The bill amends the Obsolete Property Rehabilitation Act to update definitions and procedures for rehabilitating obsolete properties in Michigan. Key insertions include a clearer definition of "commencement of the rehabilitation," which now begins with the issuance of the first building or trade permit, excluding demolition activities. New definitions for "rehabilitation" and "rehabilitated facility" are introduced, providing clarity on the improvements made to restore properties. The bill also specifies the conditions for issuing and maintaining an obsolete property rehabilitation exemption certificate, including its effective date and duration, while modifying existing language to enhance clarity regarding the commission's responsibilities.

Additionally, the bill sets a maximum duration for certificates, stipulating that they cannot exceed a specified number of years after the completion of the rehabilitated facility, with the effective date starting upon issuance. It changes the reporting deadline for local governments on exemption statuses from October to June 15 each year and establishes that no new exemptions will be granted after December 31, 2036, while existing exemptions will remain valid until expiration. The state treasurer is also given the authority to exclude up to half of the mills levied for school operating purposes from certain tax calculations for a maximum of six years, with a cap of 25 exclusions granted per year to stimulate economic growth and reduce unemployment.

Statutes affected:
Senate Introduced Bill: 125.2782
As Passed by the Senate: 125.2782