HB-5143, As Passed Senate, December 19, 2018
SUBSTITUTE FOR
HOUSE BILL NO. 5143
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 9i (MCL 211.9i), as added by 2002 PA 549.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 9i. (1) Alternative Subject to subsection (2),
alternative energy personal property is exempt from the collection
of taxes under this act as provided in this section.
(2) If the Michigan next energy authority certifies
alternative energy personal property as eligible for the exemption
under this section as provided in the Michigan next energy
authority act, the Michigan next energy authority shall forward a
copy of that certification to all of the following:
(a) The secretary of the local school district in which the
alternative energy personal property is located.
(b) The treasurer of the local tax collecting unit in which
the alternative energy personal property is located.
(3) Within 60 days after receipt of the certification of
alternative energy personal property under subsection (2), the
school board for the local school district in which the alternative
energy personal property is located, with the written concurrence
of the superintendent of the local school district, may adopt a
resolution to not exempt that alternative energy personal property
from a tax levied in that local school district under section 1212
of the revised school code, 1976 PA 451, MCL 380.1212, or a tax
levied under the revised school code, 1976 PA 451, MCL 380.1 to
380.1852, to retire outstanding bonded indebtedness. If a
resolution is adopted under this subsection, a copy of the
resolution shall be forwarded to the Michigan next energy
authority, to the treasurer of the local tax collecting unit, and
to the state treasurer. If a resolution is not adopted under this
subsection, that alternative energy personal property is exempt
from a tax levied in that local school district under section 1212
of the revised school code, 1976 PA 451, MCL 380.1212, or a tax
levied under the revised school code, 1976 PA 451, MCL 380.1 to
380.1852, to retire outstanding bonded indebtedness, for the period
provided in subsection (5).
(4) Within 60 days after receipt of the certification of
alternative energy personal property under subsection (2), the
governing body of the local tax collecting unit in which the
alternative energy personal property is located may adopt a
resolution to not exempt that alternative energy personal property
from the taxes collected in that local tax collecting unit, except
taxes collected under sections 1211 and 1212 of the revised school
code, 1976 PA 451, MCL 380.1211 and 380.1212, a tax levied under
the revised school code, 1976 PA 451, MCL 380.1 to 380.1852, to
retire outstanding bonded indebtedness, or the tax levied by this
state under the state education tax act, 1993 PA 331, MCL 211.901
to 211.906. The clerk of the local tax collecting unit shall notify
in writing the assessor of the local tax collecting unit in which
the alternative energy personal property is located and the
legislative body of each taxing unit that levies ad valorem
property taxes in that local tax collecting unit in which the
alternative energy personal property is located. Notice of the
meeting at which the resolution will be considered shall be
provided as required under the open meetings act, 1976 PA 267, MCL
15.261 to 15.275. Before acting on the resolution, the governing
body of the local tax collecting unit shall afford the assessor and
a representative of the affected taxing units an opportunity for a
hearing. If a resolution is adopted under this subsection, a copy
of the resolution shall be forwarded to the Michigan next energy
authority and to the state treasurer. If a resolution is not
adopted under this subsection, that alternative energy personal
property is exempt from the taxes collected in that local tax
collecting unit for the period provided in subsection (5), except
as otherwise provided in this section.
(2) (5) The exemption under this section applies to taxes
levied the following:
(a) Taxes levied on alternative energy personal property after
December 31, 2002 and before January 1, 2013.
(b) Taxes levied on that category of alternative energy
personal property described in subsection (3)(a)(i) after the
effective date of the amendatory act that added this subdivision,
without regard to ownership of the alternative energy personal
property, provided that all of the following conditions are met:
(i) The alternative energy personal property has a generating
capacity of not more than 150 kilowatts and is used solely to
offset all or a portion of the commercial or industrial energy
usage of the person upon whose real property the alternative energy
personal property is located.
(ii) If installed after the effective date of the amendatory
act that added this subparagraph, the alternative energy personal
property has a true cash value that, when combined with the true
cash value of all personal property exempt under section 9o as
eligible personal property of the person claiming the exemption
under this section or a related entity, equals less than
$80,000.00.
(3) (6) As used in this section:
(a) "Alternative energy personal property" means all of the
following:
(i) An alternative energy system.
(ii) An alternative energy vehicle.
(iii) All personal property of an alternative energy
technology business.
(iv) The personal property of a business that is not an
alternative energy technology business that is used solely for the
purpose of researching, developing, or manufacturing an alternative
energy technology.
(b) "Alternative energy system", "alternative energy vehicle",
"alternative energy technology", and "alternative energy technology
business" mean those terms as defined in the Michigan next energy
authority act, 2002 PA 593, MCL 207.821 to 207.827.
Enacting section 1. This amendatory act does not take effect
unless House Bill No. 5680 of the 99th Legislature is enacted into
law.