Bill Text: MI SB0267 | 2011-2012 | 96th Legislature | Introduced
Bill Title: Economic development; plant rehabilitation; definition of speculative building to include certain existing facilities and revoked certificates; modify. Amends secs. 2, 4, 7, 9 & 10 of 1974 PA 198 (MCL 207.552 et seq.).
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2011-03-16 - Referred To Committee On Economic Development [SB0267 Detail]
Download: Michigan-2011-SB0267-Introduced.html
SENATE BILL No. 267
March 16, 2011, Introduced by Senator KAHN and referred to the Committee on Economic Development.
A bill to amend 1974 PA 198, entitled
"An act to provide for the establishment of plant rehabilitation
districts and industrial development districts in local
governmental units; to provide for the exemption from certain
taxes; to levy and collect a specific tax upon the owners of
certain facilities; to impose and provide for the disposition of an
administrative fee; to provide for the disposition of the tax; to
provide for the obtaining and transferring of an exemption
certificate and to prescribe the contents of those certificates; to
prescribe the powers and duties of the state tax commission and
certain officers of local governmental units; and to provide
penalties,"
by amending sections 2, 4, 7, 9, and 10 (MCL 207.552, 207.554,
207.557, 207.559, and 207.560), section 2 as amended by 2010 PA
273, section 4 as amended by 2004 PA 437, section 7 as amended by
2008 PA 457, section 9 as amended by 2008 PA 516, and section 10 as
amended by 1996 PA 1.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2. (1) "Commission" means the state tax commission
created by 1927 PA 360, MCL 209.101 to 209.107.
(2)
"Facility" means either a replacement facility, a new
facility, an existing facility, or, if applicable by its usage, a
speculative building.
(3) "Next Michigan development corporation" means that term as
defined in section 3 of the next Michigan development act, 2010 PA
275, MCL 125.2953.
(4) "Replacement facility" means 1 of the following:
(a) In the case of a replacement or restoration that occurs on
the same or contiguous land as that which is replaced or restored,
industrial property that is or is to be acquired, constructed,
altered, or installed for the purpose of replacement or restoration
of obsolete industrial property together with any part of the old
altered property that remains for use as industrial property after
the replacement, restoration, or alteration.
(b) In the case of construction on vacant noncontiguous land,
property that is or will be used as industrial property that is or
is to be acquired, constructed, transferred, or installed for the
purpose of being substituted for obsolete industrial property if
the obsolete industrial property is situated in a plant
rehabilitation district in the same city, village, or township as
the land on which the facility is or is to be constructed and
includes the obsolete industrial property itself until the time as
the substituted facility is completed.
(5) "New facility" means new industrial property other than a
replacement facility to be built in a plant rehabilitation district
or industrial development district.
(6) "Local governmental unit" means a city, village, township,
or next Michigan development corporation located in this state. For
purposes of this act, if a next Michigan development corporation
establishes a plant rehabilitation district or an industrial
development district, the next Michigan development corporation
shall act as the local governmental unit in establishing and
operating the plant rehabilitation district or the industrial
development district.
(7) "Industrial property" means land improvements, buildings,
structures, and other real property, and machinery, equipment,
furniture, and fixtures or any part or accessory whether completed
or in the process of construction comprising an integrated whole,
the primary purpose and use of which is the engaging in a high-
technology activity, operation of a strategic response center,
operation of a motorsports entertainment complex, operation of a
logistical optimization center, operation of qualified commercial
activity, operation of a major distribution and logistics facility,
the manufacture of goods or materials, creation or synthesis of
biodiesel fuel, or the processing of goods and materials by
physical or chemical change; property acquired, constructed,
altered, or installed due to the passage of proposal A in 1976; the
operation of a hydro-electric dam by a private company other than a
public utility; or agricultural processing facilities. Industrial
property includes facilities related to a manufacturing operation
under the same ownership, including, but not limited to, office,
engineering, research and development, warehousing, or parts
distribution facilities. Industrial property also includes research
and development laboratories of companies other than those
companies that manufacture the products developed from their
research activities and research development laboratories of a
manufacturing company that are unrelated to the products of the
company. For applications approved by the legislative body of a
local governmental unit between June 30, 1999 and December 31,
2007, industrial property also includes an electric generating
plant that is not owned by a local unit of government, including,
but not limited to, an electric generating plant fueled by biomass.
