 & 207.557).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2013-07-03 - Assigned Pa 85'13 With Immediate Effect [HB4540 Detail]
Download: Michigan-2013-HB4540-Engrossed.html
HB-4540, As Passed House, May 15, 2013
SUBSTITUTE FOR
HOUSE BILL NO. 4540
A bill to amend 1974 PA 198, entitled
"An act to provide for the establishment of plant rehabilitation
districts and industrial development districts in local
governmental units; to provide for the exemption from certain
taxes; to levy and collect a specific tax upon the owners of
certain facilities; to impose and provide for the disposition of an
administrative fee; to provide for the disposition of the tax; to
provide for the obtaining and transferring of an exemption
certificate and to prescribe the contents of those certificates; to
prescribe the powers and duties of the state tax commission and
certain officers of local governmental units; and to provide
penalties,"
by amending sections 6 and 7 (MCL 207.556 and 207.557), section 6
as amended by 1996 PA 323 and section 7 as amended by 2008 PA 457.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 6. The legislative body of the local governmental unit,
not more than 60 days after receipt by its clerk of the
application, shall by resolution either approve or disapprove the
application for an industrial facilities exemption certificate in
accordance with section 9 and the other provisions of this act. If
disapproved, the reasons shall be set forth in writing in the
resolution. If approved, the clerk shall forward the application to
the commission within 60 days of approval or before October 31 of
that year, whichever is first, or as otherwise provided in section
7 in order to receive the industrial facilities exemption
certificate effective for the following year. If disapproved, the
clerk shall return the application to the applicant. The applicant
may appeal the disapproval to the commission within 10 days after
the date of the disapproval.
Sec. 7. (1) Within 60 days after receipt of an approved
application or an appeal of a disapproved application that was
submitted to the commission before October 31 of that year, the
commission shall determine whether the facility is a speculative
building or designed and acquired primarily for the purpose of
restoration or replacement of obsolete industrial property or the
construction of new industrial property, and whether the facility
otherwise complies with section 9 and with the other provisions of
this act. If the commission so finds, it shall issue an industrial
facilities exemption certificate. Before issuing a certificate the
commission shall notify the state treasurer of the application and
shall obtain the written concurrence of the department of energy,
labor, and economic growth that the application complies with the
requirements in section 9. Except as otherwise provided in this
section and section 7a, the effective date of the certificate for a
replacement facility or new facility is the immediately succeeding
December 31 following the date the certificate is issued. For a
speculative building or a portion of a speculative building, except
as otherwise provided in section 7a, the effective date of the
certificate is the immediately succeeding December 31 following the
date the speculative building, or the portion of a speculative
building, is used as a manufacturing facility.
(2) The commission shall send an industrial facilities
exemption certificate, when issued, by mail to the applicant, and a
certified copy by mail to the assessor of the assessing unit in
which the facility is located or to be located, and that copy shall
be filed in his or her office. Notice of the commission's refusal
to issue a certificate shall be sent by mail to the same persons.
(3) Notwithstanding any other provision of this act, if on
December 29, 1986 a local governmental unit passed a resolution
approving an exemption certificate for 10 years for real and
personal property but the commission did not receive the
application until 1992 and the application was not made complete
until 1995, then the commission shall issue, for that property, an
industrial facilities exemption certificate that begins December
30, 1987 and ends December 30, 1997.
(4) Notwithstanding any other provision of this act, if
pursuant to section 16a a local governmental unit passed a
resolution approving an industrial facilities exemption certificate
for a new facility on October 14, 2003 for a certificate that
expired in December 2002, the commission shall issue for that
property an industrial facilities exemption certificate that begins
on December 30, 2002 and ends December 30, 2009.
(5) Notwithstanding any other provision of this act, if on or
before February 10, 2007 a local governmental unit passed a
resolution approving an amendment of an industrial facilities
exemption certificate for a replacement facility and that
certificate was revoked by the commission effective December 30,
2005 with the order of revocation issued by the commission on April
10, 2006, notwithstanding the revocation, the commission shall
retroactively amend the certificate and give full effect to the
amended certificate, which shall include the additional personal
property expenditures described in the resolution amending the
certificate, for the period of time beginning when the certificate
was originally approved until the certificate was revoked.
(6) Notwithstanding any other provision of this act, if on
July 23, 2012, a local governmental unit passed a resolution
approving an industrial facilities exemption certificate for a new
facility, but the application was not made complete until 2013, the
commission shall issue for that property an industrial facilities
exemption certificate that begins on December 30, 2012 and ends
December 30, 2024.
(7) Notwithstanding any other provision of this act, if on
February 21, 2012, a local governmental unit passed a resolution
approving an industrial facilities exemption certificate for a new
facility, but the application was not made complete until 2013, the
commission shall issue for that property an industrial facilities
exemption certificate that begins on December 30, 2012.
(8) If the commission receives an application under this act
for an industrial facilities exemption certificate for a new
facility or a replacement facility, but the application is not made
complete until after December 31 of the year in which the
application is received by the commission, the commission may issue
for that property an industrial facilities exemption certificate
that has an effective date of December 30 of the immediately
preceding year.
(9) If an error or mistake in an application for an industrial
facilities exemption certificate is discovered after the local
governmental unit has passed a resolution approving the application
or after the commission has issued a certificate for the
application, an applicant may submit an amended application in the
same manner as an original application under this act that corrects
the error or mistake. The legislative body of the local
governmental unit and the commission may approve or deny the
amended application. If the commission previously issued a
certificate for the original application and approves an amended
application under this subsection, the commission shall issue an
amended certificate for the amended application with the same
effective date as the original certificate.
(10) Beginning October 1, 2013, the commission shall do all of
the following for each industrial facilities exemption certificate
approved or disapproved by the commission under subsection (8) or
(9):
(a) Notify the office of the member of the house of
representatives of this state and the office of the senator of this
state, who represent the geographic area in which the property
covered by the application for a certificate is located, that an
application for a certificate has been approved or disapproved
under subsection (8) or (9).
(b) Publish on its website a copy of the application for a
certificate and a statement indicating whether the application for
a certificate was approved or disapproved under subsection (8) or
(9) and whatever additional information the commission considers
appropriate regarding the application.
