The League scored a victory this week when HB 4759 passed the House Commerce Committee unanimously and the House 103-7. This legislation amends the Commercial Rehabilitation Act to allow communities to use this tool for vacant land. The intention is to use it for vacant land in already-designate commercial areas. Several communities have had fires that have resulted in vacant land, and expected a desire to use this tool. In addition, it could be used for property that needs to be torn down as a result of blight or other reasons. The Commercial Rehab Act allows a community to freeze taxes for 1 to 10 years for a property.
This bill was sponsored by Rep. Sharon Tyler (R-Niles) on behalf of several communities that requested it. Rep Tyler, as a former economic development director, has pushed this legislation since first getting elected. League staff testified along with Rep. Tyler in support of the bill. Kathy Ramso of the City of Bridgman also joined in testifying in support.
Additionally, a substitute was adopted that would allow this tool to be used for a new hotel or motel that is being built next to the Suburban Showplace (formerly Rock Financial) in Novi. Separate legislation had been moving to add these hotels and motels to PA 198, but objections were raised in regards to adding a commercial property to an industrial-focused act. The amendment retained all local approvals.
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.
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