Introduced by Sen. Vincent Gregory D-Southfield on March 24, 2011
To eliminate a cap on the maximum amount that tax assessors can raise the assessment of rental property due to a higher occupancy rate, if the assessment had been previously lowered as a result of a lower occupancy rate. A 2002 Supreme Court ruling (WPW vs. Troy) held that raising these assessments faster than inflation violates the Constitutional tax cap put in place by Proposal A in 1994, which limits assessment increases to five percent or the rate of inflation, whichever is less. Official Text and Analysis.
Referred to the Senate Finance Committee on March 24, 2011