Bill Text: MI HB5195 | 2017-2018 | 99th Legislature | Introduced
Bill Title: Property tax; delinquent taxes; items included in delinquent taxes; exclude unpaid water bills. Amends sec. 78a of 1893 PA 206 (MCL 211.78a).
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2017-11-01 - Bill Electronically Reproduced 10/31/2017 [HB5195 Detail]
Download: Michigan-2017-HB5195-Introduced.html
HOUSE BILL No. 5195
October 31, 2017, Introduced by Reps. Chang, Neeley, Garrett, Wittenberg and Howrylak and referred to the Committee on Tax Policy.
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 78a (MCL 211.78a), as amended by 2014 PA 499.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 78a. (1) For taxes levied after December 31, 1998, all
property returned for delinquent taxes, and upon which taxes,
interest, penalties, and fees remain unpaid after the property is
returned as delinquent to the county treasurers of this state under
this act, is subject to forfeiture, foreclosure, and sale for the
enforcement and collection of the delinquent taxes as provided in
section 78, this section, and sections 78b to 79a. As used in
section 78, this section, and sections 78b to 79a, "taxes" includes
interest, penalties, and fees imposed before the taxes become
delinquent and unpaid special assessments or other assessments that
are due and payable up to and including the date of the foreclosure
hearing under section 78k. However, "taxes" does not include fees
or charges of any type imposed after December 31, 2015 for the
provision of water to property used for residential purposes.
(2) On March 1 in each year, taxes levied in the immediately
preceding year that remain unpaid shall be returned as delinquent
for collection. However, if the last day in a year that taxes are
due and payable before being returned as delinquent is on a
Saturday, Sunday, or legal holiday, the last day taxes are due and
payable before being returned as delinquent is on the next business
day and taxes levied in the immediately preceding year that remain
unpaid shall be returned as delinquent on the immediately
succeeding business day. Except as otherwise provided in section 79
for certified abandoned property, property delinquent for taxes
levied in the second year preceding the forfeiture under section
78g or in a prior year to which this section applies shall be
forfeited to the county treasurer for the total of the unpaid
taxes, interest, penalties, and fees for those years as provided
under section 78g.
(3) A county property tax administration fee of 4% and, except
as provided in section 78g(3)(c), interest computed at a
noncompounded rate of 1% per month or fraction of a month on the
taxes that were originally returned as delinquent, computed from
the date that the taxes originally became delinquent, shall be
added to property returned as delinquent under this section. A
county property tax administration fee provided for under this
subsection shall not be less than $1.00.
(4) Any person with an unrecorded property interest or any
other person who wishes at any time to receive notice of the return
of delinquent taxes on a parcel of property may pay an annual fee
not to exceed $5.00 by February 1 to the county treasurer and
specify the parcel identification number, the address of the
property, and the address to which the notice shall be sent.
Holders of any undischarged mortgages wishing to receive notice of
the return of delinquent taxes on a parcel or parcels of property
may provide a list of such parcels in a form prescribed by the
county treasurer and pay an annual fee not to exceed $1.00 per
parcel to the county treasurer and specify for each parcel the
parcel identification number, the address of the property, and the
address to which the notice should be sent. The county treasurer
shall notify the person or holders of undischarged mortgages if
delinquent taxes on the property or properties are returned within
that year.
(5) Notwithstanding any charter provision to the contrary, the
governing body of a local governmental unit that collects
delinquent taxes may establish for any property, by ordinance,
procedures for the collection of delinquent taxes and the
enforcement of tax liens and the schedule for the forfeiture or
foreclosure of delinquent tax liens. The procedures and schedule
established by ordinance shall conform at a minimum to those
procedures and schedules established under sections 78a to 78l,
except that those taxes subject to a payment plan approved by the
treasurer of the local governmental unit as of July 1, 1999 shall
not be considered delinquent if payments are not delinquent under
that payment plan.
