Bill Text: MI HB4558 | 2019-2020 | 100th Legislature | Introduced

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Bill Title: Taxation; convention tourism assessments; regional tourism marketing act to include certain short-term rentals; revise. Amends secs. 2 & 5 of 1989 PA 244 (MCL 141.892 & 141.895). TIE BAR WITH: HB 4554'19

Spectrum: Slight Partisan Bill (Republican 2-1)

Status: (Introduced - Dead) 2019-05-07 - Bill Electronically Reproduced 05/02/2019 [HB4558 Detail]

Download: Michigan-2019-HB4558-Introduced.html

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HOUSE BILL No. 4558

 

 

May 2, 2019, Introduced by Reps. Paquette, Brixie and Lilly and referred to the Committee on Commerce and Tourism.

 

     A bill to amend 1989 PA 244, entitled

 

"Regional tourism marketing act,"

 

by amending sections 2 and 5 (MCL 141.892 and 141.895), section 2

 

as amended by 2018 PA 466.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 2. As used in this act:

 

     (a) "Assessment" means the amount levied against an owner

 

under this act.

 

     (b) "Assessment revenues" means the money collected by a

 

regional marketing organization from the assessment, including any

 

interest and penalties on the assessment, imposed under this act.

 

     (c) "Board" means the board of directors elected by the

 

members of a regional marketing organization.

     (d) "Director" means the president of the Michigan strategic

 

fund or his or her designee.

 

     (e) "Master plan" means the comprehensive, long-range master

 

plan developed by the Michigan travel commission and the travel

 

bureau under section 2c of the Michigan tourism policy act, 1945 PA

 

106, MCL 2.102c.

 

     (f) "Owner" means the owner of a transient facility that is

 

located within the regional assessment district or, if the

 

transient facility is operated or managed by a person other than

 

the owner, then the operator or manager of that transient facility.

 

Owner includes a person electing to come under the provisions of

 

this act pursuant to section 9.

 

     (g) "Regional assessment district" means a region of this

 

state composed of a number of counties in which a regional

 

marketing organization operates. Regional assessment district does

 

not include a portion of the region that is a special charter,

 

fourth class city.

 

     (h) "Regional marketing organization" means a nonprofit

 

corporation that promotes tourism within a region of this state.

 

Regional marketing organization includes only an organization that

 

has been operating for 10 or more years and that operates in a

 

region composed of 15 counties.

 

     (i) "Room" means a room or other space provided for sleeping

 

that can be rented independently, including the furnishings and

 

other accessories in the room. Room includes, but is not limited

 

to, a condominium or time-sharing unit that, pursuant to a

 

management agreement, may be used to provide dwelling, lodging, or

sleeping quarters for a transient guest.

 

     (j) "Room charge" means the charge imposed for a short-term

 

rental or the use or occupancy of a room, excluding charges for

 

food, beverages, state use tax, telephone service, or like services

 

paid in connection with the room charge, and reimbursement of the

 

assessment as allowed in section 6.

 

     (k) "Short-term rental" and "short-term transient facilities"

 

mean those terms as defined in the Michigan short-term rental

 

promotion act.

 

     (l) (k) "Transient facility" means a short-term transient

 

facility or building or combination of buildings under common

 

ownership, operation, or management that contains 10 or more rooms

 

used in the business of providing dwelling, lodging, or sleeping to

 

transient guests, whether or not membership is required for the use

 

of the rooms. Transient facility includes a building or combination

 

of buildings, the owner of which has elected to come under the

 

provisions of this act pursuant to section 9. Transient facility

 

does not include a college or school dormitory; a hospital; a

 

nursing home; a hospice; a building or combination of buildings

 

that is otherwise a transient facility, but that is located within

 

1 mile of a ski lift as defined in section 2 of the ski area safety

 

act of 1962, 1962 PA 199, MCL 408.322; or a facility owned and

 

operated by an organization qualified for an exemption from federal

 

taxation under section 501(c) of the internal revenue code, 26 USC

 

501.

 

     (m) (l) "Transient guest" means a natural person who occupies

 

a room in a transient facility for less than 30 consecutive days

regardless of who pays the room charge.

 

     (n) (m) "Tourism marketing program" means a program

 

established by a regional marketing organization to develop,

 

encourage, solicit, and promote tourism within a region of this

 

state. The encouragement and promotion of tourism includes a

 

service, function, or activity, whether or not performed,

 

sponsored, or advertised by a regional marketing organization, that

 

intends to attract transient guests to the regional assessment

 

district.

 

     (o) (n) "Tourism marketing program notice" means the notice

 

described in section 3.

 

     (p) (o) "Travel bureau" means the Michigan travel bureau

 

created under section 2a of the Michigan tourism policy act, 1945

 

PA 106, MCL 2.102a.

 

     Sec. 5. A tourism marketing program may include 1 or more of

 

the following:

 

     (a) A provision for establishing and paying the costs of

 

advertising, marketing, and promotional programs to encourage

 

tourism in the regional assessment district.

 

     (b) A provision for assisting a transient facility within the

 

regional assessment district to promote tourism.

 

     (c) A provision for the acquisition of personal property

 

considered appropriate by the regional marketing organization to

 

achieve the purpose of the tourism marketing program.

 

     (d) A provision for the hiring of and payment for personnel

 

employed by the regional marketing organization to implement the

 

tourism marketing program.

     (e) A provision for contracting with organizations, agencies,

 

or persons to carry out activities to achieve the purpose of the

 

tourism marketing program.

 

     (f) A program to establish and pay for the costs of research

 

designed to encourage tourism in the regional assessment district.

 

     (g) A provision to incur any other expense or cost that the

 

board, in the exercise of its reasonable business judgment,

 

considers reasonably related to the promotion of tourism within the

 

regional assessment district.

 

     (h) A procedure for election of the board that requires that a

 

majority of the members of the board are owners.

 

     (i) A provision clarifying the assessment on room charges for

 

short-term rentals of short-term transient facilities.

 

     Enacting section 1. This amendatory act does not take effect

 

unless Senate Bill No.____ or House Bill No. 4554 (request no.

 

01509'19) of the 100th Legislature is enacted into law.