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HomeMy WebLinkAboutResolutions - 2004.04.22 - 11830REPORT (MISC. #04076) BY: General Government Committee, William R. Patterson, Chairperson IN RE: BOARD OF COMMISSIONERS – PAYMENT IN LIEU OF TAXES (PILT) To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: The General Government Committee, having reviewed Miscellaneous Resolution #04076 on April 5, 2004, reports with a recommendation that the resolution be amended by deleting the first BE IT FURTHER RESOLVED paragraph. Chairperson, on behalf of the General Government Committee, I move acceptance of the foregoing report. GENERAL GOVERNMENT COMMITTEE MISCELLANEOUS RESOLUTION #04076 BY: Commissioner Eric Coleman, District #23 IN RE: BOARD OF COMMISSIONERS - PAYMENT IN LIEU OF TAXES (PILT) To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS the State of Michigan provides local units of governments with a Payment in Lieu of Taxes (PILT) for all tax-reverted, recreation and forest land that is owned by the State and administered by the Department of Natural Resources; and WHEREAS the state of Michigan executive budget recommendation on the payment in lieu of taxes (PILT) includes the recommendation that payments on property purchased by the Department of Natural Resources (DNR) shall move from the responsibility of the DNR and be paid from the state’s statutory revenue sharing pot and that payments are frozen at 2003 levels; and WHEREAS in Oakland County, the cities and villages would experience a combined revenue loss of $229,000 and the county would lose $175,000. The revenue loss for all taxing authorities within Oakland County would amount to $1.2 million; and WHEREAS the DNR has not yet paid its obligation under PILT for Fiscal Year 2004, although the Legislature appropriated funding for this purpose; and WHEREAS the Administration’s proposal for revenue sharing this year includes total elimination of county revenue sharing. Linking PILT to this source creates an unstable base of funding for this program which is critical to maintain key county services; and WHEREAS freezing PILT payments potentially increases the tax burden of all other county residents and represents a real cut in funding for critical programs because of Headlee requirements; and WHEREAS the Administration’s proposal takes away any incentive for the DNR to utilize prudence in deciding which parcels of property to purchase; and WHEREAS these two programs have distinctly different purposes, revenue sharing is to be utilized statewide for counties to conduct state-mandated programs, and PILT is used to offset pressures of providing services in those specific areas where state land is prevalent; and WHEREAS another component of this budget proposal is to cap commercial forest payments at 1994 levels, a proposal which is particularly difficult for Upper Peninsula Counties; and WHEREAS Oakland County officially opposes the Administration’s proposal for PILT funding and strongly urges the Legislature to maintain the current process of having the DNR make PILT payments. NOW THEREFORE BE IT RESOLVED that Oakland County supports funding the payments by utilizing any and all possible DNR sources of funding, including restricted funds and revenue from the sale of state lands. BE IT FURTHER RESOLVED that Oakland County also supports efforts to streamline tax bills so the DNR gets just one bill from each county and supports giving local governments veto authority on future DNR land purchases, in their respective jurisdictions. BE IT FURTHER RESOLVED that the Oakland County Clerk forward copies of this adopted resolution to Governor Jennifer Granholm, Senator Shirley Johnson, Senator Michelle McManus, Representative Marc Shulman, Representative John Pastor, the Oakland County delegation to the state legislature, Michigan Association of Counties and Oakland County's legislative lobbyists. Chairperson, I move the adoption of the foregoing resolution. ERIC COLEMAN, VINCENT GREGORY, HELAINE ZACK, MATTIE HATCHETT, HUGH CRAWFORD, JEFF POTTER, CHARLES PALMER, ERIC WILSON, CHUCK MOSS, GEORGE SUAREZ, WILLIAM PATTERSON, MARTIN KNOLLENBERG, CHRISTINE LONG, EILEEN KOWALL, JOHN SCOTT, SUE ANN DOUGLAS, GREG JAMIAN, MICHAEL ROGERS Moved by Patterson supported by Coulter the resolution be adopted. Moved by Middleton supported by Coleman the General Government Committee Report be accepted. A sufficient majority having voted therefore, the report was accepted. Moved by Patterson supported by Knollenberg the resolution be amended to coincide with the recommendation in the General Government Committee Report. A sufficient majority having voted therefore, the amendment carried. Vote on resolution, as amended: AYES: Gregory, Hatchett, Jamian, Knollenberg, Kowall, Long, McMillin, Middleton, Moffitt, Moss, Palmer, Patterson, Potter, Rogers, Scott, Suarez, Webster, Wilson, Zack, Bullard, Coleman, Coulter, Crawford, Douglas. (24) NAYS: None. (0) A sufficient majority having voted therefore, the resolution, as amended, was adopted.