Bill Text: MI HB6258 | 2009-2010 | 95th Legislature | Introduced
Bill Title: Economic development; neighborhood enterprise zones; eligibility for tax exemption; clarify. Amends sec. 4 of 1992 PA 147 (MCL 207.774).
Spectrum: Partisan Bill (Democrat 7-0)
Status: (Introduced - Dead) 2010-06-16 - Printed Bill Filed 06/16/2010 [HB6258 Detail]
Download: Michigan-2009-HB6258-Introduced.html
HOUSE BILL No. 6258
June 15, 2010, Introduced by Reps. Bettie Scott, Durhal, Polidori, Liss, Lemmons, Leland and Dean and referred to the Committee on Commerce.
A bill to amend 1992 PA 147, entitled
"Neighborhood enterprise zone act,"
by amending section 4 (MCL 207.774), as amended by 2009 PA 16.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4. (1) The owner of a homestead facility or owner or
developer or prospective owner or developer of a proposed new
facility or an owner or developer or prospective developer
proposing to rehabilitate property located in a neighborhood
enterprise zone may file an application for a neighborhood
enterprise zone certificate with the clerk of the local
governmental unit. The application shall be filed in the manner and
form prescribed by the commission. The clerk of the local
governmental unit shall provide a copy of each homestead facility
application to the assessor for the local governmental unit. Except
as provided in subsection (2) or as otherwise provided by the local
governmental unit by resolution if the application is filed not
later than 6 months following the date the building permit is
issued, the application shall be filed before a building permit is
issued for the new construction or rehabilitation of the facility.
(2) An application may be filed after a building permit is
issued only if 1 or more of the following apply:
(a) For the rehabilitation of a facility if the area in which
the facility is located is designated as a neighborhood enterprise
zone by the governing body of the local governmental unit in the
calendar year 1992 and if the building permit is issued for the
rehabilitation before December 31, 1994 and after the date on which
the area in which the facility is located was designated as a
neighborhood enterprise zone by the governing body of the local
governmental unit.
(b) For the construction of a new facility if the area in
which the new facility is located is designated as a neighborhood
enterprise zone by the governing body of the local governmental
unit in calendar year 1992 or 1993 and if the building permit is
issued for that new facility before December 31, 1995 and after
January 1, 1993.
(c) For the construction of a new facility if the area in
which the new facility is located is designated as a neighborhood
enterprise zone by the governing body of the local governmental
unit in July 1997 and if the building permit is issued for that new
facility on February 3, 1998.
(d) For a new facility or a rehabilitated facility if the area
in which the new facility or rehabilitated facility is located was
designated as a neighborhood enterprise zone by the governing body
of the local governmental unit in July 1996 and if the building
permit was issued for that facility on or before July 3, 2001.
(e) For a new facility or a rehabilitated facility if the area
in which the new facility or rehabilitated facility is located was
designated as a neighborhood enterprise zone by the governing body
of the local governmental unit in October 1994 and if the building
permit was issued for that facility on or before April 25, 1997.
(f) For the construction of a new facility if the area in
which the new facility is located is designated as a neighborhood
enterprise zone by the governing body of the local governmental
unit in September 2001 and if the building permit is issued for
that new facility on March 3, 2003.
(g) For a rehabilitated facility if all or a portion of the
rehabilitated facility is a qualified historic building.
(h) For the construction of a new facility if the area in
which the new facility is located is designated as a neighborhood
enterprise zone by the governing body of the local governmental
unit in July 1993 and the new facility was a model home.
(i) For the construction of a new facility if the area in
which the new facility is located is designated as a neighborhood
enterprise zone by the governing body of the local governmental
unit in August 2004 and if building permits were issued for that
facility beginning November 5, 2002 through December 23, 2003.
(j) For a homestead facility.
(k) For the construction of a facility if the area in which
the facility is located was designated as a neighborhood enterprise
zone by the governing body of the local governmental unit in July
2003, and if the building permit was issued for that facility in
June 2004.
(l) For a new facility or a rehabilitated facility if the area
in which the new facility or rehabilitated facility is located was
designated as a neighborhood zone by the governing body of the
local governmental unit in February 2004 and if the building permit
for that facility was issued in August 2003 or January 2005.
(m) For the construction of a facility if the area in which
the facility is located was designated as a neighborhood enterprise
zone by the governing body of the local governmental unit in June
2007 and if the building permit was issued for that facility after
November 30, 2004 and before November 1, 2006.
