[Amended 8-15-1994 by Ord. No. 94-08; 2-7-2021 by Ord. No. 22-01]
The terms used in this division shall have the same meanings
as given them in Act No. 57 of the Public Acts of Michigan of 2018,
as amended, or as provided in this section, unless the context clearly
indicates to the contrary. As used in this division:
Act No. 57 of the Public Acts of Michigan of 2018, as now
in effect or hereafter amended.[1]
The Downtown Development Authority of the City created by
this division.
The board of directors of the authority.
The downtown district designated in this division or as hereafter
amended.
[1]
Editor's Note: See MCL 125.4201 et seq.
[Amended 8-15-1994 by Ord. No. 94-08; 2-7-2021 by Ord. No. 22-01]
The City Council hereby determines that it is in the best interest
of the City to create a public body corporate to halt property value
deterioration, increase property tax valuation where possible in the
business district of the City, eliminate the causes of that deterioration,
and to encourage historic preservation, and to promote economic growth
pursuant to Act No. 57.
[Amended 8-15-1994 by Ord. No. 94-08; 2-7-2021 by Ord. No. 22-01]
There is hereby created pursuant to Act No. 57 a Downtown Development
Authority for the City. The authority shall be a public body corporate
and shall be known and exercise its powers under title of the Corunna
Downtown Development Authority. The authority may adopt a seal, may
sue and be sued in any court of this state, and shall possess all
of the powers necessary to carry out the purpose of its incorporation
as provided in this division and in Act No. 57. The enumeration of
a power in this division or in Act No. 57 shall not be construed as
a limitation upon the general powers of the authority.
[Amended 8-15-1994 by Ord. No. 94-08; 2-7-2021 by Ord. No. 22-01]
The downtown district in which the Downtown Development Authority
shall exercise its powers as provided by Act No. 57 shall consist
of the property in the City described on exhibit A to the ordinance
from which this division is derived and which is on file in the City
Clerk's office and made a part of this division, subject to such changes
as may hereinafter be made pursuant to this division and Act No. 57.
[Amended 8-15-1994 by Ord. No. 94-08; 6-7-1999 by Ord. No. 99-04, 1-7-2002 by Ord. No. 02-03; 2-7-2021 by Ord. No. 22-01; 3-8-2023 by Ord. No. 23-02]
(1)Â
The Downtown Development Authority shall be under the supervision
and control of a board consisting of the mayor of the City or his/her
designee and eight (8), ten (10) or twelve (12) additional members.
The members shall be appointed by the mayor subject to approval by
the Council. Eligibility for membership on the board and terms of
office shall be as provided in Act No. 57. All members shall hold
office until the member's successor is appointed.
(2)Â
Of the authority membership there will be a president, vice president,
treasurer and secretary voted upon by the entire authority. All meetings
must have five (5), six (6), or seven (7) members present relative
to the nine (9), eleven (11), or thirteen (13) membership to enact
business.
(3)Â
All members of the Downtown Development Authority shall serve as
such without compensation. Not less than a majority of the members
shall be persons having an interest in property located in the downtown
district or officers, members, trustees, principals, or employees
of a legal entity having an interest in property located in the downtown
district.
(4)Â
Proposed minutes of the Downtown Development Authority meetings are
to be submitted to the City Manager within ten business days following
the Downtown Development Authority meeting. Approved minutes are to
be submitted to the City Manager within five days of approval.
(5)Â
Any member absent two consecutive meetings or 25% of regular meetings
in a calendar year, without prior written approval by the City Manager,
will be considered for removal from the authority. All absences shall
be recorded in the meeting minutes.
[Amended 8-15-1994 by Ord. No. 94-08; 2-7-2021 by Ord. No. 22-01]
The Downtown Development Authority shall possess all of the
powers necessary to carry out the purposes of its incorporation and
shall have all powers provided by Act No. 57.
[Amended 8-15-1994 by Ord. No. 94-08]
(a)Â
The fiscal year of the Downtown Development Authority shall begin
on July 1 of each year and end on June 30 of the following year, or
such other fiscal year as may be adopted by the City.
