February 12, 2004, Introduced by Senators BROWN, GARCIA and GOSCHKA and referred to the Committee on Finance.
A bill to amend 1993 PA 331, entitled
"State education tax act,"
by amending section 5b (MCL 211.905b), as added by 2002 PA 244.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
1 Sec. 5b. (1) This section applies only to a city or
2 township, or that portion of a city or township, in which no
3 property taxes, other than the tax levied under this act or
4 village taxes, are levied in the summer of 2003 and any summer
5 after 2003.
6 (2) A city or township shall collect the tax levied under
7 this act unless, before November 1, 2002, the legislative body of
8 the city or township adopts a resolution declining to collect the
9 tax levied under this act and, for a township, the treasurer
10 concurs in writing with that resolution. Before November 1,
11 2002, if the city or township adopts a resolution declining to
1 collect the tax under this act and, for a township, the treasurer
2 concurs in writing with that resolution, the appropriate
3 assessing officer shall send a copy of that resolution and, for a
4 township, that concurrence to the state treasurer and the
5 treasurer of the county in which the city or township is
6 located. In January 2004 and each January thereafter, the
7 legislative body of a city or township that has declined to
8 collect the tax under this subsection may by resolution adopted
9 by a majority of the legislative body rescind the earlier
10 decision to decline to collect the tax. The city or township
11 shall immediately send a copy of the resolution rescinding the
12 earlier decision to decline to collect the tax to the state
13 treasurer and the treasurer of the county in which the city or
14 township is located. If a city or township collects the tax
15 levied under this act
pursuant to this section, this state shall
16 transmit to that city or township shall retain $2.50 for
each
17 parcel of property in that city or township on which the tax
18 levied under this act is collected
billed under this section
19 from the tax collected under this act before transmitting the tax
20 collected under this act to the state treasurer as provided in
21 this act.
22 (3) A county that receives a copy of a resolution declining
23 to collect the tax under this act and, for a township, a written
24 concurrence as provided in subsection (2) shall collect the tax
25 levied under this act pursuant to this section unless, before
26 February 1, 2003, the county board of commissioners adopts a
27 resolution declining to collect the tax levied under this act and
1 the county treasurer concurs in writing with that resolution.
2 Before February 1, 2003, if the county board of commissioners
3 adopts a resolution declining to collect the tax under this act
4 and the county treasurer concurs in writing with that resolution,
5 the county treasurer shall send a copy of that resolution and
6 that concurrence to the state treasurer. In February 2004 and
7 each February thereafter, a county board of commissioners that
8 has declined to collect the tax under this subsection may by
9 resolution, with the written concurrence of the county treasurer,
10 rescind the earlier decision to decline to collect the tax. The
11 county treasurer shall immediately send a copy of the resolution
12 rescinding the earlier decision to decline to collect the tax and
13 the written concurrence of the county treasurer to the state
14 treasurer. If a county collects the tax levied under this act
15 pursuant to this section,
this state shall transmit to that
16 county shall retain $2.50 for each parcel for property in that
17 county on which the tax
levied under this act is collected
18 billed under this section from the tax collected under this act
19 before transmitting the tax collected under this act to the state
20 treasurer as provided in this act.
21 (4) If a city or township does not collect the tax levied
22 under this act pursuant to subsection (2) and if a county does
23 not collect the tax levied under this act pursuant to subsection
24 (3), the state treasurer shall collect the tax under the
25 provisions of the general property tax act. The collection of
26 the tax levied under this act is not subject to 1941 PA 122,
27 MCL 205.1 to 205.31. The tax levied under this act collected
1 pursuant to this subsection is subject to a 1% administration
2 fee.
3 (5) All of the following apply to the collection of the tax
4 levied under this act by a county treasurer or the state
5 treasurer:
6 (a) Not later than June 1, the township or city for which the
7 tax is being collected shall deliver to the county treasurer or
8 the state treasurer, as applicable, a certified copy of each
9 assessment roll for taxable property located in the township or
10 city. Each assessment roll shall include the taxable value of
11 each parcel subject to the collection of the tax levied under
12 this act. The county treasurer or state treasurer, as
13 applicable, shall remit the necessary cost incident to the
14 reproduction of the assessment roll to the township or city.
