HB-4012, As Passed House, February 24, 2005

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE BILL No. 4012

 

January 27, 2005, Introduced by Reps. Meyer and Jones and referred to the Committee on Commerce.

 

     A bill to amend 1986 PA 281, entitled

 

"The local development financing act,"

 

by amending sections 4 and 16 (MCL 125.2154 and 125.2166), section

 

4 as amended by 2000 PA 248.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 4. (1) The governing body of a municipality may declare

 

by resolution adopted by a majority of its members elected and

 

serving its intention to create and provide for the operation of an

 

authority.

 

     (2) In the resolution of intent, the governing body proposing

 

to create the authority shall set a date for holding a public

 

hearing on the adoption of a proposed resolution creating the

 


authority and designating the boundaries of the authority district

 

or districts. Notice of the public hearing shall be published twice

 

in a newspaper of general circulation in the municipality, not less

 

than 20 nor more than 40 days before the date of the hearing. Not

 

less than 20 days before the hearing, the governing body proposing

 

to create the authority shall also mail notice of the hearing to

 

the property taxpayers of record in a proposed authority district

 

and, for a public hearing to be held after February 15, 1994, to

 

the governing body of each taxing jurisdiction levying taxes that

 

would be subject to capture if the authority is established and a

 

tax increment financing plan is approved. Beginning June 1, 2005,

 

the notice of hearing within the time frame described in this

 

subsection shall be mailed by certified mail to the treasurer,

 

clerk, and chairperson of the board of commissioners of the county

 

in which the authority district is located. Failure of a property

 

taxpayer to receive the notice shall not invalidate these

 

proceedings. The notice shall state the date, time, and place of

 

the hearing, and shall describe the boundaries of the proposed

 

authority district or districts. At that hearing, a resident,

 

taxpayer, or property owner from a taxing jurisdiction in which the

 

proposed district is located or an official from a taxing

 

jurisdiction with millage that would be subject to capture has the

 

right to be heard in regard to the establishment of the authority

 

and the boundaries of that proposed authority district. The

 

governing body of the municipality in which a proposed district is

 

to be located shall not incorporate land into an authority district

 

not included in the description contained in the notice of public

 


hearing, but it may eliminate lands described in the notice of

 

public hearing from an authority district in the final

 

determination of the boundaries.

 

     (3) Not more than 60 days after a public hearing held after

 

February 15, 1994, the governing body of a taxing jurisdiction with

 

millage that would otherwise be subject to capture may exempt its

 

taxes from capture by adopting a resolution to that effect and

 

filing a copy with the clerk of the municipality proposing to

 

create the authority. However, a resolution by a governing body of

 

a taxing jurisdiction to exempt its taxes from capture is not

 

effective for the capture of taxes that are used for a certified

 

technology park. The resolution takes effect when filed with that

 

clerk and remains effective until a copy of a resolution rescinding

 

that resolution is filed with that clerk.

 

     (4) Not less than 60 days after the public hearing, if the

 

governing body creating the authority intends to proceed with the

 

establishment of the authority, it shall adopt, by majority vote of

 

its members elected and serving, a resolution establishing the

 

authority and designating the boundaries of the authority district

 

or districts within which the authority shall exercise its powers.

 

The adoption of the resolution is subject to any applicable

 

statutory or charter provisions with respect to the approval or

 

disapproval of resolutions by the chief executive officer of the

 

municipality and the adoption of a resolution over his or her veto.

 

This resolution shall be filed with the secretary of state promptly

 

after its adoption and shall be published at least once in a

 

newspaper of general circulation in the municipality.

 


     (5) The governing body may alter or amend the boundaries of an

 

authority district to include or exclude lands from that authority

 

district or create new authority districts pursuant to the same

 

requirements prescribed for adopting the resolution creating the

 

authority.

 

     (6) The validity of the proceedings establishing an authority

 

shall be conclusive unless contested in a court of competent

 

jurisdiction within 60 days after the last of the following takes

 

place:

 

     (a) Publication of the resolution creating the authority as

 

adopted.

 

     (b) Filing of the resolution creating the authority with the

 

secretary of state.

 

     (7) Except as otherwise provided by this subsection, if 2 or

 

more municipalities desire to establish an authority under section

 

3(2), each municipality in which the authority district will be

 

located shall comply with the procedures prescribed by this act.

 

The notice required by subsection (2) may be published jointly by

 

the municipalities establishing the authority. The resolutions

 

establishing the authority shall include, or shall approve an

 

agreement including, provisions governing the number of members on

 

the board, the method of appointment, the members to be represented

 

by governmental units or agencies, the terms of initial and

 

subsequent appointments to the board, the manner in which a member

 

of the board may be removed for cause before the expiration of his

 

or her term, the manner in which the authority may be dissolved,

 

and the disposition of assets upon dissolution. An authority

 


described in this subsection shall not be considered established

 

unless all of the following conditions are satisfied:

 

     (a) A resolution is approved and filed with the secretary of

 

state by each municipality in which the authority district will be

 

located.

 

     (b) The same boundaries have been approved for the authority

 

district by the governing body of each municipality in which the

 

authority district will be located.

 

     (c) The governing body of the county in which a majority of

 

the authority district will be located has approved by resolution

 

the creation of the authority.

 

     Sec. 16. (1) Before adoption of a resolution approving or

 

amending a development plan or approving or amending a tax

 

increment financing plan, the governing body shall hold a public

 

hearing on the development plan. Notice of the time and place of

 

the hearing shall be given by publication twice in a newspaper of

 

general circulation designated by the municipality, the first of

 

which shall not be less than 20 days before the date set for the

 

hearing. Beginning June 1, 2005, the notice of hearing within the

 

time frame described in this subsection shall be mailed by

 

certified mail to the treasurer, clerk, and chairperson of the

 

board of commissioners of the county in which the proposed

 

development area is located.

 

     (2) Notice of the time and place of hearing on a development

 

plan shall contain the following:

 

     (a) A description of the property to which the plan applies in

 

relation to highways, streets, streams, or otherwise.

 


     (b) A statement that maps, plats, and a description of the

 

development plan, including the method of relocating families and

 

individuals who may be displaced from the area, are available for

 

public inspection at a place designated in the notice, and that all

 

aspects of the development plan will be open for discussion at the

 

public hearing.

 

     (c) Other information that the governing body considers

 

appropriate.

 

     (3) At the time set for hearing, the governing body shall

 

provide an opportunity for interested persons to be heard and shall

 

receive and consider communications in writing with reference to

 

the matter. The hearing shall provide the fullest opportunity for

 

expression of opinion, for argument on the merits, and for

 

introduction of documentary evidence pertinent to the development

 

plan. The governing body shall make and preserve a record of the

 

public hearing, including all data presented at that time.