Bill Text: MI SB0285 | 2009-2010 | 95th Legislature | Introduced


Bill Title: Economic development; plant rehabilitation; eligibility requirements; modify. Amends sec. 4 of 1974 PA 198 (MCL 207.554).

Spectrum: Partisan Bill (Democrat 14-0)

Status: (Introduced - Dead) 2009-03-03 - Referred To Committee On Commerce And Tourism [SB0285 Detail]

Download: Michigan-2009-SB0285-Introduced.html

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SENATE BILL No. 285

 

 

March 3, 2009, Introduced by Senators GLEASON, PRUSI, SWITALSKI, BRATER, OLSHOVE, JACOBS, WHITMER, HUNTER, CHERRY, ANDERSON, BARCIA, SCOTT, CLARKE and CLARK-COLEMAN and referred to the Committee on Commerce and Tourism.

 

 

 

     A bill to amend 1974 PA 198, entitled

 

"An act to provide for the establishment of plant rehabilitation

districts and industrial development districts in local

governmental units; to provide for the exemption from certain

taxes; to levy and collect a specific tax upon the owners of

certain facilities; to impose and provide for the disposition of an

administrative fee; to provide for the disposition of the tax; to

provide for the obtaining and transferring of an exemption

certificate and to prescribe the contents of those certificates; to

prescribe the powers and duties of the state tax commission and

certain officers of local governmental units; and to provide

penalties,"

 

by amending section 4 (MCL 207.554), as amended by 2004 PA 437.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 4. (1) A local governmental unit, by resolution of its

 

legislative body, may establish plant rehabilitation districts and

 

industrial development districts that consist of 1 or more parcels

 

or tracts of land or a portion of a parcel or tract of land.

 

     (2) The legislative body of a local governmental unit may

 

establish a plant rehabilitation district or an industrial


 

development district on its own initiative or upon a written

 

request filed by the owner or owners of 75% of the state equalized

 

value of the industrial property located within a proposed plant

 

rehabilitation district or industrial development district. This

 

request shall be filed with the clerk of the local governmental

 

unit.

 

     (3) Except as provided in section 9(2)(h), after December 31,

 

1983, a request for the establishment of a proposed plant

 

rehabilitation district or industrial development district shall be

 

filed only in connection with a proposed replacement facility or

 

new facility, the construction, acquisition, alteration, or

 

installation of or for which has not commenced at the time of the

 

filing of the request. The legislative body of a local governmental

 

unit shall not establish a plant rehabilitation district or an

 

industrial development district pursuant to subsection (2) if it

 

finds that the request for the district was filed after the

 

commencement of construction, alteration, or installation of, or of

 

an acquisition related to, the proposed replacement facility or new

 

facility. This subsection shall not apply to a speculative

 

building.

 

     (4) Before adopting a resolution establishing a plant

 

rehabilitation district or industrial development district, the

 

legislative body shall give written notice by certified mail to the

 

owners of all real property within the proposed plant

 

rehabilitation district or industrial development district and

 

shall hold a public hearing on the establishment of the plant

 

rehabilitation district or industrial development district at which


 

those owners and other residents or taxpayers of the local

 

governmental unit shall have a right to appear and be heard.

 

     (5) The legislative body of the local governmental unit, in

 

its resolution establishing a plant rehabilitation district, shall

 

set forth a finding and determination that property comprising not

 

less than 50% of the state equalized valuation of the industrial

 

property within the district is obsolete.

 

     (6) A plant rehabilitation district or industrial development

 

district established by a township shall be only within the

 

unincorporated territory of the township and shall not be within a

 

village.

 

     (7) Industrial property that is part of an industrial

 

development district or a plant rehabilitation district may also be

 

part of a tax increment district established under the tax

 

increment finance authority act, 1980 PA 450, MCL 125.1801 to

 

125.1830.

 

     (8) A local governmental unit, by resolution of its

 

legislative body, may terminate a plant rehabilitation district or

 

an industrial development district, if there are no industrial

 

facilities exemption certificates in effect in the plant

 

rehabilitation district or the industrial development district on

 

the date of the resolution to terminate.

 

     (9) Before acting on a proposed resolution terminating a plant

 

rehabilitation district or an industrial development district, the

 

local governmental unit shall give at least 14 days' written notice

 

by certified mail to the owners of all real property within the

 

plant rehabilitation district or industrial development district as


 

determined by the tax records in the office of the assessor or the

 

treasurer of the local tax collecting unit in which the property is

 

located and shall hold a public hearing on the termination of the

 

plant rehabilitation district or industrial development district at

 

which those owners and other residents or taxpayers of the local

 

governmental unit, or others, shall have a right to appear and be

 

heard.

 

     (10) Beginning July 1, 2009, the legislative body of the local

 

governmental unit shall not approve an application for an

 

industrial facilities exemption certificate unless the applicant

 

states, in writing, that the applicant will not knowingly hire or

 

contract with any business entity that knowingly hires an

 

individual who is not authorized under federal law to work in the

 

United States.

 

     (11) Beginning July 1, 2009, the legislative body of the local

 

governmental unit shall not approve an application for an

 

industrial facilities exemption certificate unless the applicant

 

states, in writing, that the applicant will do all of the

 

following:

 

     (a) Make a good faith effort to employ, if qualified, Michigan

 

residents at the facility.

 

     (b) Make a good faith effort to employ or contract with

 

Michigan residents and firms to construct, rehabilitate, develop,

 

or renovate the facility.

 

     (c) Make a good faith effort to utilize Michigan-based

 

suppliers and vendors when purchasing goods and services.

 

     (12) Beginning July 1, 2009, the written agreement described


 

in subsection (10) shall also contain a remedy provision that

 

provides for all of, but not limited to, the following:

 

     (a) A requirement that the applicant's industrial facilities

 

exemption certificate is revoked under this act if the applicant is

 

determined to be in violation of subsection (10), as determined by

 

the legislative body of the local governmental unit.

 

     (b) A requirement that the applicant may be required to repay

 

some or all of the benefits received under this act if the

 

applicant is determined to be in violation of the provisions of

 

subsection (10), as determined by the legislative body of the local

 

governmental unit.

 

     (13) Not later than February 1 each year, the legislative body

 

of the local governmental unit shall report to the board of the

 

Michigan strategic fund on the activities for the immediately

 

preceding fiscal year. The report shall contain all of the

 

following:

 

     (a) The number of Michigan residents employed in new jobs from

 

the renovation, restoration, or construction of a facility for

 

which an industrial facilities exemption certificate was granted in

 

the immediately preceding year.

 

     (b) The number of new jobs created from the renovation,

 

restoration, or construction of a facility for which an industrial

 

facilities exemption certificate was granted in the immediately

 

preceding year.

 

     (c) The details of the good faith efforts required of the

 

applicant described in subsection (11)(a), (b), and (c).

 

     (14) The attorney general of this state, or other appropriate


 

state agency, shall be responsible for any enforcement necessary to

 

ensure compliance after the applicant has signed the agreement

 

under the provisions described in subsections (10), (11), and (12).

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