2012 House Bill 6007 / Public Act 409

Establish new “non-ferrous” mine taxation regime

Introduced in the House

Nov. 8, 2012

Introduced by Rep. Matt Huuki (R-110)

To revise the taxation of “non-ferrous” mines (including new copper and other mineral mines in the Upper Peninsula). The bill is part of a package that would exempt these mines from property, income, sales and use taxes, and instead levy a “severance tax” on them based on the amount of material extracted. Various credits would be allowed against pre-operational start-up costs, including regulatory compliance costs. This bill contains the property tax exemption, and House Bill 6008 the new tax.

Referred to the Committee on Tax Policy

Nov. 27, 2012

Reported without amendment

With the recommendation that the substitute (H-1) be adopted and that the bill then pass.

Nov. 28, 2012

Substitute offered

The substitute passed by voice vote

Nov. 29, 2012

Passed in the House 63 to 43 (details)

Received in the Senate

Nov. 29, 2012

Referred to the Committee on Economic Development

Dec. 6, 2012

Reported without amendment

With the recommendation that the bill pass.

Dec. 13, 2012

Substitute offered

The substitute passed by voice vote

Passed in the Senate 26 to 12 (details)

To revise the taxation of “non-ferrous” mines (including new copper and other mineral mines in the Upper Peninsula). The bill is part of a package that would exempt these mines from property, income, sales and use taxes, and instead levy a “severance tax” on them based on the amount of material extracted. Various credits would be allowed against pre-operational start-up costs, including regulatory compliance costs. This bill contains the property tax exemption, and House Bill 6008 the new tax.

Received in the House

Dec. 13, 2012

Dec. 14, 2012

Passed in the House 67 to 38 (details)

To concur with the Senate-passed version of the bill.

Signed by Gov. Rick Snyder

Dec. 20, 2012