2006 House Bill 5901 ↩

Senate Roll Call 853: Passed

To revise the definition of "eligible obligations" in the law authorizing downtown development authorities (DDAs), to include certain obligations incurred by the DDA in the town of Bad Axe. This affects tax increment financing (TIF) used by the DDA, which allows it to capture increased local property tax revenue, but not school tax revenue, that results from their financing of certain improvement projects. Due to provisions of Proposal A starting in 1994, the use of school tax revenue in a TIF scheme is not permitted without an exemption.