HOUSE BILL No. 6300

 

June 30, 2010, Introduced by Rep. Clemente and referred to the Committee on New Economy and Quality of Life.

 

     A bill to amend 1974 PA 198, entitled

 

"An act to provide for the establishment of plant rehabilitation

districts and industrial development districts in local

governmental units; to provide for the exemption from certain

taxes; to levy and collect a specific tax upon the owners of

certain facilities; to impose and provide for the disposition of an

administrative fee; to provide for the disposition of the tax; to

provide for the obtaining and transferring of an exemption

certificate and to prescribe the contents of those certificates; to

prescribe the powers and duties of the state tax commission and

certain officers of local governmental units; and to provide

penalties,"

 

by amending section 15 (MCL 207.565), as amended by 2008 PA 170.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 15. (1) Upon receipt of a request by certified mail to

 

the commission by the holder of an industrial facilities exemption

 

certificate requesting revocation of the certificate, the

 

commission shall by order revoke the certificate in whole or revoke

 


the certificate with respect to its real property component, or its

 

personal property component, whichever is requested.

 

     (2) The legislative body of a local governmental unit may by

 

resolution request the commission to revoke the industrial

 

facilities exemption certificate of a facility upon the grounds

 

that, except as provided in section 7a, completion of the

 

replacement facility or new facility has not occurred within 2

 

years after the effective date of the certificate, unless a greater

 

time has been authorized by the commission for good cause; that the

 

replacement, restoration, or construction of the facility has not

 

occurred within 6 years after the date the initial industrial

 

facilities exemption certificate was issued as provided in section

 

7a, unless a greater time has been authorized by the commission for

 

good cause; that completion of the speculative building has not

 

occurred within 2 years after the date the certificate was issued

 

except as provided in section 7a, unless a greater time has been

 

authorized by the commission for good cause; that a speculative

 

building for which a certificate has been issued but is not yet

 

effective has been used as other than a manufacturing facility;

 

that the certificate issued for a speculative building has not

 

become effective within 2 years after the December 31 following the

 

date the certificate was issued; or that the purposes for which the

 

certificate was issued are not being fulfilled as a result of a

 

failure of the holder to proceed in good faith with the

 

replacement, restoration, or construction and operation of the

 

replacement facility or new facility or with the use of the

 

speculative building as a manufacturing facility in a manner

 


consistent with the purposes of this act and in the absence of

 

circumstances that are beyond the control of the holder.

 

     (3) Upon receipt of the resolution, the commission shall give

 

notice in writing by certified mail to the holder of the

 

certificate, to the local legislative body, to the assessor of the

 

assessing unit, and to the legislative body of each local taxing

 

unit which levies taxes upon property in the local governmental

 

unit in which the facility is located. The commission shall afford

 

to the holder of the certificate, the local legislative body, the

 

assessor, and a representative of the legislative body of each

 

taxing unit an opportunity for a hearing. The commission shall by

 

order revoke the certificate if the commission finds that

 

completion except as provided in section 7a of the replacement

 

facility or new facility has not occurred within 2 years after the

 

effective date of the certificate or a greater time as authorized

 

by the commission for good cause; that completion of the

 

speculative building has not occurred within 2 years after the date

 

the certificate was issued except as provided in section 7a, unless

 

a greater time has been authorized by the commission for good

 

cause; that a speculative building for which a certificate has been

 

issued but is not yet effective has been used as other than a

 

manufacturing facility; that the certificate issued for a

 

speculative building has not become effective within 2 years after

 

the December 31 following the date the certificate was issued; or

 

that the holder of the certificate has not proceeded in good faith

 

with the replacement, restoration, or construction and operation of

 

the facility or with the use of the speculative building as a

 


manufacturing facility in good faith in a manner consistent with

 

the purposes of this act and in the absence of circumstances that

 

are beyond the control of the holder.

 

     (4) The order of the commission revoking the certificate shall

 

be effective on the December 31 next following the date of the

 

order and the commission shall send by certified mail copies of its

 

order of revocation to the holder of the certificate, to the local

 

legislative body, to the assessor of the assessing unit in which

 

the facility is located, and to the legislative body of each taxing

 

unit which levies taxes upon property in the local governmental

 

unit in which the facility is located.

 

     (5) A revocation of a certificate issued for a speculative

 

building shall specify and apply only to that portion of the

 

speculative building for which the grounds for revocation relate.

 

     (6) Notwithstanding any other provision of this act, upon the

 

written request of the holder of a revoked industrial facilities

 

exemption certificate to the local unit of government and the

 

commission or upon the application of a subsequent owner to the

 

local governing body to transfer the revoked industrial facilities

 

exemption certificate to a subsequent owner, and the submission to

 

the commission of a resolution of concurrence by the legislative

 

body of the local unit of government in which the facility is

 

located, and if the facility continues to qualify under this act,

 

the commission may reinstate a revoked industrial facilities

 

exemption certificate for the holder or a subsequent owner that has

 

applied for the transfer.