SENATE BILL No. 1433

 

 

June 27, 2008, Introduced by Senator GEORGE and referred to the Committee on Local, Urban and State Affairs.

 

 

 

     A bill to amend 1893 PA 206, entitled

 

"The general property tax act,"

 

(MCL 211.1 to 211.155) by adding sections 89d and 89e.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 89d. (1) Notwithstanding the provisions of the charter of

 

a home rule city to the contrary, the city treasurer of an eligible

 

city shall return to the county treasurer all uncollected

 

delinquent taxes levied on real property after December 31, 2008 on

 

the March 1 immediately following the year in which the taxes are

 

levied.

 

     (2) The city treasurer of an eligible city may return all

 

uncollected delinquent taxes levied on real property prior to

 

December 31, 2008 to the county treasurer for collection on March


 

1, 2010. A city treasurer shall provide written notice to the

 

county treasurer of his or her intent to return uncollected

 

delinquent taxes levied prior to December 31, 2008 under this

 

subsection not later than February 1, 2010. If uncollected

 

delinquent taxes levied prior to December 31, 2008 are returned to

 

the county treasurer for collection under this subsection, the

 

county treasurer shall collect those taxes with taxes returned as

 

delinquent in 2010.

 

     (3) After the uncollected delinquent taxes levied on real

 

property are returned to the county treasurer for collection under

 

this section, the provisions of this act apply for collection of

 

those taxes and for the issuance of notes in anticipation of the

 

collection of those taxes.

 

     (4) A judgment entered under section 78k that extinguishes any

 

lien for unpaid taxes or special assessments does not extinguish

 

the right of the city to bring an in personam action under this act

 

or its charter to enforce personal liability for those unpaid taxes

 

or special assessments. The city may bring an in personam action to

 

enforce personal liability for unpaid delinquent taxes levied prior

 

to January 1, 2009 or special assessments not returned as

 

delinquent under this section within 15 years after the taxes or

 

special assessments are levied.

 

     (5) As used in this section:

 

     (a) "Delinquent taxes" or "uncollected delinquent taxes"

 

includes any taxes levied by and payable to the city treasurer in

 

installments the balance of which remains unpaid on January 1

 

immediately following the year in which the taxes are levied, and


 

includes all interest and penalties that accrue after July 31 of

 

the year in which all taxes billed by the city are levied if that

 

interest and those penalties remain unpaid on the date the

 

delinquent taxes are returned to the county treasurer.

 

     (b) "Eligible city" means a city with a population of more

 

than 50,000 and less than 100,000 that is located in a county with

 

a population of less than 350,000 as determined by the most recent

 

federal decennial census.

 

     Sec. 89e. (1) Notwithstanding the provisions of the charter of

 

a home rule city to the contrary, and with the agreement of the

 

county treasurer, the city treasurer of an eligible city may return

 

to the county treasurer all uncollected delinquent taxes levied on

 

personal property after December 31, 2008 on the March 1

 

immediately following the year in which the taxes are levied.

 

     (2) With the agreement of the county treasurer, the city

 

treasurer of an eligible city may return all uncollected delinquent

 

taxes levied on personal property prior to December 31, 2008 to the

 

county treasurer for collection on March 1 of the year in which the

 

county treasurer agrees to the return of uncollected delinquent

 

taxes under this subsection. A city treasurer shall provide to the

 

county treasurer written notice of his or her intent to return

 

uncollected delinquent taxes levied prior to December 31, 2008

 

under this subsection not later than February 1 of the year in

 

which the county treasurer agrees to the return of uncollected

 

delinquent taxes under this subsection. If those uncollected

 

delinquent taxes are returned to the county treasurer for

 

collection under this subsection, the county treasurer shall


 

collect those taxes with taxes returned as delinquent in that same

 

year.

 

     (3) After the uncollected delinquent taxes levied on personal

 

property are returned to the county treasurer for collection under

 

this section, the provisions of this act apply for collection of

 

those taxes.

 

     (4) As used in this section:

 

     (a) "Delinquent taxes" or "uncollected delinquent taxes"

 

includes any taxes levied by and payable to the city treasurer in

 

installments the balance of which remains unpaid on January 1

 

immediately following the year in which the taxes are levied, and

 

includes all interest and penalties that accrue after July 31 of

 

the year in which all taxes billed by the city are levied if that

 

interest and those penalties remain unpaid on the date the

 

delinquent taxes are returned to the county treasurer.

 

     (b) "Eligible city" means a city with a population of more

 

than 50,000 and less than 100,000 that is located in a county with

 

a population of less than 350,000.