For an industrial development district created before July 1, 2010,
industrial property also includes an electric generating plant that
is fueled by biomass that is not owned by a unit of local
government if the electric generating plant involves the reuse of a
federal superfund site remediated by the United States
environmental protection agency and an independent study has
concluded that the electric generating plant would not have an
adverse effect on wood supply of the area from which the wood
supply of the electric generating plant would be derived. An
electric generating plant described in the preceding sentence is
presumed not to have an adverse impact on the wood supply of the
area from which the wood supply of the electric generating plant
would be derived if the company has a study funded by the United
States department of energy and managed by the department of
energy, labor, and economic growth that concludes that the electric
generating plant will consume not more than 7.5% of the annual wood
growth within a 60-mile radius of the electric generating plant.
Industrial property also includes convention and trade centers in
which construction begins not later than December 31, 2010 and is
over 250,000 square feet in size or, if located in a county with a
population of more than 750,000 and less than 1,100,000, is over
100,000 square feet in size or, if located in a county with a
population of more than 26,000 and less than 28,000, is over 30,000
square feet in size. Industrial property also includes a federal
reserve bank operating under 12 USC 341, located in a city with a
population of 750,000 or more. Industrial property may be owned or
leased. However, in the case of leased property, the lessee is
liable for payment of ad valorem property taxes and shall furnish
proof of that liability. For purposes of a local governmental unit
that is a next Michigan development corporation, industrial
property includes only property used in the operation of an
eligible next Michigan business, as that term is defined in section
3 of the Michigan economic growth authority act, 1995 PA 24, MCL
207.803. Industrial property does not include any of the following:
(a) Land.
(b) Property of a public utility other than an electric
generating plant that is not owned by a local unit of government as
provided in this subsection.
(c) Inventory.
(8) "Obsolete industrial property" means industrial property
the condition of which is substantially less than an economically
efficient functional condition.
(9) "Economically efficient functional condition" means a
state or condition of property the desirability and usefulness of
which is not impaired due to changes in design, construction,
technology, or improved production processes, or from external
influencing factors that make the property less desirable and
valuable for continued use.
(10) "Research and development laboratories" means building
and structures, including the machinery, equipment, furniture, and
fixtures located in the building or structure, used or to be used
for research or experimental purposes that would be considered
qualified research as that term is used in section 41 of the
internal revenue code, 26 USC 41, except that qualified research
also includes qualified research funded by grant, contract, or
otherwise by another person or governmental entity.
(11) "Manufacture of goods or materials" or "processing of
goods or materials" means any type of operation that would be
conducted by an entity included in the classifications provided by
sector 31-33 — manufacturing, of the North American industry
classification system, United States, 1997, published by the office
of management and budget, regardless of whether the entity
conducting that operation is included in that manual.
(12) "High-technology activity" means that term as defined in
section 3 of the Michigan economic growth authority act, 1995 PA
24, MCL 207.803.
(13) "Logistical optimization center" means a sorting and
distribution center that optimizes transportation and uses just-in-
time inventory management and material handling.
(14) "Commercial property" means that term as defined in
section 2 of the obsolete property rehabilitation act, 2000 PA 146,
MCL 125.2782.
(15) "Qualified commercial activity" means commercial property
that meets all of the following:
(a) At least 90% of the property, excluding the surrounding
green space, is used for warehousing, distribution, or logistic
purposes and is located in a county that borders another state or
Canada or for a communications center.
(b) Occupies a building or structure that is greater than
100,000 square feet in size.
(16) "Motorsports entertainment complex" means a closed-course
motorsports facility, and its ancillary grounds and facilities,
that satisfies all of the following:
(a) Has at least 70,000 fixed seats for race patrons.
(b) Has at least 6 scheduled days of motorsports events each
calendar year, at least 2 of which shall be comparable to nascar
nextel cup events held in 2007 or their successor events.
(c) Serves food and beverages at the facility during
sanctioned events each calendar year through concession outlets, a
majority of which are staffed by individuals who represent or are
members of 1 or more nonprofit civic or charitable organizations
that directly financially benefit from the concession outlets'
sales.
(d) Engages in tourism promotion.
