Bill Text: MI HB5151 | 2015-2016 | 98th Legislature | Introduced

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Bill Title: Property tax; payment and collection; payment of collected taxes by local tax collecting unit; provide for payment of judgment against local unit of government. Amends secs. 43, 44a, 51, 52, 52a & 54 of 1893 PA 206 (MCL 211.43 et seq.). TIE BAR WITH: HB 5150'15

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2015-12-16 - Printed Bill Filed 12/16/2015 [HB5151 Detail]

Download: Michigan-2015-HB5151-Introduced.html

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HOUSE BILL No. 5151

 

December 15, 2015, Introduced by Rep. Poleski and referred to the Committee on Local Government.

 

     A bill to amend 1893 PA 206, entitled

 

"The general property tax act,"

 

by amending sections 43, 44a, 51, 52, 52a, and 54 (MCL 211.43,

 

211.44a, 211.51, 211.52, 211.52a, and 211.54), section 43 as

 

amended by 1994 PA 253, section 44a as amended by 2012 PA 184,

 

section 51 as amended by 2012 PA 57, and section 52a as added by

 

2004 PA 441.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 43. (1) The supervisor of each township, immediately upon

 

authorization to raise money by taxation pursuant to an election

 

held under section 36 or on or before the November 5 in each year,

 

shall notify the township treasurer of the amount of the state,

 

county, school, and public transportation authority taxes as

 

apportioned to his or her township.

 

     (2) The treasurer, immediately upon authorization to raise

money by taxation pursuant to an election held under section 36 or

 

on or before the third day immediately preceding the day the taxes

 

to be collected become a lien, shall give to the county treasurer a

 

bond running to the county in the actual amount of state, county,

 

and school taxes, except school taxes collected through a city

 

treasurer, with sufficient sureties to be approved by the

 

supervisor of the township and the county treasurer, conditioned

 

that he or she will pay over to the county treasurer as required by

 

law all state and county taxes, pay over to the respective school

 

treasurers all school taxes that he or she collects during each

 

year of his or her term of office, and duly and faithfully perform

 

all the other duties of the office of treasurer. If a corporate

 

surety bond is provided, the bond shall be approved only by the

 

county treasurer. If the bond is furnished by a surety company

 

authorized to transact business under the laws of this state, it is

 

sufficient that the bond is equal to 40% of the amount of state,

 

county, and school taxes. If the bond is furnished by a surety

 

company, the premium and cost of the bond given to the county shall

 

be paid by the county treasurer from the general fund of the county

 

against which the premium and cost is made a charge. However, the

 

county treasurer having paid the premium may bill each district

 

school board afforded protection by the bond that portion of the

 

premium charge as is allocated to the school taxes and the school

 

district treasurers shall pay that allocated premium charge as

 

determined by the county treasurer for the protection of school

 

taxes from available school district funds. If the county treasurer

 

and township supervisor determine that the bond of the township

 

treasurer recorded with the township clerk and on file with the

 

township supervisor is adequate and sufficient to safeguard the

 

proper accounting of state, county, and school taxes as required by

 

law, the township treasurer shall not be required to file with the

 

county treasurer the bond provided for in this section. The county

 

treasurer shall deliver to the supervisor on or before the day the

 

taxes to be collected become a lien a signed statement of approval

 

of the bond. Upon the receipt of the signed statement and on or

 

before the day the taxes to be collected become a lien, the

 

supervisor shall deliver to the township treasurer the tax roll of

 

this the township. The county treasurer shall file and safely keep

 

the bond in his or her office and shall give to the township

 

treasurer a receipt stating that the required bond was received,

 

which receipt the township treasurer shall deliver to the

 

supervisor on or before the day the taxes to be collected become a

 

lien. After the delivery of the receipt and on or before the day

 

the taxes to be collected become a lien, the supervisor shall

 

deliver to the township treasurer the tax roll of the township.

 

     (3) Except as provided in subsections (4) and (5), tax

 

collections shall be delivered pursuant to the following schedule:

 

     (a) Within 10 business days after the first and fifteenth day

 

of each month, the township or city treasurer shall account for and

 

deliver to the county treasurer the total amount of state and

 

county tax collections on hand on the first and fifteenth day of

 

each month; to the school district treasurers the total amount of

 

school tax collections on hand on the first and fifteenth day of

 

each month; and to the public transportation authorities the total

 

amount of public transportation authority tax collections on hand

 

the first and fifteenth day of each month. If the intermediate

 

school district and community college district provide for direct

 

payment pursuant to subsection (9), the township or city treasurer

 

shall also account for and deliver to the intermediate school

 

district and the community college district the total respective

 

amounts of school tax collections on hand the first and fifteenth

 

day of each month. This subdivision shall not apply to the month of

 

March.

