TAX FOR PROMOTING CO. ADVANTAGES                                                 H.B. 4166 (H-1):

                                                                                                    SUMMARY OF BILL

                                                                                      REPORTED FROM COMMITTEE

House Bill 4166 (Substitute H-1 as reported without amendment)

Sponsor:  Representative Rick Outman

House Committee:  Local Government

Senate Committee:  Local Government

CONTENT

The bill would amend Public Act 88 of 1913, which allows a county board of commissioners to levy a special tax for certain promotional purposes, to do the following:

-- Specify that a county board of commissioner's authority to levy a special tax to promote agriculture, industry, immigration, trade, and tourism in the county would apply only to a county levying the tax on the bill's effective date.

-- Specify that the authorization for a board of commissioners to levy such a tax would expire on January 1, 2020.

-- Allow a county to levy a similar special tax for up to five years, with voter approval.

The bill would take effect 90 days after its enactment.

MCL 46.161                                                            Legislative Analyst:  Patrick Affholter

FISCAL IMPACT

The impact of the bill on county spending and revenue would depend on the decision of a county board of commissioners to seek approval of a special promotional millage, the costs of the election, and the decision of the voters on that question. A county that currently levies a special promotional millage under the Act could continue to levy the millage without voter approval until January 1, 2020, after which voter approval would be required for the millage levy to continue. If the county did not seek and obtain voter approval before that date, or if the measure failed at the polls, county revenue would be reduced. Washtenaw County currently levies a special millage under the Act of 0.070 mill to promote the county's agricultural, industrial, and tourist advantages. Washtenaw County estimated the revenue from that millage at just over $1.0 million annually. The bill would have no fiscal impact on State government.

Date Completed:  6-17-15                                                  Fiscal Analyst:  Elizabeth Pratt

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.