SB-0975, As Passed House, June 25, 2008

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

SENATE BILL NO. 975

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1992 PA 147, entitled

 

"Neighborhood enterprise zone act,"

 

by amending section 3 (MCL 207.773), as amended by 2005 PA 339.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3. (1) The governing body of a local governmental unit by

 

resolution may designate 1 or more neighborhood enterprise zones

 

within that local governmental unit. A Except as otherwise provided

 

in this subsection, a neighborhood enterprise zone shall contain

 

not less than 10 platted parcels of land. A neighborhood enterprise

 

zone located in a qualified downtown revitalization district may

 

contain less than 10 platted parcels if the platted parcels

 

together contain 10 or more facilities. All the land within a

 

neighborhood enterprise zone shall also be compact and contiguous.

 

Contiguity is not broken by a road, right-of-way, or property

 

purchased or taken under condemnation if the purchased or condemned

 

property was a single parcel prior to the sale or condemnation.


 

     (2) The total acreage of the neighborhood enterprise zones

 

containing only new facilities or rehabilitated facilities or any

 

combination of new facilities or rehabilitated facilities

 

designated under this act shall not exceed 15% of the total acreage

 

contained within the boundaries of the local governmental unit. The

 

total acreage of the neighborhood enterprise zones containing only

 

homestead facilities designated under this act shall not exceed 10%

 

of the total acreage contained within the boundaries of the local

 

governmental unit or, with the approval of the board of

 

commissioners of the county in which the neighborhood enterprise

 

zone is located if the county does not have an elected or appointed

 

county executive or with the approval of the board of commissioners

 

and the county executive of the county in which the neighborhood

 

enterprise zone is located if the county has an elected or

 

appointed county executive, 15% of the total acreage contained

 

within the boundaries of the local governmental unit.

 

     (3) Not less than 60 days before the passage of a resolution

 

designating a neighborhood enterprise zone or the repeal or

 

amendment of a resolution under subsection (5), the clerk of the

 

local governmental unit shall give written notice to the assessor

 

and to the governing body of each taxing unit that levies ad

 

valorem property taxes in the proposed neighborhood enterprise

 

zone. Before acting upon the resolution, the governing body of the

 

local governmental unit shall make a finding that a proposed

 

neighborhood enterprise zone is consistent with the master plan of

 

the local governmental unit and the neighborhood preservation and

 

economic development goals of the local governmental unit. The


 

governing body before acting upon the resolution shall also adopt a

 

statement of the local governmental unit's goals, objectives, and

 

policies relative to the maintenance, preservation, improvement,

 

and development of housing for all persons regardless of income

 

level living within the proposed neighborhood enterprise zone.

 

Additionally, before acting upon the resolution, the governing body

 

of a local governmental unit with a population greater than 20,000

 

shall pass a housing inspection ordinance. A local governmental

 

unit with a population of 20,000 or less may pass a housing

 

inspection ordinance. Before the sale of a unit in a new or

 

rehabilitated facility for which a neighborhood enterprise zone

 

certificate is in effect, an inspection shall be made of the unit

 

to determine compliance with any local construction or safety codes

 

and that a sale may not be finalized until there is compliance with

 

those local construction or safety codes. The governing body shall

 

hold a public hearing not later than 45 days after the date the

 

notice is sent but before acting upon the resolution.

 

     (4) Upon receipt of a notice under subsection (3), the

 

assessor shall determine and furnish to the governing body of the

 

local governmental unit the amount of the true cash value of the

 

property located within the proposed neighborhood enterprise zone

 

and any other information considered necessary by the governing

 

body.

 

     (5) A resolution designating a neighborhood enterprise zone,

 

other than a zone designated under subsection (2), may be repealed

 

or amended not sooner than 3 years after the date of adoption or of

 

the most recent amendment of the resolution by the governing body


Senate Bill No. 975 (S-1) as amended June 25, 2008

of the local governmental unit. The repeal or amendment of the

 

resolution shall take effect 6 months after adoption. However, an

 

action taken under this subsection does not invalidate a

 

certificate that is issued or in effect and a facility for which a

 

certificate is issued or in effect shall continue to be included in

 

the total acreage limitations under this section until the

 

certificate is expired or revoked.

 

     [(6) Upon passage, amendment, or repeal of a resolution under

 

this section, the clerk of the local governmental unit shall notify

 

the commission of the action taken.

     (6) A RESOLUTION DESIGNATING A NEIGHBORHOOD ENTERPRISE ZONE IN AN OBSOLETE PROPERTY REHABILITATION DISTRICT THAT WAS CREATED BY A LOCAL UNIT OF GOVERNMENT ON JUNE 6, 2003, AND FOR WHICH THE STATE TAX COMMISSION ISSUED OBSOLETE PROPERTY REHABILITATION CERTIFICATES ON AUGUST 26, 2003, AND SEPTEMBER 24, 2003 WILL CAUSE ANY PREVIOUS CERTIFICATE TO EXPIRE ON THE DECEMBER 30 IMMEDIATELY PRECEDING THE DECEMBER 31 ON WHICH THE FIRST NEIGHBORHOOD ENTERPRISE ZONE CERTIFICATE IS EFFECTIVE.  THE TAXABLE VALUE OF THE PARCEL SHALL BE CALCULATED USING THE VALUE OF THE PARCEL BEFORE THE BUILDING PERMIT WAS ISSUED.  THIS SUBDIVISION AUTHORIZES AN AMENDED OBSOLETE PROPERTY REHABILITATION CERTIFICATE APPROVED BY THE STATE TAX COMMISSION FOR THE PORTION OF THE PARCEL CONTAINED IN THE ORIGINAL CERTIFICATE FOR WHICH AN APPLICATION FOR A NEIGHBORHOOD ENTERPRISE ZONE CERTIFICATE WAS NOT SUBMITTED.]