Bill Text: MI HB5620 | 2011-2012 | 96th Legislature | Engrossed
Bill Title: Housing; housing development authority; mortgage credit certificate program; revise eligibility. Amends sec. 32b of 1966 PA 346 (MCL 125.1432b).
Spectrum: Partisan Bill (Republican 3-0)
Status: (Passed) 2012-11-08 - Assigned Pa 346'12 With Immediate Effect [HB5620 Detail]
Download: Michigan-2011-HB5620-Engrossed.html
HB-5620, As Passed Senate, October 17, 2012
HOUSE BILL No. 5620
May 10, 2012, Introduced by Reps. Wayne Schmidt, Zorn and Shaughnessy and referred to the Committee on Commerce.
A bill to amend 1966 PA 346, entitled
"State housing development authority act of 1966,"
by amending section 32b (MCL 125.1432b), as amended by 2004 PA 549.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 32b. (1) The authority is designated as the administrator
of the mortgage credit certificate program for this state permitted
under section 25 of the internal revenue code, 26 USC 25.
(2) The authority shall prepare guidelines that would allow
for the implementation of a mortgage credit certificate program
through mortgage lenders.
(3)
To For a borrower to qualify for receipt of a mortgage
credit certificate with respect to the acquisition of a new or
existing housing unit, including a residential condominium or
mobile
home, both of the following apply:requirements shall be met:
(a) The purchase price with respect to the new or existing
unit
shall not exceed 3 times the income limit, as established
pursuant
to subdivision (b), subsection (5)(a), or subsection
(5)(b).the limits established in section 44 for newly
rehabilitated, newly constructed, or existing 1- to 4-unit housing
units, including a residential condominium unit as condominium unit
is defined in section 4 of the condominium act, 1978 PA 59, MCL
559.104, for which the authority may make loans to individual
purchasers for acquisition and long-term financing or refinancing.
(b) The borrower's family income does not exceed the
following, as applicable:
(i) The limits established in section 44 for individual
purchasers to whom the authority may make loans for the acquisition
and long-term financing or refinancing of newly rehabilitated,
newly constructed, or existing 1- to 4-unit housing units.
(ii) (i) For
eligible distressed areas, $69,800.00 until June 1,
2006, $72,250.00 until November 1, 2007, and $74,750.00 on and
after November 1, 2007 but before the effective date of the 2012
amendatory act that amended this section.
(iii) (ii) For
any other area, $60,700.00 until June 1, 2006,
$62,800.00 until November 1, 2007, and $65,000.00 on and after
November 1, 2007 but before the effective date of the 2012
amendatory act that amended this section.
(4) The authority may increase the purchase price limit in
subsection (3) to cover the cost of improvements to adapt the
property for use by disabled individuals or unexpected cost
increases during construction. The amount of the increase shall be
the
amount of the costs described in this subsection or the sum of
$3,500.00, whichever is less.
(5) To qualify for receipt of a mortgage credit certificate
with respect to the improvement or rehabilitation of an existing
housing unit, including a residential condominium or mobile home,
the
borrower's family income shall not exceed the following:limits
established in section 44a for persons and families of low and
moderate income.
(a)
For eligible distressed areas, $69,800.00 until June 1,
2006,
$72,250.00 until November 1, 2007, and $74,750.00 on and
after
November 1, 2007.
(b)
For any other area, $60,700.00 until June 1, 2006,
$62,800.00
until November 1, 2007, and $65,000.00 on and after
November
1, 2007.
(6) If an income or purchase price limit prescribed by
subsection (3), (4), or (5) exceeds an applicable limit prescribed
by
the internal revenue code, 26 USC 1 to 9833 9834,
the internal
revenue code limit applies. Except with respect to newly
constructed housing units, the authority may at any time by
resolution establish, for a length of time it considers
appropriate, maximum borrower income or purchase price limits more
restrictive than those maximum limitations set forth in this
section. The authority shall advise the appropriate house and
senate standing committees 5 days prior to the adoption of a
resolution establishing more restrictive income or purchase price
limits.
(7) The changes made by 1995 PA 186 to purchase price limits
in the subsections that at the time were designated subsections (3)
and (4) were retroactive, effective as of October 29, 1993.
