Bill Text: MI HB4970 | 2011-2012 | 96th Legislature | Engrossed

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Bill Title: Property tax; classification; qualified forest property; provide property tax exemption. Amends secs. 7dd, 7jj & 27a of 1893 PA 206 (MCL 211.7dd et seq.). TIE BAR WITH: HB 4969'11

Spectrum: Partisan Bill (Republican 2-0)

Status: (Introduced - Dead) 2012-12-12 - Placed On Immediate Passage [HB4970 Detail]

Download: Michigan-2011-HB4970-Engrossed.html

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HB-4970, As Passed House, February 22, 2012

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 4970

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1893 PA 206, entitled

 

"The general property tax act,"

 

by amending sections 7jj and 27a (MCL 211.7jj[1] and 211.27a),

 

section 7jj as added by 2006 PA 378 and section 27a as amended by

 

2008 PA 506.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 7jj. (1) Except as otherwise limited in this subsection,

 

qualified 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.submit an application for that exemption as provided in

 

part 514 of the natural resources and environmental protection act,

 

1994 PA 451, MCL 324.51401 to 324.51421.

 

     (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.

 

     (3) (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 or an owner who

 

is found guilty under section 51420 of the natural resources and

 

environmental protection act, 1994 PA 451, MCL 324.51420, 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.

 

     (4) (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.

 

     (5) (7) If the assessor of the local tax collecting unit

 

believes determines 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.

 

     (6) (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.

 

     (7) (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, 2006 PA 379, MCL 211.1031 to 211.1036.

 

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, 2006 PA 379, MCL 211.1031 to

 

211.1036, 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 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.

 

     (8) As used in this section:

 

     (a) "Converted by a change in use" means that term as defined

 

in section 2 of the qualified forest property recapture tax act,

 

2006 PA 379, MCL 211.1031 to 211.1036.

 

     (b) "Qualified forest property" means property designated as

 

qualified forest property under part 514 of the natural resources

 

and environmental protection act, 1994 PA 451, MCL 324.51401 to

 

324.51421.

 

     Sec. 27a. (1) Except as otherwise provided in this section,

 

property shall be assessed at 50% of its true cash value under

 

section 3 of article IX of the state constitution of 1963.

 

     (2) Except as otherwise provided in subsection (3), for taxes

 

levied in 1995 and for each year after 1995, the taxable value of

 

each parcel of property is the lesser of the following:

 

     (a) The property's taxable value in the immediately preceding

 

year minus any losses, multiplied by the lesser of 1.05 or the

 

inflation rate, plus all additions. For taxes levied in 1995, the

 

property's taxable value in the immediately preceding year is the

 

property's state equalized valuation in 1994.

 

     (b) The property's current state equalized valuation.

 

     (3) Upon a transfer of ownership of property after 1994, the

 

property's taxable value for the calendar year following the year

 

of the transfer is the property's state equalized valuation for the

 

calendar year following the transfer.

 

     (4) If the taxable value of property is adjusted under

 

subsection (3), a subsequent increase in the property's taxable

 

value is subject to the limitation set forth in subsection (2)

 

until a subsequent transfer of ownership occurs. If the taxable

 

value of property is adjusted under subsection (3) and the assessor

 

determines that there had not been a transfer of ownership, the

 

taxable value of the property shall be adjusted at the July or

 

December board of review. Notwithstanding the limitation provided

 

in section 53b(1) on the number of years for which a correction may

 

be made, the July or December board of review may adjust the

 

taxable value of property under this subsection for the current

 

year and for the 3 immediately preceding calendar years. A

 

corrected tax bill shall be issued for each tax year for which the

 

taxable value is 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. For

 

purposes of section 53b, an adjustment under this subsection shall

 

be considered the correction of a clerical error.

 

     (5) Assessment of property, as required in this section and

 

section 27, is inapplicable to the assessment of property subject

 

to the levy of ad valorem taxes within voted tax limitation

 

increases to pay principal and interest on limited tax bonds issued

 

by any governmental unit, including a county, township, community

 

college district, or school district, before January 1, 1964, if

 

the assessment required to be made under this act would be less

 

than the assessment as state equalized prevailing on the property

 

at the time of the issuance of the bonds. This inapplicability

 

shall continue until levy of taxes to pay principal and interest on

 

the bonds is no longer required. The assessment of property

 

required by this act shall be applicable for all other purposes.