(e) Has permanent exhibitions of motorsports history, events,
or vehicles.
(17) "Major distribution and logistics facility" means a
proposed distribution center that meets all of the following:
(a) Contains at least 250,000 square feet.
(b) Has or will have an assessed value of $5,000,000.00 or
more for the real property.
(c) Is located within 35 miles of the border of this state.
(d) Has as its purpose the distribution of inventory and
materials to facilities owned by the taxpayer whose primary
business is the retail sale of sporting goods and related
inventory.
(18) "Existing facility" means industrial property that is not
a replacement facility, a new facility, or a speculative building
and meets 1 or more of the following:
(a) Has been vacant for a period of 3 or more years
immediately preceding the date of the application.
(b) Has become vacant because the most recent occupant is
subject to a bankruptcy proceeding.
Sec. 4. (1) A local governmental unit, by resolution of its
legislative body, may establish plant rehabilitation districts and
industrial development districts that consist of 1 or more parcels
or tracts of land or a portion of a parcel or tract of land.
(2) The legislative body of a local governmental unit may
establish a plant rehabilitation district or an industrial
development district on its own initiative or upon a written
request filed by the owner or owners of 75% of the state equalized
value of the industrial property located within a proposed plant
rehabilitation district or industrial development district. This
request shall be filed with the clerk of the local governmental
unit.
(3) Except as provided in section 9(2)(h), after December 31,
1983, a request for the establishment of a proposed plant
rehabilitation district or industrial development district shall be
filed only in connection with a proposed replacement facility or
new facility, the construction, acquisition, alteration, or
installation of or for which has not commenced at the time of the
filing of the request. The legislative body of a local governmental
unit shall not establish a plant rehabilitation district or an
industrial development district pursuant to subsection (2) if it
finds that the request for the district was filed after the
commencement of construction, alteration, or installation of, or of
an acquisition related to, the proposed replacement facility or new
facility. This subsection shall not apply to a speculative building
or an existing facility.
(4) Before adopting a resolution establishing a plant
rehabilitation district or industrial development district, the
legislative body shall give written notice by certified mail to the
owners of all real property within the proposed plant
rehabilitation district or industrial development district and
shall hold a public hearing on the establishment of the plant
rehabilitation district or industrial development district at which
those owners and other residents or taxpayers of the local
governmental unit shall have a right to appear and be heard.
(5) The legislative body of the local governmental unit, in
its resolution establishing a plant rehabilitation district, shall
set forth a finding and determination that property comprising not
less than 50% of the state equalized valuation of the industrial
property within the district is obsolete.
(6) A plant rehabilitation district or industrial development
district established by a township shall be only within the
unincorporated territory of the township and shall not be within a
village.
(7) Industrial property that is part of an industrial
development district or a plant rehabilitation district may also be
part of a tax increment district established under the tax
increment finance authority act, 1980 PA 450, MCL 125.1801 to
125.1830.
(8) A local governmental unit, by resolution of its
legislative body, may terminate a plant rehabilitation district or
an industrial development district, if there are no industrial
facilities exemption certificates in effect in the plant
rehabilitation district or the industrial development district on
the date of the resolution to terminate.
(9) Before acting on a proposed resolution terminating a plant
rehabilitation district or an industrial development district, the
local governmental unit shall give at least 14 days' written notice
by certified mail to the owners of all real property within the
plant rehabilitation district or industrial development district as
determined by the tax records in the office of the assessor or the
treasurer of the local tax collecting unit in which the property is
located and shall hold a public hearing on the termination of the
plant rehabilitation district or industrial development district at
which those owners and other residents or taxpayers of the local
governmental unit, or others, shall have a right to appear and be
heard.
Sec. 7. (1) Within 60 days after receipt of an approved
application or an appeal of a disapproved application that was
submitted to the commission before October 31 of that year, the
commission shall determine whether the facility is a speculative
building, an existing facility, or designed and acquired primarily
for the purpose of restoration or replacement of obsolete
industrial property or the construction of new industrial property,
and whether the facility otherwise complies with section 9 and with
the other provisions of this act. If the commission so finds, it
shall issue an industrial facilities exemption certificate. Before
issuing a certificate the commission shall notify the state
treasurer of the application and shall obtain the written
concurrence of the department of energy, labor, and economic growth
that the application complies with the requirements in section 9.
