MI SB1129

Extends the deadline for counties, cities, villages, and townships to issue municipal securities to pay unfunded pension and health care liabilities from December 31, 2018 to December 31, 2023.

Allows issuance of these securities without voter approval if the municipality meets specified credit rating requirements or is closing its defined benefit plan, as determined by the state treasurer.

Requires municipalities to publish notice of intent, prepare a comprehensive financial plan analyzing obligations and demonstrating the security will eliminate unfunded liabilities, and obtain state department approval before issuance.

Restricts use of health care liability proceeds to deposits in trust funds and prohibits municipalities from rescinding pension plan closures or benefit cessations while securities are outstanding.

Permits refunding of previously issued securities after December 31, 2023 if the refunding security does not extend beyond the original maturity and the municipality maintains an AA or higher credit rating.