 

     (6) As used in this act, "transfer of ownership" means the

 

conveyance of title to or a present interest in property, including

 

the beneficial use of the property, the value of which is

 

substantially equal to the value of the fee interest. Transfer of

 

ownership of property includes, but is not limited to, the

 

following:

 

     (a) A conveyance by deed.

 

     (b) A conveyance by land contract. The taxable value of

 

property conveyed by a land contract executed after December 31,

 

1994 shall be adjusted under subsection (3) for the calendar year

 

following the year in which the contract is entered into and shall

 

not be subsequently adjusted under subsection (3) when the deed

 

conveying title to the property is recorded in the office of the

 

register of deeds in the county in which the property is located.

 

     (c) A conveyance to a trust after December 31, 1994, except if

 

the settlor or the settlor's spouse, or both, conveys the property

 

to the trust and the sole present beneficiary or beneficiaries are

 

the settlor or the settlor's spouse, or both.

 

     (d) A conveyance by distribution from a trust, except if the

 

distributee is the sole present beneficiary or the spouse of the

 

sole present beneficiary, or both.

 

     (e) A change in the sole present beneficiary or beneficiaries

 

of a trust, except a change that adds or substitutes the spouse of

 

the sole present beneficiary.

 

     (f) A conveyance by distribution under a will or by intestate

 

succession, except if the distributee is the decedent's spouse.

 

     (g) A conveyance by lease if the total duration of the lease,

 

including the initial term and all options for renewal, is more

 

than 35 years or the lease grants the lessee a bargain purchase

 

option. As used in this subdivision, "bargain purchase option"

 

means the right to purchase the property at the termination of the

 

lease for not more than 80% of the property's projected true cash

 

value at the termination of the lease. After December 31, 1994, the

 

taxable value of property conveyed by a lease with a total duration

 

of more than 35 years or with a bargain purchase option shall be

 

adjusted under subsection (3) for the calendar year following the

 

year in which the lease is entered into. This subdivision does not

 

apply to personal property except buildings described in section

 

14(6) and personal property described in section 8(h), (i), and

 

(j). This subdivision does not apply to that portion of the

 

property not subject to the leasehold interest conveyed.

 

     (h) A conveyance of an ownership interest in a corporation,

 

partnership, sole proprietorship, limited liability company,

 

limited liability partnership, or other legal entity if the

 

ownership interest conveyed is more than 50% of the corporation,

 

partnership, sole proprietorship, limited liability company,

 

limited liability partnership, or other legal entity. Unless

 

notification is provided under subsection (10), the corporation,

 

partnership, sole proprietorship, limited liability company,

 

limited liability partnership, or other legal entity shall notify

 

the assessing officer on a form provided by the state tax

 

commission not more than 45 days after a conveyance of an ownership

 

interest that constitutes a transfer of ownership under this

 

subdivision.

 

     (i) A transfer of property held as a tenancy in common, except

 

that portion of the property not subject to the ownership interest

 

conveyed.

 

     (j) A conveyance of an ownership interest in a cooperative

 

housing corporation, except that portion of the property not

 

subject to the ownership interest conveyed.

 

     (7) Transfer of ownership does not include the following:

 

     (a) The transfer of property from 1 spouse to the other spouse

 

or from a decedent to a surviving spouse.

 

     (b) A transfer from a husband, a wife, or a husband and wife

 

creating or disjoining a tenancy by the entireties in the grantors

 

or the grantor and his or her spouse.

 

     (c) A transfer of that portion of property subject to a life

 

estate or life lease retained by the transferor, until expiration

 

or termination of the life estate or life lease. That portion of

 

property transferred that is not subject to a life lease shall be

 

adjusted under subsection (3).

 

     (d) A transfer through foreclosure or forfeiture of a recorded

 

instrument under chapter 31, 32, or 57 of the revised judicature

 

act of 1961, 1961 PA 236, MCL 600.3101 to 600.3285 and MCL 600.5701

 

to 600.5759, or through deed or conveyance in lieu of a foreclosure

 

or forfeiture, until the mortgagee or land contract vendor

 

subsequently transfers the property. If a mortgagee does not

 

transfer the property within 1 year of the expiration of any

 

applicable redemption period, the property shall be adjusted under

 

subsection (3).

 

     (e) A transfer by redemption by the person to whom taxes are

 

assessed of property previously sold for delinquent taxes.

 

     (f) A conveyance to a trust if the settlor or the settlor's

 

spouse, or both, conveys the property to the trust and the sole

 

present beneficiary of the trust is the settlor or the settlor's

 

spouse, or both.

