SENATE BILL No. 537

 

 

October 1, 2015, Introduced by Senators JONES and BOOHER and referred to the Committee on Finance.

 

 

 

     A bill to amend 1973 PA 186, entitled

 

"Tax tribunal act,"

 

by amending sections 21, 22, 25, 32, 34, 35a, 47, 49, 51, and 62

 

(MCL 205.721, 205.722, 205.725, 205.732, 205.734, 205.735a,

 

205.747, 205.749, 205.751, and 205.762), section 22 as amended by

 

2008 PA 127, sections 32 and 35a as amended and section 47 as added

 

by 2008 PA 125, section 34 as amended by 1980 PA 437, section 49 as

 

amended by 2008 PA 126, and section 62 as amended by 2008 PA 128.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 21. (1) The tax tribunal is created and is a quasi-

 

judicial agency which, for administrative purposes only, is in the

 

department of treasury. licensing and regulatory affairs.

 

     (2) The tribunal consists of 7 members appointed by the

 

governor, with the advice and consent of the senate, for terms of 4

 


years. The 2 additional members first appointed by this amendatory

 

act shall first serve for 3 years. When making an appointment, the

 

governor shall consider a list of qualified candidates solicited

 

from at least 1 appropriate professional association located and

 

primarily operating in this state.

 

     (3) A member may be reappointed and a vacancy shall be filled

 

for an unexpired term in the same manner as the appointment is made

 

for a full term.

 

     (4) The governor shall designate a member as chairperson. The

 

chairperson shall serve at the pleasure of the governor.

 

     (5) The governor may remove a member, after notice and an

 

opportunity to be heard, for failure to substantially perform his

 

or her duties under this act, malfeasance, misfeasance, or

 

nonfeasance in office, or other good cause.

 

     (6) Members shall receive training on matters relevant to the

 

work of the tribunal, including, but not limited to, proper

 

courtroom procedures and state and local tax issues.

 

     Sec. 22. (1) Subject to subsection (2), all of the following

 

apply to tribunal membership:

 

     (a) The members of the tribunal shall be citizens of the

 

United States and residents of this state.

 

     (b) At least 2 members shall be attorneys admitted to practice

 

in this state who have been engaged for at least 5 years

 

immediately preceding the appointment in active government,

 

corporate, or private practice dealing with federal and state or

 

local tax matters, including property taxes, or in the discharge of

 

a judicial or quasi-judicial office.

 


     (c) At least 1 member shall be a certified assessor holding

 

the highest level of certification granted by the state assessors

 

board. tax commission.

 

     (d) At least 1 member shall be a professional real estate

 

appraiser holding a recognized certification indicating competence

 

in the valuation of complex income producing and residential

 

property of the type subject to property taxation, with a

 

certification having required a review of sample appraisals and 5

 

years of experience as an appraiser.

 

     (e) At least 1 member shall be a certified public accountant

 

with 5 years of experience in state or local tax matters.

 

     (f) Appointees who are not attorneys, certified assessors,

 

professional real estate appraisers, or certified public

 

accountants shall have at least 5 years of experience in state or

 

local tax matters.

 

     (2) Beginning on the effective date of the amendatory act that

 

added this subsection and continuing thereafter, an appointee to

 

the tribunal must qualify for tribunal membership as an attorney,

 

certified assessor, or certified public accountant under

 

subdivision (a), (b), or (c). Any member who does not meet the

 

qualifications of subdivision (a), (b), or (c) on the effective

 

date of the amendatory act that added this subsection is serving in

 

his or her last term as a member of the tribunal. Appointments made

 

after the effective date of the amendatory act that added this

 

subsection shall, as soon as reasonably possible, result in a

 

tribunal whose membership is, and tribunal membership shall

 

continue thereafter to be, as follows:

 


     (a) Five members who are attorneys admitted to practice in

 

this state and who have been engaged for at least 5 years

 

immediately preceding the appointment in active government,

 

corporate, or private practice dealing with federal and state or

 

local tax matters, including property taxes, or in the discharge of

 

a judicial or quasi-judicial office.

 

     (b) One member who is a certified assessor holding the highest

 

level of certification granted by the state tax commission and who

 

has been engaged for at least 5 years as an assessor for a tax

 

assessing unit.

 

     (c) One member who is a certified public accountant with at

 

least 5 years of experience in state or local tax matters.