15 (b) Not later than June 30, the county treasurer or the state
16 treasurer, as applicable, shall spread the millage levied under
17 this act against the assessment roll and prepare the tax roll.
18 (c) The county treasurer or the state treasurer, as
19 applicable, may impose all or a portion of the fees and charges
20 authorized under section 44 of the general property tax act, 1893
21 PA 206, MCL 211.44, on taxes paid before March 1. The county
22 treasurer or the state treasurer, as applicable, shall retain the
23 fees and charges imposed under this subdivision regardless of
24 whether all or part of the fees and charges have been waived by
25 the township or city.
26 (6) In relation to the assessment, spreading, and collection
27 of taxes pursuant to this section, a county treasurer or the
1 state treasurer, as applicable, shall have powers and duties
2 similar to those prescribed by the general property tax act for
3 township supervisors, township clerks, and township treasurers.
4 However, this section shall not be considered to transfer any
5 authority over the assessment of property.
6 (7) A county treasurer or state treasurer collecting taxes
7 pursuant to this section shall be bonded for tax collection in
8 the same amount and in the same manner as a township treasurer
9 would be for undertaking the duties prescribed by this section.
10 (8) If a county treasurer or the state treasurer collects the
11 tax levied under this act pursuant to this section, all payments
12 from this state for collecting the tax levied under this act in a
13 summer levy, and all revenue generated by the administration fee,
14 shall be deposited in a restricted account designated as the
15 "state education tax collection account". The county treasurer
16 or the state treasurer, as applicable, shall direct the
17 investment of the account. The county treasurer or the state
18 treasurer, as applicable, shall credit to the account interest
19 and earnings from the account investments. Proceeds in that
20 account shall only be used for the cost of collecting the tax
21 levied under this act. For a county collecting the tax under
22 this act, the county board of commissioners shall appropriate
23 sufficient money from the account to the county treasurer to
24 cover the cost of collecting the tax levied under this act.
25 (9) The tax levied under this act that is collected by a city
26 pursuant to this section on a date other than a date it collects
27 city taxes shall be subject to the same fees and charges a city
1 may impose under section 44 of the general property tax act, 1893
2 PA 206, MCL 211.44, except that a city may impose the
3 administration fee on the tax levied under this act that is
4 billed in the summer even if the fee is not imposed on taxes
5 billed in December. The tax levied under this act that is
6 collected pursuant to this section on or before September 14 of
7 each year by a city that collects school taxes on a date other
8 than the date it collects city taxes shall be without interest,
9 but the tax levied under this act that is collected after
10 September 14 in each year shall bear interest at the rate imposed
11 by section 59 of the general property tax act, 1893 PA 206,
12 MCL 211.59, on delinquent property tax levies that become a lien
13 in the same year. All interest and penalties that are imposed
14 prior to the date the tax levied under this act is returned as
15 delinquent, other than the administration fee, shall be
16 transmitted to the state treasurer for deposit into the state
17 school aid fund established in section 11 of article IX of the
18 state constitution of 1963. If imposed, the administration fee
19 shall be retained by the city.
20 (10) The tax levied under this act that is collected by a
21 township on or before September 14 in each year shall be without
22 interest. The tax levied under this act that is collected after
23 September 14 of any year shall bear interest at the rate imposed
24 by section 59 of the general property tax act, 1893 PA 206,
25 MCL 211.59, on delinquent property tax levies that become a lien
26 in the same year. The tax levied under this act that is
27 collected by a township is subject to the same fees and charges
1 the township may impose under section 44 of the general property
2 tax act, 1893 PA 206, MCL 211.44, except that a township may
3 impose the administration fee on the tax levied under this act
4 that is billed in the summer even if the fee is not imposed on
5 taxes billed in December. All interest and penalties that are
6 imposed prior to the date the tax levied under this act is
7 returned delinquent, other than the administration fee, shall be
8 transmitted to the state treasurer for deposit into the state
9 school aid fund established in section 11 of article IX of the
10 state constitution of 1963. If imposed, the administration fee
11 shall be retained by the township.