HOUSE BILL No. 6165

 

September 9, 2004, Introduced by Reps. Ward, Amos, Stakoe, Meisner, Taub, Phillips, Farrah and Gaffney and referred to the Committee on Local Government and Urban Policy.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 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  Except as otherwise provided by subsections (4),               

                                                                                

5   (5), and (6), the distribution shall be an amount equal to the              

                                                                                

6   sum of the collections from the excise tax levied for                       

                                                                                

7   accommodations  pursuant to  under this act for the previous                

                                                                                

8   month from the convention hotels in the county in which the                 

                                                                                

9   convention facility is or is to be located and in any county in             

                                                                                

10  which convention hotels are located that is contiguous to the               

                                                                                

11  county in which the convention facility is located, or is to be             

                                                                                


                                                                                

1   located, and the additional  liquor  tax  received pursuant to              

                                                                                

2   the tourism and convention facility promotion tax act, Act                  

                                                                                

3   No. 107 of the Public Acts of 1985, being sections 436.141 to               

                                                                                

4   436.148 of the Michigan Compiled Laws  imposed under section 1207           

                                                                                

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

                                                                                

6   436.2207, for the previous month received in the fund.  However,            

                                                                                

7   distributions for any state fiscal year to any qualified local              

                                                                                

8   governmental unit shall not exceed an amount equal to the amount            

                                                                                

9   pledged, assigned, or dedicated by the qualified local                      

                                                                                

10  governmental unit pursuant to section 11 for the payment during             

                                                                                

11  that state fiscal year of bonds, obligations, or other evidences            

                                                                                

12  of indebtedness incurred for the purposes specified in this act,            

                                                                                

13  plus any amount necessary to maintain a fully funded debt reserve           

                                                                                

14  or other reserves intended to secure the principal and interest             

                                                                                

15  on the bonds, obligations, or other evidences of indebtedness as            

                                                                                

16  contained in the resolution or ordinance authorizing their                  

                                                                                

17  issuance.                                                                   

                                                                                

18      (2) Notwithstanding the distributions provided by subsection                

                                                                                

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

                                                                                

20  governmental unit entitled to receive distributions from the tax            

                                                                                

21  imposed  by the tourism and convention facility promotion tax               

                                                                                

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

                                                                                

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

                                                                                

24  436.2207, or from the tax imposed by this act in counties in                

                                                                                

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

                                                                                

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

                                                                                

27  which the convention facility is located, no other qualified                


                                                                                

1   local governmental unit is entitled to distributions pursuant to            

                                                                                

2   this section for which that qualified local governmental unit has           

                                                                                

3   previously become entitled.                                                 

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

8   350,000 square feet or more of total exhibit space on July 30,              

                                                                                

9   1985 or, if such a convention facility does not exist, will be              

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

13  convention facility.                                                        

                                                                                

14      (4) The first $500,000.00 of excise taxes levied for the                    

                                                                                

15  month of September 2004 from convention hotels located in a                 

                                                                                

16  county in which convention hotels are located with a population             

                                                                                

17  greater than 1,000,000 and less than 2,000,000 shall be                     

                                                                                

18  distributed to the state sports tourism fund.  This subsection              

                                                                                

19  shall apply only to the first $500,000.00 in excise taxes                   

                                                                                

20  collected for September 2004, after which distributions shall be            

                                                                                

21  made pursuant to subsection (1).                                            

                                                                                

22      (5) The first $500,000.00 of excise taxes levied for the                    

                                                                                

23  month of September 2004 from convention hotels located in a                 

                                                                                

24  county in which a convention facility and convention hotels are             

                                                                                

25  located, shall be distributed to the state sports tourism fund.             

                                                                                

26  This subsection shall apply only to the first $500,000.00 in                

                                                                                

27  excise taxes collected for September 2004, after which                      


                                                                                

1   distributions shall be made pursuant to subsection (1).                     

                                                                                

2       (6) The first $75,000.00 of excise taxes levied for the month               

                                                                                

3   of September 2004 from convention hotels located in a county in             

                                                                                

4   which convention hotels are located with a population of greater            

                                                                                

5   than 700,000 and less than 1,000,000 shall be distributed to the            

                                                                                

6   state sports tourism fund.  This subsection shall apply only to             

                                                                                

7   the first $75,000.00 in excise taxes collected for September                

                                                                                

8   2004, after which distributions shall be made pursuant to                   

                                                                                

9   subsection (1).                                                             

                                                                                

10      (7) The state sports tourism fund is created within the state               

                                                                                

11  treasury.                                                                   

                                                                                

12      (8) The state treasurer may receive money or other assets                   

                                                                                

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

                                                                                

14  The state treasurer shall direct the investment of the state                

                                                                                

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

                                                                                

16  state sports tourism fund interest and earnings from the state              

                                                                                

17  sports tourism fund investments.                                            

                                                                                

18      (9) Money in the state sports tourism fund at the close of                  

                                                                                

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

                                                                                

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

                                                                                

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

                                                                                

22  facility development fund.                                                  

                                                                                

23      (10) The department of treasury shall expend money from the                 

                                                                                

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

                                                                                

25  Super Bowl XL host committee functions related to hosting,                  

                                                                                

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

                                                                                

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


                                                                                

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

                                                                                

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

                                                                                

3   activities.  Money distributed to the state sports tourism fund             

                                                                                

4   shall not impair obligations, bonds, or other evidences of                  

                                                                                

5   indebtedness issued under this act.