 

     (g) A transfer pursuant to a judgment or order of a court of

 

record making or ordering a transfer, unless a specific monetary

 

consideration is specified or ordered by the court for the

 

transfer.

 

     (h) A transfer creating or terminating a joint tenancy between

 

2 or more persons if at least 1 of the persons was an original

 

owner of the property before the joint tenancy was initially

 

created and, if the property is held as a joint tenancy at the time

 

of conveyance, at least 1 of the persons was a joint tenant when

 

the joint tenancy was initially created and that person has

 

remained a joint tenant since the joint tenancy was initially

 

created. A joint owner at the time of the last transfer of

 

ownership of the property is an original owner of the property. For

 

purposes of this subdivision, a person is an original owner of

 

property owned by that person's spouse.

 

     (i) A transfer for security or an assignment or discharge of a

 

security interest.

 

     (j) A transfer of real property or other ownership interests

 

among members of an affiliated group. As used in this subsection,

 

"affiliated group" means 1 or more corporations connected by stock

 

ownership to a common parent corporation. Upon request by the state

 

tax commission, a corporation shall furnish proof within 45 days

 

that a transfer meets the requirements of this subdivision. A

 

corporation that fails to comply with a request by the state tax

 

commission under this subdivision is subject to a fine of $200.00.

 

     (k) Normal public trading of shares of stock or other

 

ownership interests that, over any period of time, cumulatively

 

represent more than 50% of the total ownership interest in a

 

corporation or other legal entity and are traded in multiple

 

transactions involving unrelated individuals, institutions, or

 

other legal entities.

 

     (l) A transfer of real property or other ownership interests

 

among corporations, partnerships, limited liability companies,

 

limited liability partnerships, or other legal entities if the

 

entities involved are commonly controlled. Upon request by the

 

state tax commission, a corporation, partnership, limited liability

 

company, limited liability partnership, or other legal entity shall

 

furnish proof within 45 days that a transfer meets the requirements

 

of this subdivision. A corporation, partnership, limited liability

 

company, limited liability partnership, or other legal entity that

 

fails to comply with a request by the state tax commission under

 

this subdivision is subject to a fine of $200.00.

 

     (m) A direct or indirect transfer of real property or other

 

ownership interests resulting from a transaction that qualifies as

 

a tax-free reorganization under section 368 of the internal revenue

 

code, 26 USC 368. Upon request by the state tax commission, a

 

property owner shall furnish proof within 45 days that a transfer

 

meets the requirements of this subdivision. A property owner who

 

fails to comply with a request by the state tax commission under

 

this subdivision is subject to a fine of $200.00.

 

     (n) A transfer of qualified agricultural property, if the

 

person to whom the qualified agricultural property is transferred

 

files an affidavit with the assessor of the local tax collecting

 

unit in which the qualified agricultural property is located and

 

with the register of deeds for the county in which the qualified

 

agricultural property is located attesting that the qualified

 

agricultural property shall remain qualified agricultural property.

 

The affidavit under this subdivision shall be in a form prescribed

 

by the department of treasury. An owner of qualified agricultural

 

property shall inform a prospective buyer of that qualified

 

agricultural property that the qualified agricultural property is

 

subject to the recapture tax provided in the agricultural property

 

recapture act, 2000 PA 261, MCL 211.1001 to 211.1007, if the

 

qualified agricultural property is converted by a change in use. If

 

property ceases to be qualified agricultural property at any time

 

after being transferred, all of the following shall occur:

 

     (i) The taxable value of that property shall be adjusted under

 

subsection (3) as of the December 31 in the year that the property

 

ceases to be qualified agricultural property.

 

     (ii) The property is subject to the recapture tax provided for

 

under the agricultural property recapture act, 2000 PA 261, MCL

 

211.1001 to 211.1007.

 

     (o) A transfer of qualified forest property, if the person to

 

whom the qualified forest property is transferred files an

 

affidavit with the assessor of the local tax collecting unit in

 

which the qualified forest property is located and with the

 

register of deeds for the county in which the qualified forest

 

property is located attesting that the qualified forest property

 

shall remain qualified forest property. The affidavit under this

 

subdivision shall be in a form prescribed by the department of

 

treasury. 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, 2006 PA 379,

 

MCL 211.1031 to 211.1036, if the qualified forest property is

 

converted by a change in use. If property ceases to be qualified

 

forest property at any time after being transferred, all of the

 

following shall occur:

 

     (i) The taxable value of that property shall be adjusted under

 

subsection (3) as of the December 31 in the year that the property

 

ceases to be qualified forest property.

