Bill
SB 110
Extends Michigan's homestead property tax exemption to surviving spouses of public safety officers killed in the line of duty, if they own and use the home as a homestead.
Status: Introduced January 23, 2025 — Referred to Committee on Finance, Insurance, and Consumer Protection
Summary
SB 110 would amend section 7b of the General Property Tax Act (1893 PA 206; MCL 211.7b) to extend an existing homestead property tax exemption to the surviving spouse of a public safety officer (commonly described as an emergency first responder) who was killed in the line of duty. The change treats that surviving spouse similarly to other groups already eligible under the statute (e.g., disabled veterans and surviving spouses of disabled veterans).
Purpose / intent
- To provide property tax relief by exempting from local property tax collection the homestead owned and used by the surviving spouse of an emergency first responder who died as the direct and proximate result of a line-of-duty injury.
Key provisions
- Adds a new subsection to MCL 211.7b making "real property used and owned as a homestead" exempt when owned by the surviving spouse of a public safety officer who died as the direct and proximate result of a personal injury sustained in the line of duty.
- Incorporates applicable definitions by reference: the terms “direct and proximate,” “line of duty,” and “public safety officer” are defined as in section 2 of the Public Safety Officers’ Benefit Act (2004 PA 46; MCL 28.632).
- Application process: an eligible individual (or legal designee) must file an application in the form and manner prescribed by the State Tax Commission with the local assessing officer after January 1 and before December 31 of the calendar year for which the exemption is claimed.
- Continuation of exemption: once granted, the statute specifies that an exemption remains in effect without subsequent reapplication until rescinded by the individual or denied by the assessor (consistent with existing language for related exemptions).
- Proration rules: if the qualifying individual does not use and own the property as a homestead for the entire tax year, the bill cites proration methods the treasurer shall use (e.g., using closing/purchase documents or dividing annual taxes by 365 and multiplying by days of ownership/use).
- Fiscal/designation language: upon granting the exemption, each local taxing unit bears the loss of tax revenue attributable to the exemption (language follows existing practice under the statute).
Who is affected
- Primary beneficiaries: surviving spouses of public safety officers (emergency first responders) who died as the direct and proximate result of line-of-duty injuries, provided they own and use the property as a homestead and meet application requirements.
- Local officials: assessors (to accept/process applications), local treasurers (to calculate/prorate exemptions), and local taxing units (which bear any lost levy revenue from granted exemptions).
- State Tax Commission: to prescribe application form and manner.
Procedural and timing notes
- Introduced Jan 23, 2025; currently referred to the Senate committee noted above.
- Applicants must file for the exemption during the calendar year for which it is claimed (Jan 1–Dec 31).
- The bill relies on definitions and cross-references in the Public Safety Officers’ Benefit Act; eligibility hinges on those statutory definitions and any determinations under that act.
Potential fiscal impact
- The bill does not specify a fiscal estimate. Under the statute’s existing structure, local taxing units absorb the revenue loss from an exemption. Actual fiscal effect would depend on the number and location (tax bases) of eligible surviving spouses who claim the exemption.
Statute amended
- 1893 PA 206, sec. 7b (MCL 211.7b).
Compiled from official sources — confirm details with the bill’s official record.
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