MI HB4990

City legislative bodies may acquire or finance energy conservation improvements to municipal facilities through resolution, paying from the general fund or from resulting energy savings.

Cities may use installment contracts, lease-purchase agreements, or borrow funds for energy conservation improvements with repayment periods not exceeding 20 years or the useful life of improvements, whichever is less.

Cities must report to the Michigan Public Service Commission within 60 days of completion detailing facility names, baseline energy consumption, project costs, and estimated annual savings.

Cities must file annual reports with the Michigan Public Service Commission for 5 years after improvements showing actual energy consumption at improved facilities.

Lease-purchase agreements are current operating expenses subject to annual appropriations, terminate at fiscal year end if funds are unavailable, and the city retains ownership of improvements throughout the contract term.