The Community Revitalization legislation (SB 567) passed the House Commerce committee on Wednesday. It hit a small snag, though.
The bills create a program to replace the former Brownfield and Historic credits, and spend the $100 million allocated in the budget. There has been controversy over whether or not to include language allowing for this money to be used for obsolete and blighted properties (as it has for the past 11 years).
Rep. Jeff Farrington (R-Sterling Heights) had an amendment added to the bill that will prohibit functionally obsolete property from receiving more than 25% of the total cost of the eligible investment on a single project, and limit the total investment in any one project to $3 million. While better than his amendment that would prohibit functionally obsolete property entirely, this amendment is still cause for concern because it will potentially limit the ability to support projects for obsolete and blighted projects which will create big investments and jobs in our communities.
The House is expected to consider this bill next week. The League is working with the MEDC and developers to have this language removed. If that does not happen, we will work with the Senate to have it removed and work on this between the chambers or in conference committee. With only four weeks of session remaining (12 days), this will be interesting.
Andy Schor is the Assistant Director of State Affairs for the Michigan Municipal League. Contact him at (517) 908-0300 or by email at aschor@mml.org.
2a8fba89-3f00-4c31-ab88-a9f8dbbb7740|0|.0
