LANSING, Mich. — Legislation sponsored by state Sen. Ken Horn amending the Commercial Rehabilitation Act was signed by Gov. Snyder on Tuesday.
The Commercial Rehabilitation Act allows a city, village or township to establish commercial rehabilitation districts and allow tax exemptions for qualified parcels of land deemed likely to increase commercial activity or create employment.
If the land owner intends to rehabilitate the property, they may apply for a commercial rehabilitation certificate. If a certificate is granted, the facility retains its current tax level for a period of time in order to create an incentive to redevelop the area.
The act was set to expire Dec. 31, 2015, but Senate Bill 556 extends that sunset by five years, enabling the program to remain in effect through Dec. 31, 2020.
“This is an extremely important tool for local units of government to use to fix up old properties and make them beneficial to the community,” said Horn, R-Frankenmuth. “As chair of the Senate Economic Development and International Investment Committee, I was happy to work with all involved and to see this legislation pass with bipartisan support in both the House and Senate.”
“The Commercial Rehabilitation Act has made it possible for many vacant sites and buildings across the state to be put into productive re-use, which has in turn created much needed jobs and tax revenue,” said David Carroll, Rock Ventures vice president. “We are glad to see the act extended and we are grateful for Senator Horn’s leadership. This extension will help ensure the continued positive momentum we’re seeing in Detroit and across Michigan.”
SB 556 is now Public Act 218 of 2015.