 

     (3) (2) Each member shall take and subscribe to the

 

constitutional oath of office before entering on the discharge of

 

his or her duties.

 

     (4) (3) Each member shall devote his or her entire time to,

 

and personally perform the duties of , his or her office, and shall

 

not engage in other business or professional activity for

 

remuneration.including, but not limited to, the maintenance of his

 

or her docket as assigned and directed by the chairperson and in

 

accordance with rules prescribed under section 32. Except as

 

otherwise provided in this subsection, a member shall not engage in

 

any other gainful employment or business or professional activity

 

for remuneration, or hold any other office in or engage in any

 

other profitable undertaking with any governmental entity of this

 

state, another state, or the United States. Additionally, a member

 

shall not act as an attorney, representative, or accountant for

 


others in a matter involving any tax imposed or levied by this

 

state or any of its political subdivisions. However, a member may

 

do any of the following:

 

     (a) Own passive interests in business entities.

 

     (b) Earn income from incidental teaching or scholarly

 

activities.

 

     (c) Receive compensation for extrajudicial activities

 

described in canon 4 of the Michigan code of judicial conduct if

 

the receipt of that compensation does not create an appearance of

 

impropriety, including, but not limited to, an appearance that the

 

source of that compensation influenced the member in the

 

performance of his or her duties.

 

     (d) Act professionally on his or her own behalf, including,

 

but not limited to, as his or her own attorney or accountant.

 

     (e) Provide professional services to family members,

 

including, but not limited to, legal, accounting, and tax services,

 

so long as he or she is not paid for those services.

 

     (5) (4) Each Before January 1, 2017, each member shall receive

 

an annual salary as determined by law. and After December 31, 2016,

 

each member who works for the tribunal full time, as determined by

 

the department of licensing and regulatory affairs, shall receive

 

an annual salary not less than the annual salary paid to an

 

administrative law manager or equivalent civil service

 

classification. Each member who works for the tribunal part time,

 

as determined by the department of licensing and regulatory

 

affairs, shall receive an annual pro rata salary proportionate to

 

the salary of a member who works full time. In addition to his or

 


her annual salary, each member shall be reimbursed for his or her

 

actual and necessary expenses at the rate determined by the

 

administrative board. As used in this subsection, "actual and

 

necessary expenses" includes, but is not limited to, fees incurred

 

for the renewal of relevant and appropriate professional licenses

 

and memberships in associations located in this state.

 

     (6) The governor may, with the advice and consent of the

 

senate, appoint not more than 3 members of the tribunal pro tempore

 

if it appears to the governor that the services of an added member

 

or members are advisable. A pro tempore member shall be qualified

 

for membership under this section and is subject to the duties and

 

limitations of a member of the tribunal under this act. A pro

 

tempore member shall be appointed for not more than 12 months,

 

unless reappointed by the governor. Pro tempore members appointed

 

under this subsection do not count toward the number of members

 

appointed under section 21.

 

     (7) On motion of a party to a proceeding or a tribunal member

 

assigned to the proceeding, or by order of the chairperson, a

 

member assigned to the proceeding may be disqualified for any

 

reason listed in MCR 2.003(C)(1). A motion for disqualification by

 

a party to the proceeding shall be reviewed and either approved or

 

denied by the tribunal member presiding over the proceeding. If the

 

motion is denied, the moving party may appeal to the chairperson

 

unless the chairperson is presiding over the proceeding. If the

 

chairperson is presiding over the proceeding, an appeal shall

 

instead be randomly assigned to another member who is qualified

 

under section 22 as an attorney. Disqualification may be waived

 


with the consent of all parties and shall be in writing or placed

 

on the record.

 

     Sec. 25. (1) The principal office of the tribunal and its

 

chief clerk shall be in the city of Lansing. , and the department

 

of administration In addition, the tribunal may operate such

 

regional offices across this state as the chairperson considers

 

necessary. The department of technology, management, and budget

 

shall furnish suitable accommodations and equipment there.in these

 

principal and regional offices.

 

     (2) Subject to appropriations, therefor, the tribunal shall

 

have such the legal, technical, and secretarial assistance as that

 

the chairman deems chairperson considers necessary.

 

     (3) A clerk or employee of the tribunal shall not provide

 

legal, accounting, or technical assistance relevant to a federal,

 

state, or local tax matter, or to any other matter of which the

 

tribunal may acquire jurisdiction.

