SB-1064, As Passed Senate, November 29, 2016
September 7, 2016, Introduced by Senators MACGREGOR, HORN, STAMAS, BIEDA, BRANDENBURG, KNEZEK, WARREN, HERTEL, YOUNG, SCHMIDT, KOWALL, ZORN and JONES and referred to the Committee on Economic Development and International Investment.
A bill to amend 1937 PA 94, entitled
"Use tax act,"
by amending section 21 (MCL 205.111), as amended by 2015 PA 263.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
21. (1) Except as provided in subsections (2), (3), (4),
and
(5), otherwise provided in
this section, all money received and
collected under this act shall be deposited by the department of
treasury in the state treasury to the credit of the general fund,
to be disbursed only by appropriations by the legislature.
(2) The collections from the use tax imposed at the additional
rate of 2% approved by the electors March 15, 1994 shall be
deposited in the state school aid fund established in section 11 of
article IX of the state constitution of 1963.
(3) From the money received and collected under this act for
the state share, an amount equal to all revenue lost under the
state education tax act, 1993 PA 331, MCL 211.901 to 211.906, and
all revenue lost from basic school operating mills as a result of
the exemption of personal property under sections 9m, 9n, and 9o of
the general property tax act, 1893 PA 206, MCL 211.9m, 211.9n, and
211.9o, as determined by the department, shall be deposited into
the state school aid fund established by section 11 of article IX
of the state constitution of 1963. Funds deposited into the state
school aid fund under this subsection shall not include the portion
of the state share of the use tax imposed at the additional rate of
2% approved by the electors of this state on March 15, 1994 and
dedicated for aid to schools under subsection (2).
(4) Money received and collected under this act for the local
community stabilization share is not state funds, shall not be
credited to the state treasury, and shall be transmitted to the
authority for deposit in the treasury of the authority, to be
disbursed by the authority only as authorized under the local
community stabilization authority act. The local community
stabilization share is a local tax, not a state tax, and money
received and collected for the local community stabilization share
is money of the authority and not money of this state.
(5) Beginning October 1, 2016 and the first day of each
calendar quarter thereafter, from the money received and collected
under this act for the state share, an amount equal to the
collections for the calendar quarter that is 2 calendar quarters
immediately preceding the current calendar quarter of the tax
imposed under this act at the additional rate of 2% approved by the
electors on March 15, 1994 from the use, storage, or consumption of
aviation fuel shall be distributed as follows:
(a) An amount equal to 35% of the collections of the tax
imposed at a rate of 2% on the use, storage, or consumption of
aviation fuel shall be deposited in the state aeronautics fund and
shall be expended, on appropriation, only for those purposes
authorized in the aeronautics code of the state of Michigan, 1945
PA 327, MCL 259.1 to 259.208.
(b) An amount equal to 65% of the collections of the tax
imposed at a rate of 2% on the use, storage, or consumption of
aviation fuel shall be deposited in the qualified airport fund and
shall be expended, on appropriation, only for those purposes
authorized under section 35 of the aeronautics code of the state of
Michigan, 1945 PA 327, MCL 259.35.
(6) From the money received and collected under this act for
the state share, an amount equal to the use tax portion of the
sales and use tax capture revenues attributable to transformational
brownfield plans adopted under the brownfield redevelopment
financing act, 1996 PA 381, MCL 125.2651 to 125.2672, shall be
deposited each state fiscal year into the state brownfield
redevelopment fund created in section 8a of the brownfield
redevelopment financing act, 1996 PA 381, MCL 125.2658a.
(7) (6)
The department shall, on an annual
basis, reconcile
the amounts distributed under subsection (5) during each fiscal
year with the amounts actually collected for a particular fiscal
year and shall make any necessary adjustments, positive or
negative, to the amounts to be distributed for the next successive
calendar quarter that begins January 1. The state treasurer or his
or her designee shall annually provide to the operator of each
qualified airport a report of the reconciliation performed under
this subsection. The reconciliation report is subject to the
confidentiality restrictions and penalties provided in section
28(1)(f) of 1941 PA 122, MCL 205.28.
(8) (7)
As used in this section:
(a) "Aviation fuel" means fuel as that term is defined in
section 4 of the aeronautics code of the state of Michigan, 1945 PA
327, MCL 259.4.
(b) "Qualified airport" means that term as defined in section
109 of the aeronautics code of the state of Michigan, 1945 PA 327,
MCL 259.109.
(c) "Qualified airport fund" means the qualified airport fund
created in section 34(2) of the aeronautics code of the state of
Michigan, 1945 PA 327, MCL 259.34.
(d) "Sales and use tax capture revenues" means that term as
defined in section 2 of the brownfield redevelopment financing act,
1996 PA 381, MCL 125.2652.
(e) (d)
"State aeronautics fund"
means the state aeronautics
fund created in section 34(1) of the aeronautics code of the state
of Michigan, 1945 PA 327, MCL 259.34.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No.____ or House Bill No.____ (request no.
06100'16) of the 98th Legislature is enacted into law.