SENATE BILL No. 1048

 

 

March 27, 2012, Introduced by Senators CASPERSON, NOFS, KOWALL, PROOS, MEEKHOF, SCHUITMAKER and WALKER and referred to the Committee on Transportation.

 

 

 

     A bill to amend 1933 PA 167, entitled

 

"General sales tax act,"

 

by amending section 25 (MCL 205.75), as amended by 2010 PA 160.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 25. (1) All money received and collected under this act

 

shall be deposited by the department in the state treasury to the

 

credit of the general fund, except as otherwise provided in this

 

section.

 

     (2) Fifteen percent of the collections of the tax imposed at a

 

rate of 4% shall be distributed to cities, villages, and townships

 

pursuant to the Glenn Steil state revenue sharing act of 1971, 1971

 

PA 140, MCL 141.901 to 141.921.

 

     (3) Sixty percent of the collections of the tax imposed at a

 

rate of 4% shall be deposited in the state school aid fund

 

established in section 11 of article IX of the state constitution


 

of 1963 and distributed as provided by law. In addition, all of the

 

collections of the tax imposed at the additional rate of 2%

 

approved by the electors March 15, 1994 shall be deposited in the

 

state school aid fund.

 

     (4) For the fiscal year ending September 30, 1988 and each

 

fiscal year ending after September 30, 1988, of the 25% of the

 

collections of the general sales tax imposed at a rate of 4%

 

directly or indirectly on fuels sold to propel motor vehicles upon

 

highways, on the sale of motor vehicles, and on the sale of the

 

parts and accessories of motor vehicles by new and used car

 

businesses, used car businesses, accessory dealer businesses, and

 

gasoline station businesses as classified by the department of

 

treasury remaining after the allocations and distributions are made

 

pursuant to subsections (2) and (3), the following amounts shall be

 

deposited each year into the respective funds:

 

     (a) For the fiscal year ending September 30, 2003 and for the

 

fiscal year ending September 30, 2006 and each fiscal year ending

 

after September 30, 2006, not less than 27.9% to the comprehensive

 

transportation fund. For the fiscal year ending September 30, 2004

 

through the fiscal year ending September 30, 2005, not less than

 

24% to the comprehensive transportation fund. For the fiscal year

 

ending September 30, 2006 only, the amount deposited to the

 

comprehensive transportation fund under this subdivision shall be

 

reduced by $11,100,000.00. For the fiscal year ending September 30,

 

2007 only, the amount deposited to the comprehensive transportation

 

fund under this subdivision shall be reduced by $10,270,000.00. For

 

the fiscal year ending September 30, 2008 only, the amount


 

deposited to the comprehensive transportation fund under this

 

subdivision shall be reduced by $5,000,000.00 and shall be

 

deposited in the state treasury to the credit of the general fund.

 

For the fiscal year ending September 30, 2010 only, the amount

 

deposited to the comprehensive transportation fund under this

 

subdivision shall be reduced by $5,700,000.00 and shall be

 

deposited in the state treasury to the credit of the general fund.

 

     (b) The balance to the state general fund.

 

     (5) After the allocations and distributions are made pursuant

 

to subsections (2) and (3), an amount equal to the collections of

 

the tax imposed at a rate of 4% under this act from the sale at

 

retail of computer software as defined in section 1a shall be

 

deposited in the Michigan health initiative fund created in section

 

5911 of the public health code, 1978 PA 368, MCL 333.5911, and

 

shall be considered in addition to, and is not intended as a

 

replacement for any other money appropriated to the department of

 

community health. The funds deposited in the Michigan health

 

initiative fund on an annual basis shall not be less than

 

$9,000,000.00 or more than $12,000,000.00.

 

     (6) For the fiscal year ending September 30, 2013 and each

 

fiscal year ending after September 30, 2013, after the allocations

 

and distributions are made pursuant to subsections (2) and (3),

 

except as otherwise provided in this subsection, an amount equal to

 

the collections of the tax imposed at a rate of 4% under this act

 

from the sale at retail of aviation fuel and aviation products

 

shall be deposited in the state aeronautics fund and shall be

 

expended, on appropriation, only for those purposes authorized in


 

the aeronautics code of the state of Michigan, 1945 PA 327, MCL

 

259.1 to 259.208. Not less than $10,000,000.00 shall be deposited

 

in the state aeronautics fund on an annual basis under this

 

subsection. As used in this subsection, "state aeronautics fund"

 

means the state aeronautics fund created in section 34 of the

 

aeronautics code of the state of Michigan, 1945 PA 327, MCL 259.34.

 

     (7) (6) The balance in the state general fund shall be

 

disbursed only on an appropriation or appropriations by the

 

legislature.