 

     (4) Salaries and expenses of the tribunal shall be paid as

 

provided by law.

 

     Sec. 32. The tribunal's powers include, but are not limited

 

to, all of the following:

 

     (a) Affirming, reversing, modifying, or remanding a final

 

decision, finding, ruling, determination, or order of an agency.

 

     (b) Ordering the payment or refund of taxes in a matter over

 

which it may acquire jurisdiction.

 

     (c) Granting other relief or issuing writs, orders, or

 

directives that it deems necessary or appropriate in the process of

 

disposition of a matter over which it may acquire jurisdiction.

 


     (d) Promulgating rules for the implementation of to implement

 

this act , including rules for practice and procedure before the

 

tribunal and for mediation as provided in section 47, under

 

pursuant to the administrative procedures act of 1969, 1969 PA 306,

 

MCL 24.201 to 24.328, .including, but not limited to, rules for the

 

following:

 

     (i) Practice and procedure before the tribunal.

 

     (ii) Mediation under section 47, including, but not limited

 

to, rules that provide a specific process and timeline for those

 

mediation activities described in section 47(5) and (6).

 

     (iii) Ethical standards governing the conduct of tribunal

 

members. A tribunal member shall comply with these ethical

 

standards, in addition to all other laws, rules, and standards

 

applicable to his or her conduct professionally or otherwise.

 

     (iv) Initial training requirements for newly appointed

 

tribunal members.

 

     (v) Continuing training requirements for all tribunal members.

 

     (vi) Guidelines and policies governing docket maintenance by

 

tribunal members.

 

     (e) Mediating a proceeding before the tribunal.

 

     (f) Certifying mediators to facilitate claims in the court of

 

claims and in the tribunal.

 

     Sec. 34. (1) One For a proceeding other than one before the

 

residential property and small claims division created in section

 

61, 2 or more members of the tribunal may shall hear and decide

 

proceedings.the proceeding, subject to the following:

 

     (a) The chairperson shall assign to each proceeding at least 1

 


tribunal member who is qualified under section 22 as an attorney.

 

Subject to subdivisions (b) and (c), the chairperson shall also

 

assign 1 tribunal member who is otherwise qualified under section

 

22.

 

     (b) If a tribunal member does not meet the attorney

 

qualifications under section 22, he or she shall not preside over

 

the proceeding. However, he or she may otherwise fully participate

 

in the proceeding and may preside over any prehearing conference as

 

assigned.

 

     (c) All of the following apply to the decision and opinion for

 

the proceeding:

 

     (i) The attorney tribunal member who is assigned to the

 

proceeding under subdivision (a) shall offer an initial decision

 

and opinion in the form prescribed by section 51(1).

 

     (ii) The nonattorney tribunal member who is assigned to the

 

proceeding under subdivision (a) shall review the initial decision

 

and opinion and shall do 1 of the following:

 

     (A) Concur without separate opinion.

 

     (B) Concur with a separate opinion provided in writing.

 

     (C) Dissent with an opinion provided in writing.

 

     (iii) If a dissent is provided under subparagraph (ii)(C), the

 

chairperson shall randomly assign by lot a third tribunal member to

 

the proceeding, who shall decide the outcome of the proceeding and

 

may do so with a separate opinion provided in writing.

 

     (2) The tribunal shall sit at places throughout the this state

 

as the tribunal determines. The county board of commissioners for

 

the county in which the tribunal is sitting, except when the

 


tribunal is sitting in the city of Lansing or in a regional office

 

established under section 25(1), shall provide the tribunal with

 

suitable accommodations and equipment on request of the

 

chairperson.

 

     (3) The business which that the tribunal may perform shall be

 

conducted at a public meeting on of the tribunal held in compliance

 

with Act No. 267 of the Public Acts of 1976, as amended. the open

 

meetings act, 1976 PA 267, MCL 15.261 to 15.275. Public notice of

 

the time, date, and place of the meeting shall be given in the

 

manner required by Act No. 267 of the Public Acts of 1976, as

 

amended.the open meetings act, 1976 PA 267, MCL 15.261 to 15.275.

 

     Sec. 35a. (1) The provisions of this This section apply

 

applies to a proceeding before the tribunal that is commenced after

 

December 31, 2006.

