June 27, 2008, Introduced by Reps. Agema, Stahl, Hansen, Rick Jones, Calley, Meltzer, Green, LaJoy, Marleau, Knollenberg, Proos, Garfield, Hoogendyk, Amos, Caul, Casperson, Meekhof and Elsenheimer and referred to the Committee on Tax Policy.
A bill to amend 1933 PA 167, entitled
"General sales tax act,"
by amending section 25 (MCL 205.75), as amended by 2007 PA 69.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 25. (1) All money received and collected under this act
shall be deposited by the department in the state treasury to the
credit of the general fund, except as otherwise provided in this
section.
(2) Fifteen percent of the collections of the tax imposed at a
rate of 4% shall be distributed to cities, villages, and townships
pursuant to the Glenn Steil state revenue sharing act of 1971, 1971
PA 140, MCL 141.901 to 141.921.
(3) Sixty percent of the collections of the tax imposed at a
rate of 4% shall be deposited in the state school aid fund
established in section 11 of article IX of the state constitution
of 1963 and distributed as provided by law. In addition, all of the
collections of the tax imposed at the additional rate of 2%
approved by the electors March 15, 1994 shall be deposited in the
state school aid fund.
(4) For the fiscal year ending September 30, 1988 and each
fiscal year ending after September 30, 1988, of the 25% of the
collections of the general sales tax imposed at a rate of 4%
directly or indirectly on fuels sold to propel motor vehicles upon
highways, on the sale of motor vehicles and on the sale of the
parts and accessories of motor vehicles by new and used car
businesses, used car businesses, accessory dealer businesses, and
gasoline station businesses as classified by the department of
treasury remaining after the allocations and distributions are made
pursuant to subsections (2) and (3), the following amounts shall be
deposited each year into the respective funds:
(a) For the fiscal year ending September 30, 2003 and for the
fiscal year ending September 30, 2006 and each fiscal year ending
after September 30, 2006, not less than 27.9% to the comprehensive
transportation fund. For the fiscal year ending September 30, 2004
through the fiscal year ending September 30, 2005, not less than
24% to the comprehensive transportation fund. For the fiscal year
ending September 30, 2006 only, the amount deposited to the
comprehensive transportation fund under this subdivision shall be
reduced by $11,100,000.00. For the fiscal year ending September 30,
2007 only, the amount deposited to the comprehensive transportation
fund under this subdivision shall be reduced by $10,270,000.00.
(b) The balance to the state general fund.
(5) For the fiscal year ending September 30, 2008 and each
fiscal year ending after September 30, 2008, after the allocations
and distributions are made pursuant to subsections (2) and (3), an
amount equal to 20% of the collections of the tax imposed at a rate
of 4% under this act from the sale at retail of gasoline shall be
distributed, by appropriation, as follows:
(a) 39.1% for deposit into the state trunk line fund created
in section 11 of 1951 PA 51, MCL 247.661.
(b) 39.1% to county road commissions, for road construction,
maintenance, and repair.
(c) 21.8% to cities and villages, for road construction,
maintenance, and repair.
(6) (5)
After the allocations and
distributions are made
pursuant to subsections (2) and (3), an amount equal to the
collections of the tax imposed at a rate of 4% under this act from
the sale at retail of computer software as defined in section 1a
shall be deposited in the Michigan health initiative fund created
in section 5911 of the public health code, 1978 PA 368, MCL
333.5911, and shall be considered in addition to, and is not
intended as a replacement for any other money appropriated to the
department of community health. The funds deposited in the Michigan
health initiative fund on an annual basis shall not be less than
$9,000,000.00 or more than $12,000,000.00.
(7) (6)
The balance in the state general
fund shall be
disbursed only on an appropriation or appropriations by the
legislature.