Bill Text: MI HB6119 | 2019-2020 | 100th Legislature | Introduced
Bill Title: Economic development: other; fund shift for the convention facility development fund; provide for. Amends sec. 10 of 1985 PA 106 (MCL 207.630).
Spectrum: Bipartisan Bill
Status: (Passed) 2020-10-14 - Assigned Pa 205'20 With Immediate Effect [HB6119 Detail]
Download: Michigan-2019-HB6119-Introduced.html
HOUSE BILL NO. 6119
August 17, 2020, Introduced by Reps. Cynthia
Neeley and Hernandez and referred to the Committee on Appropriations.
A bill to amend 1985 PA 106, entitled
"State convention facility development act,"
by amending section 10 (MCL 207.630), as amended by 2010 PA 207.
the people of the state of michigan enact:
Sec. 10. (1) Any money remaining in the convention
facility development fund that is not used for the bonds, obligations, or other
evidences of indebtedness or other purposes as described in section 9 shall be
distributed pursuant to subsection (2).
(2) Money in the
convention facility development fund shall be distributed as provided in
subsection (4) in the following order of priority in the following amounts:
(a) For each of the
following fiscal years, the following amounts shall be distributed to a
metropolitan authority created under the regional convention facility authority
act, 2008 PA 554, MCL 141.1351 to 141.1379, for the operational deficit costs
of a qualified convention facility operated by the authority under that act for
purposes authorized under that act:
(i) $11,000,000.00 each fiscal year for the fiscal years ending
September 30, 2010 and September 30, 2011.
(ii) $9,000,000.00
each fiscal year for the fiscal years ending September 30, 2012 and September
30, 2013.
(iii) $8,000,000.00
each fiscal year for the fiscal years ending September 30, 2014 and September
30, 2015.
(iv) $7,000,000.00 for
the fiscal year ending September 30, 2016.
(v) $6,000,000.00 for
the fiscal year ending September 30, 2017.
(vi) $5,000,000.00
each fiscal year for the fiscal years ending September 30, 2018 and September
30, 2019.
(vii) $5,000,000.00 for
the fiscal year ending September 30, 2020.
(viii) $5,000,000.00 for the fiscal year ending September 30, 2021.
(ix) $5,000,000.00 for the fiscal year ending September 30, 2022.
(x) $5,000,000.00 for
the fiscal year ending September 30, 2023.
(b) For fiscal years ending before October 1, 2009, an amount
equal to the difference, if any, between the tax imposed under this act in the
preceding state fiscal year that is designated under section 9 to a qualified
local governmental unit and the tax imposed under this act that is designated
under section 9 in the state fiscal year immediately preceding the preceding
state fiscal year for the same local governmental unit shall be distributed to
that local governmental unit. This subdivision does not apply unless a tax has
been imposed under this act in the entire 2 state fiscal years immediately
preceding the state fiscal year in which a distribution under this subdivision
is made. Any amount distributed under this subdivision shall be used by the
local governmental unit only for the retirement of outstanding bonds,
obligations, or other evidences of indebtedness incurred for which
distributions under section 9 are pledged. A distribution under this
subdivision shall not be made to the extent that the obligations, bonds, or
other evidences of indebtedness cannot be retired or are not outstanding.
(c) For fiscal years ending before October 1, 2015, an amount
equal to that portion of the liquor tax collected under section 1207 of the
Michigan liquor control code of 1998, 1998 PA 58, MCL 436.2207, from licensees
in counties in which convention hotels are not located shall be distributed to
those counties in which convention hotels are not located in the same
proportion that the amount of tax collected under section 1207 of the Michigan
liquor control code of 1998, 1998 PA 58, MCL 436.2207, in the preceding state
fiscal year from the licensees in a county bears to the total tax collections
under section 1207 of the Michigan liquor control code of 1998, 1998 PA 58, MCL
436.2207, in the preceding state fiscal year from all counties in which
convention hotels are not located.
(d) For fiscal years ending before October 1, 2015, the
remaining money available after distributions under subdivisions (a), (b), (c),
(g), (h), and (i) shall be distributed to each county in the following amounts:
(i) The amount of
money available to be distributed under this subdivision multiplied by the
percentage of collections in the preceding state fiscal year under section 1207
of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.2207, from
licensees in counties in which convention hotels are not located shall be
distributed to each county in which convention hotels are not located in the
same proportion that the amount of tax collected pursuant to section 1207 of
the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.2207, in the
preceding state fiscal year from licensees in that county bears to the total
tax collections from section 1207 of the Michigan liquor control code of 1998,
1998 PA 58, MCL 436.2207, in the preceding state fiscal year from all counties
in which convention hotels are not located.
(ii) The amount of
money available to be distributed under this subdivision multiplied by the
percentage of collections in the preceding state fiscal year under section 1207
of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.2207, from
licensees in counties in which convention hotels are located shall be
distributed to each county in which convention hotels are located in the same
proportion that the amount of tax collected pursuant to section 1207 of the
Michigan liquor control code of 1998, 1998 PA 58, MCL 436.2207, in the
preceding state fiscal year from licensees in that county bears to the total
tax collections from section 1207 of the Michigan liquor control code of 1998,
1998 PA 58, MCL 436.2207, in the preceding state fiscal year from all counties
in which convention hotels are located. However, in the calculation of the
proportion represented by a county's share of distributions under this
subparagraph, the amount of the tax collected from licensees in the qualified
local governmental unit that received distributions under section 9 in fiscal
year 2007-2008 shall not be included.
