COUNTY GRANTS & LOANS TO ECON. DEV. NONPROFITS
House Bill 5369
Sponsor: Rep. Thomas M. George
House Bill 5370
Sponsor: Rep. Jerry Vander Roest
Committee: Commerce
Complete to 4-19-02
A SUMMARY OF HOUSE BILLS 5369 AND 5370 AS INTRODUCED 10-31-01
House Bill 5369 would amend Public Act 156 of 1851 (MCL 46.11), which defines the powers and duties of county commissioners, to permit commissioners, at a lawfully held meeting, to grant or loan funds not derived from ad valorem taxes (e.g. property taxes) to a nonprofit corporation organized for the purpose of providing loans for private sector economic development initiatives.
House Bill 5370 would amend Public Act 380 of 1913 (MCL 123.872) to allow a county to make a grant from its general fund to an organization exempt from taxation under Section 501 (c)(3) of the federal Internal Revenue Code to establish a revolving loan fund to make loans to a private person, corporation, or other business association for the purpose of encouraging and assisting businesses in locating and expanding in the state. The section being amended currently permits a city, village, township, or county to use a federal, state, or local grant to make a loan or a grant to a private person, corporation or other business association, or to an instrumentality of a city, village, township, or county for the same purposes.
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This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.