2024 House Bill 5866

AI Analysis – Experimental

House Bill No. 5866 aims to amend the Tax Tribunal Act of 1973 (MCL 205.701 to 205.779) by adding Section 38. This new section mandates that in disputes regarding the true cash value of real or personal property, the tribunal must independently determine and clearly state its findings of fact and conclusions of law. These determinations must cover various aspects, including the market conditions, the highest and best use of the property, and the economic viability of the property at its specific location. The tribunal is required to assess the physical, legal, and financial feasibility of the property's use, and to calculate replacement or reproduction costs for properties with similar utility and features. Additionally, the tribunal must identify comparable properties and ensure that all relevant information, such as private restrictions or covenants, is verified and accurately disclosed. The bill also stipulates that the tribunal's findings must be based on substantial and reliable evidence, and it must adhere to generally accepted appraisal principles, including the Uniform Standards of Professional Appraisal Practice. The tribunal is instructed to defer to the assessing agency's determinations of true cash value if proper procedures were followed. The bill defines key terms such as "private restriction or covenant," "substantial evidence," "tax day," and "true cash value" to ensure clarity in its application. The enactment of this bill is contingent upon the passage of related bills in the 102nd Legislature, specifically Senate Bill No.____ or House Bill No. 5867, and Senate Bill No.____ or House Bill No. 5868.

HB 5867 would require petitioners to provide a detailed estimate of the property's true cash value, the valuation method used, differences from the assessing agency's method, and any errors made by the agency.

HB 5868 adds a definition for "entire tribunal" to the act.