Cross references: Any ordinance levying, imposing or otherwise relating to taxes saved from repeal, § 1-12(a)(13); any ordinance granting a tax exemption for specific property saved from repeal, § 1-12(a)(14); administration, ch. 2; finance, § 2-81 et seq.; licenses, permits, and miscellaneous regulations, ch. 38.
State law reference: General Property Tax Act,
MCL 211.1 et seq.
[1]
State law reference: Tax exemption for certain projects, MCL
125.1415a.
[Code 1974, § 114-1; Ord. No. 2003-03, 2-4-2003; Ord. No. 2003-06, 4-15-2003]
The following words, terms, and phrases, when used in this article,
shall have the meanings ascribed to them in this section, except where
the context clearly indicates a different meaning:
The total collections during an agreed annual period from
all occupants of a housing project representing rent or occupancy
charges exclusive of charges for gas, electricity, heat or other utilities
furnished to the occupants.
A mortgage made, held, purchased, or assisted by the authority.
The state housing development authority.
A single person whose age is within the limits as specified
in § 11 of the Michigan State Housing Development Authority
Act of 1966, being MCL § 125.1411.
Elderly persons who meet the eligibility criteria set by
the Authority and/or the federal government.
A below-market-interest-rate mortgage insured, purchased,
or held by the secretary of the department of housing and urban development;
a market interest rate mortgage insured by the secretary of the department
of housing and urban development and augmented by a program of rent
supplements; a mortgage receiving interest reduction payments provided
by the secretary of the department of housing and urban development;
a mortgage on a housing project to which the authority allocates low
income housing tax credits under § 22b of Public Act No.
346 of 1966 (MCL § 125.1422b); or a mortgage receiving special
benefits under other federal law designated specifically to develop
low and moderate income housing, consistent with Public Act No. 346
of 1966 (MCL § 125.1411 et seq.).
A development that contains a significant element of housing
for persons of low or moderate income and elements of other housing,
commercial, recreational, industrial, communal, and educational facilities
that the authority determines improve the quality of the development
as it relates to housing for persons of low or moderate income.
Any of the following:
Residential real property developed or to be developed or receiving
benefits under Public Act No. 346 of 1966 (MCL § 125.1411
et seq.).
A specific work or improvement either for rental or for subsequent
sale to an individual purchaser undertaken by a nonprofit housing
corporation, consumer housing cooperative, limited dividend housing
corporation, mobile home park corporation, or mobile home park association
pursuant to or receiving benefits under Public Act No. 346 of 1966
(MCL § 125.1411 et seq.) to provide dwelling accommodations,
including the acquisition, construction, or rehabilitation of lands,
buildings, and improvements.
The Department of Housing and Urban Development of the United
States Government.
A corporation incorporated or qualified pursuant to the corporation laws of this state and Chapter 6 of the State Housing Development Authority Act of 1966, being MCL § 125.1481 through 125.1486 and a limited dividend housing association organized and qualified pursuant to Chapter 7 of the State Housing Development Authority Act of 1966, being MCL § 125.1491 through 125.1496, and any future amendments or replacements.
Families and persons who meet the eligibility criteria defined
in § 11 of the State Housing Development Authority Act of
1966, being MCL § 125.1411 or as defined by the authority
on the basis of specific conditions in Meridian Township.
A loan to be made by the authority or farmers home administration
or the United States Department of Housing and Urban Development to
the sponsor for the construction and permanent financing of the housing
development or a mortgage loan insured by HUD.
A nonprofit corporation incorporated under the corporation
laws of this state and Chapter 4 of the State Housing Development
Authority Act of 1966, being MCL § 125.1461 through 125.1465,
and any future amendments or replacements.
Persons or entities which have applied to either the authority
for a mortgage loan to finance a housing development or to another
governmental entity for a federally aided loan, as defined by Public
Act No. 346 of 1966 (MCL § 125.1411 et seq.).
Fuel, water, sanitary sewer services, and/or electrical services
which are paid by the housing development.
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The above terms and any other terms used in this article shall
be as defined, amended, or established from time to time by § 11
of Public Act No. 346 of 1966 (MCL § 125.1411).
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Cross reference: Definitions generally, § 1-2.
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[Code 1974, § 114-2; Ord. No. 2003-06, 4-15-2003]
The tax exemption provided to an owner of a housing project
financed with a federally-aided or authority-aided mortgage or advance
or grant from the authority, pursuant to the terms of Subsection 15a(1)
of the Michigan State Housing Development Authority Act of 1966, being
MCL § 125.1415a(1), shall not apply to any housing project,
or portion thereof, located within the boundaries of the Township,
which is owned by a consumer housing cooperative, mobile home park
corporation, or mobile home park association, as defined in § 11
of the Michigan State Housing Development Authority Act of 1966, being
MCL § 125.1411.
[Code 1974, § 114-3; Ord. No. 2003-03, 2-4-2003; Ord. No. 2003-06, 4-15-2003; amended by Ord. No.
2019-14, 9-17-2019]
The tax exemption shall apply to and a service charge shall
be paid in lieu of taxes by a housing project financed with a federally
aided or authority-aided mortgage or advance or grant from the authority
for elderly low-income or moderate-income persons or other low-income
or moderate-income persons when:
(1)
The housing project is owned by a nonprofit housing corporation or
limited dividend housing corporation; and
(2)
The housing development is, prior to initial occupancy, subject to
covenants running with the land which require that it be maintained
as housing for elderly low- or moderate-income persons or other low-income
or moderate-income persons the remainder of its economic life.
[Code 1974, § 114-4; Ord. No. 2003-06, 4-15-2003]
The class of housing projects described in § 66-28 and the property on which they will be constructed shall be exempt from all ad valorem property taxes from and after the commencement of construction. In lieu of such taxes the owner of the housing project shall pay to the Charter Township of Meridian an annual service charge for public services. Except as provided herein, the annual service charge shall be equal to 5% of the annual shelter rents obtained from the project. The service charge shall not exceed the ad valorem taxes that would have been paid on the property on which the project is located for the tax year before the date when construction or rehabilitation of the project was commenced.
[Code 1974, § 114-5; Ord. No. 2003-06, 4-15-2003; amended by Ord. No. 2019-14, 9-17-2019]
A resolution of the Township Board granting tax exempt status,
as provided in this article, shall be adopted for a housing project
qualified under the terms and provisions of this article. Payment
of a service charge in lieu of tax exemption will be effectuated by
adoption of a resolution by the Township Board.
[Code 1974, § 114-6]
The service charge in lieu of taxes as determined under this
article shall be payable in the same manner as general property taxes
are payable to the Township except that the annual payment shall be
paid on or before July 1 of each year.
[Code 1974, § 114-7; Ord. No. 2003-06, 4-15-2003]
Tax exempt status granted by the Township Board shall be forfeited
unless construction of the housing project to which such status is
granted is commenced within one year from the effective date of the
Township Board resolution approving that status. The tax exempt status
of a housing project approved by resolution of the Township Board
shall remain in effect and shall not terminate while the federally-aided
or authority-aided mortgage or advance or grant from the authority
is outstanding.
