SB0565

Property tax: exemptions; fund from which municipalities are reimbursed for certain revenue lost due to the small business property tax exemption; modify to require that unused funds lapse to the general fund. Amends sec. 3a of 2000 PA 489 (MCL 12.253a).

Complete·10/8/25

Michigan SB0565 modifies the local government reimbursement fund to require unused funds to lapse to the general fund.

Michigan SB0565 amends the local government reimbursement fund to require that any unused funds lapse to the general fund. The fund, created in the state treasury, is used to compensate municipalities for revenue lost due to the small business property tax exemption. The state treasurer manages the fund, which receives money from the use tax act and other sources. If the fund's money is insufficient to fully compensate all affected municipalities, payments are prorated. The Department of Treasury administers the fund and expends money only for compensating municipalities.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

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Sponsors

D
1
0
Democratic CaucusRepublican Caucus

Roll Call Votes

102 Yea

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7 Nay

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History

Oct 8, 2025

Senate

Presented To Governor 10/7/2025 1:20 Pm

Oct 8, 2025

Senate

Approved By Governor 10/7/2025 2:02 Pm

Oct 8, 2025

Senate

Filed With Secretary Of State 10/7/2025 2:52 Pm