(n) For the construction of a facility if the area in which
the facility is located was designated as a neighborhood enterprise
zone by the governing body of the local governmental unit on July
1, 2005 and if the building permit was issued for that facility
after April 5, 2006 and before May 1, 2007.
(3) The application shall contain or be accompanied by all of
the following:
(a) A general description of the homestead facility, new
facility, or proposed rehabilitated facility.
(b) The dimensions of the parcel on which the homestead
facility, new facility, or proposed rehabilitated facility is or is
to be located.
(c) The general nature and extent of the construction to be
undertaken.
(d) A time schedule for undertaking and completing the
rehabilitation of property or the construction of the new facility.
(e) A statement by the owner of a homestead facility that the
owner is committed to investing a minimum of $500.00 in the first 3
years that the certificate for a homestead facility is in effect
and committed to documenting the minimum investment if required to
do so by the assessor of the local governmental unit.
(f) Any other information required by the local governmental
unit.
(4) Notwithstanding any other provisions of this act, for any
certificate issued as a result of the enactment of the amendatory
act that added subsection (2)(c), the effective date of the
certificate shall be the first day of the tax year following the
year the certificate is approved by the commission.
(5) Notwithstanding any other provisions of this act, for any
certificate issued as a result of the enactment of the amendatory
act that added subsection (2)(d) or the amendatory act that added
subsection (2)(e), the effective date of the certificate shall be
January 1, 2001.
(6) Notwithstanding any other provisions of this act, for any
certificate issued as a result of the enactment of the amendatory
act that added subsection (2)(j) or the amendatory act that added
subsection (2)(k), the effective date of the certificate shall be
the first day of the tax year following the year the certificate is
approved by the qualified assessing authority.
(7) For a certificate issued as a result of the amendatory act
that added subsection (2)(e), both of the following shall apply not
withstanding any other provision of this act:
(a) The effective date of the certificate shall be January 1,
2001 and the taxable value for rehabilitated facilities shall be
set as provided in section 10(3).
(b) For certificates issued or reissued after December 31,
2005, the amount of the neighborhood enterprise zone tax on a
rehabilitated facility is determined each year by multiplying the
taxable value of the rehabilitated facility, not including the
land, as of December 31 of the year prior to the start of the
improvement as described in subsection (3) by the total mills
collected under the general property tax act, 1893 PA 206, MCL
211.1 to 211.155, for the current year by all taxing units within
which the rehabilitated facility is located.
(8) For any certificate issued as result of the amendatory act
that added subsection (2)(l), notwithstanding any other provision of
this act the amount of the neighborhood enterprise zone tax on a
rehabilitated facility is determined each year by multiplying the
taxable value of the rehabilitated facility, not including the
land, as of December 31 of the year prior to the start of the
improvement as described in subsection (3) by the total mills
collected under the general property tax act, 1893 PA 206, MCL
211.1 to 211.155, for the current year by all taxing units within
which the rehabilitated facility is located.
(9) If a new facility is completed in a neighborhood
enterprise zone approved in October 1996 and a building permit was
issued in March 1998 but a neighborhood enterprise zone certificate
was not applied for by the original owner occupying the facility as
a principal residence, a subsequent owner occupying the new
facility as a principal residence can request and, notwithstanding
any other provision of this act, effective December 31 of the year
preceding the application, be granted a neighborhood enterprise
zone certificate for the remainder of the term, not to exceed 12
years, that a neighborhood enterprise zone certificate would have
been in effect for the original owner of the new facility.
(10) If a new facility is completed in a neighborhood
enterprise zone approved in September 2002 and a building permit
was issued in 2004 but a neighborhood enterprise zone certificate
was not applied for by the original owner occupying the facility as
a principal residence, a subsequent owner occupying the new
facility as a principal residence can request and, notwithstanding
any other provision of this act, effective December 31 of the year
preceding the application, be granted a neighborhood enterprise
zone certificate for the remainder of the term, not to exceed 15
years, that a neighborhood enterprise zone certificate would have
been in effect for the original owner of the new facility.
(11) If a new facility is completed in a neighborhood
enterprise zone approved in September 2001 and a building permit
was issued in September 2005 but a neighborhood enterprise zone
certificate was not applied for by the original owner occupying the
facility as a principal residence, a subsequent owner occupying the
new facility as a principal residence can request and,
notwithstanding any other provision of this act, effective December
31 of the year preceding the application, be granted a neighborhood
enterprise zone certificate for the remainder of the term, not to
exceed 15 years, that a neighborhood enterprise zone certificate
would have been in effect for the original owner of the new
facility.
