Bill Text: MI HB5801 | 2017-2018 | 99th Legislature | Enrolled


Bill Title: Property tax; limitation; notice of an election for a proposed increase in the total tax rate limitation; modify content of. Amends sec. 3 of 1933 PA 62 (MCL 211.203).

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2018-12-31 - Assigned Pa 659'18 [HB5801 Detail]

Download: Michigan-2017-HB5801-Enrolled.html

STATE OF MICHIGAN

99TH LEGISLATURE

REGULAR SESSION OF 2018

Introduced by Reps. Crawford and Lower

ENROLLED HOUSE BILL No. 5801

AN ACT to amend 1933 PA 62, entitled “An act to provide limits on the rate of taxation on property; to provide for a division of the rate of taxation between counties, townships, municipal corporations, intermediate school districts, and other local units; to earmark funds raised by increasing the total tax limitation; to prescribe penalties and provide remedies; and to repeal all acts and parts of acts and charters and parts of charters of municipal corporations inconsistent with or contravening the provisions of this act,” by amending section 3 (MCL 211.203), as amended by 1996 PA 580.

The People of the State of Michigan enact:

Sec. 3. (1) Except as otherwise provided in this section, the total amount of taxes levied against property for all purposes in any 1 year must not exceed the limits provided by or fixed under section 6 of article IX of the state constitution of 1963, except taxes, known and referred to as debt service tax rates, levied for the payment of interest and principal on obligations incurred before December 8, 1932.

(2) If a municipal corporation is limited by a provision in its charter or general law in its power to levy taxes against property for purposes authorized by law to be supported under the municipal budget, the municipal corporation shall levy the taxes under those provisions and those taxes, known and referred to as charter tax rates, are in addition to the taxes that may be levied under the limitation set forth in subsection (1). If any portion of the net limitation tax rate is allocated to the municipal corporation by the board, the allocated tax rate must be included within the total tax rate levied by the municipal corporation under this subsection.

(3) If any local unit holds an election for the purpose of increasing the total tax rate limitation, as provided for by section 6 of article IX of the state constitution of 1963, the vote at the election must be taken by ballot and the ballots must be cast and counted in the manner provided by the general election laws of this state. The ballots must state the amount in dollars per thousand dollars of taxable value by which it is proposed that the total tax rate limitation on property in the local unit be increased and the number of years for which it is proposed that the increase will be effective. If a previous increase in the total tax limitation on property is about to expire and a new increase for the identical amount levied in the immediately preceding year or a lesser amount is proposed, the ballot proposal may be presented as a renewal or continuation of the previous increase for a specified number of years. The ballot must specify the intended purpose of the renewed or new funds. The ballot may also state the purpose for which the funds derived from the voted increase over the constitutional tax rate limitation may be used, and the board shall not consider those funds in dividing the net limitation tax rate among the various governmental units under this act. Within 5 days after every election held in any local unit to increase the tax rate limitation, a certified copy of the official declaration of the result of the election must be filed with the treasurer of the county or counties in which the local unit is located. The voted increase in the tax rate limitation is effective in the local unit only when the certified copy of the official declaration of the result of the election is filed. The notice of an election under section 653a of the Michigan election law, 1954 PA 116, MCL 168.653a, for an election at which a proposal for an increase in the total tax rate limitation is to be voted upon must, in addition to listing the proposal, include a statement that includes the amount in dollars per thousand dollars of taxable value by which it is proposed under the proposal that the total tax rate limitation on property in the local unit be increased and the number of years for which it is proposed that the increase will be effective.

(4) As used in this section, “taxable value” means that value determined under section 27a of the general property tax act, 1893 PA 206, MCL 211.27a.

Clerk of the House of Representatives

Secretary of the Senate

Approved

Governor