(e) For the fiscal year ending September 30, 2016, an amount
equal to the product of the total amount of tax collected under section 1207 of
the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.2207, and
distributed to all counties in the 2014-2015 fiscal year multiplied by 1.01
shall be distributed to all counties as provided in this subdivision. For
fiscal years beginning after September 30, 2016, an amount equal to the product
of the amount of liquor tax distributions in the immediately preceding fiscal
year multiplied by 1.01, not to exceed the total amount of tax collected under
section 1207 of the Michigan liquor control code of 1998, 1998 PA 58, MCL
436.2207, shall be distributed to counties. Distributions to each county under
this subdivision shall be calculated as follows:
(i) The amount of
money available to be distributed under this subdivision multiplied by the
percentage of collections in the immediately preceding state fiscal year under
section 1207 of the Michigan liquor control code of 1998, 1998 PA 58, MCL
436.2207, from licensees in counties in which convention hotels are not located
shall be distributed to each county in which convention hotels are not located
in the same proportion that the amount of tax collected pursuant to section
1207 of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.2207, in
the immediately preceding state fiscal year from licensees in that county bears
to the total tax collections from section 1207 of the Michigan liquor control
code of 1998, 1998 PA 58, MCL 436.2207, in the immediately preceding state
fiscal year from all counties in which convention hotels are not located.
(ii) The amount of
money available to be distributed under this subdivision multiplied by the
percentage of collections in the immediately preceding state fiscal year under
section 1207 of the Michigan liquor control code of 1998, 1998 PA 58, MCL
436.2207, from licensees in counties in which convention hotels are located
shall be distributed to each county in which convention hotels are located in
the same proportion that the amount of tax collected pursuant to section 1207
of the Michigan liquor control code of 1998, 1998 PA 58, MCL 436.2207, in the
immediately preceding state fiscal year from licensees in that county bears to
the total tax collections from section 1207 of the Michigan liquor control code
of 1998, 1998 PA 58, MCL 436.2207, in the immediately preceding state fiscal
year from all counties in which convention hotels are located. However, in the
calculation of the proportion represented by a county's share of distributions
under this subparagraph, the amount of the tax collected from licensees in the
qualified local governmental unit that received distributions under section 9
in the 2007-2008 state fiscal year shall not be included.
(f) Beginning with the fiscal
year ending on September 30, 2016, and each fiscal year thereafter, if the
revenue in the convention facility development fund exceeds the amounts
distributed under section 9 and the distributions under subdivision (e), the
excess shall be distributed to a qualified local governmental unit that is a
metropolitan authority to be used by that qualified local governmental unit
only for the retirement of outstanding bonds, obligations, or other evidences
of indebtedness incurred for which distributions under section 9 are pledged
and for a qualified governmental unit that is a metropolitan authority or next
for the payment of any unfunded operational deficit costs incurred during the
prior fiscal year by a metropolitan authority created under the regional
convention facility authority act, 2008 PA 554, MCL 141.1351 to 141.1379, for
the operation of a qualified convention facility under that act.
(g) For the fiscal year ending September 30, 2009,
$9,400,000.00 shall be distributed to a metropolitan authority created under
the regional convention facility authority act, 2008 PA 554, MCL 141.1351 to
141.1379, for the costs incurred by the authority for the implementation of
that act, creation of the authority, and transfer or lease of a qualified
convention facility to the authority, and other costs relating to the
management, operation, and development of a qualified convention facility.
(h) For the fiscal year ending September 30, 2009,
$6,600,000.00 shall be distributed to the general fund of this state.
(i) For the fiscal year ending September 30, 2010,
$5,000,000.00 shall be distributed to the general fund of this state and shall
be expended in the fiscal year ending September 30, 2011.
(3) A distribution to a county pursuant to this section shall
be included for purposes of the calculations required to be made by section 24e
of the general property tax act, 1893 PA 206, MCL 211.24e. If the governing
body of a taxing unit approves the additional millage rate under section 24e of
the general property tax act, 1893 PA 206, MCL 211.24e, which is due to
distributions pursuant to this section, then an amount equal to 50% of the
distribution under this section shall be used for substance abuse treatment
within the taxing unit.
(4) Beginning October 1, 2007 and each year thereafter, from
the revenue collected during the previous quarter, after distributing the
monthly payments under section 9(1), the state treasurer shall make quarterly
distributions under subsection (2)(c) and (d) or under subsection (2)(e) and
(f). From the revenue collected in the last quarter of the state fiscal year,
the state treasurer shall make the distribution under subsection (2)(a) and (b)
prior to any distributions under subsection (2)(c) or (d) or under subsection (2)(e)
and (f).
(5) For
the fiscal year ending September 30, 2020 only, $10,000,000.00 of the money in
the convention facility development fund is transferred and must be deposited
into the general fund.
