Bill Text: MI SB1083 | 2009-2010 | 95th Legislature | Engrossed
Bill Title: Economic development; other; next Michigan development act; create. Creates new act. TIE BAR WITH: HB 5349'09
Spectrum: Bipartisan Bill
Status: (Engrossed - Dead) 2010-11-10 - Referred To Committee On New Economy And Quality Of Life [SB1083 Detail]
Download: Michigan-2009-SB1083-Engrossed.html
SB-1083, As Passed Senate, November 10, 2010
SUBSTITUTE FOR
SENATE BILL NO. 1083
A bill to encourage the creation of next Michigan development
corporations by interlocal agreement and to prescribe their powers
and duties; to foster economic opportunities in this state and
prevent conditions of unemployment and underemployment and to
promote economic growth; to provide for the designation of next
Michigan development districts and next Michigan development
businesses; and to prescribe the powers and duties of certain state
and local departments, entities, and officials.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1. This act shall be known and may be cited as the "next
Michigan development act".
Sec. 2. The legislature of this state finds and declares that
there exists in this state the continuing need for programs to
encourage economic development and investment, job creation and job
retention, and ancillary economic growth in this state. To achieve
these purposes, it is necessary to assist and encourage the
creation and implementation of intergovernmental development
corporations and to enable those corporations to foster economic
opportunities in this state, prevent conditions of unemployment and
underemployment, and promote economic growth.
Sec. 3. As used in this act:
(a) "Eligible act 7 entity" means a separate legal and
administrative entity formed by interlocal agreement under the
urban cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to
124.512, among 2 or more local governmental units, at least 1 of
which shall be a county, and at least 1 of which shall be a
qualified local government unit as defined in section 2 of the
obsolete property rehabilitation act, 2000 PA 146, MCL 125.2782,
for the purpose of jointly exercising economic development powers
and attracting business.
(b) "Eligible next Michigan business" means that term as
defined in section 3 of the Michigan renaissance zone act, 1996 PA
376, MCL 125.2683.
(c) "Eligible urban entity" means a city with a population of
100,000 or more and is the largest city within a metropolitan
statistical area as defined by the United States office of
management and budget.
(d) "Local governmental unit" means a county, city, village,
township, or charter township.
(e) "Michigan strategic fund" means the Michigan strategic
fund as described in the Michigan strategic fund act, 1984 PA 270,
MCL 125.2001 to 125.2094.
(f) "Next Michigan development corporation" means an eligible
act 7 entity or eligible urban entity that meets the requirements
of section 4 and has been so designated by the board of the
Michigan strategic fund.
(g) "Next Michigan development district" or "district" means
the territory of a next Michigan development corporation.
Sec. 4. (1) An eligible act 7 entity may apply to the board of
the Michigan strategic fund for designation as a next Michigan
development corporation under this act. An eligible urban entity
may apply to the board of the Michigan strategic fund for
designation as a next Michigan development corporation under this
act. An eligible urban entity may expressly designate an
instrumentality of an eligible urban entity or a nonprofit
corporation to file the application and act as the next Michigan
development corporation on behalf of the eligible urban entity.
(2) The territory of a next Michigan development corporation
shall be composed of the area within the boundaries of the cities,
villages, and townships which are parties to the interlocal
agreement as the same may be amended to add or remove parties from
time to time or the area of the eligible urban entity. The
interlocal agreement may include a division of rights,
responsibilities, and duties between and among the local government
unit parties as may be determined appropriate by the local
government unit parties to implement the purposes of this act and
otherwise shall conform to law.
(3) Except for an application from or on behalf of an eligible
urban entity, the application for next Michigan development
corporation status under this act shall be accompanied by a copy of
the interlocal agreement creating the eligible act 7 entity and the
approval of the governor of the interlocal agreement pursuant to
section 10 of the urban cooperation act of 1967, 1967 (Ex Sess) PA
7, MCL 124.510.
Sec. 5. (1) The board of the Michigan strategic fund, upon the
filing of an application under section 4, may designate the
applicant as a next Michigan development corporation. No more than
5 next Michigan development corporations may be designated in this
state. The president of the Michigan strategic fund shall develop
the form of application for designation as a next Michigan
development corporation within 49 days of the effective date of
this act provided that an application from an eligible act 7 entity
or an eligible urban entity which otherwise meets the requirements
of this act may be filed with the board of the Michigan strategic
fund at any time following the effective date of this act, and any
such application shall be considered by the board of the Michigan
strategic fund under subsections (2) and (3). The Michigan
strategic fund shall use its best efforts to develop the
application process jointly with eligible act 7 entities and
eligible urban entities.
(2) The board of the Michigan strategic fund shall apply the
following criteria in determining to designate a next Michigan
development corporation:
(a) The nominal level of unemployed workers within the county
or counties which are parties to the interlocal agreement creating
the applicant eligible act 7 entity, if the applicant is an
eligible act 7 entity, or within the applicant eligible urban
entity, if the applicant is an eligible urban entity, in each case
as publicly reported by the state department of energy, labor, and
economic growth as of the month preceding the filing of the
application on an adjusted or unadjusted basis, whichever is
greater.
(b) The number of local governmental unit parties to the
applicant's interlocal agreement if the applicant is an eligible
act 7 entity.
