Public Act 209 of 2009 (PA 209-09)

PA 209-09 amends the Plant Rehabilitation and Industrial Development Act (PA 198) to allow a property tax abatement for an electric generating plant fueled by biomass that is not owned by a local unit of government if:

(1) the plant involves the reuse of a federal Superfund site remediated by the U.S. Environmental Protection Agency; and

(2) an independent study has concluded that the plant would not have an adverse effect on wood supply in the area from which the plant's wood supply would be derived.

A plant would be presumed not to have an adverse effect if the company has a study funded by the U.S. Department of Energy and managed by the Michigan Department of Energy, Labor, and Economic Growth concluding that the plant will consume not more than 7.5% of the annual wood growth within a 60-mile radius of the plant.

Public Act 162 of 2009 (PA 162-09)

PA 162-09, effective December 14, 2009, allows the designation of all or part of a local development finance authority district as a certified alternative energy park. The bill allows the Michigan Economic Development Corporation (MEDC) to designate up to 10 certified alternative energy parks. The MEDC cannot enter into a agreement for an alternative energy park after December 31, 2011. The bill allows a municipality in which a certified alternative energy park is located to make a tax pledge to support an authority's tax increment financing bonds. The Local Development Financing Authority Act allows a local development finance authority to “capture” revenue from property tax millage that is levied on increased property values, within the jurisdiction to the authority.

Public Act 161 of 2009 (PA 161-09)

PA 161-09, effective December 14, 2009, amends the Local Development Financing Act to allow the Michigan Economic Development Corporation to designate an additional two certified technology parks (Smart Zones) after June 1, 2009 and before April 1, 2010.  Under the Act, these special technology parks or zones can “capture“ the growth in property taxes (tax increments) within the park.