HOUSE BILL No. 6349

 

July 23, 2008, Introduced by Reps. Proos, Hildenbrand, Hansen, Booher, Garfield, Acciavatti, Marleau, Palmer, Schuitmaker, Casperson, LaJoy, Elsenheimer, Horn, Meekhof, Stahl, Shaffer, Agema, Opsommer, Robertson, Walker, Caul, Nofs, Caswell, Nitz, Knollenberg and Moolenaar and referred to the Committee on Commerce.

 

     A bill to amend 1996 PA 376, entitled

 

"Michigan renaissance zone act,"

 

by amending sections 3 and 8a (MCL 125.2683 and 125.2688a), section

 

3 as amended by 2008 PA 117 and section 8a as amended by 2008 PA

 

116.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 3. As used in this act:

 

     (a) "Agricultural processing facility" means 1 or more

 

facilities or operations that transform, package, sort, or grade

 

livestock or livestock products, agricultural commodities, or

 

plants or plant products, excluding forest products, into goods

 

that are used for intermediate or final consumption including goods

 

for nonfood use, and surrounding property.

 


     (b) "Board" means the state administrative board created in

 

1921 PA 2, MCL 17.1 to 17.3.

 

     (c) "Development plan" means a written plan that addresses the

 

criteria in section 7 and includes all of the following:

 

     (i) A map of the proposed renaissance zone that indicates the

 

geographic boundaries, the total area, and the present use and

 

conditions generally of the land and structures within those

 

boundaries.

 

     (ii) Evidence of community support and commitment from

 

residential and business interests.

 

     (iii) A description of the methods proposed to increase economic

 

opportunity and expansion, facilitate infrastructure improvement,

 

and identify job training opportunities.

 

     (iv) Current social, economic, and demographic characteristics

 

of the proposed renaissance zone and anticipated improvements in

 

education, health, human services, public safety, and employment if

 

the renaissance zone is created.

 

     (v) Any other information required by the board.

 

     (d) "Elected county executive" means the elected county

 

executive in a county organized under 1966 PA 293, MCL 45.501 to

 

45.521, or 1973 PA 139, MCL 45.551 to 45.573.

 

     (e) "Forest products processing facility" means 1 or more

 

facilities or operations that transform, package, sort, recycle, or

 

grade forest or paper products into goods that are used for

 

intermediate or final use or consumption or for the creation of

 

biomass or alternative fuels through the utilization of forest

 

products or forest residue, and surrounding property. Forest

 


products processing facility does not include an existing facility

 

or operation that is located in this state that relocates to a

 

renaissance zone for a forest products processing facility. Forest

 

products processing facility does not include a facility or

 

operation that engages primarily in retail sales.

 

     (f) "Local governmental unit" means a county, city, village,

 

or township.

 

     (g) "Oil production and transmission facility" means a

 

facility that converts crude oil into commercial products or a

 

facility that distributes 1 or more commercial products made from

 

crude oil.

 

     (h) (g) "Person" means an individual, partnership,

 

corporation, association, limited liability company, governmental

 

entity, or other legal entity.

 

     (i) (h) "Qualified local governmental unit" means either of

 

the following:

 

     (i) A county.

 

     (ii) A city, village, or township that contains an eligible

 

distressed area as defined in section 11 of the state housing

 

development authority act of 1966, 1966 PA 346, MCL 125.1411.

 

     (j) (i) "Recovery zone" means a tool and die renaissance

 

recovery zone created in section 8d.

 

     (k) (j) "Renaissance zone" means a geographic area designated

 

under this act.

 

     (l) (k) "Renewable energy facility" means a system that creates

 

energy from a process using agricultural crops or processed

 

products from agricultural crops; residues from agricultural

 


products, forest products, paper products industries, and food

 

production and processing; trees and grasses grown specifically to

 

be used as energy crops; and gaseous fuels produced from solid

 

biomass, animal wastes, or landfills.

 

     (m) (l) "Residential rental property" means that term as

 

defined in section 7ff of the general property tax act, 1893 PA

 

206, MCL 211.7ff.

 

     (n) (m) "Review board" means the renaissance zone review board

 

created in section 5.

 

     (o) (n) "Rural area" means an area that lies outside of the

 

boundaries of an urban area.

 

     (p) (o) "Urban area" means an urbanized area as determined by

 

the economics and statistics administration, United States bureau

 

of the census according to the 1990 census.

 

     Sec. 8a. (1) Except as provided in subsections (2), (3), and

 

(4), the board shall not designate more than 9 additional

 

renaissance zones within this state under this section. Not more

 

than 6 of the renaissance zones shall be located in urban areas and

 

not more than 5 of the renaissance zones shall be located in rural

 

areas. For purposes of determining whether a renaissance zone is

 

located in an urban area or rural area under this section, if any

 

part of a renaissance zone is located within an urban area, the

 

entire renaissance zone shall be considered to be located in an

 

urban area.

