HOUSE JOINT RESOLUTION U


     June 20, 2000, Introduced by Rep. Richner and referred to the Committee on Constitutional Law and Ethics.


        A joint resolution proposing an amendment to the state con-

   stitution of 1963, by amending section 31 of article IX, to

   require that local tax increases be approved by not less than

   one-third of the qualified electors of a unit of local

   government.

        Resolved by the Senate and House of Representatives of the

   state of Michigan, That the following amendment to the state con-

   stitution of 1963, to require that local tax increases be

   approved by not less than one-third of the qualified electors of

   a unit of local government, is proposed, agreed to, and submitted

   to the people of the state:

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                                  ARTICLE IX

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           Sec. 31.  Units of Local Government are hereby prohibited

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      from levying any tax not authorized by law or charter when this

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      section is ratified or from increasing the rate of an existing


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      tax above that rate authorized by law or charter when this

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      section is ratified, without the approval of a majority of the

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      qualified electors of that unit of Local Government voting

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      thereon, WHICH MAJORITY SHALL CONSTITUTE NOT LESS THAN ONE-THIRD

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      OF THE QUALIFIED ELECTORS OF THAT UNIT OF LOCAL GOVERNMENT.  If

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      the definition of the base of an existing tax is broadened, the

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      maximum authorized rate of taxation on the new base in each unit

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      of Local Government shall be reduced to yield the same estimated

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      gross revenue as on the prior base.  If the assessed valuation of

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      property as finally equalized, excluding the value of new con-

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      struction and improvements, increases by a larger percentage than

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      the increase in the General Price Level from the previous year,

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      the maximum authorized rate applied thereto in each unit of Local

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      Government shall be reduced to yield the same gross revenue from

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      existing property, adjusted for changes in the General Price

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      Level, as could have been collected at the existing authorized

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      rate on the prior assessed value.

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           The limitations of this section shall not apply to taxes

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      imposed for the payment of principal and interest on bonds or

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      other evidence of indebtedness or for the payment of assessments

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      on contract obligations in anticipation of which bonds are issued

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      which were authorized prior to the effective date of this

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      amendment.

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           Resolved further, That the foregoing amendment shall be sub-

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      mitted to the people of the state at the next general election in

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      the manner provided by law.





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