MI HB4993

Township boards may acquire and finance energy conservation improvements to facilities and infrastructure, paying from operating funds or savings generated by the improvements.

Energy conservation improvements include HVAC systems, windows, roofs, insulation, controls, entrance/exit closures, IT improvements, and utility upgrades.

Financing may occur through installment contracts, lease-purchase agreements, or borrowed money via notes, with repayment periods not exceeding 20 years or the useful life of improvements, whichever is less.

Lease-purchase agreements are exempt from the Revised Municipal Finance Act and may include automatic renewal provisions, with payments made from operating budgets or savings generated by the improvements.

Township boards must report improvement details and actual energy consumption data to the Michigan Public Service Commission within 60 days of completion and annually for 5 years following completion.