Michigan court says Detroit district won't have to pay back mistakenly collected taxes

March 31, 2010
School system collected $259 million after levy authorization expired
FromThe Detroit News: Detroit Public Schools "no doubt" was mistaken when it collected $259 million in taxes from property owners without voter approval for three years, but doesn't have to pay it back, the the Michigan Supreme Court has ruled. Officials for the district, which faces a $317 million debt this year, hailed the decision. In 1993, Detroit voters approved a 32.25 mill school operating property tax renewal. Voter approval for the millage expired on June 30, 2002, but the district continued to levy an unauthorized 18-mill tax for tax years 2002, 2003 and 2004.

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