SB-1105, As Passed Senate, September 9, 2004                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                              SUBSTITUTE FOR                                    

                                                                                

                           SENATE BILL NO. 1105                                 

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1994 PA 451, entitled                                             

                                                                                

    "Natural resources and environmental protection act,"                       

                                                                                

    by amending sections 2153 and 2154 (MCL 324.2153 and 324.2154),             

                                                                                

    as added by 1995 PA 60.                                                     

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 2153.  (1)  The valuation of lands described in section                

                                                                                

2   2152, for the purposes of this subpart, shall be fixed by the               

                                                                                

3   state tax commission on or  For purposes of this subpart, the               

                                                                                

4   state tax commission shall determine the valuation of real                  

                                                                                

5   property described in section 2152 before February 1 of each                

                                                                                

6   year.  , and the state tax commission shall, on or before  The              

                                                                                

7   state tax commission shall determine the valuation of real                  

                                                                                

8   property as provided in subsection (7).                                     

                                                                                

9       (2) Not later than February 15 of each year, the state tax                  

                                                                                

10  commission shall make a report to the assessing districts of                

                                                                                


                                                                                

1   the  this state in which the  lands are  real property is                  

                                                                                

2   located, giving a description of the  land  real property in the            

                                                                                

3   assessing district held by the state  with  and the valuation as            

                                                                                

4   fixed by the state tax commission pursuant to subsection (7).               

                                                                                

5   The                                                                        

                                                                                

6       (3) Except as otherwise provided in subsection (7), the state               

                                                                                

7   tax commission shall furnish a  value  valuation to the assessing           

                                                                                

8   officers that shall be at the same value as other real property             

                                                                                

9   is assessed in the assessment district.  In fixing the valuation,           

                                                                                

10  the state tax commission shall not include improvements made to             

                                                                                

11  or placed upon  such lands  that real property.                             

                                                                                

12      (4) Upon receipt of the  report by  valuation under                         

                                                                                

13  subsection (3), the assessing officer  , he or she  shall enter             

                                                                                

14  upon the assessment rolls of each municipality or assessing                 

                                                                                

15  district the respective descriptions of the  lands with  real               

                                                                                

16  property and the fixed  value  valuation and, except as otherwise           

                                                                                

17  provided in subsection (5), shall assess  such lands  that real             

                                                                                

18  property for the purposes of this subpart at the same rate as               

                                                                                

19  other real property in the assessing district.  , except that               

                                                                                

20  adjustment to  A local taxing unit may by resolution permanently            

                                                                                

21  exempt that real property from any tax levied by that local                 

                                                                                

22  taxing unit.  As used in this subsection, "local taxing unit"               

                                                                                

23  means a city, village, township, county, school district,                   

                                                                                

24  intermediate school district, community college, authority, or              

                                                                                

25  any other entity authorized by law to levy a tax on real                    

                                                                                

26  property.                                                                   

                                                                                

27      (5) Except as limited in subsection (6) and as otherwise                    


                                                                                

1   provided in subsection (7), the assessing officer may adjust the            

                                                                                

2   value certified  valuation determined by the state tax                     

                                                                                

3   commission.  may be made by the assessing officer to reflect any            

                                                                                

4   general adjustment of assessed valuation from the prior year that           

                                                                                

5   is not included in the state tax commission computation.  If an             

                                                                                

6   adjustment to the  value  valuation certified by the state tax              

                                                                                

7   commission is made, the assessing officer shall certify all of              

                                                                                

8   the following to the department, not later than the first                   

                                                                                

9   Wednesday after the first Monday in March:  , the                           

                                                                                

10      (a) The amount and percentage of any general adjustment of                  

                                                                                

11  assessed valuation  and the  of property located in the assessing           

                                                                                

12  district other than property described in section 2152.                     

                                                                                

13      (b) The amount and percentage of any change in the assessment               

                                                                                

14  roll.  ; the                                                                

                                                                                

15      (c) The relation of the total valuation to that reported by                 

                                                                                

16  the state tax commission.  ; and the                                        

                                                                                

17      (d) The adjusted total of conservation land.                                

                                                                                

18      (6) The following shall not be included in an adjustment                    

                                                                                

19  under subsection (5):                                                       

                                                                                

20      (a) Any general adjustment of assessed valuation of property                

                                                                                

21  located in the assessing district.                                          

                                                                                

22      (b) Assessments for special improvements.  shall not be                     

                                                                                

23  included.                                                                   

                                                                                

24      (c) Any millage in excess of the millage rate levied in                     

                                                                                

25  2003.                                                                       

                                                                                

26      (d) The tax levied under the state education tax act, 1993 PA               

                                                                                

27  331, MCL 211.901 to 211.906.                                                


                                                                                

1       (7) Property valuations shall be established as follows:                    

                                                                                

2       (a) For property valuations established under this subpart in               

                                                                                

3   2003, the 2003 valuation shall be the valuation of the property             

                                                                                

4   in 2003 and in each of the immediately succeeding 10 years.                 

