Bill Text: MI HB4678 | 2011-2012 | 96th Legislature | Introduced


Bill Title: Economic development; downtown development authorities; general amendments; provide for. Amends sec. 4 of 1975 PA 197 (MCL 125.1654).

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2011-05-25 - Printed Bill Filed 05/25/2011 [HB4678 Detail]

Download: Michigan-2011-HB4678-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 4678

 

May 24, 2011, Introduced by Rep. Olumba and referred to the Committee on Tax Policy.

 

     A bill to amend 1975 PA 197, entitled

 

"An act to provide for the establishment of a downtown development

authority; to prescribe its powers and duties; to correct and

prevent deterioration in business districts; to encourage historic

preservation; to authorize the acquisition and disposal of

interests in real and personal property; to authorize the creation

and implementation of development plans in the districts; to

promote the economic growth of the districts; to create a board; to

prescribe its powers and duties; to authorize the levy and

collection of taxes; to authorize the issuance of bonds and other

evidences of indebtedness; to authorize the use of tax increment

financing; to reimburse downtown development authorities for

certain losses of tax increment revenues; and to prescribe the

powers and duties of certain state officials,"

 

by amending section 4 (MCL 125.1654), as amended by 2006 PA 279 and

 

by adding section 28a.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 4. (1) Except as provided in subsections (7), (8), and

 

(9), an authority shall be under the supervision and control of a

 

board consisting of the chief executive officer of the municipality

 


and not less than 8 or more than 12 members as determined by the

 

governing body of the municipality. Members shall be appointed by

 

the chief executive officer of the municipality, subject to

 

approval by the governing body of the municipality. Not less than a

 

majority of the members shall be persons having an interest in

 

property located in the downtown district or officers, members,

 

trustees, principals, or employees of a legal entity having an

 

interest in property located in the downtown district. Not less

 

than 1 of the members shall be a resident of the downtown district,

 

if the downtown district has 100 or more persons residing within

 

it. Of the members first appointed, an equal number of the members,

 

as near as is practicable, shall be appointed for 1 year, 2 years,

 

3 years, and 4 years. A member shall hold office until the member's

 

successor is appointed. Thereafter, each member shall serve for a

 

term of 4 years. An appointment to fill a vacancy shall be made by

 

the chief executive officer of the municipality for the unexpired

 

term only. Members of the board shall serve without compensation,

 

but shall be reimbursed for actual and necessary expenses. The

 

chairperson of the board shall be elected by the board. The rules

 

of procedure or the bylaws of the authority may provide that a

 

person be appointed to the board in his or her capacity as a public

 

official, whether appointed or elected. The rules of procedure may

 

also provide that the public official's term shall expire upon

 

expiration of his or her service as a public official. In addition,

 

the public official's membership on the board expires on his or her

 

resignation from office as a public official.

 

     (2) Before assuming the duties of office, a member shall

 


qualify by taking and subscribing to the constitutional oath of

 

office.

 

     (3) The business which the board may perform shall be

 

conducted at a public meeting of the board held in compliance with

 

the open meetings act, 1976 PA 267, MCL 15.261 to 15.275. Public

 

notice of the time, date, and place of the meeting shall be given

 

in the manner required by the open meetings act, 1976 PA 267, MCL

 

15.261 to 15.275. The board shall adopt rules consistent with the

 

open meetings act, 1976 PA 267, MCL 15.261 to 15.275, governing its

 

procedure and the holding of regular meetings, subject to the

 

approval of the governing body. Special meetings may be held if

 

called in the manner provided in the rules of the board.

 

     (4) Pursuant to notice and after having been given an

 

opportunity to be heard, a member of the board may be removed for

 

cause by the governing body. Removal of a member is subject to

 

review by the circuit court.

 

     (5) All expense items of the authority shall be publicized

 

monthly and the financial records shall always be open to the

 

public.

 

     (6) In addition to the items and records prescribed in

 

subsection (5), a writing prepared, owned, used, in the possession

 

of, or retained by the board in the performance of an official

 

function shall be made available to the public in compliance with

 

the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.

 

     (7) By resolution of its governing body, a municipality having

 

more than 1 authority may establish a single board to govern all

 

authorities in the municipality. The governing body may designate

 


the board of an existing authority as the board for all authorities

 

or may establish by resolution a new board in the same manner as

 

provided in subsection (1). A member of a board governing more than

 

1 authority may be a resident of or have an interest in property in

 

any of the downtown districts controlled by the board in order to

 

meet the requirements of this section.

 

     (8) By ordinance, the governing body of a municipality that

 

has a population of less than 5,000 may have the municipality's

 

planning commission created pursuant to former 1931 PA 285 , MCL

 

125.31 to 125.45, or the Michigan planning enabling act, 2008 PA

 

33, MCL 125.3801 to 125.3885, serve as the board provided for in

 

subsection (1).

 

     (9) If a municipality enters into an agreement with a

 

qualified township under section 3(7), the membership of the board

 

may be modified by the interlocal agreement described in section

 

3(7).

 

     Sec. 28a. The authority shall be exempt from all taxation on

 

its earnings or property. Instruments of conveyance from an

 

authority are exempt from transfer taxes under 1966 PA 134, MCL

 

207.501 to 207.513, and the state real estate transfer tax act,

 

1993 PA 330, MCL 207.521 to 207.537.

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