 

     (b) Within 10 business days after the last day of February,

 

the township or city treasurer shall account for and deliver to the

 

county treasurer at least 90% of the total amount of state and

 

county tax collections on hand on the last day of February; to the

 

school district treasurers at least 90% of the total amount of

 

school tax collections on hand on the last day of February; and to

 

the public transportation authorities at least 90% of the total

 

amount of public transportation authority tax collections on hand

 

on the last day of February. If the intermediate school district

 

and community college district provide for direct payment pursuant

 

to subsection (9), the township or city treasurer shall also

 

account for and deliver to the intermediate school district and

 

community college district at least 90% of the total respective

 

amounts of school tax collections on hand on the last day of

 

February.

 

     (c) A final adjustment and delivery of the total amount of tax

 

collections on hand for the county, community college districts,

 

intermediate school districts, school districts, and public

 

transportation authorities shall be made not later than April 1 of

 

each year.

 

     (4) Instead of following the schedule prescribed in subsection

 

(3), the township or city serving as the tax collecting unit and

 

the local governmental unit for which the tax collections are made

 

may enter into an agreement to establish an alternative schedule

 

for delivering tax collections.

 

     (5) A township that has a state equalized valuation of

 

$15,000,000.00 or less shall account for and deliver to the county

 

treasurer, the school district treasurers, and the public

 

transportation authorities and, if the intermediate school district

 

and community college district provide for direct payment pursuant

 

to subsection (9), the intermediate school district treasurers and

 

community college treasurers the taxes collected up to and

 

including January 10, within 10 business days after January 10.

 

However, a township treasurer subject to this subsection shall at

 

no time have on hand collections of state, county, community

 

college, intermediate school district if applicable pursuant to

 

subsection (9), school district, and public transportation

 

authority taxes in excess of 25% of the amount of the taxes

 

apportioned to the township and, when if collections on hand reach

 

this that percentage, the township treasurer shall immediately

 

account for and turn over the total amount of state and county tax

 

collections on hand to the county treasurer, the total respective

 

amounts of school tax collections on hand to the respective

 

treasurers, and the total respective amounts of public

 

transportation authority tax collections on hand to the respective

 

public transportation authorities. The township treasurer shall

 

notify the secretary or superintendent of each community college

 

district, intermediate school district, and school district

 

applicable and each of the applicable public transportation

 

authorities of the total amount of taxes paid to the respective

 

treasurer or authority, which notification shall show the different

 

funds for which the taxes were collected.

 

     (6) Except as may be provided under section 1613 of Act No.

 

451 of the Public Acts of 1976, being section 380.1613 of the

 

Michigan Compiled Laws, the revised school code, 1976 PA 451, MCL

 

380.1613, when a county treasurer is collecting the school district

 

or intermediate school district levy, the county treasurer shall

 

account for and deliver to the appropriate local governmental unit

 

treasurer the tax collections received by the county treasurer

 

within 10 business days after the county treasurer receives the

 

funds.

 

     (7) The A county treasurer shall account for and deposit in

 

the county library fund for the use of the county library board,

 

county tax collections received pursuant to a tax levied under

 

section 1 of Act No. 138 of the Public Acts of 1917, being section

 

397.301 of the Michigan Compiled Laws, 1917 PA 138, MCL 397.301,

 

within 10 business days after the county treasurer receives the

 

funds.

 

     (8) The A county treasurer shall account for and deliver to

 

the boards of each metropolitan transportation authority the county

 

tax collections for transportation authority purposes received by

 

the county treasurer within 10 business days after the county

 

treasurer receives the funds.

 

     (9) For taxes that become a lien in December 1984 or after

 

1984, an intermediate school district board or the board of

 

trustees of a community college may provide that a local tax

 

collecting treasurer shall account for and deliver tax collections

 

directly to the respective intermediate school district or

 

community college treasurer pursuant to the schedule contained in

 

subsections (3), (4), and (5) for delivery of the respective taxes

 

to the county treasurer. A resolution shall be adopted at least 60

 

days before the day taxes to be collected become a lien and shall

 

specify the period for which the resolution is effective. Copies of

 

the resolution shall be transmitted to each local tax collecting

 

treasurer and county treasurer within the intermediate school

 

district or community college district.