(b)Â
The board shall annually prepare a budget and shall submit it to
the City Council. The board shall not finally adopt a budget for any
fiscal year until the budget has been approved by the Council. The
board may, however, temporarily adopt a budget in connection with
the operation of any improvements which have been financed by revenue
bonds where required to do so by the ordinance authorizing the revenue
bonds.
(c)Â
The authority shall be audited annually by the same independent auditors
auditing the City and copies of the audit report shall be filed with
the Council.
[Amended 8-15-1994 by Ord. No. 94-08]
Upon completion of its purposes the Downtown Development Authority
may be dissolved by an ordinance duly adopted by the Council. The
property and assets of the authority, after dissolution and satisfaction
of its obligations, shall revert to the City.
[Ord. No. 22-02, 7-18-2022]
(a)Â
ACT 57
CAPTURED ASSESSED VALUE
DEVELOPMENT AREA
DEVELOPMENT PLAN
DOWNTOWN DEVELOPMENT AUTHORITY
INITIAL ASSESSED VALUE
TAX INCREMENT
TAX INCREMENT FINANCING PLAN
TAXING JURISDICTION
The
terms used in this division shall have the following meanings unless
the context clearly requires otherwise:
The Downtown Development Authority Act, Act No. 57 of Public
Acts of Michigan of 2018, as may be amended.[1]
The amount in any one year by which the current assessed
value as finally equalized of all taxable property in the development
area exceeds the initial assessed value, as more fully described in
the Development Plan and Tax Increment Financing Plan.
The area within the boundaries of the City of Corunna Downtown
Development Authority District, as described in Exhibit A of the Downtown
Development Authority Ordinance, Ordinance No. 4-88, and as illustrated
in the Downtown Development Authority Development Plan and Tax Increment
Financing Plan, and as amended and expanded by resolution of the Council
on October 4, 2004, by adding District No. 2.
The Development Plan for the Downtown Development Authority
District, illustrated in the Downtown Development Authority Development
Plan and Tax Increment Financing Plan.
The City of Corunna Downtown Development Authority as established
by Ordinance No. 4-88.
The most recently assessed value, as finally equalized by
the State Board of Equalization, of all taxable property within the
boundaries of the Downtown Development Authority District at the time
of adoption of this division, as more fully described in the Downtown
Authority Development Plan and Tax Increment Financing Plan.
That portion of the tax levy of all taxing jurisdictions
paid each year on real and personal property in the Downtown Development
Authority District on the captured assessed value, as more fully described
in the Downtown Development Authority Development Plan and Tax Increment
Financing Plan.
The Tax Increment Financing Plan for the City of Corunna
Downtown Development Authority District, including the Development
Plan, as transmitted to the City Council by the Downtown Development
Authority for public hearing, and as confirmed by this division, copies
of which are on file in the office of the City Clerk and as amended
by the new plan adopted by the City Council in 2022.
Each unit of government levying an ad valorem property tax
on property in the Downtown Development Authority District.
[1]
Editor's Note: See MCL 125.4201 et seq.
(b)Â
All
other undefined terms, unless the context of this division specifically
required otherwise, shall have the meanings attributed to them by
current usage.
[Ord. No. 22-02, 7-18-2022]
(a)Â
Pursuant
to Section 19(1) of Act 197, the City Council of the City of Corunna,
Shiawassee County, hereby finds and determines in accordance with
Section 19(1) of Act 197 as follows:
(1)Â
That
the Development Plan and Tax Increment Financing Plan constitutes
and embodies a public purpose of the City;
(2)Â
That
the Development Plan and Tax Increment Financing Plan meets the requirements
set forth in of Act 57 of the Public Acts of Michigan of 2018;
(3)Â
That
the proposed method of financing the development activities described
in the Development Plan and Tax Increment Financing Plan is feasible
and that the Downtown Development Authority has the ability to arrange
the financing;
(4)Â
That
the development activities described in the Development Plan and Tax
Increment Financing Plan are reasonable and necessary to carry out
the purposes of Act 57;
(5)Â
That
the land to be acquired within the Downtown Development Authority
District is reasonably necessary to carry out the purposes of the
Development Plan and Tax Increment Financing Plan and the purposes
of Act 57;
(6)Â
That
the Development Plan and Tax Increment Financing Plan is in reasonable
accord with the approved Master Plan of the City of Corunna;
(7)Â
That
public services, such as fire and police protection and utilities,
are, or will be, adequate to service the Downtown Development Authority
District; and
(8)Â
That
such changes in zoning, streets, street levels, intersections, and
utilities as are contemplated by the Development Plan and Tax Increment
Financing Plan are reasonably necessary for the project.
