Michigan Laws 125.2788 – Taxable value of property proposed to be exempt; application; limitation; separate finding by legislative body of qualified local governmental unit; statement; requirements for approval of application
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Terms Used In Michigan Laws 125.2788
- certificate: means the certificate issued pursuant to section 6. See Michigan Laws 125.2782
- Facility: except as otherwise provided in this act, means a building or group of contiguous buildings. See Michigan Laws 125.2782
- in writing: shall be construed to include printing, engraving, and lithographing; except that if the written signature of a person is required by law, the signature shall be the proper handwriting of the person or, if the person is unable to write, the person's proper mark, which may be, unless otherwise expressly prohibited by law, a clear and classifiable fingerprint of the person made with ink or another substance. See Michigan Laws 8.3q
- Obsolete property: means commercial property or commercial housing property, that is 1 or more of the following:
(i) Blighted, as that term is defined in section 2 of the brownfield redevelopment financing act, 1996 PA 381, MCL 125. See Michigan Laws 125.2782Obsolete property rehabilitation district: means an area of a qualified local governmental unit established as provided in section 3. See Michigan Laws 125.2782 Qualified local governmental unit: means 1 or more of the following:
(i) A city with a median family income of 150% or less of the statewide median family income as reported in the 1990 federal decennial census that meets 1 or more of the following criteria:
(A) Contains or has within its borders an eligible distressed area as that term is defined in section 11(u)(ii) and (iii) of the state housing development authority act of 1966, 1966 PA 346, MCL 125. See Michigan Laws 125.2782Rehabilitated facility: means a commercial property or commercial housing property that has undergone rehabilitation or is in the process of being rehabilitated, including rehabilitation that changes the intended use of the building. See Michigan Laws 125.2782 Rehabilitation: means changes to obsolete property other than replacement that are required to restore or modify the property, together with all appurtenances, to an economically efficient condition. See Michigan Laws 125.2782 Taxable value: means the value determined under section 27a of the general property tax act, 1893 PA 206, MCL 211. See Michigan Laws 125.2782
(1) If the taxable value of the property proposed to be exempt pursuant to an application under consideration, considered together with the aggregate taxable value of property exempt under certificates previously granted and currently in force under this act or under 1974 PA 198, MCL 207.551 to 207.572, exceeds 5% of the taxable value of the qualified local governmental unit, the legislative body of the qualified local governmental unit shall make a separate finding and shall include a statement in its resolution approving the application that exceeding that amount shall not have the effect of substantially impeding the operation of the qualified local governmental unit or impairing the financial soundness of an affected taxing unit.
(2) The legislative body of the qualified local governmental unit shall not approve an application for an obsolete property exemption certificate unless the applicant complies with all of the following requirements:
(a) Except as otherwise provided in subsection (3), the commencement of the rehabilitation of the facility does not occur before the establishment of the obsolete property rehabilitation district.
(b) The application relates to a rehabilitation program that when completed constitutes a rehabilitated facility within the meaning of this act and that shall be situated within an obsolete property rehabilitation district established in a qualified local governmental unit eligible under this act to establish such a district.
(c) Completion of the rehabilitated facility is calculated to, and will at the time of issuance of the certificate have the reasonable likelihood to, increase commercial activity, create employment, retain employment, prevent a loss of employment, revitalize urban areas, or increase the number of residents in the community in which the facility is situated.
(d) The applicant states, in writing, that the rehabilitation of the facility would not be undertaken without the applicant’s receipt of the exemption certificate.
(e) The applicant is not delinquent in the payment of any taxes related to the facility.
(3) The legislative body of a qualified local governmental unit may approve an application for an obsolete property exemption certificate if the commencement of the rehabilitation of the facility occurs before the establishment of the obsolete property rehabilitation district and if 1 or more of the following are met:
(a) All of the following are met:
(i) The building permit for the rehabilitation of the facility was obtained in October 2002.
(ii) The obsolete property rehabilitation district was created in April 2002.
(iii) The rehabilitation of the facility included adding additional stories to the facility.
(b) All of the following are met:
(i) Emergency or temporary repairs or improvements were made before the establishment of the obsolete property rehabilitation district.
(ii) The obsolete property rehabilitation district was created in January 2006.
(iii) The facility is located in a city with a population of more than 20,500 and less than 27,000 and is located in a county with a population of more than 95,000 and less than 105,000.
(c) All of the following are met:
(i) Roof repairs or improvements were completed in March 2006 before the establishment of the obsolete property rehabilitation district.
(ii) The obsolete property rehabilitation district was created in April 2006.
(iii) The application was submitted to the qualified local governmental unit in April 2006.
(iv) The facility is located in a city with a population of more than 10,800 and less than 11,100 and is located in a county with a population of more than 39,000 and less than 42,000.
(d) All of the following are met:
(i) The building permit for the rehabilitation of the facility was obtained in September 2010.
(ii) The obsolete property rehabilitation district was created in October 2012.
(iii) The rehabilitation of the facility included renovation of the entire interior building structure and mold removal.
(e) All of the following are met:
(i) Roof repairs or improvements began before the establishment of the obsolete property rehabilitation district.
(ii) The application for the facility was submitted to the qualified local governmental unit in January 2010.
(iii) The qualified local governmental unit established the district in June 2010 and approved the certificate in October 2010.
(iv) The facility is located in a city with a population of more than 600,000 and is located in a county with a population of more than 1,800,000, according to the most recent decennial census.
(4) Notwithstanding any other provisions of this act, for any certificate issued as a result of the enactment of the amendatory act that added subsection (3)(a), (b), and (c), the effective date of the certificate shall be December 31, 2006.
(5) Notwithstanding any other provisions of this act, for any certificate issued as a result of the enactment of the amendatory act that added subsection (3)(d), the effective date of the certificate shall be December 31, 2011.
(6) Notwithstanding any other provisions of this act, for any certificate issued as a result of the enactment of the amendatory act that added subsection (3)(e), the effective date of the certificate shall be December 31, 2010.