ROWNFIELD REDEVELOPMENT: 

ABANDONED LANDFILLS

House Bill 5206

Sponsor:  Rep. James Koetje

Committee:  Land Use and Environment

Complete to 3-8-04

A SUMMARY OF HOUSE BILL 5206 AS INTRODUCED 10-29-03

House Bill 5206 would amend the Obsolete Property Rehabilitation Act to amend the definition of “qualified local governmental unit” so that the term would include a city that contains or has within its borders a landfill of 140 or more contiguous acres that is no longer in operation.  The definition being amended by the bill is referred to in various other statutes dealing with the state’s brownfield redevelopment program, which contains a number of single business tax credits, tax increment financing arrangements, and property tax abatements.

Currently the law defines “qualified local governmental unit” to mean one or more of several types of cities, townships, or villages based on population, low median incomes, distressed areas, or low overall increases in the state equalized valuation of real and personal property.  House Bill 5206 would retain these elements of the definition.

The bill also contains a technical amendment to the definition of “commercial property” to acknowledge a recent amendment to the General Property Tax Act.

MCL 125.2782

FISCAL IMPACT:

The bill would have no fiscal impact on the state.  Local governments may receive additional grant funding for brownfield redevelopment if the amended definitions included in this bill are made into law.

                                                                          Legislative Analyst:  J. Hunault  

                                                                           Fiscal Analyst:  Kirk Lindquist  

This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.