LANSING, Mich. (Feb. 10, 2021) — Sen. Sylvia Santana (D-Detroit) has introduced legislation to allow Michigan residents to have their day in court for tax foreclosure cases if there is an alleged violation of federal civil rights law.
Senate Bill 127 would clarify a current interpretation of Michigan law, where tax foreclosure cases are handled by the Michigan Tax Tribunal, rather than a state court — even if the alleged violations are issues relating to, for example, the Federal Fair Housing Act.
“For decades Detroit residents have faced the brunt of a broken system, which unfairly targets minorities with overinflated taxes, resulting in families left homeless or struggling,” Sen. Santana said. “This legislation would update Michigan law and allow those wrongfully beaten down to have their cases heard in a state courtroom if they fear they were illegally targeted simply because of their race or where they live.”
A UC Irvine Law Review article estimates that one in four Detroit properties were subject to tax foreclosures between 2011 and 2015, a level comparable to tax foreclosure rates during the Great Depression. Additionally, The Detroit News published an investigatory article last January and found that Detroit homeowners are still recovering from questionable property tax valuations from 2010 to 2016. During that period, the News said, homeowners were overtaxed by $600 million.
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