Bill Text: MI HB5768 | 2021-2022 | 101st Legislature | Introduced
Bill Title: Economic development: tax increment financing; use of tax increment finance funds; modify. Amends secs. 215 & 413 of 2018 PA 57 (MCL 125.4215 & 125.4413).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2022-02-22 - Bill Electronically Reproduced 02/17/2022 [HB5768 Detail]
Download: Michigan-2021-HB5768-Introduced.html
HOUSE BILL NO. 5768
A bill to amend 2018 PA 57, entitled
"Recodified tax increment financing act,"
by amending sections 215 and 413 (MCL 125.4215 and 125.4413).
the people of the state of michigan enact:
Sec. 215. (1) The municipal and county treasurers shall transmit to the authority tax increment revenues.
(2) The authority shall expend the tax increment revenues received for the development program only pursuant to the tax increment financing plan . Surplus funds or development plan. Tax increment revenues in excess of the estimated tax increment revenues or of the actual costs of the tax increment financing plan or development plan to be paid by the tax increment revenues may be retained by the authority only for purposes, that by resolution of the board, are determined to further the development program in accordance with the tax increment financing plan or development plan. The excess tax increment revenues not so used shall revert proportionately to the respective taxing bodies. These revenues shall not be used to circumvent existing property tax limitations. The governing body of the municipality may abolish the tax increment financing plan or development plan when it finds that the purposes for which it was established are accomplished. However, the tax increment financing plan or development plan shall not be abolished, allowed to expire, or otherwise terminate until the principal of, and interest on, bonds issued pursuant to section 216 have been paid or funds sufficient to make the payment have been segregated.
Sec. 413. (1) The city, village, township, school district, and county treasurers shall transmit to the authority tax increment revenues.
(2) The authority shall expend the tax increment revenues received for the development program only in accordance with the tax increment financing plan or development plan. Tax increment revenues in excess of the estimated tax increment revenues or of the actual costs of the tax increment financing plan or development plan to be paid by the tax increment revenues may be retained by the authority only for purposes, that by resolution of the board, are determined to further the development program in accordance with the tax increment financing plan or development plan. The excess tax increment revenues not so used shall revert proportionately to the respective taxing jurisdictions. These revenues shall not be used to circumvent existing property tax laws or a local charter that provides a maximum authorized rate for the levy of property taxes. The governing body may abolish the tax increment financing plan or development plan if it finds that the purposes for which the tax increment financing plan or development plan was established are accomplished. However, the tax increment financing plan or development plan may not be abolished, allowed to expire, or otherwise terminate until the principal of, and interest on, bonds issued pursuant to section 414 have been paid or funds sufficient to make that payment have been segregated and placed in an irrevocable trust for the benefit of the holders of the bonds.
