MI SB0284

Amends the Local Emergency Financial Assistance Loan Act (1980 PA 243) to expand emergency loan programs for Michigan political subdivisions including counties, cities, villages, townships, and school districts.

Authorizes the Local Emergency Financial Assistance Loan Board to provide loans up to $35 million to non-school district municipalities and up to $50 million to school districts during the period October 1, 2011 through September 30, 2018, with single municipality limits of $20 million.

Establishes eligibility requirements including projected general fund deficits, recent issuance of tax anticipation notes, and conditions such as income tax revenue growth rates of 0.90 or less or local tax base growth rates below 75% of statewide rates.

Requires municipalities receiving loans to employ full-time professional administrators, submit quarterly financial statements and annual evaluations against five-year fiscal plans, and submit budgets for board approval.

Permits the state treasurer to sell or transfer loans and adjust interest rates and loan terms to facilitate sales of tax-exempt obligations while maintaining security pledges and allowing municipalities to make early repayment without penalty.