MI HB4991

Village councils may provide energy conservation improvements to facilities and infrastructure through resolution, funding them from operating funds or energy savings generated by the improvements.

Energy conservation improvements include HVAC systems, roofing, insulation, controls, building closures, IT improvements, and municipal utility upgrades.

Villages may finance improvements through installment contracts, lease-purchase agreements, or notes extending up to 20 years or the useful life of improvements, whichever is less.

Lease-purchase agreements are treated as current operating expenses subject to annual appropriations and may include automatic renewal provisions, with immediate termination if funds become unavailable.

Village councils must report to the Department of Treasury within 60 days of completion with facility names, baseline energy consumption, project costs, and estimated savings, then annual actual energy consumption for 5 years post-completion.