MI HB5585

Allows tax increment finance authorities to request local tax collectors retain and pay state education tax revenues when personal property tax exemptions reduce tax increment revenues, with approval from the Department of Treasury.

Requires authorities to submit applications by June 15, 2008, September 30, 2009, and June 1 annually thereafter, including information on property tax millage rates, estimated tax increment revenues, eligible obligations, and advance payments due.

Authorizes the Department of Treasury to approve, modify, or deny applications by August 15 each year, with a 21-day discussion period and 30-day decision window if an application is denied.

Requires the legislature to appropriate and distribute funds to authorities for any shortfall between retained education taxes and calculated amounts, or to reimburse full calculated amounts if the application is denied.

Specifies that state education tax revenues retained under this section are subject to pledges securing eligible obligations and that distributions do not constitute state debt or indebtedness.