Bill Text: MI SB0482 | 2013-2014 | 97th Legislature | Introduced
Bill Title: Occupations; foresters; definition of foresters qualified to prepare forest management plans in general property tax act; modify. Amends sec. 7jj of 1893 PA 206 (MCL 211.7jj[1]). TIE BAR WITH: SB 0481'13
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2013-09-11 - Referred To Committee On Regulatory Reform [SB0482 Detail]
Download: Michigan-2013-SB0482-Introduced.html
SENATE BILL No. 482
September 11, 2013, Introduced by Senator JANSEN and referred to the Committee on Regulatory Reform.
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 7jj (MCL 211.7jj[1]), as added by 2006 PA 378.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 7jj. (1) Except as otherwise limited in this subsection,
qualified forest property is exempt from the tax levied by a local
school district for school operating purposes to the extent
provided under section 1211 of the revised school code, 1976 PA
451, MCL 380.1211, according to the provisions of this section. The
amount of qualified forest property in this state that is eligible
for the exemption under this section is limited as follows:
(a) In the fiscal year ending September 30, 2008, 300,000
acres.
(b) In the fiscal year ending September 30, 2009, 600,000
acres.
(c) In the fiscal year ending September 30, 2010, 900,000
acres.
(d) In the fiscal year ending September 30, 2011 and each
fiscal year thereafter, 1,200,000 acres.
(2) To claim an exemption under subsection (1), the owner of
qualified forest property shall file an affidavit claiming the
exemption and an approved forest management plan or a certificate
provided by a third-party certifying organization with the local
tax collecting unit by December 31. An owner may claim an exemption
under this section for not more than 320 acres of qualified forest
property in each local tax collecting unit. If an exemption is
granted under this section for less than 320 acres in a local tax
collecting unit, an owner of that property may subsequently claim
an exemption for additional property in that local tax collecting
unit if that additional property meets the requirements of this
section.
(3) The affidavit shall be on a form prescribed by the
department of treasury and shall require the person submitting the
affidavit to attest that the property for which the exemption is
claimed is qualified forest property and will be managed according
to the approved forest management plan.
(4) The assessor shall determine if the property is qualified
forest property based on a recommendation from the department of
natural resources and confirmation that the acreage limitation set
forth in subsection (1) has not been reached and if so shall exempt
the property from the collection of the tax as provided in
subsection (1) until December 31 of the year in which the property
is no longer qualified forest property.
(5) Not more than 90 days after all or a portion of the
exempted property is no longer qualified forest property, the owner
shall rescind the exemption for the applicable portion of the
property by filing with the local tax collecting unit a rescission
form prescribed by the department of treasury. An owner who fails
to file a rescission as required by this subsection is subject to a
penalty of $5.00 per day for each separate failure beginning after
the 90 days have elapsed, up to a maximum of $1,000.00. This
penalty shall be collected under 1941 PA 122, MCL 205.1 to 205.31,
and shall be deposited in the general fund of this state.
(6) An owner of property that is qualified forest property on
December 31 for which an exemption was not on the tax roll may file
an appeal with the July or December board of review under section
53b in the year the exemption was claimed or the immediately
succeeding year. An owner of property that is qualified forest
property on May 1 for which an exemption was denied by the assessor
in the year the affidavit was filed may file an appeal with the
July board of review for summer taxes or, if there is not a summer
levy of school operating taxes, with the December board of review
under section 53b.
(7) If the assessor of the local tax collecting unit believes
that the property for which an exemption has been granted is not
qualified forest property based on a recommendation from the
department of natural resources, the assessor may deny or modify an
existing exemption by notifying the owner in writing at the time
required for providing a notice under section 24c. A taxpayer may
appeal the assessor's determination to the board of review meeting
under section 30. A decision of the board of review may be appealed
to the residential and small claims division of the Michigan tax
tribunal.
(8) If property for which an exemption has been granted under
this section is not qualified forest property, the property that
had been subject to that exemption shall be immediately placed on
the tax roll by the local tax collecting unit if the local tax
collecting unit has possession of the tax roll or by the county
treasurer if the county has possession of the tax roll as though
the exemption had not been granted. A corrected tax bill shall be
issued for each tax year being adjusted by the local tax collecting
unit if the local tax collecting unit has possession of the tax
roll or by the county treasurer if the county has possession of the
tax roll.
(9) If property for which an exemption has been granted under
this section is converted by a change in use and is no longer
qualified forest property, the property is subject to the qualified
forest property recapture tax levied under the qualified forest
property recapture tax act. An owner of qualified forest property
shall inform a prospective buyer of that qualified forest property
that the qualified forest property is subject to the recapture tax
provided in the qualified forest property recapture tax act, if the
qualified forest property is converted by a change in use.