 

     (10) By the fifteenth day of each month, the a county

 

treasurer shall account for and deliver to the state the

 

collections under the state education tax act, Act No. 331 of the

 

Public Acts of 1993, being sections 211.901 to 211.906 of the

 

Michigan Compiled Laws, 1993 PA 331, MCL 211.901 to 211.906, on

 

hand on the last day of the preceding month. By the first day of

 

each month, the a county treasurer shall account for and deliver to

 

the state the collections under the state education tax act, Act

 

No. 331 of the Public Acts of 1993, 1993 PA 331, MCL 211.901 to

 

211.906, on hand on or before the fifteenth day of the immediately

 

preceding month. The A county treasurer may retain the interest

 

earned on the money collected under Act No. 331 of the Public Acts

 

of 1993 the state education tax act, 1993 PA 331, MCL 211.901 to

 

211.906, while held by the county treasurer, as reimbursement for

 

the cost incurred by the county in collecting and transmitting the

 

tax imposed by that act. The money retained by the a county

 

treasurer under this section shall be deposited in the treasury of

 

the county in which the tax is collected to the credit of the

 

general fund.

 

     (11) A treasurer who willfully neglects or refuses to perform

 

a duty required by subsections (3) to (8) is subject to the penalty

 

prescribed in section 119(1).

 

     (12) Except as otherwise provided by subsection (10), interest

 

earned by a city, township, or county on collections of taxes

 

levied on or after November 5, 1985 before the tax collections are

 

accounted for and delivered to the respective taxing units pursuant

 

to this section shall also be accounted for and delivered to the

 

respective taxing units on a pro rata basis. Interest earned by a

 

city, township, or county on collections of taxes levied before

 

November 5, 1985 before those collections were accounted for and

 

delivered to the respective taxing units in compliance with the

 

requirements of this section is not subject to claim and

 

retroactive collection by those taxing units. However, interest

 

earned on collections of taxes levied on or after November 5, 1985

 

and before December 1, 1987 are not subject to claim and

 

retroactive collection unless a claim has been filed in a court of

 

competent jurisdiction before March 1, 1988. This subsection does

 

not apply to interest or penalties imposed by law or charter and

 

does not nullify or prohibit any agreements made between a

 

collecting unit and a taxing unit regarding the earned interest.

 

     (13) If there is an agreement for an alternative schedule for

 

delivering tax collections or for interest earned under subsections

 

(4) and (12), the collection of the state education tax is subject

 

to those provisions of that agreement.

 

     (14) Notwithstanding any other provision of this act, before

 

delivery, amounts collected under this act are subject to any

 

applicable court order under section 6093 of the revised judicature

 

act of 1961, 1961 PA 236, MCL 600.6093.

 

     (15) (14) As used in this section:

 

     (a) "Metropolitan transportation authority" means an authority

 

created under the metropolitan transportation authorities act of

 

1967, Act No. 204 of the Public Acts of 1967, being sections

 

124.401 to 124.425 of the Michigan Compiled Laws.1967 PA 204, MCL

 

124.401 to 124.426.

 

     (b) "Public transportation authority" means an authority

 

created under Act No. 55 of the Public Acts of 1963, being sections

 

124.351 to 124.359 of the Michigan Compiled Laws.1963 PA 55, MCL

 

124.351 to 124.359.

 

     Sec. 44a. (1) Notwithstanding any other statutory or charter

 

provision to the contrary, beginning in 2005 and each year after

 

2005, a county shall impose as a summer property tax levy that

 

portion of the number of mills allocated to the county by a county

 

tax allocation board or authorized for the county through a

 

separate tax limitation vote as provided in this section. The

 

portion of the total number of mills allocated to a county by a

 

county tax allocation board or authorized for a county through a

 

separate tax limitation vote that shall be imposed in each year as

 

a summer property tax levy under this section is as follows:

 

     (a) In 2005, 1/3 of the total number of mills allocated to the

 

county by a county tax allocation board or authorized for the

 

county through a separate tax limitation vote.

 

     (b) In 2006, 2/3 of the total number of mills allocated to the

 

county by a county tax allocation board or authorized for the

 

county through a separate tax limitation vote.

