MI HB6416

Creates the Strategic Water Quality Initiatives Fund within the state treasury to fund water quality improvement projects, loans, grants, and administrative costs related to nonpoint source water pollution.

Authorizes up to $140,000,000 from the fund for response activities addressing nonpoint source water pollution, with $50,000,000 available for fiscal years 2011 and 2012, and remaining funds available only after the department meets specified performance objectives.

Allocates $10,000,000 from the fund for brownfield redevelopment grants ($5,000,000) and loans ($5,000,000) to municipalities and brownfield authorities for response activities addressing nonpoint source water pollution.

Establishes bond issuance requirements ensuring the state water pollution control revolving fund receives minimum fundable ranges of $210,000,000 (FY2011) and $259,000,000 (FY2012) before nonpoint source pollution bonds can be issued.

Directs transfer of up to $710,000,000 to the state water pollution control revolving fund and up to $290,000,000 to the strategic water quality initiatives fund, with audits required at 2 and 4 years to ensure compliance.