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Cherry Home Special Assessment

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Public Act 188 of 1954

  • Enabling authority to create special assessment districts to for specified public improvements.

  • Cherry Homes – public road improvements

  • MCL 41.772(c): specifies the types of improvements under PA 188:

    • The construction, improvement, and maintenance of public roads.

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Two Ways to Initiate� a Special Assessment District

    • Township Board:
      • The Township Board may initiate a special assessment district on its own by adopting a resolution of intent to create a special assessment district.
    • Petition:
      • Sometimes, a Township Board is not comfortable initiating a SAD without a citizen petition.

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Petition

  • Recommendation: Township requires a petition of not less than 50% signed by the record owners based on the total frontage upon the road in the special assessment district.
  • The Township may require more than than 50%.
  • SAD cannot be blocked if at least 50% threshold is met.

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Resolution of Intent

  • Adopted at an open meeting; no Public Hearing is required.
  • The Resolution does the following:
    • Tentatively declares the Board’s intent to under take the special assessment and to fund the improvement of the specified improvement (i.e. public roads);
    • Requires the Township to obtain preliminary plans for the construction/improvement of the public roads within the district boundaries;
    • Plans must contain an estimate of costs;
    • Tentatively designates the SAD consisting of certain parcels to be specially assessed;
    • Specifies the date of the 1st Public Hearing to hear objections to the project, cost estimate; etc.

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Purpose of Public Hearings for SAD under PA 188

  • PA 188 requires a two-hearing process for implementing a specified improvement.
  • Requires notification of property owners of their right to protest and appeal a special assessment.
  • Sent via first-class mail and published in newspaper.
  • Provides the date/time of the public hearings to provide input/object.

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First Public Hearing Notice Requirements

  • Notice must be published twice before the public hearing in a newspaper circulating within the Township;
  • The 1st Notice of PH must be published at least 10 days before the date of the hearing.
  • Township must provide notice to each property owner or party with an interest in the property to be assessed, by first class mail at least 10 days before the date of the PH.
  • Resolution sets date of 2nd Public Hearing

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Information to be Included in the Notice

  • Date, time, location PH/meeting;
  • Description of improvement;
  • Designation of SAD boundaries.

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Hold Second Public Hearing

  • Establishes the tax roll.
  • Definitively sets assessment for each property.
  • Work with Bond Counsel and Municipal Financial Advisor.
      • Do this before the Public Hearings.
  • SAD – life of the asset; about 15 years.