 

     (c) In 2007 and each year after 2007, the total number of

 

mills allocated to the county by a county tax allocation board or

 

authorized for the county through a separate tax limitation vote.

 

     (2) Notwithstanding any other statutory or charter provision

 

to the contrary, beginning in 2013 and each year after 2013, a

 

millage that is levied by any taxing authority within a local tax

 

collecting unit that had been previously billed and collected as

 

part of the winter property tax levy in a preceding tax year may be

 

accelerated and collected earlier in that tax year as a summer

 

property tax levy if all of the following conditions are satisfied:

 

     (a) The aggregate amount of the revenue from the levy and

 

collection of all individual millages that would be levied and

 

collected in the winter tax bill totals $100.00 or less per

 

individual tax bill, excluding any property tax administration fee.

 

A millage may be accelerated and collected earlier for only those

 

tax bills that total $100.00 or less for all individual millages

 

and that millage may be levied and collected as a winter property

 

tax levy for all other tax bills that total more than $100.00 for

 

all individual millages. Any additional millage approved to be

 

levied by any taxing authority after collection of the summer

 

property tax levy shall be collected as part of a winter property

 

tax levy as provided in this act.

 

     (b) A resolution authorizing the summer collection is approved

 

by all of the following:

 

     (i) The county board of commissioners.

 

     (ii) The legislative body of the local tax collecting unit.

 

     (iii) The county tax allocation board, if any.

 

     (c) Within 60 days of approval of the resolutions required

 

under subdivision (b), the local tax collecting unit notifies all

 

owners of property on the tax roll that if the aggregate amount of

 

the revenue from the levy and collection of all individual millages

 

that would be levied and collected in the winter tax bill totals

 

$100.00 or less, excluding any property tax administration fee,

 

those millages will be accelerated and collected as a summer

 

property tax levy.

 

     (3) Before June 30 and in conformance with the procedures

 

prescribed by this act, the taxes being collected as a summer

 

property tax levy shall be spread in terms of millages on the

 

assessment roll, the amount of tax levied shall be assessed in

 

proportion to the taxable value, and a tax roll shall be prepared

 

that commands the appropriate treasurer to collect on July 1 the

 

taxes indicated as due on the tax roll.

 

     (4) Taxes authorized to be collected shall become a lien

 

against the property on which assessed, and due from the owner of

 

that property on July 1.

 

     (5) All taxes and interest imposed pursuant to this section

 

that are unpaid before March 1 shall be returned as delinquent on

 

March 1 and collected pursuant to this act.

 

     (6) Interest shall be added to taxes collected after September

 

14 at that rate imposed by section 78a on delinquent property tax

 

levies that became a lien in the same year. However, if September

 

14 is on a Saturday, Sunday, or legal holiday, the last day taxes

 

are due and payable before interest is added is on the next

 

business day and interest shall be added to taxes that remain

 

unpaid on the immediately succeeding business day. The tax levied

 

under this act that is collected with the city taxes shall be

 

subject to the same penalties, interest, and collection charges as

 

city taxes and shall be returned as delinquent to the county

 

treasurer in the same manner and with the same interest, penalties,

 

and fees as city taxes.

 

     (7) All or a portion of the fees or charges, or both,

 

authorized under section 44 may be imposed on taxes paid before

 

March 1 and shall be retained by the treasurer actually performing

 

the collection of the summer property tax levy pursuant to this

 

section, regardless of whether all or part of these fees or

 

charges, or both, have been waived by the township or city.

 

     (8) Collections shall be remitted to the county for which the

 

taxes were collected pursuant to section 43.

 

     (9) To the extent applicable and consistent with the

 

requirements of this section, this act shall apply to proceedings

 

in relation to the assessment, spreading, and collection of taxes

 

pursuant to this section.

 

     (10) Each county shall establish a restricted fund known as

 

the revenue sharing reserve fund. The total amount required to be

 

placed in the revenue sharing reserve fund for each county shall

 

equal the amount of that county's December 2004 property tax levy

 

of the total number of mills allocated to the county by a county

 

tax allocation board or authorized for the county through a

 

separate tax limitation vote, less any amount of tax levy captured

 

and used under a tax increment financing plan under 1975 PA 197,

 

MCL 125.1651 to 125.1681; the tax increment finance authority act,

 

