HB 5639 Summary

• Amends the Plant Rehabilitation Act (1974 PA 198) to add "existing facility" as a new category of industrial property eligible for tax exemption certificates, alongside replacement facilities and new facilities.

• Defines "existing facility" as industrial property that is not a replacement or new facility and has either been vacant for 3+ years immediately before application or became vacant due to the occupant entering bankruptcy proceedings.

• Prohibits approval of exemption certificates for existing facilities beginning December 30, 2015, effectively eliminating future eligibility for this category while preserving certificates already issued.

• Adds "existing facility" to assessment and taxation provisions to require annual valuation determinations by assessors for facilities with active exemption certificates.

• Includes technical amendments to allow speculative buildings and existing facilities to be considered in applications after construction has commenced, expanding eligibility beyond the standard requirement that district establishment precede construction start.