Bill Text: MI SB0039 | 2019-2020 | 100th Legislature | Introduced

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Bill Title: Property tax: tax tribunal; certain tribunal determinations in assessment disputes as to the valuation of property; require. Amends sec. 3 of 1973 PA 186 (MCL 205.703) & adds sec. 38.

Spectrum: Bipartisan Bill

Status: (Introduced - Dead) 2019-01-16 - Referred To Committee On Finance [SB0039 Detail]

Download: Michigan-2019-SB0039-Introduced.html

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SENATE BILL No. 39

 

 

January 16, 2019, Introduced by Senator MCBROOM and referred to the Committee on Finance.

 

 

 

     A bill to amend 1973 PA 186, entitled

 

"Tax tribunal act,"

 

by amending section 3 (MCL 205.703), as amended by 2008 PA 125, and

 

by adding section 38.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3. As used in this act:

 

     (a) "Agency" means a board, official, or administrative agency

 

empowered to make a decision, finding, ruling, assessment,

 

determination, or order that is subject to review under the

 

jurisdiction of the tribunal or that has collected a tax for which

 

a refund is claimed.

 

     (b) "Chairperson" means the chairperson of the tribunal.

 

     (c) "Entire tribunal" means the hearing division of the

 

tribunal other than the residential property and small claims

 

division created in section 61.

 

     (d) (c) "Mediation" means a voluntary process in which a

 

mediator facilitates communication between parties, assists in

 

identifying issues, and helps explore solutions to promote a

 

mutually acceptable settlement.

 

     (e) (d) "Mediator" means a neutral third party who is

 

certified by the tribunal under section 47 as a mediator in a

 

proceeding before the tribunal or as a facilitator in the court of

 

claims, and who is agreed to by the parties.

 

     (f) (e) "Proceeding" means an appeal taken under this act.

 

     (g) (f) "Property tax laws" does not include the drain code of

 

1956, 1956 PA 40, MCL 280.1 to 280.630.

 

     (h) (g) "Tribunal" means the tax tribunal created under

 

section 21.

 

     Sec. 38. (1) In an assessment dispute before the entire

 

tribunal as to the true cash value of real or personal property,

 

the tribunal shall, in accordance with section 35a(2), make an

 

independent determination of and separately state its findings of

 

fact and conclusions of law as to the comparable properties in the

 

market in which the property subject to assessment competes that

 

have the same highest and best use as the property subject to

 

assessment. In determining comparable properties, the tribunal

 

shall do both of the following:

 

     (a) Determine that the information for each property

 

considered to be comparable has been verified and accurately and

completely discloses all private restrictions and covenants on the

 

use of the property, the impact of those private restrictions and

 

covenants, the terms of the sale, the method of financing, and

 

market information.

 

     (b) Exclude property considered to be comparable that was made

 

subject to a private restriction or covenant in connection with the

 

sale or rental of the property if that private restriction or

 

covenant causes the comparable property to have a substantially

 

impaired highest and best use as compared to the property subject

 

to assessment or if that private restriction or covenant does not

 

assist in the economic development of the property, does not

 

provide a continuing benefit to the property, or materially

 

increases the likelihood of vacancy or inactivity on the property.

 

     (2) As used in this section, "private restriction or covenant"

 

means a requirement, provision, or statement in a deed, lease, or

 

contract that restrains or limits the use of the property or

 

requires a use of the property.