(b)Â
In accordance
with the foregoing considerations, the Downtown Development Authority
Development Plan and Tax Increment Financing Plan are hereby approved
and adopted for all purposes of Act No. 57 consistent with said plans,
with the following additions, modifications and/or conditions:
(c)Â
A copy
of the Development Plan and Tax Increment Financing Plan, and all
respective amendments thereto, shall be maintained on file in the
City Clerk's office and cross-indexed to this division.
[Ord. No. 22-02, 7-18-2022]
The boundaries of the development area are hereby adopted and
confirmed as amended on July 18, 2022, adding District No. 2.
[Ord. No. 22-02, 7-18-2022]
(a)Â
Within
90 days of the effective date of this division, the City Assessor
shall prepare the initial base year assessment roll. The base year
assessment roll shall list each taxing jurisdiction in which the Downtown
Development Authority District is located, the initial assessed value
of the development district on the effective date of this division,
and the amount of tax revenue derived by each taxing jurisdiction
from ad valorem taxes on the property in the development district.
(b)Â
The
City Assessor shall transmit copies of the base year assessment roll
to the City Treasurer, the County Treasurer, the Downtown Development
Authority, and each taxing jurisdiction, together with a notice that
the assessment roll has been prepared in accordance with this division
and the Development Plan and Tax Increment Financing Plan approved
by this division.
[Ord. No. 22-02, 7-18-2022]
Each year within 15 days following the final equalization of
property in the development district, the City Assessor shall prepare
an updated annual assessment roll. The annual assessment roll shall
show the information required in the base year assessment roll and,
in addition, the captured assessed value for that year. Copies of
the annual assessment roll shall be transmitted by the Assessor to
the same persons as the base year assessment roll, together with a
notice that it has been prepared in accordance with this division
and the Development Plan and Tax Increment Financing Plan.
[Ord. No. 22-02, 7-18-2022]
Annually, the authority shall submit to the governing body of
the municipality and the State Tax Commission a report on the status
of the Tax Increment Financing account. The report shall include:
the amount and source of revenue in the account; the amount and purpose
of expenditures from the account; the amount of principle and interest
on any outstanding bonded indebtedness; the initial assessed value
of the project area; the captured assessed value retained by the authority;
the tax increments received; and any additional information the governing
body or the State Tax Commission considers necessary. The report shall
be published in a newspaper of general circulation in the municipality.
[Ord. No. 22-02, 7-18-2022]
All tax increments shall be transmitted by the City Treasurer
into an account of the Downtown Development Authority at the earliest
practicable date. All tax increments so received by the Downtown Development
Authority shall be disbursed in accordance with the provisions of
the Development Plan and Tax Increment Financing Plan and the requisitions
of the Downtown Development Authority. Surplus funds shall revert
proportionately to the respective taxing bodies. For the purpose of
segregation and transfer of such funds, the City Treasurer shall maintain
a separate fund which shall be kept in a depository bank account or
accounts in a bank or banks approved by the City Council, to be designated
Downtown Development Authority project fund. All amounts payable to
the Downtown Development Authority shall, subject to the foregoing,
be deposited directly in the Downtown Development Authority project
fund.
[Ord. No. 22-02, 7-18-2022]
The Tax Increment Financing Plan will continue in effect until
all purposes of the Development Plan and Tax Increment Financing Plan
have been fulfilled, as amended from time to time, including a new
plan adopted by the City Council in 2022.
[Ord. No. 22-02, 7-18-2022]
This division shall be effective upon adoption and publication
in accordance with the statutes of the State of Michigan.
