Commercial Rehabilitation Act Sunset Extension Legislation Passes House

This week SB 556, a bill to extend the sunset of the Commercial Rehabilitation Act from December of this year to 2020, received full passage from the House of Representatives! This act has been used in communities across the state to assist in eradicating blight and putting properties back to productive use.

Thank you to Sen. Horn for continuing to be an advocate on this issue and keeping a valuable local tool that assists our communities in blight control and economic development.

The legislation now goes to the Governor for his signature.

Nikki Brown is a legislative associate for the League handling economic development, land use and municipal services issues.  She can be reached at nbrown@mml.org or 517-908-0305.

Legislation Exempting Library Millages from TIF Tax Capture Voted Out of Committee

Today, a package of bills (SB 579 and SB 619-624) to exempt separate library millages from tax Capture by tax increment financing (TIF) authorities received testimony and was voted out by the Senate Finance Committee.

The language in each bill in the package states that if the TIF authority does not have any outstanding debt or obligations, a library millage voted on prior to December 31, 2015 is exempt unless the library board decides to opt in to capture.  If the millage is voted on after December 31, 2015, the millage is exempt from tax capture unless the library board approves it.

The League testified in opposition to the bill package because of the slippery slope this creates.  This is a topic of the broader conversation of TIF reform and we feel it should be dealt with as a whole instead of breaking it off piece by piece.

The bills were voted out of committee with all yes votes except Sen. Knollenberg who passed.

Nikki Brown is a legislative associate for the League handling economic development, land use and municipal services issues.  She can be reached at nbrown@mml.org or 517-908-0305.

Legislature Wraps Up Busy Fall Session

Officials testify on the adverse possession issue. From right, Chris Hackbarth, Ann Arbor City Attorney Stephen Postema and Novi City Attorney Thomas Schultz.

Officials testify on the adverse possession issue. From right, Chris Hackbarth, Ann Arbor City Attorney Stephen Postema and Novi City Attorney Thomas Schultz.

In a flurry of activity following passage of the road funding package last week, both the House and Senate pushed through full agendas on Tuesday before breaking for the Thanksgiving holiday.  Included among the bills seeing committee and floor movement were a number of bills that the League is supporting.

  • Senate Bill 372 (Zorn) provides for reciprocity for firefighter training and certification earned in another state.  The League has supported this legislation as it made its way through the Senate and the House.  The bill is now on its way to the Governor for his signature.
  • House Bill 4904 (McBroom) was also sent to the Governor Tuesday.  As previously reported, this bill designates the March 2016 presidential primary election as a general election, allowing local ballot questions to be included on that election date.
  • Senate Bill 556 (Horn), which extends the sunset date on the Commercial Rehabilitation Act, is one step closer to completion as the House floor positioned the bill for final passage upon their return following the legislative break.
  • House Bill 4747 (Hughes) has been promoted by the League and the Michigan Association of Municipal Attorneys to correct a recent court decision that had opened the door to adverse possession of municipal property.  Working together over the past two years, the League and a group of municipal attorneys were successful in crafting language to address this problematic court decision.  At a recent House committee hearing, League staff and attorneys from Ann Arbor and cities in Oakland County testified in support of the bill.  The bill now moves to the House floor where we are requesting action in December.

Chris Hackbarth is the League’s director of state affairs. He can be reached at 517-908-0304and chackbarth@mml.org.

House Tourism Takes on Placemaking

Last week I presented on placemaking to the House Tourism committee. This diverse committee is made up of members from communities all across the state with different tourism focuses.

It was fun to dive back into legislative committee for a day (now that I’m a recovering lobbyist) to share my passion about creating great communities – for both residents and visitors.

The legislators were receptive to the presentation which focused on the significant economic impact of placemaking. While the committee members represent different areas from Northern Michigan’s Bellaire to Detroit, the economic impact of placemaking can be proven in communities of all sizes in all geographic locations.

I emphasized that placemaking is not about making every community the same; it’s about capitalizing on the assets your community and making your town the best version of itself.

Samantha Harkins is the President of the Michigan Municipal League Foundation. She can be reached at (517) 908-0306 or sharkins@mml.org

House Tourism Takes on Placemaking

Last week I presented on placemaking to the House Tourism committee. This diverse committee is made up of members from communities all across the state with different tourism focuses.

It was fun to dive back into legislative committee for a day (now that I’m a recovering lobbyist) to share my passion about creating great communities – for both residents and visitors.

The legislators were receptive to the presentation which focused on the significant economic impact of placemaking. While the committee members represent different areas from Northern Michigan’s Bellaire to Detroit, the economic impact of placemaking can be proven in communities of all sizes in all geographic locations.

I emphasized that placemaking is not about making every community the same; it’s about capitalizing on the assets your community and making your town the best version of itself.

Samantha Harkins is the President of the Michigan Municipal League Foundation. She can be reached at (517) 908-0306 or sharkins@mml.org

Michigan House Tourism Committee takes on Placemaking

The League's Samantha Harkins testifies about the value of placemaking before the Michigan House Tourism committee on November 4, 2015.