 

     (2) The board of the Michigan strategic fund described in

 

section 4 of the Michigan strategic fund act, 1984 PA 270, MCL

 

125.2004, may designate not more than 17 18 additional renaissance

 


zones within this state in 1 or more cities, villages, or townships

 

if that city, village, or township or combination of cities,

 

villages, or townships consents to the creation of a renaissance

 

zone within their boundaries. The board of the Michigan strategic

 

fund may designate not more than 1 of the 17 18 additional

 

renaissance zones described in this subsection as an alternative

 

energy zone. An alternative energy zone shall promote and increase

 

the research, development, testing, and manufacturing of

 

alternative energy technology, alternative energy systems, and

 

alternative energy vehicles, as those terms are defined in the

 

Michigan next energy authority act, 2002 PA 593, MCL 207.821 to

 

207.827. An alternative energy zone shall have a duration of

 

renaissance zone status for a period not to exceed 20 years as

 

determined by the board of the Michigan strategic fund. The board

 

of the Michigan strategic fund may designate not more than 8 of the

 

additional 17 18 renaissance zones described in this subsection as

 

a redevelopment renaissance zone. A redevelopment renaissance zone

 

shall promote the redevelopment of existing industrial facilities

 

or the development of property for industrial purposes. The board

 

of the Michigan strategic fund may designate not more than 1 of the

 

17 18 additional renaissance zones described in this subsection as

 

a pharmaceutical recovery renaissance zone. A pharmaceutical

 

recovery renaissance zone shall promote the development or

 

redevelopment of existing underutilized facilities currently

 

occupied or formerly occupied by a pharmaceutical company. Before

 

designating a renaissance zone under this subsection, the board of

 

the Michigan strategic fund may enter into a development agreement

 


with the city, township, or village in which the renaissance zone

 

will be located and the owner or developer of the facility or

 

property located in the renaissance zone. The development agreement

 

for a redevelopment renaissance zone described only in subsection

 

(6)(b)(vi) or (vii) may provide for the payment of 1 or more of the

 

taxes described in section 9. The board of the Michigan strategic

 

fund may designate not more than 1 of the 18 additional renaissance

 

zones described in this subsection as a renaissance zone for oil

 

production and transmission facilities.

 

     (3) In addition to the not more than 9 additional renaissance

 

zones described in subsection (1), the board may designate

 

additional renaissance zones within this state in 1 or more

 

qualified local governmental units if that qualified local

 

governmental unit or units contain a military installation that was

 

operated by the United States department of defense and was closed

 

in 1977 or after 1990.

 

     (4) Land owned by a county or the qualified local governmental

 

unit or units adjacent to a zone as described in subsection (3) may

 

be included in this zone.

 

     (5) Notwithstanding any other provision of this act, property

 

located in the alternative energy zone that is classified as

 

commercial real property under section 34c of the general property

 

tax act, 1893 PA 206, MCL 211.34c, and that the authority, with the

 

concurrence of the assessor of the local tax collecting unit,

 

determines is not used to directly promote and increase the

 

research, development, testing, and manufacturing of alternative

 

energy technology, alternative energy systems, and alternative

 


energy vehicles as those terms are defined in the Michigan next

 

energy authority act, 2002 PA 593, MCL 207.821 to 207.827, is not

 

eligible for any exemption, deduction, or credit under section 9.

 

     (6) As used in this section:

 

     (a) "Pharmaceutical recovery renaissance zone" means a

 

renaissance zone that includes a geographic area that is located in

 

1 or both of the following:

 

     (i) In a city with a population of more than 70,000 and less

 

than 85,000 and in a county with a population of more than 235,000

 

and less than 250,000.

 

     (ii) In a city with a population of more than 42,000 and less

 

than 55,000 and in a county with a population of more than 235,000

 

and less than 250,000.

 

     (b) "Redevelopment renaissance zone" means a renaissance zone

 

that meets 1 of the following:

 

     (i) All of the following:

 

     (A) Is located in a city with a population of more than 7,500

 

and less than 8,500 and is located in a county with a population of

 

more than 60,000 and less than 70,000.

 

     (B) Contains only all or a portion of an industrial site of

 

200 or more acres.

 

     (ii) All of the following:

 

     (A) Is located in a city with a population of more than 13,000

 

and less than 14,000 and is located in a county with a population

 

of more than 1,000,000 and less than 1,300,000.

 

     (B) Contains only all or a portion of an industrial site of

 

300 or more contiguous acres.

 


     (iii) All of the following:

 

     (A) Is located in a township with a population of more than

 

5,500 and is located in a county with a population of less than

 

24,000.

 

     (B) Contains only all or a portion of an industrial site of

 

more than 850 acres and has railroad access.

 

     (iv) All of the following:

 

     (A) Is located in a city with a population of more than 40,000

 

and less than 44,000 and is located in a county with a population

 

of more than 81,000 and less than 87,000.

 

     (B) Contains only all or a portion of an industrial site of

 

more than 475 acres.

 

     (v) All of the following:

 

     (A) Is located in a city with a population of more than 21,000

 

and less than 26,000 and is located in a county with a population

 

of more than 573,000 and less than 625,000.

 

     (B) Contains only all or a portion of an industrial site of

 

less than 45 acres in size.

 

     (vi) All of the following:

 

     (A) Is located in a city with a population of more than

 

190,000 and less than 250,000 and is located in a county with a

 

population of more than 573,000 and less than 625,000.

 

     (B) Contains only all or a portion of an industrial site of

 

more than 14 acres and less than 16 acres in size.

 

     (C) Is approved by the board of the Michigan strategic fund on

 

or before April 1, 2007.

 

     (vii) All of the following:

 


     (A) Is located in a city with a population of more than 35,500

 

and less than 36,800 and is located in a county with a population

 

of more than 157,000 and less than 162,000.

 

     (B) Contains only all or a portion of an industrial site

 

comprised of 1 or more adjacent parcels totaling 5 or more acres.

 

     (C) Is approved by the board of the Michigan strategic fund on

 

or before April 1, 2007.

 

     (viii) All of the following:

 

     (A) Is located in a city with a population of more than 40,000

 

and less than 44,000 and is located in a county with a population

 

of more than 81,000 and less than 87,000.

 

     (B) Contains only all or a portion of an industrial site

 

composed of 1 or more adjacent parcels totaling 100 or more acres.

 

     (C) Is approved by the board of the Michigan strategic fund on

 

or before April 1, 2008.