MI HB4194

Allows municipalities to appropriate surplus general fund revenue to budget stabilization funds through ordinance or resolution adopted by 2/3 vote of elected members.

Prohibits municipalities from imposing additional taxes beyond estimated budget needs to fund appropriations to the stabilization fund.

Increases the maximum fund balance cap from 15% to 20% of either the most recent general fund budget or the average of the 5 most recent general fund budgets, whichever is less.

Permits investment of fund money with earnings returned to the municipality's general fund.

Requires any fund amount exceeding the 20% cap to be appropriated to the next general fund budget but not returned to the stabilization fund.