Michigan Legislative Update – October

Posted on

Michigan State Capitol (Credit: Jan Davis Ruthig)

Michigan State Capitol (Credit: Jan Davis Ruthig)

This is our monthly legislative update tailored for Michiganders who work on challenges related to vacancy, abandonment, and community development. We’re tracking bills in the state legislature to help you stay in the loop on relevant policy activity!

Since our September 2015 update, eight new bills have been introduced that may be of interest to Michigan’s vacant and problem properties innovators. We are continuing to track the bills we summarized in our last update. We have organized new legislation under the following categories for ease of reference. Please note that the categorization is approximate and subject to change as bills move through the legislative process.

Property Tax

Assessment

Senate Bill 524 – See full description under Commercial Properties.

Senate Bill 537 (Pending, Senate Committee on Finance) – Would revise the qualifications to be a member of the state tax tribunal. Sen. Rick Jones (R, Senate District 24), the primary sponsor, introduced this legislation on Oct. 1, 2015.

Exemptions/Credits

House Bill 4871 (Pending, House Committee on Tax Policy) – Would expand the homestead income tax credit. Rep. Martin Howrylak (R, House District 41), the primary sponsor, introduced this legislation on Sept. 16, 2015.

House Bill 4921 (Pending, House Committee on Tax Policy) – Would expand the homestead income tax credit. Rep. Christine Greig (D, House District 37) introduced this legislation on Sept. 29, 2015.

Property Tax Foreclosure

House Bill 4984 (Pending, House Committee on Tax Policy) – Would require that delinquent tax payments on properties subject to land banks’ 5/50 tax collection be enforced through the general property tax foreclosure process. Rep. Tom Barrett (R, House District 71) introduced this legislation on Oct. 13, 2015.

Local Government

House Bill 4897 (Pending, House Committee on Tax Policy) – Would revise formula for calculating just compensation for the taking of a qualified principal residence through eminent domain. Rep. Erika Geiss (D, House District 12), the primary sponsor, introduced this legislation on Sept. 22, 2015.

Occupied Properties

House Bill 4897 – See full description under Local Government.

Commercial Properties

Senate Bill 524 (Pending, Senate Committee on Finance) – Would amend the method by which property tax assessors determine “true cash value” of a parcel. Sen. Tom Casperson (R, Senate District 38), the primary sponsor, introduced this legislation on Sept. 29, 2015.

House Bill 4909 (Pending, House Committee on Tax Policy) – Would create new state law to prohibit deed restrictions that limit redevelopment and reuse of certain vacant commercial properties. Rep. John Kivela (D, House District 109), the primary sponsor, introduced this legislation on Sept. 29, 2015.

House Resolution 133 (Pending, House Committee on Tax Policy) – Would urge the Governor and State Tax Commission to conduct a statewide impact study conducted on the current and future effects of methods used by some commercial property owners to reduce or avoid their property tax obligations. Rep. Scott Dianda (D, House District 110), introduced this resolution on Sept. 9, 2015.