HB-4723, As Passed House, June 3, 2009

SUBSTITUTE FOR

HOUSE BILL NO. 4723

A bill to amend 1996 PA 376, entitled

"Michigan renaissance zone act,"

by amending section 3 (MCL 125.2683), as amended by 2008 PA 217,

and by adding section 8g.

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.

more of the following as determined by the board of the Michigan

strategic fund:

(i) That was located in a qualified border local governmental

unit as defined in section 8g and was displaced or otherwise

negatively affected by the development of the international border

crossing and is unable to recover from the displacement or negative

effect without the establishment of a renaissance zone.

(ii) That is associated with international trade, shipping, or

freight hauling, including, but not limited to, all of the

following:

(A) Customs brokers.

(B) Distribution centers.

(d) ~~(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.

(e) ~~(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.

(f) ~~(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.

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

village, or township.

(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 facility that

creates energy directly or fuel from the wind, the sun, trees,

grasses, biosolids, algae, agricultural commodities, processed

products from agricultural commodities, or residues from

agricultural processes, wood or forest processes, food production

and processing, or the paper products industry. Renewable energy

facility also includes a facility that creates energy or fuels from

solid biomass, animal wastes, or landfill gases. Renewable energy

facility also includes a facility that focuses on research,

development, or manufacturing of systems or components of systems

used to create energy or fuel from the items described in this

subdivision.

(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. 8g. (1) The board of the Michigan strategic fund defined

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

125.2004, may designate up to 25 additional renaissance zones for

border crossing facilities within this state in qualified border

local governmental units if that city or township or combination of

cities or townships consents to the creation of a renaissance zone

for a border crossing facility within their boundaries. A

renaissance zone for a border crossing facility shall have a

duration of renaissance zone status for a period of 15 years.

(2) Each renaissance zone designated for a border crossing

facility under this section shall be 1 continuous distinct

geographic area.

(3) The board may revoke the designation of all or a portion

of a renaissance zone for a border crossing facility if the board

determines that the border crossing facility does 1 or more of the

following in a renaissance zone designated under this section:

(a) Fails to commence operation.

(b) Ceases operation.

from the date the renaissance zone for the border crossing facility

is designated.

(4) The board shall consider all of the following when

designating a renaissance zone for a border crossing facility:

(a) The economic impact on local suppliers who supply raw

materials, goods, and services to the border crossing facility.

(b) The creation of jobs relative to the employment base of

the community rather than the static number of jobs created.

(d) The economic impact on the community in which the border

crossing facility is located.

(5) The board shall require a development agreement between

the Michigan strategic fund and the border crossing facility.

(6) As used in this section:

(a) "Development agreement" means a written agreement between

the Michigan strategic fund and the border crossing facility that

includes, but is not limited to, all of the following:

(i) A requirement that the border crossing facility comply with

all state and local laws.

(ii) A requirement that the border crossing facility report

annually to the Michigan strategic fund on all of the following:

(A) The amount of capital investment made at the facility.

(B) The number of individuals employed at the facility at the

beginning and end of the reporting period as well as the number of

individuals transferred to the facility from another facility owned

by the border crossing facility.

(iii) Any other conditions or requirements reasonably required

by the Michigan strategic fund.

(b) "Qualified border local governmental unit" means 1 of the

following:

(i) A city with a population of more than 30,000 and less then

36,000 that contains an international border crossing.

(ii) A township that adjoins a city with a population of more

than 30,000 and less than 36,000 that contains an international