Except as otherwise provided in section 7a, the effective date of
the certificate for a replacement facility, an existing facility,
or a new facility is the immediately succeeding December 31
following the date the certificate is issued. For a speculative
building or a portion of a speculative building, except as
otherwise provided in section 7a, the effective date of the
certificate is the immediately succeeding December 31 following the
date the speculative building, or the portion of a speculative
building, is used as a manufacturing facility.
(2) The commission shall send an industrial facilities
exemption certificate, when issued, by mail to the applicant, and a
certified copy by mail to the assessor of the assessing unit in
which the facility is located or to be located, and that copy shall
be filed in his or her office. Notice of the commission's refusal
to issue a certificate shall be sent by mail to the same persons.
(3) Notwithstanding any other provision of this act, if on
December 29, 1986 a local governmental unit passed a resolution
approving an exemption certificate for 10 years for real and
personal property but the commission did not receive the
application until 1992 and the application was not made complete
until 1995, then the commission shall issue, for that property, an
industrial facilities exemption certificate that begins December
30, 1987 and ends December 30, 1997.
(4) Notwithstanding any other provision of this act, if
pursuant to section 16a a local governmental unit passed a
resolution approving an industrial facilities exemption certificate
for a new facility on October 14, 2003 for a certificate that
expired in December 2002, the commission shall issue for that
property an industrial facilities exemption certificate that begins
on December 30, 2002 and ends December 30, 2009.
(5) Notwithstanding any other provision of this act, if on or
before February 10, 2007 a local governmental unit passed a
resolution approving an amendment of an industrial facilities
exemption certificate for a replacement facility and that
certificate was revoked by the commission effective December 30,
2005 with the order of revocation issued by the commission on April
10, 2006, notwithstanding the revocation, the commission shall
retroactively amend the certificate and give full effect to the
amended certificate, which shall include the additional personal
property expenditures described in the resolution amending the
certificate, for the period of time beginning when the certificate
was originally approved until the certificate was revoked.
Sec. 9. (1) The legislative body of the local governmental
unit, in its resolution approving an application, shall set forth a
finding and determination that the granting of the industrial
facilities exemption certificate, considered together with the
aggregate amount of industrial facilities exemption certificates
previously granted and currently in force, shall not have the
effect of substantially impeding the operation of the local
governmental unit or impairing the financial soundness of a taxing
unit that levies an ad valorem property tax in the local
governmental unit in which the facility is located or to be
located. If the state equalized valuation of property proposed to
be exempt pursuant to an application under consideration,
considered together with the aggregate state equalized valuation of
property exempt under certificates previously granted and currently
in force, exceeds 5% of the state equalized valuation of the local
governmental unit, the commission, with the approval of the state
treasurer, shall make a separate finding and shall include a
statement in the order approving the industrial facilities
exemption certificate that exceeding that amount shall not have the
effect of substantially impeding the operation of the local
governmental unit or impairing the financial soundness of an
affected taxing unit.
(2) Except for an application for a speculative building,
which is governed by subsection (4), or for an application for an
existing facility, the legislative body of the local governmental
unit shall not approve an application and the commission shall not
grant an industrial facilities exemption certificate unless the
applicant complies with all of the following requirements:
(a) The commencement of the restoration, replacement, or
construction of the facility occurred not earlier than 12 months
before the filing of the application for the industrial facilities
exemption certificate. If the application is not filed within the
12-month period, the application may be filed within the succeeding
12-month period and the industrial facilities exemption certificate
shall in this case expire 1 year earlier than it would have expired
if the application had been timely filed. This subdivision does not
apply for applications filed with the local governmental unit after
December 31, 1983.
(b) For applications made after December 31, 1983, the
proposed facility shall be located within a plant rehabilitation
district or industrial development district that was duly
established in a local governmental unit eligible under this act to
establish a district and that was established upon a request filed
or by the local governmental unit's own initiative taken before the
commencement of the restoration, replacement, or construction of
the facility.
(c) For applications made after December 31, 1983, the
commencement of the restoration, replacement, or construction of
the facility occurred not earlier than 6 months before the filing
of the application for the industrial facilities exemption
certificate.
