The bill amends sections 78g and 78q of the 1893 PA 206, which regulates property tax assessment and collection in Michigan. It introduces new procedures for property forfeiture due to unpaid taxes, specifying that such forfeiture occurs on March 1 of each tax year. A new $175 fee is established for properties with unpaid taxes to support the administration of tax foreclosure processes. The bill also outlines conditions for property redemption before the title vests in the foreclosing governmental unit, including the payment of all delinquent amounts and interest, and provides for the issuance of redemption certificates.

Additionally, the bill allows foreclosing governmental units to create installment payment plans for financially distressed property owners, which can be combined with payment reductions. Properties can be removed from foreclosure petitions if owners participate in these plans and make initial payments. The bill also permits county treasurers to enter into tax foreclosure avoidance agreements for up to five years with delinquent residential property owners, requiring initial and regular installment payments. Eligibility criteria are established to ensure these agreements do not impair the county's outstanding debts, and the act is set to take immediate effect upon approval.

Statutes affected:
Substitute (S-1): 211.78
Senate Introduced Bill: 211.78
As Passed by the Senate: 211.78
As Passed by the House: 211.78
Senate Enrolled Bill: 211.78