SB 1031 Summary

• Authorizes local units of government to establish voluntary property assessment programs allowing property owners to finance environmental hazard, water usage improvement, energy efficiency, and renewable energy projects through assessments on their property.

• Establishes procedures for local governments to adopt programs through resolution, public hearing, and report requirements including contract terms, eligibility criteria, repayment periods, and financing plans.

• Permits local governments to issue bonds or notes secured by assessment payments, reserves, municipal bond insurance, tax increment revenues, or other lawful funds to finance projects under the program.

• Assessment installments are collected through summer and winter tax bills or special assessment ordinances and create a lien on the property with same priority as property tax liens until paid in full.

• Allows local governments to advance funds from state water pollution control revolving fund, state drinking water revolving fund, and other sources to finance projects, and permits joint implementation between multiple local units of government and the Michigan Finance Authority.