(d) The application relates to a construction, restoration, or
replacement program that when completed constitutes a new or
replacement facility within the meaning of this act and that shall
be situated within a plant rehabilitation district or industrial
development district duly established in a local governmental unit
eligible under this act to establish the district.
(e) Completion of the facility is calculated to, and will at
the time of issuance of the certificate have the reasonable
likelihood to create employment, retain employment, prevent a loss
of employment, or produce energy in the community in which the
facility is situated.
(f) Completion of the facility does not constitute merely the
addition of machinery and equipment for the purpose of increasing
productive capacity but rather is primarily for the purpose and
will primarily have the effect of restoration, replacement, or
updating the technology of obsolete industrial property. An
increase in productive capacity, even though significant, is not an
impediment to the issuance of an industrial facilities exemption
certificate if other criteria in this section and act are met. This
subdivision does not apply to a new facility.
(g) The provisions of subdivision (c) do not apply to a new
facility located in an existing industrial development district
owned by a person who filed an application for an industrial
facilities exemption certificate in April of 1992 if the
application was approved by the local governing body and was denied
by the state tax commission in April of 1993.
(h) The provisions of subdivisions (b) and (c) and section
4(3) do not apply to 1 or more of the following:
(i) A facility located in an industrial development district
owned by a person who filed an application for an industrial
facilities exemption certificate in October 1995 for construction
that was commenced in July 1992 in a district that was established
by the legislative body of the local governmental unit in July
1994. An industrial facilities exemption certificate described in
this subparagraph shall expire as provided in section 16(3).
(ii) A facility located in an industrial development district
that was established in January 1994 and was owned by a person who
filed an application for an industrial facilities exemption
certificate in February 1994 if the personal property and real
property portions of the application were approved by the
legislative body of the local governmental unit and the personal
property portion of the application was approved by the state tax
commission in December 1994 and the real property portion of the
application was denied by the state tax commission in December
1994. An industrial facilities exemption certificate described in
this subparagraph shall expire as provided in section 16(3).
(iii) A facility located in an industrial development district
that was established in December 1995 and was owned by a person who
filed an application for an industrial facilities exemptions
certificate in November or December 1995 for construction that was
commenced in September 1995.
(iv) A facility located in an industrial development district
owned by a person who filed an application for an industrial
facilities exemption certificate in July 2001 for construction that
was commenced in February 2001 in a district that was established
by the legislative body of the local governmental unit in September
2001. An industrial facilities exemption certificate described in
this subparagraph shall expire as provided in section 16. The
facility described in this subparagraph shall be taxed under this
act as if it was granted an industrial facilities exemption
certificate in October 2001, and a corrected tax bill shall be
issued by the local tax collecting unit if the local tax collecting
unit has possession of the tax roll or by the county treasurer if
the county has possession of the tax roll. If granting the
industrial facilities exemption certificate under this subparagraph
results in an overpayment of the tax, a rebate, including any
interest and penalties paid, shall be made to the taxpayer by the
local tax collecting unit if the local tax collecting unit has
possession of the tax roll or by the county treasurer if the county
has possession of the tax roll within 30 days of the date the
exemption is granted. The rebate shall be without interest.
(v) A facility located in an industrial development district
owned by a person who filed an application for an industrial
facilities exemption certificate in December 2005 for construction
that was commenced in September 2005 in a district that was
established by the legislative body of the local governmental unit
in December 2005. An industrial facilities exemption certificate
described in this subparagraph shall expire as provided in section
16.
(vi) A facility located in an existing industrial development
district owned by a person who filed or amended an application for
an industrial facilities exemption certificate for real property in
July 2006 if the application was approved by the legislative body
of the local governmental unit in September 2006 but not submitted
to the state tax commission until September 2006.
(vii) A new facility located in an existing industrial
development district owned by a person who filed or amended an
application for an industrial facilities exemption certificate for
personal property in June 2006 if the application was approved by
the legislative body of the local governmental unit in August 2006
but not submitted to the state tax commission until 2007. The
effective date of the certificate shall be December 31, 2006.
(viii) A new facility located in an industrial development
district that was established by the legislative body of the local
governmental unit in September of 2007 for construction that was
commenced in March 2007 and for which an application for an
industrial facilities exemption certificate was filed in September
of 2007.
