2004 Senate Bill 1201 ↩

House Roll Call 1055: Passed

To allow Downtown Development Authorities (DDA’s) in neighboring municipalities to enter joint operating agreements. DDA’s have the power to levy up to two-mills in property taxes on local businesses, to borrow, and to create tax increment financing plans. These “capture” the increment of increased local property tax revenue anticipated from the economic growth which it is hoped will be generated by the construction of new public facilities. Money is borrowed to fund the new facilities, and the “captured” tax revenue is used to pay off the loan. The bill also revises the law to allow a DDA to be created around a particular development in Livingston County.