The League’s Samantha Harkins testifies about the value of placemaking before the Michigan House Tourism committee on November 4, 2015.

Last week I presented on placemaking to the House Tourism committee. This diverse committee is made up of members from communities all across the state with different tourism focuses.

It was fun to dive back into legislative committee for a day (now that I’m a recovering lobbyist) to share my passion about creating great communities – for both residents and visitors.

The legislators were receptive to the presentation which focused on the significant economic impact of placemaking. While the committee members represent different areas from Northern Michigan’s Bellaire to Detroit, the economic impact of placemaking can be proven in communities of all sizes in all geographic locations.

I emphasized that placemaking is not about making every community the same; it’s about capitalizing on the assets your community and making your town the best version of itself.

Samantha Harkins is the President of the Michigan Municipal League Foundation. She can be reached at (517) 908-0306 or sharkins@mml.org

Michigan House Committee Shines Light on Dark Stores

State Representative John Kivela, D-Marquette, and municipal officials testify Nov. 4 before the House Tax Policy Committee on the Dark Stores issue

State Representative John Kivela, D-Marquette, and municipal officials testify Nov. 4 before the House Tax Policy Committee on the Dark Stores issue

The House Tax Policy committee met Wednesday, Nov. 4, 2015, to begin hearing testimony on the big box retail/dark store tax appeal issue.  The committee hearing was designed to provide an overview of the issue for the committee members, allowing assessing experts and local government officials to explain the issue and the impact of these appeals all around the state.  The committee room was filled to capacity, with many individuals forced to stand throughout the hearing.

Experts from the Michigan Assessors Association and the International Association of Assessing Officers described the process and analysis that goes into valuing property. They were followed by officials from Marquette and Chippewa County who testified about the impact that recent Michigan Tax Tribunal appeal decisions have had on their communities and the services they provide.  The committee also heard about the manipulation of property values that big box retailers are perpetrating through the placement of negative use deed restrictions to devalue buildings that they vacate and then point to later on as support for lowering their assessments.

Martin Marshall, president of the International Association of Assessing Officers, testifies on the Dark Stores issue.

Martin Marshall, president of the International Association of Assessing Officers, testifies on the Dark Stores issue.

As the time for the hearing started to run short, the committee heard from the Michigan Retailers Association (MRA) and their tax attorneys from Honigman Miller explain how they believe that no law change is needed. Through materials MRA has been providing legislators, they state that the problem is really about retailers being over-assessed by local governments as those local governments attempt to make up for lost revenue sharing and increased costs from “Cadillac” retiree healthcare plans. The Retailers assert that “Local governments are now encouraging assessors to overstep their boundaries and assess business property at a higher rate in order to pay for their government operations and benefits without harming communities.”

View the Dark Stores Coalition Letter 11-4-15 (003)

MML, MAC, MTA and numerous other organizations and local officials were not able to testify before the committee hearing ended, but the chair recognized the need to continue the discussion and is planning an additional hearing in early December where we will get a chance to address the committee and advocate for a legislative fix. The League coordinated with more than a dozen other organizations to submit a joint letter to the committee asking that they engage in enacting a solution. Along with organizing this coalition, the League is pursuing an aggressive public relations campaign to bring attention to this important issue through radio, television and print media. We urge your assistance with this effort by contacting your Senator and Representative to explain to them the importance of addressing these dark store appeals and restoring a fair and proper valuation system.

Chris Hackbarth is the League’s director of state affairs. He can be reached at 517-908-0304and chackbarth@mml.org.

 

Michigan House Committee Shines Light on Dark Stores

State Representative John Kivela, D-Marquette, and municipal officials testify Nov. 4 before the House Tax Policy Committee on the Dark Stores issue

State Representative John Kivela, D-Marquette, and municipal officials testify Nov. 4 before the House Tax Policy Committee on the Dark Stores issue

Update: Listen to a WJR radio show interview on this Dark Stores topic between the League’s Chris Hackbarth and WJR’s Frank Beckman: http://www.wjr.com/frankbeckmann/#. Be sure to listen to the subsequent interview between Beckman and State Rep. Jeff Farrington, R-Utica. (you’ll have to scroll down the page a bit and look under November 5). 

The House Tax Policy committee met Wednesday, Nov. 4, 2015, to begin hearing testimony on the big box retail/dark store tax appeal issue.  The committee hearing was designed to provide an overview of the issue for the committee members, allowing assessing experts and local government officials to explain the issue and the impact of these appeals all around the state.  The committee room was filled to capacity, with many individuals forced to stand throughout the hearing.

Experts from the Michigan Assessors Association and the International Association of Assessing Officers described the process and analysis that goes into valuing property. They were followed by officials from Marquette and Chippewa County who testified about the impact that recent Michigan Tax Tribunal appeal decisions have had on their communities and the services they provide.  The committee also heard about the manipulation of property values that big box retailers are perpetrating through the placement of negative use deed restrictions to devalue buildings that they vacate and then point to later on as support for lowering their assessments.