1980 PA 450, MCL 125.1801 to 125.1830; the local development

 

financing act, 1986 PA 281, MCL 125.2151 to 125.2174; or the

 

brownfield redevelopment financing act, 1996 PA 381, MCL 125.2651

 

to 125.2672, and shall be deposited in the revenue sharing reserve

 

fund as provided in this section. Revenues credited to the revenue

 

sharing reserve fund from the December tax levy of a county with a

 

fiscal year ending December 31 shall be accrued to the fiscal year

 

ending in the year of that December property tax levy. Revenue

 

shall be credited to the fund by each county as follows:

 

     (a) From the county's December 2004 property tax levy, 1/3 of

 

the total December levy of the total number of mills allocated to

 

the county by a county tax allocation board or authorized for the

 

county through a separate tax limitation vote, less any amount of

 

tax levy captured and used under a tax increment financing plan

 

under 1975 PA 197, MCL 125.1651 to 125.1681; the tax increment

 

finance authority act, 1980 PA 450, MCL 125.1801 to 125.1830; the

 

local development financing act, 1986 PA 281, MCL 125.2151 to

 

125.2174; or the brownfield redevelopment financing act, 1996 PA

 

381, MCL 125.2651 to 125.2672.

 

     (b) From the county's December 2005 property tax levy, 1/2 of

 

the remaining balance required to be deposited in the fund.

 

     (c) From the county's December 2006 property tax levy, the

 

balance required to be deposited in the fund.

 

     (11) All of the following apply to a revenue sharing reserve

 

fund established under subsection (10):

 

     (a) Funds in the revenue sharing reserve fund may not be

 

expended in any fiscal year except as provided in this section.

 

     (b) Funds in the revenue sharing reserve fund may be used

 

within a county fiscal year for cash flow purposes at the

 

discretion of the county.

 

     (c) Interest earnings on funds deposited in the revenue

 

sharing reserve fund shall be credited to the revenue sharing

 

reserve fund. However, the county is not required to reimburse the

 

revenue sharing reserve fund for a reduction of interest earnings

 

that occurs because funds in the revenue sharing reserve fund were

 

used for cash flow purposes.

 

     (d) The revenue sharing reserve fund shall be separately

 

reported in the annual financial report required under section 4 of

 

1919 PA 71, MCL 21.44.

 

     (12) For a county fiscal year that ends on December 31, 2004,

 

a county may expend in that fiscal year an amount not to exceed the

 

payments made to that county under the Glenn Steil state revenue

 

sharing act of 1971, 1971 PA 140, MCL 141.901 to 141.921, in

 

October and December 2003 and, if the payment is accrued back to

 

the county's 2003 fiscal year, February 2004.

 

     (13) Not later than March 1, 2005, a county that receives a

 

payment in October 2004 as provided in a bill making appropriations

 

to the department of treasury for the 2004-05 fiscal year shall pay

 

the amount of that payment to the state treasurer from the revenue

 

sharing reserve fund. A county that does not make the payment

 

required under this subsection shall not make any expenditures from

 

the fund provided under subsection (13).(14).

 

     (14) For each fiscal year of a county that begins after

 

September 30, 2004, a county may expend from the revenue sharing

 

reserve fund an amount not to exceed the total payments made to

 

that county under the Glenn Steil state revenue sharing act of

 

1971, 1971 PA 140, MCL 141.901 to 141.921, in the state fiscal year

 

ending September 30, 2004, adjusted annually by the inflation rate,

 

without regard to any executive orders issued after May 17, 2004.

 

As used in this subsection, "inflation rate" means that term as

 

defined in section 34d.

 

     (15) A county's required 2012 revenue sharing reserve fund

 

balance shall be reduced by an amount equal to the amount of county

 

allocated property tax the county had to refund for the 2004 tax

 

year due to a single court judgment, if the refund of 2004 county

 

allocated tax due to that judgment was at least 70% of the county's

 

2011 allowable withdrawal from its revenue sharing reserve fund.

 

The refund amount shall include the interest the county paid on the

 

2004 property tax refund.

 

     (16) If a resolution authorizing a summer property tax levy

 

for a tax previously billed as part of the winter property tax levy

 

is approved under subsection (2), the treasurer that collects the

 

summer property tax levy shall establish a restricted fund to be

 

known as the other levies reserve fund for any millage collected

 

that was previously billed as part of the winter property tax levy.

