ALLOW PUBLIC WORKS TO ACQUIRE

RENEWABLE ENERGY SYSTEM

Senate Bill 763 as introduced

Sponsor:  Sen. Mark C. Jansen

House Committee:  Energy and Technology

Senate Committee:  Energy and Technology

Complete to 11-25-12

A SUMMARY OF SENATE BILL 763 AS PASSED BY THE SENATE 6-6-12

The bill would allow a county department of public works, in addition to other statutorily authorized powers, to acquire a renewable energy system within one or more areas in the county and improve, enlarge, extend, operate, and maintain that system.

Senate Bill 763 would amend Public Act 185 of 1957, which governs a county department and board of public works.  Currently, such a board has the power to acquire a water supply system, sewage disposal system, refuse system, and erosion system and to make lake improvements within one or more areas in the county and to improve, enlarge, extend, operate, and maintain those improvements or systems.  Under the bill, provisions relating to those systems would also be applied to renewable energy systems. Specifically, the bill would amend the act to do the following:

·                    Define "renewable energy system" as the term is defined in Section 11 of the Clean, Renewable, and Efficient Energy Act.

·                    Add the acquisition of a renewable energy system within one or more areas in a county to the statutorily authorized powers of a county board of public works and allow the board to improve, enlarge, extend, operate, and maintain the system.

·                    Allow a county operating under the act to acquire any part of a renewable energy system in an adjoining county or counties as authorized in the act.

·                    Require approval by the county board of commissioners to establish a renewable energy system.

·                    Authorize financing of a renewable energy system as for a water supply system, sewage disposal system, or refuse system.

·                    Allow a county public works department to enter into a contract for up to 40 years with any of the municipalities affected by the system for the acquisition, improvement, enlargement, or extension of a renewable energy system.

·                    Allow for the acquisition of a renewable energy system by purchase, construction, lease, gift, devise, or condemnation— within or without its corporate limits— and allow the public works department to hold, manage, control, sell, exchange, or lease the property.

MCL 123.731 et al

FISCAL IMPACT:

To the extent that a county with a public works department acquired renewable energy systems, the bill could potentially increase revenues and expenditures of local governments by an indeterminate amount.  State revenues and expenditures would be unaffected.

                                                                                           Legislative Analyst:   Susan Stutzky

                                                                                                  Fiscal Analyst:   Jim Stansell

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.