(ix) A facility located in an industrial development district
that was established by the legislative body of the local
governmental unit in August 2007 and was owned by a person who
filed an application for an industrial facilities exemption
certificate in June 2007 for equipment that was purchased in
January 2007.
(x) A facility located in an industrial development district
that otherwise meets the criteria of this act that has received
written approval from the chairperson of the Michigan economic
growth authority.
(xi) A new facility located in an industrial development
district that was established by the legislative body of the local
governmental unit in August of 2008 for construction that was
commenced in December 2005 and certificate of occupancy issued in
September 2006 for which an application for an industrial
facilities exemption certificate was filed in August of 2008.
(xii) A facility located in an industrial development district
owned by a person who filed an application for a certificate for
real and personal property in April 2005 if the application was
approved by the legislative body of the local governmental unit in
July 2005 for construction that was commenced in July 2004.
(xiii) A facility located in an industrial development district
that was established by the legislative body of the local
governmental unit in December 2007 for construction that was
commenced in September 2007 and a certificate of occupancy issued
in September 2008 for which an application for an industrial
facilities exemption certificate was approved in May of 2008.
(i) The provisions of subdivision (c) do not apply to any of
the following:
(i) A new facility located in an existing industrial
development district owned by a person who filed an application for
an industrial facilities exemption certificate in October 1993 if
the application was approved by the legislative body of the local
governmental unit and the real property portion of the application
was denied by the state tax commission in December 1993.
(ii) A new facility located in an existing industrial
development district owned by a person who filed an application for
an industrial facilities exemption certificate in September 1993 if
the personal property portion of the application was approved by
the legislative body of the local governmental unit and the real
property portion of the application was denied by the legislative
body of the local governmental unit in October 1993 and
subsequently approved by the legislative body of the local
governmental unit in September 1994.
(iii) A facility located in an existing industrial development
district owned by a person who filed an application for an
industrial facilities exemption certificate in August 1993 if the
application was approved by the local governmental unit in
September 1993 and the application was denied by the state tax
commission in December 1993.
(iv) A facility located in an existing industrial development
district occupied by a person who filed an application for an
industrial facilities exemption certificate in June of 1995 if the
application was approved by the legislative body of the local
governmental unit in October of 1995 for construction that was
commenced in November or December of 1994.
(v) A facility located in an existing industrial development
district owned by a person who filed an application for an
industrial facilities exemption certificate in June of 1995 if the
application was approved by the legislative body of the local
governmental unit in July of 1995 and the personal property portion
of the application was approved by the state tax commission in
November of 1995.
(j) If the facility is locating in a plant rehabilitation
district or an industrial development district from another
location in this state, the owner of the facility is not delinquent
in any of the taxes described in section 10(1)(a) of the Michigan
renaissance zone act, 1996 PA 376, MCL 125.2690, or substantially
delinquent in any of the taxes described in and as provided under
section 10(1)(b) of the Michigan renaissance zone act, 1996 PA 376,
MCL 125.2690.
(3) If the replacement facility when completed will not be
located on the same premises or contiguous premises as the obsolete
industrial property, then the applicant shall make provision for
the obsolete industrial property by demolition, sale, or transfer
to another person with the effect that the obsolete industrial
property shall within a reasonable time again be subject to
assessment and taxation under the general property tax act, 1893 PA
206,
MCL 211.1 to 211.157 211.155, or be used in a manner
consistent with the general purposes of this act, subject to
approval of the commission.
(4) The legislative body of the local governmental unit shall
not approve an application and the commission shall not grant an
industrial facilities exemption certificate that applies to a
speculative building unless the speculative building is or is to be
located in a plant rehabilitation district or industrial
development district duly established by a local governmental unit
eligible under this act to establish a district; the speculative
building was constructed less than 9 years before the filing of the
application for the industrial facilities exemption certificate;
the speculative building has not been occupied since completion of
construction; and the speculative building otherwise qualifies
under subsection (2)(e) for an industrial facilities exemption
certificate. An industrial facilities exemption certificate granted
under this subsection shall expire as provided in section 16(3).
(5) Not later than September 1, 1989, the commission shall
provide to all local assessing units the name, address, and
telephone number of the person on the commission staff responsible
for providing procedural information concerning this act. After
October 1, 1989, a local unit of government shall notify each
prospective applicant of this information in writing.