 

Any millage that had been previously billed and collected as part

 

of the winter property tax levy in a preceding tax year that is

 

accelerated and collected earlier as a summer property tax levy

 

shall be deposited into the other levies reserve fund. The

 

treasurer that collects the summer property tax levy shall, subject

 

to section 43(14), distribute to the local taxing authorities the

 

revenues credited to the other levies reserve fund from the summer

 

property tax collection of a millage that had been previously

 

billed and collected as part of a winter property tax levy on

 

December 1 of the tax year that the December property tax levy

 

would otherwise have been due and payable. If a millage previously

 

billed and collected as part of the winter property tax levy is

 

accelerated and collected earlier as a summer property tax levy,

 

and if the millage collected in that summer property tax levy is

 

less than that millage would have been if levied as part of the

 

immediately succeeding winter property tax levy, the treasurer that

 

collected the summer property tax levy may issue a supplemental

 

winter tax bill for the deficiency or, if approved by a resolution

 

of the legislative body of the local unit that collected the summer

 

property tax levy, pay any deficiency from that local unit's

 

general fund. The treasurer collecting the summer property tax levy

 

shall account for interest earned on the other levies reserve fund

 

and interest shall be transmitted to the various local tax

 

collecting units in proportion to the revenue collected from a

 

millage previously billed and collected as part of the winter

 

property tax levy in a preceding tax year that is accelerated and

 

collected earlier as a summer property tax levy, after a deduction

 

of reasonable expenses incurred by the treasurer in administering

 

the accounting and disbursement of funds, to the extent that those

 

expenses are in addition to the expenses of accounting and

 

disbursing other taxes.

 

     (17) The treasurer that collects the state education tax shall

 

collect the summer property tax levy under this section.

 

     Sec. 51. (1) If a township treasurer does not file his or her

 

bond with the county treasurer as prescribed by law and the

 

township board fails to appoint a treasurer to give the bond and

 

deliver a receipt for the bond to the supervisor by December 10,

 

the supervisor shall deliver the tax roll with the necessary

 

warrant directed to the county treasurer, who shall make the

 

collection and, subject to section 43(14), return of taxes. The

 

county treasurer, pursuant to the adoption of a resolution by the

 

county board of commissioners, has the same powers and duties to

 

add a property tax administration fee, a late penalty charge, and

 

interest to all taxes collected as conferred upon a township

 

treasurer under section 44. The excess of the amount of property

 

tax administration fees over the expense to the county in

 

collecting the taxes shall be returned to the township, and the

 

remainder of the property tax administration fees and any late

 

penalty charges imposed shall be credited to the county general

 

fund. For the purpose of collecting the taxes, the county treasurer

 

is vested with all the powers conferred upon the township treasurer

 

and an action may be brought on the county treasurer's bond under

 

the same circumstances as on those of a township treasurer.

 

     (2) A local tax collecting unit that collects a summer

 

property tax shall defer the collection of summer property taxes

 

against the following property for which a deferment is claimed

 

until the following February 15:

 

     (a) The principal residence of a taxpayer who meets both of

 

the following conditions:

 

     (i) Meets 1 or more of the following conditions:

 

     (A) Is a totally and permanently disabled person, blind

 

person, paraplegic, quadriplegic, eligible serviceperson, eligible

 

veteran, or eligible widow or widower, as these persons are defined

 

in chapter 9 of the income tax act of 1967, 1967 PA 281, MCL

 

206.501 to 206.532.

 

     (B) Is 62 years of age or older, including the unremarried

 

surviving spouse of a person who was 62 years of age or older at

 

the time of death.

 

     (ii) For the prior taxable year had a total household income

 

of the following:

 

     (A) For taxes levied before January 1, 2005, $25,000.00, or

 

less.

 

     (B) For taxes levied after December 31, 2004 and before

 

January 1, 2006, $35,000.00, or less.

 

     (C) For taxes levied after December 31, 2005 and before

 

January 1, 2007, $37,500.00, or less.

 

     (D) For taxes levied after December 31, 2006, $40,000.00, or

 

less.

 

     (b) Property classified or used as agricultural real property

 

if the gross receipts of the agricultural or horticultural

 

operations in the previous year or the average gross receipts of

 

the operations in the previous 3 years are not less than the

 

household income of the owner in the previous year or the combined

 

household incomes in the previous year of the individual members of

 

a limited liability company or partners of a partnership that owns

 

the agricultural real property. A limited liability company or

 

partnership may claim the deferment under this section only if the

 

individual members of the limited liability company or partners of

 

the partnership qualified for the deferment under this section

 

before the individual members or partners formed the limited

 

liability company or partnership.