 

     (2) A proceeding before the tribunal is original and

 

independent and is considered de novo.

 

     (3) Except as otherwise provided in this section or by law,

 

for an assessment dispute as to the valuation or exemption of

 

property, the assessment must be protested before the board of

 

review before the tribunal acquires jurisdiction of the dispute

 

under subsection (6).

 

     (4) In the 2007 tax year and each tax year after 2007, all of

 

the following apply:

 

     (a) For an assessment dispute as to the valuation or exemption

 

of property classified under section 34c of the general property

 

tax act, 1893 PA 206, MCL 211.34c, as commercial real property,

 

industrial real property, or developmental real property, the

 


assessment may be protested before the board of review or appealed

 

directly to the tribunal without protest before the board of review

 

as provided in subsection (6).

 

     (b) For an assessment dispute as to the valuation or exemption

 

of property classified under section 34c of the general property

 

tax act, 1893 PA 206, MCL 211.34c, as commercial personal property,

 

industrial personal property, or utility personal property, the

 

assessment may be protested before the board of review or appealed

 

directly to the tribunal without protest before the board of review

 

as provided in subsection (6), if a statement of assessable

 

property is filed under section 19 of the general property tax act,

 

1893 PA 206, MCL 211.19, prior to the commencement of the board of

 

review for the tax year involved.

 

     (c) For an assessment dispute as to the valuation of property

 

that is subject to taxation under 1974 PA 198, MCL 207.551 to

 

207.572, the commercial redevelopment act, 1978 PA 255, MCL 207.651

 

to 207.668, the enterprise zone act, 1985 PA 224, MCL 125.2101 to

 

125.2123, the technology park development act, 1984 PA 385, MCL

 

207.701 to 207.718, the obsolete property rehabilitation act, 2000

 

PA 146, MCL 125.2781 to 125.2797, the commercial rehabilitation

 

act, 2005 PA 210, MCL 207.841 to 207.856, or 1953 PA 189, MCL

 

211.181 to 211.182, the assessment may be protested before the

 

board of review or appealed directly to the tribunal without

 

protest before the board of review as provided in subsection (6).

 

This subdivision does not apply to property that is subject to the

 

neighborhood enterprise zone act, 1992 PA 147, MCL 207.771 to

 

207.786.

 


     (5) For a dispute regarding a determination of a claim of

 

exemption of a principal residence or qualified agricultural

 

property for a year in which the July or December board of review

 

has authority to determine a claim of exemption for a principal

 

residence or qualified agricultural property, the claim of

 

exemption shall be presented to either the July or December board

 

of review before the tribunal acquires jurisdiction of the dispute.

 

For a special assessment dispute, the special assessment shall be

 

protested at the hearing held for the purpose of confirming the

 

special assessment roll before the tribunal acquires jurisdiction

 

of the dispute.

 

     (6) The jurisdiction of the tribunal in an assessment dispute

 

as to property classified under section 34c of the general property

 

tax act, 1893 PA 206, MCL 211.34c, as commercial real property,

 

industrial real property, developmental real property, commercial

 

personal property, industrial personal property, or utility

 

personal property is invoked by a party in interest, as petitioner,

 

filing a written petition on or before May 31 of the tax year

 

involved. The jurisdiction of the tribunal in an assessment dispute

 

as to property classified under section 34c of the general property

 

tax act, 1893 PA 206, MCL 211.34c, as agricultural real property,

 

residential real property, timber-cutover real property, or

 

agricultural personal property is invoked by a party in interest,

 

as petitioner, filing a written petition on or before July 31 of

 

the tax year involved. In Before January 1, 2017, in all other

 

matters, the jurisdiction of the tribunal is invoked by a party in

 

interest, as petitioner, filing a written petition within 35 days

 


after the final decision, ruling, or determination. An After

 

December 31, 2016, in all other matters, the jurisdiction of the

 

tribunal is invoked by a party in interest, as petitioner, filing a

 

written petition within 90 days after the final decision, ruling,

 

or determination. Before January 1, 2017, an appeal of a contested

 

tax bill shall be made within 60 days after mailing by the

 

assessment district treasurer. and the appeal After December 31,

 

2016, an appeal of a contested tax bill shall be made within 90

 

days after mailing by the assessment district treasurer. In all

 

cases, the appeal of a contested tax bill is limited solely to

 

correcting arithmetic errors or mistakes and is not a basis of

 

appeal as to disputes of valuation of the property, the property's

 

exempt status, or the property's equalized value resulting from

 

equalization of its assessment by the county board of commissioners

 

or the state tax commission. Service of the petition on the

 

respondent shall be by certified mail. For an assessment dispute,

 

service of the petition shall be mailed to the assessor of that

 

local tax collecting unit if the respondent is the local tax

 

collecting unit. Except for petitions filed under chapter 6, a copy

 

of the petition shall also be sent to the secretary of the school

 

board in the local school district in which the property is located

 

and to the clerk of any county that may be affected.