(6) Notwithstanding any other provision of this act, if on
December 29, 1986 a local governmental unit passed a resolution
approving an exemption certificate for 10 years for real and
personal property but the commission did not receive the
application until 1992 and the application was not made complete
until 1995, then the commission shall issue, for that property, an
industrial facilities exemption certificate that begins December
30, 1987 and ends December 30, 1997. The facility described in this
subsection shall be taxed under this act as if it was granted an
industrial facilities exemption certificate on December 30, 1987.
(7) Notwithstanding any other provision of this act, if a
local governmental unit passed a resolution approving an industrial
facilities exemption certificate for a new facility on July 8, 1991
but rescinded that resolution and passed a resolution approving an
industrial facilities exemption certificate for that same facility
as a replacement facility on October 21, 1996, the commission shall
issue for that property an industrial facilities exemption
certificate that begins December 30, 1991 and ends December 2003.
The replacement facility described in this subsection shall be
taxed under this act as if it was granted an industrial facilities
exemption certificate on December 30, 1991.
(8) Property owned or operated by a casino is not industrial
property or otherwise eligible for an abatement or reduction of ad
valorem property taxes under this act. As used in this subsection,
"casino" means a casino or a parking lot, hotel, motel, convention
and trade center, or retail store owned or operated by a casino, an
affiliate, or an affiliated company, regulated by this state
pursuant to the Michigan gaming control and revenue act, 1996 IL 1,
MCL 432.201 to 432.226.
(9) Notwithstanding section 16a and any other provision of
this act, if a local governmental unit passed a resolution
approving an industrial facilities exemption certificate for a new
facility on October 28, 1996 for a certificate that expired in
December 2003 and the local governmental unit passes a resolution
approving the extension of the certificate after December 2003 and
before March 1, 2006, the commission shall issue for that property
an industrial facilities exemption certificate that begins on
December 30, 2005 and ends December 30, 2010 as long as the
property continues to qualify under this act.
(10) Notwithstanding any other provision of this act, if the
commission issued an industrial facilities exemption certificate
for a new facility on December 8, 1998 but revoked that industrial
facilities exemption certificate for that same facility effective
December 30, 2006 and that new facility is purchased by a buyer on
or before November 1, 2007, the commission shall issue for that
property an industrial facilities exemption certificate that begins
December 31, 1998 and ends December 30, 2010 and shall transfer
that industrial facilities exemption certificate to the buyer. The
new facility described in this subsection shall be taxed under this
act as if it was granted an industrial facilities exemption
certificate effective on December 31, 1998.
(11) Notwithstanding any other provision of this act, if the
commission issued industrial facilities exemption certificates for
new facilities on October 30, 2002, September 9, 2003, and November
30, 2005 but revoked the industrial facilities exemption
certificates for the same facilities effective December 30, 2007
and the new facilities continue to qualify under this act, the
commission shall issue for the properties industrial facilities
exemption certificates which end respectively on December 30, 2008,
December 30, 2009, and December 30, 2011.
(12) Notwithstanding any other provision of this act, if in
August 2008 a local governmental unit passed a resolution approving
an exemption certificate for 12 years for real and personal
property but the commission did not receive the application until
2008, then the commission shall issue, for that property, an
industrial facilities exemption certificate that begins December
31, 2006 and ends December 30, 2018. The facility described in this
subsection shall be taxed under this act as if it had been granted
an industrial facilities exemption certificate on December 31,
2006.
(13) Beginning December 30, 2013, the legislative body of a
local governmental unit shall not approve an application and the
commission shall not grant an industrial facilities exemption
certificate for an existing facility.
Sec. 10. (1) The assessor of each city or township in which
there is a speculative building, new facility, existing facility,
or replacement facility with respect to which 1 or more industrial
facilities exemption certificates have been issued and are in force
shall determine annually as of December 31 the value and taxable
value of each facility separately, both for real and personal
property, having the benefit of a certificate.
(2) The assessor, upon receipt of notice of the filing of an
application for the issuance of a certificate, shall determine and
furnish to the local legislative body and the commission the value
of the property to which the application pertains and other
information as may be necessary to permit the local legislative
body and the commission to make the determinations required by
section 9(1).