 

     (3) A taxpayer may claim a deferment provided by subsection

 

(2) by filing with the treasurer of the local property tax

 

collecting unit an intent to defer the summer property taxes that

 

are due and payable in that year without penalty or interest. Taxes

 

deferred under subsection (2) that are not paid by the following

 

February 15 are not subject to penalties or interest for the period

 

of deferment.

 

     (4) The intent statement required by subsection (3) shall be

 

on a form prescribed and provided by the department of treasury to

 

the treasurer of the local property tax collecting unit.

 

     (5) The treasurer of the local property tax collecting unit

 

that collects a summer property tax shall do the following:

 

     (a) Cause a notice of the availability of the deferment to be

 

published in a newspaper of general circulation within the local

 

property tax collecting unit or to be included as an insertion with

 

the tax bill.

 

     (b) Assist persons in completing the deferment form.

 

     (6) If a local property tax collecting unit that collects a

 

summer property tax also collects a winter property tax in the same

 

year, a statement of the amount of taxes deferred pursuant to

 

subsection (2) shall be in the December tax statement mailed by the

 

local property tax collecting unit for each summer property tax

 

payment that was deferred from collection. If a local property tax

 

collecting unit that collects a summer property tax does not

 

collect a winter property tax in the same year, it shall mail a

 

statement of the amount of taxes deferred under subsection (2) at

 

the same time December tax statements are required to be mailed

 

under section 44.

 

     (7) Persons eligible for deferment of summer property taxes

 

under subsection (2) may file their intent to defer until September

 

15 or the time the tax would otherwise become subject to interest

 

or a late penalty charge for late payment, whichever is later.

 

     (8) To the extent permitted by the revised school code, 1976

 

PA 451, MCL 380.1 to 380.1852, or the charter of a local property

 

tax collecting unit, a local property tax collecting unit may

 

provide for the levy and collection of summer property taxes. The

 

terms and conditions of collection established by or under an

 

agreement executed pursuant to the revised school code, 1976 PA

 

451, MCL 380.1 to 380.1852, or the charter of a local tax

 

collecting unit govern a summer property tax levy.

 

     (9) As used in this section:

 

     (a) "Principal residence" means property exempt under section

 

7cc.

 

     (b) "Summer property tax" means a levy of ad valorem property

 

taxes that first becomes a lien before December 1 of any calendar

 

year.

 

     Sec. 52. In case the If a township treasurer or other

 

collecting officer shall does not collect the full amount of taxes

 

required by his or her warrant to be paid into the township

 

treasury, such the portion thereof as he shall collect that he or

 

she collected shall be retained by him to or her and shall, subject

 

to section 43(14), be paid out for the following purposes: The

 

amount of school taxes collected to be paid to the treasurer of

 

each school district and the secretary or director of each school

 

district notified of such the amount paid, the state and county

 

taxes to the county treasurer as provided in this act, provided,

 

the amount collected for general township purposes to be paid on

 

the order of the township board, the amount collected for highway

 

purposes to be paid on the order of the commissioner of highways

 

countersigned by the township clerk or supervisor, and the amount

 

collected for any special fund to be paid on the order of the

 

proper officer, but in no case shall the amounts collected for any

 

1 fund be paid on the orders drawn on any other fund.

 

     Sec. 52a. If a local tax collecting unit has distributed taxes

 

collected under this act to a local taxing unit or to the state

 

treasurer, upon request by the local tax collecting unit, that

 

local taxing unit or the state treasurer shall return to the local

 

tax collecting unit an amount erroneously collected or an amount

 

required to be returned by court order in a bankruptcy proceeding

 

filed after December 31, 1999. Before delivery to any local taxing

 

unit, amounts returned to a local tax collecting unit under this

 

section are subject to section 43(14).

 

     Sec. 54. Within 20 calendar days after the time specified in

 

his or her warrant, the township treasurer or other collecting

 

officer shall, subject to section 43(14), pay to the county

 

treasurer all state and county taxes collected, and within the same

 

time shall make his or her statement of unpaid taxes upon real and

 

personal property as required in section 55.

 

     Enacting section 1. This amendatory act takes effect 90 days

 

after the date it is enacted into law.

 

     Enacting section 2. This amendatory act does not take effect

 

unless Senate Bill No.____ or House Bill No. 5150 (request no.

 

03586'15 *) of the 98th Legislature is enacted into law.