July 23, 2008, Introduced by Rep. LeBlanc and referred to the Committee on Tax Policy.
A joint resolution proposing an amendment to the state
constitution of 1963, by amending section 3 of article IX, to limit
the increase in taxable value of real property under certain
circumstances.
Resolved by the Senate and House of Representatives of the
state of Michigan, That the following amendment to the state
constitution of 1963, to limit the increase in taxable value of
real property under certain circumstances, is proposed, agreed to,
and submitted to the people of the state:
ARTICLE IX
Sec. 3. The legislature shall provide for the uniform general
ad valorem taxation of real and tangible personal property not
exempt by law except for taxes levied for school operating
purposes. The legislature shall provide for the determination of
true cash value of such property; the proportion of true cash value
at which such property shall be uniformly assessed, which shall
not, after January 1, 1966, exceed 50 percent; and for a system of
equalization of assessments. For taxes levied in 1995 and each year
thereafter, the legislature shall provide that the taxable value of
each parcel of property adjusted for additions and losses, shall
not increase each year by more than the increase in the immediately
preceding year in the general price level, as defined in section 33
of this article, or 5 percent, whichever is less until ownership of
the parcel of property is transferred. However, for taxes levied
after 2008, the legislature shall provide that if a property's
assessed value has increased by less than both the general price
level and 5 percent or if a property's assessed value has
decreased, adjusted for additions and losses, the property's
taxable value in the immediately succeeding year shall increase or
decrease by that same percentage increase or decrease in the
property's assessed value. When ownership of the parcel of property
is transferred as defined by law, the parcel shall be assessed at
the applicable proportion of current true cash value. The
legislature may provide for alternative means of taxation of
designated real and tangible personal property in lieu of general
ad valorem taxation. Every tax other than the general ad valorem
property tax shall be uniform upon the class or classes on which it
operates. A law that increases the statutory limits in effect as of
February 1, 1994 on the maximum amount of ad valorem property taxes
that may be levied for school district operating purposes requires
the approval of 3/4 of the members elected to and serving in the
Senate and in the House of Representatives.
Resolved further, That the foregoing amendment shall be
submitted to the people of the state at the next general election
in the manner provided by law.