(10) If qualified forest property is exempt under this
section, an owner of that qualified forest property shall annually
report to the department of natural resources on a form prescribed
by the department of natural resources the amount of timber
produced on that qualified forest property and whether any
buildings or structures have been constructed on the qualified
forest property. Beginning in 2008, and every 3 years thereafter,
the department of natural resources shall provide to the standing
committees of the senate and house of representatives with primary
jurisdiction over forestry issues a report that includes all of the
following:
(a) The number of acres of qualified forest property in each
county.
(b) The amount of timber produced on qualified forest property
each year.
(11) As used in this section:
(a) "Approved forest management plan" means 1 of the
following:
(i) A forest management plan approved by the department of
natural resources. An owner of property may submit a proposed
forest management plan to the department of natural resources for
approval. The proposed forest management plan shall include a
statement signed by the owner that he or she agrees to comply with
all terms and conditions contained in the approved forest
management plan. The department of natural resources may charge a
fee of not more than $200.00 for the consideration of each proposed
forest management plan submitted. The department of natural
resources shall review and either approve or disapprove each
proposed forest management plan submitted. If the department of
natural resources disapproves a proposed forest management plan,
the department of natural resources shall indicate the changes
necessary to qualify the proposed forest management plan for
approval on subsequent review. At the request of the owner
submitting a proposed forest management plan, the department of
natural resources may agree to complete a proposed forest
management plan. An owner and the department of natural resources
may mutually agree to amend a proposed forest management plan or an
approved forest management plan. A forest management plan submitted
to the department of natural resources for approval shall not
extend beyond a period of 20 years. An owner of property may submit
a succeeding proposed forest management plan to the department of
natural resources for approval.
(ii) A forest management plan certified by a third-party
certifying organization.
(b) "Converted by a change in use" means that term as defined
in section 2 of the qualified forest property recapture tax act.
(c) "Forest products" includes, but is not limited to, timber
and pulpwood-related products.
(d)
"Natural resources professional" and "registered
forester"
mean
those terms means that term as defined in section 51101 of the
natural resources and environmental protection act, 1994 PA 451,
MCL 324.51101.
(e) "Proposed forest management plan" means a proposed plan
for sustainable forest management that includes, but is not limited
to, harvesting, planting, and regeneration of forest products on a
parcel of property that is prepared by a qualified forester. A
proposed forest management plan shall include all of the following:
(i) The name and address of each owner of the property.
(ii) The legal description and parcel identification number of
the property or of the parcel on which the property is located.
(iii) A statement of the owner's forest management objectives.
(iv) A map, diagram, or aerial photograph that identified both
forested and unforested areas of the property, using conventional
map symbols indicating the species, size, and density of vegetation
and other major features of the property.
(v) A description of the forestry practices, including
harvesting, thinning, and reforestation, that will be undertaken,
specifying the approximate period of time before each is completed.
(vi) A description of soil conservation practices that may be
necessary to control any soil erosion that may result from the
forestry practices described pursuant to subparagraph (v).
(vii) A proposed forest management plan shall also include a
description of activities that may be undertaken for the management
of forest resources other than trees, including wildlife habitat,
watersheds, and aesthetic features.
(f) "Qualified forest property" means a parcel of real
property that meets all of the following conditions as determined
by the department of natural resources:
(i) Is not less than 20 contiguous acres in size, of which not
less than 80% is productive forest capable of producing wood
products. Contiguity is not broken by a road, a right-of-way, or
property purchased or taken under condemnation proceedings by a
public utility for power transmission lines if the 2 parcels
separated by the purchased or condemned property were a single
parcel prior to the sale or condemnation. As used in this
subparagraph, "productive forest" means real property capable of
growing not less than 20 cubic feet of wood per acre per year.
However, if property has been considered productive forest, an act
of God that negatively affects that property shall not result in
that property not being considered productive forest.
(ii) Is stocked with forest products.
(iii) Has no buildings or structures located on the real
property.
(iv) Is subject to an approved forest management plan.
(g) "Qualified forester" means natural resources professional
,
a registered forester, or a
conservation district forester.
(h) "Third-party certifying organization" means an independent
third-party organization that assesses and evaluates forest
management practices according to the standards of a certification
program that measures whether forest management practices are
consistent with principles of sustainable forestry. Third-party
certifying organization includes, but is not limited to, the forest
stewardship council and the sustainable forest initiative.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No. 481
of the 97th Legislature is enacted into law.
