Public Act 17 of 2004

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• Introduced by Sen. Nancy Cassis (R) on October 21, 2003, to revise the population threshold needed to qualify as an "urban township" in the Local Development Financing Act. The Act authorizes local governments to create local development authorities to undertake public facility projects funded by tax increment financing. Tax increment financing allows an authority to capture the increment of increased local property tax revenue that results from the economic growth which is supposed to result because of the new public facilities. These projects are intended to provide incentives for particular businesses to locate in an area. Under current law, an urban township must have population of 20,000 or more, or 13,000 or more if located in a county with at least 150,000. The bill would allow a township of any size to qualify if it is in a county with at least 450,000 people (Kent, Macomb, Oakland, and Wayne Counties).
  • Referred to the Senate Economic Development, Small Business and Regulatory Reform Committee on October 21, 2003.
  • Referred to the Senate Natural Resources & Environmental Affairs Committee on October 22, 2003.
  • Reported in the Senate on December 4, 2003, with the recommendation that the substitute (S-1) be adopted and that the bill then pass.
  • Substitute offered in the Senate on December 9, 2003, to replace the previous version of the bill with one which establishes adds to the current definition of urban township a township which has a written agreement with an adjoining township to develop one or more public facilities on contiguous property located in both townships, located in a county with a population of one-million or more (Oakland and Wayne Counties). The substitute passed in the Senate by voice vote on December 9, 2003.
• Passed in the Senate (38 to 0) on December 11, 2003, to include in the definition of "urban township" for purposes of establishing a local development finance authority, a township which has a written agreement with an adjoining township to develop one or more public facilities on contiguous property located in both townships, located in a county with a population of one-million or more (Oakland and Wayne Counties). A local development finance authority may use revenue "captured" from the increment of increased local property taxes that result from economic growth which is supposed to occur due to the new public facilities funded by the authority. [Vote Details and Comments]
• Received in the House on December 16, 2003.
  • Referred to the House Commerce Committee on December 16, 2003.
  • Referred to the House Local Government and Urban Policy Committee on December 17, 2003.
    • Reported in the House on February 3, 2004, without amendment and with the recommendation that the bill pass.
• Passed in the House (58 to 42) on February 11, 2004, to include in the definition of "urban township" for purposes of establishing a local development finance authority, a township which has a written agreement with an adjoining township to develop one or more public facilities on contiguous property located in both townships, located in a county with a population of one-million or more (Oakland and Wayne Counties). A local development finance authority may use revenue "captured" from the increment of increased local property taxes that result from economic growth which is supposed to occur due to the new public facilities funded by the authority. [Vote Details and Comments]
• Signed by Gov. Jennifer Granholm on March 4, 2004.