Martin Marshall, president of the International Association of Assessing Officers, testifies on the Dark Stores issue.

Martin Marshall, president of the International Association of Assessing Officers, testifies on the Dark Stores issue.

As the time for the hearing started to run short, the committee heard from the Michigan Retailers Association (MRA) and their tax attorneys from Honigman Miller explain how they believe that no law change is needed. Through materials MRA has been providing legislators, they state that the problem is really about retailers being over-assessed by local governments as those local governments attempt to make up for lost revenue sharing and increased costs from “Cadillac” retiree healthcare plans. The Retailers assert that “Local governments are now encouraging assessors to overstep their boundaries and assess business property at a higher rate in order to pay for their government operations and benefits without harming communities.”

View the Dark Stores Coalition Letter 11-4-15 (003)

MML, MAC, MTA and numerous other organizations and local officials were not able to testify before the committee hearing ended, but the chair recognized the need to continue the discussion and is planning an additional hearing in early December where we will get a chance to address the committee and advocate for a legislative fix. The League coordinated with more than a dozen other organizations to submit a joint letter to the committee asking that they engage in enacting a solution. Along with organizing this coalition, the League is pursuing an aggressive public relations campaign to bring attention to this important issue through radio, television and print media. We urge your assistance with this effort by contacting your Senator and Representative to explain to them the importance of addressing these dark store appeals and restoring a fair and proper valuation system.

Chris Hackbarth is the League’s director of state affairs. He can be reached at 517-908-0304and chackbarth@mml.org.

 

Michigan House Committee Shines Light on Dark Stores

State Representative John Kivela, D-Marquette, and municipal officials testify Nov. 4 before the House Tax Policy Committee on the Dark Stores issue

State Representative John Kivela, D-Marquette, and municipal officials testify Nov. 4 before the House Tax Policy Committee on the Dark Stores issue.

Update: Listen to a WJR radio show interview on this Dark Stores topic between the League’s Chris Hackbarth and WJR’s Frank Beckman. Be sure to listen to the subsequent interview between Beckman and State Rep. Jeff Farrington, R-Utica. (You’ll have to scroll down the page a bit and look under November 5). 

The House Tax Policy committee met Wednesday, Nov. 4, 2015, to begin hearing testimony on the big box retail/dark store tax appeal issue.  The committee hearing was designed to provide an overview of the issue for the committee members, allowing assessing experts and local government officials to explain the issue and the impact of these appeals all around the state.  The committee room was filled to capacity, with many individuals forced to stand throughout the hearing.

Experts from the Michigan Assessors Association and the International Association of Assessing Officers described the process and analysis that goes into valuing property. They were followed by officials from Marquette and Chippewa County who testified about the impact that recent Michigan Tax Tribunal appeal decisions have had on their communities and the services they provide.  The committee also heard about the manipulation of property values that big box retailers are perpetrating through the placement of negative use deed restrictions to devalue buildings that they vacate and then point to later on as support for lowering their assessments.

Martin Marshall, president of the International Association of Assessing Officers, testifies on the Dark Stores issue.

Martin Marshall, president of the International Association of Assessing Officers, testifies on the Dark Stores issue.

As the time for the hearing started to run short, the committee heard from the Michigan Retailers Association (MRA) and their tax attorneys from Honigman Miller explain how they believe that no law change is needed. Through materials MRA has been providing legislators, they state that the problem is really about retailers being over-assessed by local governments as those local governments attempt to make up for lost revenue sharing and increased costs from “Cadillac” retiree healthcare plans. The Retailers assert that “Local governments are now encouraging assessors to overstep their boundaries and assess business property at a higher rate in order to pay for their government operations and benefits without harming communities.”

View the Dark Stores Coalition Letter 11-4-15 (003)

MML, MAC, MTA and numerous other organizations and local officials were not able to testify before the committee hearing ended, but the chair recognized the need to continue the discussion and is planning an additional hearing in early December where we will get a chance to address the committee and advocate for a legislative fix. The League coordinated with more than a dozen other organizations to submit a joint letter to the committee asking that they engage in enacting a solution. Along with organizing this coalition, the League is pursuing an aggressive public relations campaign to bring attention to this important issue through radio, television and print media. We urge your assistance with this effort by contacting your Senator and Representative to explain to them the importance of addressing these dark store appeals and restoring a fair and proper valuation system.

Chris Hackbarth is the League’s director of state affairs. He can be reached at 517-908-0304and chackbarth@mml.org.

 

Country Road Association to Host Road Funding 101 Seminar

The County Road Association of Michigan will be hosting a “Road Funding 101” seminar in Mt. Pleasant on Tuesday December 8, 2015, from 12 – 4 pm. The half-day session will cover the basics on Michigan road revenues, the Michigan Transportation Fund and formula, and Act 51 reporting.

For more information or to register please click here.

John LaMacchia is a Legislative Associate for the League handling transportation, infrastructure, and energy issues. He can be reached at jlamacchia@mml.org or 517-908-0303.