 

     (7) A petition is considered filed on or before the expiration

 

of the time period provided in this section or by law if 1 or more

 

of the following occur:

 

     (a) The petition is postmarked by the United States postal

 

service Postal Service on or before the expiration of that time

 


period.

 

     (b) The petition is delivered in person on or before the

 

expiration of that time period.

 

     (c) The petition is given to a designated delivery service for

 

delivery on or before the expiration of that time period and the

 

petition is delivered by that designated delivery service or, if

 

the petition is not delivered by that designated delivery service,

 

the petitioner establishes that the petition was given to that

 

designated delivery service for delivery on or before the

 

expiration of that time period.

 

     (8) A petition required to be filed by a day during which the

 

offices of the tribunal are not open for business shall be filed by

 

the next business day.

 

     (9) A petition or answer may be amended at any time by leave

 

of the tribunal and in compliance with its rules. If a tax was paid

 

while the determination of the right to the tax is pending before

 

the tribunal, the taxpayer may amend his or her petition to seek a

 

refund of that tax.

 

     (10) A person or legal entity may appear before the tribunal

 

in his or her own behalf or may be represented by an attorney or by

 

any other person.

 

     (11) As used in this section, "designated delivery service"

 

means a delivery service provided by a trade or business that is

 

designated by the tribunal for purposes of this subsection. The

 

tribunal shall issue a tribunal notice not later than December 31

 

in each calendar year designating not less than 1 delivery service

 

for the immediately succeeding calendar year. The tribunal may

 


designate a delivery service only if the tribunal determines that

 

the delivery service meets all of the following requirements:

 

     (a) Is available to the general public.

 

     (b) Is at least as timely and reliable on a regular basis as

 

the United States postal service.Postal Service.

 

     (c) Records electronically to a database kept in the regular

 

course of business or marks on the petition the date on which the

 

petition was given to the delivery service for delivery.

 

     (d) Any other requirement the tribunal prescribes.

 

     Sec. 47. (1) A person may apply to the tribunal to be

 

certified as a mediator. Certification is for a period of 1 year.

 

The application shall be in a form prescribed by the tribunal. A

 

tribunal member or hearing officer may not be certified as a

 

mediator.

 

     (2) The tribunal shall promulgate rules under the

 

administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to

 

24.328, that establish requirements for an applicant to be

 

certified as a mediator. Whether an applicant meets the established

 

requirements to be certified as a mediator shall be solely

 

determined by the tribunal. The requirements for certification as a

 

mediator shall include, but are not limited to, 5 years of state

 

and local tax experience that occurred within 7 years immediately

 

preceding submission of the application. If an applicant satisfies

 

the requirements established by the tribunal, the tribunal shall

 

certify that applicant as a mediator. The tribunal may charge each

 

mediator certified by the tribunal an annual certification fee, as

 

determined by the tribunal.

 


     (3) The tribunal shall maintain a list of certified mediators

 

available to conduct a mediation described in section 32. The list

 

shall be published and shall indicate all of the following:

 

     (a) The hourly rate charged by the mediator for his or her

 

mediation services.

 

     (b) The type of tax the mediator is certified to mediate.

 

     (c) A summary of the mediator's experience and training.

 

     (d) The forum in which the mediator is certified to practice.

 

     (4) A mediator shall disclose to all parties any conflict of

 

interest that may exist before agreeing to mediate a dispute.

 

     (5) The tribunal shall mediate a proceeding in which it has

 

exclusive and original jurisdiction under section 31 if all of the

 

following conditions are satisfied:

 

     (a) The parties have filed with the tribunal a stipulation

 

that they agree to participate in mediation, or the tribunal has

 

ordered mediation.