                                                                                

5       (b) In 2013 and every 10 years after 2013, the valuation of                 

                                                                                

6   property shall be adjusted by the average annual increase or                

                                                                                

7   decrease in the Detroit consumer price index that occurred during           

                                                                                

8   the immediately preceding 10-year period.  As used in this                  

                                                                                

9   subdivision, "Detroit consumer price index" means the most                  

                                                                                

10  comprehensive index of consumer prices available for the Detroit            

                                                                                

11  area from the United States department of labor, bureau of labor            

                                                                                

12  statistics.                                                                 

                                                                                

13      (c) If property is acquired after 2003, the initial property                

                                                                                

14  valuation determined under this section shall be the valuation              

                                                                                

15  for each subsequent year until the next decennial adjustment                

                                                                                

16  under subdivision (b) occurs.                                               

                                                                                

17      Sec. 2154.  (1) The treasurer or other officer charged with                 

                                                                                

18  the collection of taxes for an assessing district shall annually            

                                                                                

19  forward a single statement of the assessment of all property for            

                                                                                

20  which payment is claimed under this subpart to the Lansing office           

                                                                                

21  of the department  , which  at the same time that statements are            

                                                                                

22  mailed for a winter property tax levy under section 44 of the               

                                                                                

23  general property tax act, 1893 PA 206, MCL 211.44.  The statement           

                                                                                

24  shall include an itemization of the valuation and assessment for            

                                                                                

25  each individual parcel for which payment is claimed under this              

                                                                                

26  subpart.  The Lansing office of the department shall review the             

                                                                                

27  statement.  and  Subject to subsection (2), if the  amount of               


                                                                                

1   the  assessment has been determined according to this subpart  ,            

                                                                                

2   and the total annual amount of all assessments payable to the               

                                                                                

3   treasurer or other officer charged with the collection of taxes             

                                                                                

4   for an assessing district is more than $500.00, the Lansing                 

                                                                                

5   office of the department shall authorize the state treasurer to             

                                                                                

6   pay the amount of the assessment by warrant on the state                    

                                                                                

7   treasury.                                                                   

                                                                                

8       (2)  If the amount of the assessment is not paid within the                 

                                                                                

9   time provided for the payment of property taxes pursuant to the             

                                                                                

10  general property tax act, Act No. 206 of the Public Acts of 1893,           

                                                                                

11  being sections 211.1 to 211.157 of the Michigan Compiled Laws,              

                                                                                

12  interest and penalties may be imposed by the local property tax             

                                                                                

13  collecting unit in the same manner provided for delinquent                  

                                                                                

14  property taxes in Act No. 206 of the Public Acts of 1893.                   

                                                                                

15  However, interest and penalties shall not be imposed for a tax              

                                                                                

16  that is collected in the summer for the first time by a local               

                                                                                

17  property tax collecting unit.  Beginning in state fiscal year               

                                                                                

18  2005, the aggregate amount for all payments to all assessing                

                                                                                

19  districts under subsection (1) shall be charged as follows:                 

                                                                                

20      (a) Payments in state fiscal year 2005 shall be charged as                  

                                                                                

21  follows:                                                                    

                                                                                

22                                                                               (i) Not more than 50% from the restricted revenue sources of                        

                                                                                

23  the department of natural resources.                                        

                                                                                

24      (ii) The remaining balance after the charge under                            

                                                                                

25  subparagraph (i) from the general fund.                                     

                                                                                

26      (b) Payments in state fiscal year 2006 and each state fiscal                

                                                                                

27  year after 2006 shall be charged as follows:                                


                                                                                

1                                                                                (i) That portion of the payment that represents an assessment                       

                                                                                

2   by a local school district, intermediate school district, or                

                                                                                

3   community college district shall be charged against the state               

                                                                                

4   school aid fund established in section 11 of article IX of the              

                                                                                

5   state constitution of 1963.                                                 

                                                                                

6       (ii) The balance of any payment remaining after the charge                   

                                                                                

7   made in subparagraph (i) shall be charged as follows:                       

                                                                                

8       (A) Not more than 50% from restricted revenue sources of the                

                                                                                

9   department of natural resources.                                            

                                                                                

10      (B) The remaining balance after the charge under                            

                                                                                

11  sub-subparagraph (A), from the general fund.                                

                                                                                

12      (3) For the 2004 state fiscal year and each state fiscal year               

                                                                                

13  after 2004, if the amount available for payment to all local                

                                                                                

14  assessing districts from the general fund or from any restricted            

                                                                                

15  fund is less than the amount required for payment to all local              

                                                                                

16  assessing districts from the general fund or from any restricted            

                                                                                

17  fund, the amount available for payment to each local assessing              

                                                                                

18  district shall be distributed in the same proportion from the               

                                                                                

19  general fund or from any restricted fund that the required                  

                                                                                

20  payment to that local assessing district is to the total of all             

                                                                                

21  required payments from the general fund or from any restricted              

                                                                                

22  fund.