Bill Text: MI HB4429 | 2011-2012 | 96th Legislature | Introduced

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Bill Title: Property tax; delinquent taxes; eligibility requirements to withhold property from the petition for foreclosure; revise. Amends sec. 78h of 1893 PA 206 (MCL 211.78h).

Spectrum: Partisan Bill (Democrat 19-0)

Status: (Introduced - Dead) 2011-03-16 - Printed Bill Filed 03/16/2011 [HB4429 Detail]

Download: Michigan-2011-HB4429-Introduced.html

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HOUSE BILL No. 4429

 

March 15, 2011, Introduced by Reps. Jackson, Segal, Smiley, Haugh, Constan, Lipton, Darany, Kandrevas, Ananich, McCann, Switalski, Geiss, Slavens, Barnett, Liss, Bauer, Howze, Rutledge and Meadows and referred to the Committee on Tax Policy.

 

     A bill to amend 1893 PA 206, entitled

 

"The general property tax act,"

 

by amending section 78h (MCL 211.78h), as amended by 2001 PA 96.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 78h. (1) Not later than June 15 in each tax year, the

 

foreclosing governmental unit shall file a single petition with the

 

clerk of the circuit court of that county listing all property

 

forfeited and not redeemed to the county treasurer under section

 

78g to be foreclosed under section 78k for the total of the

 

forfeited unpaid delinquent taxes, interest, penalties, and fees.

 

If available to the foreclosing governmental unit, the petition

 

shall include the street address of each parcel of property set

 

forth in the petition. The petition shall seek a judgment in favor

 

of the foreclosing governmental unit for the forfeited unpaid

 

delinquent taxes, interest, penalties, and fees listed against each

 

parcel of property. The petition shall request that a judgment be

 

entered vesting absolute title to each parcel of property in the

 

foreclosing governmental unit, without right of redemption.

 

     (2) If property is redeemed after the petition for foreclosure

 

is filed under this section, the foreclosing governmental unit

 

shall request that the circuit court remove that property from the

 

petition for foreclosure before entry of judgment foreclosing the

 

property under section 78k.

 

     (3) The foreclosing governmental unit may withhold the

 

following property from the petition for foreclosure filed under

 

this section:

 

     (a) Property the title to which is held by minor heirs or

 

persons who are incompetent, persons without means of support, or

 

persons unable to manage their affairs due to age or infirmity,

 

until a guardian is appointed to protect that person's rights and

 

interests.

 

     (b) Property the title to which is held by a person undergoing

 

substantial financial hardship, as determined under a written

 

policy developed and adopted by the foreclosing governmental unit.

 

The foreclosing governmental unit shall make available to the

 

public the written policy adopted under this subdivision. The

 

written policy adopted under this subdivision shall include, but is

 

not limited to, all of the following:

 

     (i) The person requesting that the property be withheld from

 

the petition for foreclosure holds the title to the property.

 

     (ii) The household income of the person requesting that the

 

property be withheld from the petition for foreclosure meets is

 

200% or less of the federal poverty income standards as defined and

 

determined annually by the United States office of management and

 

budget guidelines published annually in the federal register by the

 

United States department of health and human services under its

 

authority to revise the poverty line under 42 USC 9902, or

 

alternative guidelines adopted by the foreclosing governmental

 

unit, provided that the alternative guidelines include all persons

 

who would otherwise meet with household income that is 200% or less

 

of the federal poverty income standards guidelines under this

 

subparagraph. As used in this subparagraph, "household income"

 

means that term as defined in section 508 of the income tax act of

 

1967, 1967 PA 281, MCL 206.508.

 

     (c) Property withheld from a petition for foreclosure under

 

this subsection may be withheld from 1 or more subsequent petitions

 

for foreclosure.

 

     (4) If a foreclosing governmental unit withholds property from

 

the petition for foreclosure under subsection (3), a taxing unit's

 

lien for taxes due or the foreclosing governmental unit's right to

 

include the property in a subsequent petition for foreclosure is

 

not prejudiced.

 

     (5) The clerk of the circuit court in which the petition is

 

filed shall immediately set the date, time, and place for a hearing

 

on the petition for foreclosure, which hearing shall be held not

 

more than 30 days before the March 1 immediately succeeding the

 

date the petition for foreclosure is filed.