 

     (b) The parties agree to a mediator or, if the tribunal

 

ordered mediation under subdivision (a), the tribunal shall set a

 

date by which the parties are to have conferred on the selection of

 

a mediator. If the parties do not inform the tribunal of their

 

selection of an agreed-upon mediator by that date, the tribunal

 

shall assign a mediator.

 

     (c) The tribunal issues an order designating the proceeding

 

for mediation.

 

     (6) The tribunal shall appoint the mediator agreed to by the

 

parties or assigned by the tribunal under subsection (5)(b). A

 

mediator has no authoritative decision-making power to resolve a

 


dispute in mediation. The mediator shall report the results of the

 

mediation to the tribunal. If an agreement is reached in a

 

proceeding before the tribunal, the tribunal shall accept the

 

agreement if it meets the tribunal's requirements.

 

     (7) Statements made during a mediation conference, including

 

statements made in written submissions, shall not be used and are

 

not admissible in any other proceedings, including trial. Any

 

statements, written submissions or materials, or communications

 

between the parties or counsel of the parties and the mediator

 

relating to the mediation are confidential and shall not be

 

disclosed without the written consent of all parties and are not

 

subject to the disclosure requirements of the freedom of

 

information act, 1976 PA 442, MCL 15.231 to 15.246, except for the

 

following:

 

     (a) The report of the mediator. The report shall be in a form

 

prescribed by the tribunal.

 

     (b) Information reasonably required by tribunal personnel to

 

administer and evaluate the mediation program under this section.

 

     (c) Information necessary for the tribunal to resolve disputes

 

regarding the mediator's fee.

 

     (d) Consent judgments.

 

     (8) A mediation conference is not a meeting of a public body

 

for purposes of the open meetings act, 1976 PA 267, MCL 15.261 to

 

15.275.

 

     (9) The tribunal may charge a fee for mediation.

 

     Sec. 49. (1) The tribunal by rule shall prescribe filing fees

 

and other fees to be paid in connection with a proceeding before

 


the tribunal. The fees shall be paid to the clerk of the tribunal

 

and by order of the tribunal may be taxed as costs.

 

     (2) The residential property and small claims division of the

 

tribunal shall not charge fees or costs on appeals of principal

 

residence property as defined in rules promulgated by the tax

 

tribunal.

 

     (3) The Michigan tax tribunal fund is created in the

 

department of labor and economic growth licensing and regulatory

 

affairs as a separate interest bearing fund. All fees collected

 

pursuant to this act shall be deposited in the Michigan tax

 

tribunal fund. In addition, beginning in fiscal year 2017 and each

 

year thereafter, $3,500,000.00 shall be deposited in the fund. The

 

state treasurer shall direct the investment of the Michigan tax

 

tribunal fund. Money in the Michigan tax tribunal fund shall remain

 

in the Michigan tax tribunal fund at the close of the fiscal year

 

and shall not revert to the general fund. Money in the Michigan tax

 

tribunal fund shall be used solely for operation of the tribunal.

 

     Sec. 51. (1) A decision and opinion of the tribunal is subject

 

to all of the following:

 

     (a) The decision and opinion shall be preceded with an initial

 

decision, as described in section 34(1)(c)(i), that shall be made

 

within a reasonable period, 3 months after the last brief is filed

 

following completion of the hearing or, if briefs are not filed

 

following completion of the hearing, within 3 months after

 

completion of the hearing. The chairperson may extend the 3-month

 

period for not more than 1 additional month. The initial decision

 

shall serve as the decision and opinion of the tribunal if 1 of the

 


following occurs:

 

     (i) Not more than 1 month after the initial decision is made

 

as provided in this subdivision, a concurrence under section

 

34(1)(c)(ii)(A) or (B) is submitted.

 

     (ii) Not more than 1 month after the initial decision is made

 

as provided in this subdivision, a dissent under section

 

34(1)(c)(ii)(C) is submitted, and not more than 1 month after that

 

dissent is submitted, a dispositive vote under section

 

34(1)(c)(iii) is submitted.

 

     (b) The decision and opinion shall be in writing or stated in

 

the record , and shall include a concise statement of facts and

 

conclusions of law, stated separately. and, upon

 

     (c) Upon order of the tribunal, the decision and opinion shall

 

be officially reported and published.

 

     (2) A tribunal member's lack of adherence to the timeline

 

described in subsection (1)(a) may be considered for purposes of a

 

removal decision under section 21(5).

