HB-6165, As Passed House, September 15, 2004

SUBSTITUTE FOR

HOUSE BILL NO. 6165

                                                                             A bill to amend 1985 PA 106, entitled                                             

"State convention facility development act,"                                

by amending section 9 (MCL 207.629), as amended by 1993 PA 58.              

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

1       Sec. 9.  (1) On or before the thirtieth day of each month,                  

2   the state treasurer shall make a distribution from the convention           

3   facility development fund to a qualified local governmental                 

4   unit.  The distribution shall be an amount equal to the sum of              

5   the collections from the excise tax levied for accommodations               

6   pursuant to under this act for the previous month from the                

7   convention hotels in the county in which the convention facility            

8   is or is to be located and in any county in which convention                

9   hotels are located that is contiguous to the county in which the            

10  convention facility is located, or is to be located, and the                

11  additional  liquor  tax  received pursuant to the tourism and               

1   convention facility promotion tax act, Act No. 107 of the Public            

2   Acts of 1985, being sections 436.141 to 436.148 of the Michigan             

3   Compiled Laws imposed under section 1207 of the Michigan liquor            

4   control code of 1998, 1998 PA 58, MCL 436.2207, for the previous            

5   month received in the fund.  However, distributions for any state           

6   fiscal year to any qualified local governmental unit shall not              

7   exceed an amount equal to the amount pledged, assigned, or                  

8   dedicated by the qualified local governmental unit pursuant to              

9   section 11 for the payment during that state fiscal year of                 

10  bonds, obligations, or other evidences of indebtedness incurred             

11  for the purposes specified in this act, plus any amount necessary           

12  to maintain a fully funded debt reserve or other reserves                   

13  intended to secure the principal and interest on the bonds,                 

14  obligations, or other evidences of indebtedness as contained in             

15  the resolution or ordinance authorizing their issuance.                     

16      (2) Notwithstanding the distributions provided by subsection                

17  (1), if a local governmental unit becomes a qualified local                 

18  governmental unit entitled to receive distributions from the tax            

19  imposed  by the tourism and convention facility promotion tax               

20  act, Act No. 107 of the Public Acts of 1985 under section 1207             

21  of the Michigan liquor control code of 1998, 1998 PA 58, MCL                

22  436.2207, or from the tax imposed by this act in counties in                

23  which the convention facility is located or in a county in which            

24  a convention hotel is located that is contiguous to the county in           

25  which the convention facility is located, no other qualified                

26  local governmental unit is entitled to distributions pursuant to            

27  this section for which that qualified local governmental unit has           

1   previously become entitled.                                                 

2       (3) As used in this act, "qualified local governmental unit"                

3   means a city, village, township, county, or authority that is               

4   located in a county in which convention hotels are located and              

5   that either is the owner or lessee of a convention facility with            

6   350,000 square feet or more of total exhibit space on July 30,              

7   1985 or, if such a convention facility does not exist, will be              

8   the owner or lessee of a convention facility with 350,000 square            

9   feet or more of total exhibit space through the application of              

10  distributions under this section to the purchase or lease of a              

11  convention facility.                                                        

12  (4) Notwithstanding any other provision of this act, after                  

13  the distributions under subsection (1), and before any                      

14  distributions under section 10, for fiscal year 2004-2005 only,             

15  $1,075,000.00 shall be distributed to the state sports tourism              

16  fund.                                                                       

17      (5) The state sports tourism fund is created within the state               

18  treasury.                                                                   

19      (6) The state treasurer may receive money or other assets                   

20  from any source for deposit into the state sports tourism fund.             

21  The state treasurer shall direct the investment of the state                

22  sports tourism fund.  The state treasurer shall credit to the               

23  state sports tourism fund interest and earnings from the state              

24  sports tourism fund investments.                                            

25      (7) Money in the state sports tourism fund at the close of                  

26  the fiscal year shall remain in the state sports tourism fund and           

27  shall not lapse to the general fund.  However, money remaining in           

1   the fund on September 30, 2006, shall lapse to the convention               

2   facility development fund.                                                  

3       (8) The department of treasury shall expend money from the                  

4   state sports tourism fund, upon appropriation, only for grants to           

5   Super Bowl XL host committee functions related to hosting,                  

6   staging, or execution of Super Bowl XL activities or to reimburse           

7   a county not more than $500,000.00 for contributions or grants              

8   already made to the Super Bowl XL host committee for functions              

9   related to hosting, staging, or execution of Super Bowl XL                  

10  activities.  Money shall not be distributed to the state sports             

11  tourism fund that impairs obligations, bonds, or other evidences            

12  of indebtedness issued under this act.