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House Bill 1585


House Bill 1585

ARCHIVE (2013)

Latest Information

 

DIGEST OF HB 1585 (Updated April 18, 2013 2:13 pm - DI 84)


Township and municipal matters. Provides that if a township's township assistance property tax rate for property taxes first due and payable in 2014 or any year thereafter is more than 12 times the statewide average township assistance property tax rate (as determined by the department of local government finance), the distressed unit appeal board may designate the township as a distressed political subdivision (effective on January 1 of the following year) regardless of whether the township has submitted a petition requesting to be designated as a distressed political subdivision. Provides that if a township's township assistance property tax rate for property taxes first due and payable in 2013 or any year thereafter is more than 12 times the statewide average township assistance property tax rate (as determined by the department of local government finance), the department of local government finance shall, beginning with property taxes first due and payable in the following year, do the following: (1) Remove the township assistance property tax levy from the maximum property tax levy for the township's general fund. (2) Require the township to separate its township assistance property tax levy into two property tax levies (a township assistance benefits property tax levy and a township assistance administration property tax levy). (3) Calculate a separate maximum permissible property tax levy for those two tax levies. Provides that the department of local government finance shall determine the initial maximum property tax levy for a township's township assistance administration property tax levy. Specifies the manner in which the initial maximum property tax levy for the township assistance benefits property tax levy is determined. Allows a municipality containing any territory that is: (1) located in a township with a township assistance property tax rate that for property taxes first due and payable in 2015 or any year thereafter is more than 12 times the statewide average township assistance property tax rate; and (2) adjacent to another township; to have territory of the municipality transferred to an adjacent township if certain conditions are satisfied. Provides that if sufficient voters of the municipality submit a petition requesting a transfer of such territory, a referendum shall be held on the transfer. Specifies that if at least two- thirds of the voters of the municipality who vote in the referendum vote to approve the transfer, the legislative body of the municipality may, within the one year period after the referendum, submit a petition to one or more adjacent townships requesting the adjacent township to accept the transfer of the territory of the municipality. Provides that if the legislative body of an adjacent township adopts a resolution accepting the transfer of the territory, that territory of the municipality is transferred to and becomes part of the township adopting the resolution. Provides that if no adjacent township adopts a resolution accepting the transfer of an eligible municipality's property: (1) the territory of the eligible municipality is not transferred; and (2) a subsequent referendum on the transfer of the eligible municipality's territory may not be held. Requires the commission on state tax and financing policy to study the following issues in 2013: (1) The administrative costs of providing township assistance. (2) The reporting of the administrative costs of providing township assistance.
Current Status:
 Law Enacted
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