SENATE BILL No. 117

 

 

February 1, 2005, Introduced by Senator SWITALSKI and referred to the Committee on Economic Development, Small Business and Regulatory Reform.

 

 

 

     A bill to amend 1992 PA 147, entitled

 

"Neighborhood enterprise zone act,"

 

by amending section 2 (MCL 207.772), as amended by 2004 PA 396.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 2. As used in this act:

 

     (a) "Commission" means the state tax commission created by

 

1927 PA 360, MCL 209.101 to 209.107.

 

     (b) "Condominium unit" means that portion of a structure

 

intended for separate ownership, intended for residential use, and

 

established pursuant to the condominium act, 1978 PA 59, MCL

 

559.101 to 559.276. Condominium units within a qualified historic

 

building may be held under common ownership.

 

     (c) "Developer" means a person who is the owner of a new

 

facility at the time of construction or of a rehabilitated facility


 

at the time of rehabilitation for which a neighborhood enterprise

 

zone certificate is applied for or issued.

 

     (d) "Local governmental unit" means a qualified local

 

governmental unit as that term is defined under section 2 of the

 

obsolete property rehabilitation act, 2000 PA 146, MCL 125.2782, or

 

a city adjoining a qualified local governmental unit as that term

 

is defined under section 2 of the obsolete property rehabilitation

 

act, 2000 PA 146, MCL 125.2782.

 

     (e) "New facility" means a new structure or a portion of a new

 

structure that has as its primary purpose residential housing

 

consisting of 1 or 2 units, 1 of which is or will be occupied by an

 

owner as his or her principal residence. New facility includes a

 

model home or a model condominium unit. New facility includes a new

 

individual condominium unit, in a structure with 1 or more

 

condominium units, that has as its primary purpose residential

 

housing and that is or will be occupied by an owner as his or her

 

principal residence. New facility does not include apartments.

 

     (f) "Neighborhood enterprise zone certificate" or

 

"certificate" means a certificate issued pursuant to sections 4, 5,

 

and 6.

 

     (g) "Owner" means the record title holder of, or the vendee of

 

the original land contract pertaining to, a new facility or a

 

rehabilitated facility for which a neighborhood enterprise zone

 

certificate is applied for or issued.

 

     (h) "Qualified historic building" means a property within a

 

neighborhood enterprise zone that has been designated a historic

 

resource as defined under section 266 of the income tax act of


 

1967, 1967 PA 281, MCL 206.266.

 

     (i) "Rehabilitated facility" means an existing structure or a

 

portion of an existing structure with a current true cash value of

 

$80,000.00 or less per unit that has or will have as its primary

 

purpose residential housing, consisting of 1 to 8 units, the owner

 

of which proposes improvements that if done by a licensed

 

contractor would cost in excess of $5,000.00 per owner-occupied

 

unit or 50% of the true cash value, whichever is less, or $7,500.00

 

per nonowner-occupied unit or 50% of the true cash value, whichever

 

is less, or the owner proposes improvements that would be done by

 

the owner and not a licensed contractor and the cost of the

 

materials would be in excess of $3,000.00 per owner-occupied unit

 

or $4,500.00 per nonowner-occupied unit and will bring the

 

structure into conformance with minimum local building code

 

standards for occupancy or improve the livability of the units

 

while meeting minimum local building code standards. Rehabilitated

 

facility also includes an individual condominium unit, in a

 

structure with 1 or more condominium units that has as its primary

 

purpose residential housing, the owner of which proposes the above

 

described improvements. Rehabilitated facility also includes

 

existing or proposed condominium units in a qualified historic

 

building with 1 or more existing or proposed condominium units.

 

Rehabilitated facility does not include a facility rehabilitated

 

with the proceeds of an insurance policy for property or casualty

 

loss. A qualified historic building may contain multiple

 

rehabilitated facilities.