LANSING, Mich. (AP) – Detroit Mayor Mike Duggan says bills approved overwhelmingly by the Legislature would give 20,000 Detroit homeowners the ability to restructure their property tax debts to avoid foreclosure and stay in their homes.
The legislation would cut interest on back taxes from 18 percent to 6 percent and let homeowners enter into a payment plan for up to five years to pay down their delinquency.
A debt forgiveness component also would be established to ensure a homeowner’s tax bill is no more than 25 percent of the house’s market value.
The legislation the House passed Thursday heads to Gov. Rick Snyder for his expected signature.
Duggan says he’s also happy about passage of an insurance-related bill that would help the city more quickly address fire-damaged buildings in need of demolition.