Senate Bill 1018 Summary

• Amends the Local Community Stabilization Authority Act to modify definitions related to property tax exemptions for industrial and commercial personal property, including acquisition cost percentages (100%, 52.1%, and 37.5%) for eligible personal property.

• Establishes distribution requirements for local community stabilization share revenue beginning in fiscal year 2014-2015, prioritizing school debt loss, essential services funding, and tax increment finance authority losses before distributing remaining funds.

• Creates a phased distribution system starting in calendar year 2019 allocating 5% of total qualified loss to municipalities annually, increasing by 5% each year (capped at 100%) through specific millage rate calculations based on eligible personal property acquisition costs.

• Allocates $15 million annually beginning in calendar year 2018 for municipalities providing fire protection services at state facilities, with remaining funds distributed to counties (30%), cities (48%), townships (5%), villages (2%), and community colleges (15%) based on population and qualified loss proportions.

• Specifies minimum distribution amounts for calendar years 2014-2028, with amounts increasing annually, and provides for future increases based on the personal property growth factor beginning in fiscal year 2028-2029.