(c) Whether the application demonstrates evidence of
significant job creation potential of a regional or state asset or
combinations of enterprises, facilities, or obsolete facilities
within the territory of the applicant, as documented by a
comprehensive business plan and a third-party study or studies
quantifying the job creation potential, and the degree of the job
creation potential.
(d) Whether the application is supported by public and private
commitment and the degree of the commitment.
(e) The extent to which the interlocal agreement or the
eligible urban entity creates the possibility of streamlined
permitting.
(3) The board of the Michigan strategic fund shall grant or
deny designation to an applicant within 49 days of receipt of the
application. If the board of the Michigan strategic fund does not
grant or deny the designation within 49 days of receipt of the
application, the application shall be considered approved. If the
application is denied, the board shall provide the applicant with
the specific reasons for the denial by reference to the criteria
set forth in subsection (2). An applicant may amend the application
to take into account the reasons for the denial and thereafter may
resubmit the application to the board of the Michigan strategic
fund. The board of the Michigan strategic fund shall not designate
more than 2 next Michigan development corporations in a calendar
year. However, the board of the Michigan strategic fund may
designate 3 next Michigan development corporations in a calendar
year if 1 or more of the next Michigan development corporations
designated is located entirely north of 430 49' in this state.
Sec. 6. (1) A next Michigan development corporation shall seek
to attract eligible next Michigan businesses to its next Michigan
development district and may exercise all of the powers,
privileges, and responsibilities granted to it under state law,
including, but not limited to, the powers, privileges, and
responsibilities granted in the Michigan renaissance zone act, 1996
PA 376, MCL 125.2681 to 125.2696, the local development financing
act, 1986 PA 281, MCL 125.2151 to 125.2174, section 9f of the
general property tax act, 1893 PA 206, MCL 211.9f, 1974 PA 198, MCL
207.551 to 207.572, and other relevant law.
(2) The Michigan economic development corporation shall market
the next Michigan development corporations.
Sec. 7. (1) The business of a next Michigan development
corporation shall be conducted at public meetings held in
compliance with the open meetings act, 1976 PA 267, MCL 15.261 to
15.275. Public notice of the time, date, and place of a meeting
shall be given as provided by the open meetings act, 1976 PA 267,
MCL 15.261 to 15.275.
(2) Except as expressly provided otherwise in this section, a
writing prepared, owned, used, in the possession of, or retained by
the next Michigan development corporation in the performance of an
official function shall be a public record and shall be made
available to the public in compliance with the freedom of
information act, 1976 PA 442, MCL 15.231 to 15.246. A record or
portion of a record, material, or other data received, prepared,
used, or retained by the next Michigan development corporation in
connection with an application by an eligible business for
renaissance zone status or other tax or development incentive that
relates to financial or proprietary information or site selection
where more than 1 site is under consideration submitted by the
eligible business applicant that is considered by the applicant and
acknowledged by the next Michigan development corporation as
confidential shall not be subject to the disclosure requirements of
the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.
A designee of the next Michigan development corporation shall make
the determination as to whether the next Michigan development
corporation acknowledges as confidential any financial or
proprietary information submitted by the eligible business
applicant and considered by the applicant as confidential. Unless
considered proprietary information, the next Michigan development
corporation shall not acknowledge routine financial information as
confidential. If the designee of the next Michigan development
corporation determines that information submitted to the next
Michigan development corporation is financial or proprietary
information and is confidential, the designee of the next Michigan
development corporation shall prepare a written statement, subject
to disclosure under the freedom of information act, 1976 PA 442,
MCL 15.231 to 15.246, which states all of the following:
(a) That the information submitted was determined by the
designee of the next Michigan development corporation to be
confidential as financial or proprietary information or site
selection information.
(b) A broad nonspecific overview of the financial or
proprietary information determined to be confidential.
(3) The next Michigan development corporation shall not
disclose financial or proprietary information or site selection
information not subject to disclosure pursuant to subsection (2)
without the consent of the eligible business applicant submitting
the information. However, nothing in this subsection shall preclude
the president of the Michigan strategic fund, members of the board
of the Michigan strategic fund, or their designees from reviewing
information otherwise exempt from disclosure under this section.
(4) As used in this section, "financial or proprietary
information" means information that has not been publicly
disseminated or is unavailable from other sources, the release of
which might cause the eligible business applicant, in the
applicant's judgment, material competitive harm. Financial or
proprietary information does not include a written agreement under
the Michigan renaissance zone act, 1996 PA 376, MCL 125.2681 to
125.2696.
Sec. 8. In the event that a next Michigan development
corporation dissolves or is terminated, all incentives previously
granted by the next Michigan development corporation shall be
unaffected by the dissolution and shall remain valid and in full
force and effect in accordance with their respective terms.
Incentives previously granted by the next Michigan development
corporation shall be administered by the city, village, township,
or charter township in which the eligible business to which the
incentives were granted is located unless otherwise provided in the
interlocal agreement.
Sec. 9. This act shall be construed liberally to effectuate
the legislative intent and purposes of this act as found and stated
in section 2. This act constitutes complete and independent
authority for the performance of each and every act and thing
authorized by this act, and all powers granted by this act shall be
broadly interpreted to include any power reasonable and convenient
to effectuate the intent and purposes of this act, and the language
used in this act shall be read as grants of authority and not as
limitations of powers to those expressed or necessarily implied.
Enacting section 1. This act does not take effect unless House
Bill No. 5349 of the 95th Legislature is enacted into law.