 

     (3) (2) If the implementation of a decision of the tribunal

 

would have the effect of delaying collection of taxes in a taxing

 

unit due to the time of the year in which the decision is rendered,

 

the tribunal shall not order immediate implementation of the

 

decision without consent of all the taxing units involved, but

 

shall order any required adjustment in rate by the taxing unit or

 

units be made in the following tax year.

 

     Sec. 62. (1) The residential property and small claims

 

division created in section 61 has jurisdiction over a proceeding,

 

otherwise cognizable by the tribunal, in which residential property

 


is exclusively involved. Property Before January 1, 2017, property

 

other than residential property may be included in a proceeding

 

before the residential property and small claims division if the

 

amount of that property's taxable value or state equalized

 

valuation in dispute is not more than $100,000.00. The Also before

 

January 1, 2017, the residential property and small claims division

 

also has jurisdiction over a proceeding involving an appeal of any

 

other tax over which the tribunal has jurisdiction if the amount of

 

the tax in dispute is $20,000.00 or less, adjusted annually by the

 

inflation rate. After December 31, 2016, property other than

 

residential property may be included in a proceeding before the

 

residential property and small claims division if the amount of

 

that property's taxable value or state equalized valuation in

 

dispute is not more than $250,000.00. Also after December 31, 2016,

 

the residential property and small claims division has jurisdiction

 

over a proceeding involving an appeal of any other tax over which

 

the tribunal has jurisdiction if the amount of the tax in dispute

 

is $100,000.00 or less, adjusted annually by the inflation rate. As

 

used in this subsection, "inflation rate" means the ratio of the

 

general price level for the state fiscal year ending in the

 

calendar year immediately preceding the current year divided by the

 

general price level for the state fiscal year ending in the

 

calendar year before the year immediately preceding the current

 

year.

 

     (2) A person or legal entity entitled to proceed under section

 

31, and whose proceeding meets the jurisdictional requirements of

 

subsection (1), may elect to proceed before either the residential

 


property and small claims division or the entire tribunal. A formal

 

record of residential property and small claims division

 

proceedings is not required. Within 20 21 days after a hearing

 

officer or referee issues a proposed order, a party may file

 

exceptions to the proposed order. The tribunal shall review the

 

exceptions to determine if the proposed order shall be adopted as a

 

final order. Upon a showing of good cause or at the tribunal's

 

discretion, the tribunal may modify the proposed order and issue a

 

final order or hold a rehearing by a tribunal member. A rehearing

 

is not limited to the evidence presented before the hearing officer

 

or referee.

 

     (3) Except as otherwise provided in this subsection, the

 

residential property and small claims division shall meet in the

 

county in which the property in question is located or in a county

 

contiguous to the county in which the property in question is

 

located. A petitioner-appellant shall not be required to travel

 

more than 100 miles from the location of the property in question

 

to the hearing site, except that a rehearing by a tribunal member

 

shall be at a site determined by the tribunal. By leave of the

 

tribunal and with the mutual consent of all parties, a residential

 

property and small claims division proceeding may take place at a

 

location mutually agreed upon by all parties or may take place by

 

the use of amplified telephonic or video conferencing equipment.

 

     (4) The tribunal shall make a short form for the simplified

 

filing of residential property and small claims appeals.

 

     (5) In a proceeding before the residential property and small

 

claims division for property other than residential property, if

 


the amount of taxable value or state equalized valuation in dispute

 

is greater than $20,000.00, or in nonproperty matters if the amount

 

in dispute is greater than $1,000.00, the filing fee is the amount

 

that would have been paid if the proceeding was brought before the

 

entire tribunal and not the residential property and small claims

 

division.

 

     (6) As used in this chapter, "residential property" means any

 

of the following:

 

     (a) Real property exempt under section 7cc of the general

 

property tax act, 1893 PA 206, MCL 211.7cc.

 

     (b) Real property classified as residential real property

 

under section 34c of the general property tax act, 1893 PA 206, MCL

 

211.34c.

 

     (c) Real property with less than 4 rental units.

 

     (d) Real property classified as agricultural real property

 

under section 34c of the general property tax act, 1893 PA 206, MCL

 

211.34c.

 

     Enacting section 1. This amendatory act takes effect January

 

1, 2017.