 

     (ii) The property is subject to the recapture tax provided for

 

under the qualified forest property recapture tax act, 2006 PA 379,

 

MCL 211.1031 to 211.1036.

 

     (p) Beginning on the effective date of the amendatory act that

 

added this subdivision December 8, 2006, a transfer of land, but

 

not buildings or structures located on the land, which meets 1 or

 

more of the following requirements:

 

     (i) The land is subject to a conservation easement under

 

subpart 11 of part 21 of the natural resources and environmental

 

protection act, 1994 PA 451, MCL 324.2140 to 324.2144. As used in

 

this subparagraph, "conservation easement" means that term as

 

defined in section 2140 of the natural resources and environmental

 

protection act, 1994 PA 451, MCL 324.2140.

 

     (ii) A transfer of ownership of the land or a transfer of an

 

interest in the land is eligible for a deduction as a qualified

 

conservation contribution under section 170(h) of the internal

 

revenue code, 26 USC 170.

 

     (q) A transfer of real property or other ownership interests

 

resulting from a consolidation or merger of a domestic nonprofit

 

corporation that is a boy or girl scout or camp fire girls

 

organization, a 4-H club or foundation, a young men's Christian

 

association, or a young women's Christian association and at least

 

50% of the members of that organization or association are

 

residents of this state.

 

     (8) If all of the following conditions are satisfied, the

 

local tax collecting unit shall revise the taxable value of

 

qualified agricultural property taxable on the tax roll in the

 

possession of that local tax collecting unit to the taxable value

 

that qualified agricultural property would have had if there had

 

been no transfer of ownership of that qualified agricultural

 

property since December 31, 1999 and there had been no adjustment

 

of that qualified agricultural property's taxable value under

 

subsection (3) since December 31, 1999:

 

     (a) The qualified agricultural property was qualified

 

agricultural property for taxes levied in 1999 and each year after

 

1999.

 

     (b) The owner of the qualified agricultural property files an

 

affidavit with the assessor of the local tax collecting unit under

 

subsection (7)(n).

 

     (9) If the taxable value of qualified agricultural property is

 

adjusted under subsection (8), the owner of that qualified

 

agricultural property shall not be entitled to a refund for any

 

property taxes collected under this act on that qualified

 

agricultural property before the adjustment under subsection (8).

 

     (10) The register of deeds of the county where deeds or other

 

title documents are recorded shall notify the assessing officer of

 

the appropriate local taxing unit not less than once each month of

 

any recorded transaction involving the ownership of property and

 

shall make any recorded deeds or other title documents available to

 

that county's tax or equalization department. Unless notification

 

is provided under subsection (6), the buyer, grantee, or other

 

transferee of the property shall notify the appropriate assessing

 

office in the local unit of government in which the property is

 

located of the transfer of ownership of the property within 45 days

 

of the transfer of ownership, on a form prescribed by the state tax

 

commission that states the parties to the transfer, the date of the

 

transfer, the actual consideration for the transfer, and the

 

property's parcel identification number or legal description. Forms

 

filed in the assessing office of a local unit of government under

 

this subsection shall be made available to the county tax or

 

equalization department for the county in which that local unit of

 

government is located. This subsection does not apply to personal

 

property except buildings described in section 14(6) and personal

 

property described in section 8(h), (i), and (j).

 

     (11) As used in this section:

 

     (a) "Additions" means that term as defined in section 34d.

 

     (b) "Beneficial use" means the right to possession, use, and

 

enjoyment of property, limited only by encumbrances, easements, and

 

restrictions of record.

 

     (c) "Converted by a change in use" means that term as defined

 

in the agricultural property recapture act, 2000 PA 261, MCL

 

211.1001 to 211.1007.

 

     (d) "Inflation rate" means that term as defined in section

 

34d.

 

     (e) "Losses" means that term as defined in section 34d.

 

     (f) "Qualified agricultural property" means that term as

 

defined in section 7dd.

 

     (g) "Qualified forest property" means that term as defined in

 

section 7jj[1].property designated as qualified forest property

 

under part 514 of the natural resources and environmental

 

protection act, 1994 PA 451, MCL 324.51401 to 324.51421, and exempt

 

under section 7jj[1].

 

     Enacting section 1. This amendatory act does not take effect

 

unless House Bill No. 4969 of the 96th Legislature is enacted into

 

law.