MI HB5673

Establishes a strategic water quality initiatives loan program administered by the Michigan municipal bond authority to provide low-interest loans to municipalities for wastewater and stormwater improvements, septic system replacements, and innovative water technologies.

Creates the strategic water quality initiatives fund within the state treasury to finance loans, grants, nonpoint source pollution response activities, and brownfield/wetland mitigation projects, with repaid loan funds returned to the fund.

Provides grants up to $2,000,000 per municipality covering up to 90% of project costs (up to $1,000,000) and 75% above that threshold, with 100% coverage available for disadvantaged communities, municipalities in receivership, or those under emergency management.

Allows grant funding for asset management program development, stormwater management planning, sewage and stormwater project design, and innovative technology demonstrations for municipalities seeking state water pollution control revolving fund assistance.

Requires the department to establish grant application procedures with 120-day review timelines and mandates annual reporting to legislature on grant utilization, including project types, affected users, and local match amounts; effective only if companion Senate Bills 1155-1158 are enacted.