POLICE & FIRE SPECIAL ASSESSMENTS                                                         S.B. 1235:

                                                                                             SUMMARY AS ENACTED

                                                                                                                            

 

 

 

 

 

 

 

 

 

Senate Bill 1235 (as enacted)                                                      PUBLIC ACT 484 of 2018

Sponsor:  Senator Peter MacGregor

Senate Committee:  Finance

House Committee:  Government Operations

 

Date Completed:  3-7-19

 


CONTENT

 

The bill amended Public Act 33 of 1951 (which provides for police and fire protection for certain villages, townships, and cities) to do the following:

 

 --   Specify that, after December 31, 2018, a special assessment levied under the Act must be spread on the taxable value of the property assessed based on the special benefit provided to the property assessed and may not be based on police and fire protection provided in a previous year to assessed property.

 --   Require a special assessment imposed under the Act to be levied on all properties within the special assessment district established under the Act other than properties exempt from the collection of taxes under the General Property Tax Act.

 

Specifically, Public Act 33 of 1951 states that, after December 31, 1998, an ad valorem special assessment levied under the Act must be levied on the taxable value of the property assessed. Under the bill, after December 31, 2018, a special assessment levied under the Act must be spread on the taxable value of the property assessed based on the special benefit provided to the property assessed and may not be based on police and fire protection provided in a previous year to assessed property.

 

The bill also requires a special assessment imposed under the Act to be levied on all properties within the special assessment district established under the Act other than properties exempt from the collection of taxes under the General Property Tax Act.

 

The bill took effect on January 1, 2019.

 

BACKGROUND

 

Public Act 33 of 1951 allows a township board of a township, or the township boards of adjoining townships acting jointly, whether the townships are in the same county, to provide annually by resolution for the appropriation of general or contingent funds for maintenance and operation of police and fire departments.

 

The township board, or the township boards of adjoining townships acting jointly, may specify that the sums described above for purchasing and housing equipment, for the operation of the equipment, or both, may be defrayed by a special assessment on the lands and premises in the township or townships to be benefited, except, beginning in 2002, lands and premises


exempt from the collection of taxes under the General Property Tax Act, and may issue bonds in anticipation of collecting these special assessments.

 

The question of raising money by special assessment may be submitted by the township board or boards to the electors of the township or townships at a general election or special election called for that purpose. The special assessment also must be submitted by the township board or boards if, in the affected township or townships, the owners of 10% of the land to be made into a special assessment district petition the township board or boards.

 

MCL 41.801                                                           Legislative Analyst:  Drew Krogulecki

 

FISCAL IMPACT

 

The bill will have no fiscal impact on State or local government.

 

                                                                                      Fiscal Analyst:  Ryan Bergan

 

 

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.