HOUSE JOINT RESOLUTION S

 

December 30, 2003, Introduced by Rep. Jamnick and referred to the Committee on Tax Policy.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A joint resolution proposing an amendment to the state                            

                                                                                

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

                                                                                

    revise the criteria for determining whether millage rollbacks               

                                                                                

    will occur.                                                                 

                                                                                

        Resolved by the Senate and House of Representatives of the                  

                                                                                

    state of Michigan, That the following amendment to the state                

                                                                                

    constitution of 1963, to revise the criteria for determining                

                                                                                

    whether millage rollbacks will occur, is proposed, agreed to, and           

                                                                                

    submitted to the people of the state:                                       

                                                                                

1                               ARTICLE IX                                      

                                                                                

2       Sec. 31.  Units of Local Government are hereby prohibited                   

                                                                                

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

                                                                                

4   section is ratified or from increasing the rate of an existing              

                                                                                

5   tax above that rate authorized by law or charter when this                  

                                                                                

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

                                                                                


                                                                                

1   qualified electors of that unit of Local Government voting                  

                                                                                

2   thereon.  If the definition of the base of an existing tax is               

                                                                                

3   broadened, the maximum authorized rate of taxation on the new               

                                                                                

4   base in each unit of Local Government shall be reduced to yield             

                                                                                

5   the same estimated gross revenue as on the prior base.  If the              

                                                                                

6   assessed valuation of property as finally equalized, excluding              

                                                                                

7   the value of new construction,  and  improvements, and the                  

                                                                                

8   increase in assessed valuation due to the transfer of ownership             

                                                                                

9   of property as provided in section 3 of this article, increases             

                                                                                

10  by a larger percentage than the increase in the General Price               

                                                                                

11  Level from the previous year, the maximum authorized rate applied           

                                                                                

12  thereto in each unit of Local Government shall be reduced to                

                                                                                

13  yield the same gross revenue from existing property, adjusted for           

                                                                                

14  changes in the General Price Level, as could have been collected            

                                                                                

15  at the existing authorized rate on the prior assessed value.                

                                                                                

16      The limitations of this section shall not apply to taxes                    

                                                                                

17  imposed for the payment of principal and interest on bonds or               

                                                                                

18  other evidence of indebtedness or for the payment of assessments            

                                                                                

19  on contract obligations in anticipation of which bonds are issued           

                                                                                

20  which were authorized prior to the effective date of this                   

                                                                                

21  amendment.                                                                  

                                                                                

22      Resolved further, That the foregoing amendment shall be                     

                                                                                

23  submitted to the people of the state at the next general election           

                                                                                

24  in the manner provided by law.