Bill Text: MI HB4641 | 2021-2022 | 101st Legislature | Chaptered

Michigan House Bill 4641 (Prior Session Legislation)

Bill Title: Economic development: neighborhood enterprise zones; filing of neighborhood enterprise zone certificate extension; modify. Amends sec. 11 of 1992 PA 147 (MCL 207.781).

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2021-07-01 - Assigned Pa 44'21 With Immediate Effect [HB4641 Detail]

Download: Michigan-2021-HB4641-Chaptered.html

Act No. 44

Public Acts of 2021

Approved by the Governor

July 1, 2021

Filed with the Secretary of State

July 1, 2021

EFFECTIVE DATE: July 1, 2021

state of michigan

101st Legislature

Regular session of 2021

Introduced by Rep. Marino

ENROLLED HOUSE BILL No. 4641

AN ACT to amend 1992 PA 147, entitled �An act to provide for the development and rehabilitation of residential housing; to provide for the creation of neighborhood enterprise zones; to provide for obtaining neighborhood enterprise zone certificates for a period of time and to prescribe the contents of the certificates; to provide for the exemption of certain taxes; to provide for the levy and collection of a specific tax on the owner of certain facilities; and to prescribe the powers and duties of certain officers of the state and local governmental units,� by amending section 11 (MCL 207.781), as amended by 2020 PA 3.

The People of the State of Michigan enact:

Sec. 11. (1) Upon receipt of a request by certified mail to the qualified assessing authority by the holder of a neighborhood enterprise zone certificate requesting revocation of the certificate, the qualified assessing authority by order shall revoke the certificate.

(2) For certificates issued prior to January 1, 2017, the certificate shall expire if the owner fails to complete the filing requirements under section 10 within 2 years of the date the certificate was issued. For certificates issued after December 31, 2016, the certificate shall expire if the owner fails to complete the filing requirements under section 10 within 3 years of the date the certificate was issued. The holder of the certificate may request in writing to the qualified assessing authority by written request submitted at any time prior to the expiration of the certificate or within 1 year of the expiration of the certificate, a 1-year automatic extension of the deadlines provided in this subsection if the owner has proceeded in good faith with the construction or rehabilitation of the facility in a manner consistent with the purposes of this act and the delay in completion or occupancy by an owner is due to circumstances beyond the control of the holder of the certificate. For certificates issued prior to March 23, 2020, the holder of the certificate may request in writing to the qualified assessing authority no later than 180 days of the expiration of the certificate, a 180-day automatic extension of deadlines provided in this subsection, in addition to any extensions already exercised by the holder of the certificate. Upon request of the governing body of the local governmental unit, the qualified assessing authority shall extend the certificate if the new facility has not been occupied.

(3) The certificate for a homestead facility or new facility is automatically revoked if the homestead facility or new facility is no longer a homestead as that term is defined in section 7a of the general property tax act, 1893 PA 206, MCL 211.7a. However, if the owner or any subsequent owner submits a certificate before the revocation is effective, the qualified assessing authority, upon application of the owner, shall rescind the order of revocation. If the certificate is submitted after revocation of the certificate, the qualified assessing authority, upon application of the owner, shall reinstate the certificate for the remaining period of time for which the original certificate would have been in effect.

(4) If the owner of the facility fails to make the annual payment of the neighborhood enterprise zone tax and the ad valorem property tax on the land under the general property tax act, 1893 PA 206, MCL 211.1 to 211.155, the qualified assessing authority by order shall revoke the certificate. However, if payment of these taxes is made before the revocation is effective, the qualified assessing authority, upon application of the owner, shall rescind the order of revocation. If payment of these taxes and any subsequent ad valorem property tax due on the facility is made after revocation of the certificate, the qualified assessing authority, upon application of the owner, shall reinstate the certificate for the remaining period of time for which the original certificate would have been in effect.

(5) If a homestead facility, a new facility, or a rehabilitated facility ceases to have as its primary purpose residential housing, the qualified assessing authority by order shall revoke the certificate for that facility. A new or rehabilitated facility does not cease to be used for its primary purpose if it is temporarily damaged or destroyed in whole or in part.

(6) If the governing body of a local governmental unit determines that a homestead facility, a new facility, or a rehabilitated facility is not in compliance with any local construction, building, or safety codes and notifies the qualified assessing authority by certified mail of the noncompliance, the qualified assessing authority by order shall revoke the certificate.

(7) The revocation shall be effective beginning the December 31 following the date of the order or, if the certificate is automatically revoked under subsection (3), the December 31 following the automatic revocation. The qualified assessing authority shall send by certified mail copies of the order of revocation to the holder of the certificate and to the assessor of that local governmental unit, and to the legislative body of each taxing unit that levies taxes upon property in the local governmental unit in which the new facility or rehabilitated facility is located.

Text, letter

Description automatically generated This act is ordered to take immediate effect.