September 6, 2007, Introduced by Reps. Amos, Sheltrown and Rick Jones and referred to the Committee on New Economy and Quality of Life.
A bill to amend 1980 PA 450, entitled
"The tax increment finance authority act,"
by amending section 3 (MCL 125.1803), as amended by 2005 PA 14.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 3. (1) If the governing body of a municipality determines
that it is in the best interests of the public to halt a decline in
property values, increase property tax valuation, eliminate the
causes of the decline in property values, and to promote growth in
an area in the municipality, the governing body of that
municipality may declare by resolution its intention to create and
provide for the operation of an authority.
(2) In the resolution of intent, the governing body shall set
a date for the holding of a public hearing on the adoption of a
proposed resolution creating the authority and designating the
boundaries of the authority district. Notice of the public hearing
shall be published twice in a newspaper of general circulation in
the municipality, not less than 20 nor more than 40 days before the
date of the hearing. Notice shall also be mailed to the property
taxpayers of record in the proposed authority district not less
than 20 days before the hearing. Beginning June 1, 2005, the notice
of hearing within the time frame described in this subsection shall
be mailed by certified mail to the governing body of each taxing
jurisdiction levying taxes that would be subject to capture if the
authority is established and a tax increment financing plan is
approved. Failure to receive the notice shall not invalidate these
proceedings. The notice shall state the date, time, and place of
the hearing, and shall describe the boundaries of the proposed
authority district. At that hearing, a citizen, taxpayer, or
property owner of the municipality has the right to be heard in
regard to the establishment of the authority and the boundaries of
the proposed authority district. The governing body of the
municipality shall not incorporate land into the authority district
not included in the description contained in the notice of public
hearing, but it may eliminate described lands from the authority
district in the final determination of the boundaries.
(3) After the public hearing, if the governing body intends to
proceed with the establishment of the authority, it shall adopt, by
majority vote of its members, a resolution establishing the
authority and designating the boundaries of the authority district
within which the authority shall exercise its powers. The adoption
of the resolution is subject to any applicable statutory or charter
provisions with respect to the approval or disapproval by the chief
executive or other officer of the municipality and the adoption of
a resolution over his or her veto. This resolution shall be filed
with the secretary of state promptly after its adoption and shall
be published at least once in a newspaper of general circulation in
the municipality.
(4) The governing body may alter or amend the boundaries of
the authority district to include or exclude lands from the
authority district in accordance with the same requirements
prescribed for adopting the resolution creating the authority.
(5) The validity of the proceedings establishing an authority
shall be conclusive unless contested in a court of competent
jurisdiction within 60 days after the last of the following takes
place:
(a) Publication of the resolution as adopted.
(b) Filing of the resolution with the secretary of state.
(6) Beginning with a public hearing held on or after January
1, 2008 by a governing body to create an authority or alter or
amend its boundaries, if the governing body creates the authority
or alters or amends its boundaries, then only the ad valorem
property taxes of that municipality are subject to capture under
this act. The taxes of the other taxing jurisdictions levying ad
valorem property taxes located inside the boundaries of the
authority are subject to capture only if the governing body of the
taxing jurisdiction consents to the capture by adopting a
resolution to that effect and filing a copy with the clerk of the
municipality creating or altering or amending the boundaries of the
authority. A resolution described in this subsection takes effect
when filed with that clerk and remains effective until a copy of a
resolution rescinding that resolution is filed with that clerk.