Bill Text: MI HB5018 | 2009-2010 | 95th Legislature | Introduced
Bill Title: Economic development; other; Michigan promotion fund; create. Amends 1984 PA 270 (MCL 125.2001 - 125.2094) by adding ch. 3A. TIE BAR WITH: SB 0619'09
Spectrum: Moderate Partisan Bill (Democrat 10-2)
Status: (Passed) 2010-04-13 - Assigned Pa 36'10 With Immediate Effect [HB5018 Detail]
Download: Michigan-2009-HB5018-Introduced.html
HOUSE BILL No. 5018
May 28, 2009, Introduced by Reps. Nathan, Robert Jones, Scripps, Sheltrown, Horn, Hansen, Jackson, Bledsoe, Durhal, Leland, Liss and McDowell and referred to the Committee on Tourism, Outdoor Recreation and Natural Resources.
A bill to amend 1984 PA 270, entitled
"Michigan strategic fund act,"
(MCL 125.2001 to 125.2094) by adding chapter 3A.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
CHAPTER 3A
Sec. 38. (1) The legislature finds and declares that the
activities authorized under this chapter to promote this state and
the creation of jobs in this state are a public purpose and of
paramount concern in the interest of the health, safety, and
general welfare of the citizens of this state. It is the intent of
the legislature that the economic benefits and creation of jobs
resulting from this chapter shall accrue substantially within this
state.
(2) Activities authorized under this chapter shall not be
considered a project, economic development project, or a product
assisted by the fund for purposes of chapter 1 or 2.
Sec. 39. (1) The Michigan promotion fund is created as a
separate fund in the state treasury and shall be administered by
the fund.
(2) The Michigan promotion fund shall be used to promote
economic development and job creation in this state through the
promotion of tourism and business development.
(3) Subject to subsection (9), the state treasurer shall
credit to the Michigan promotion fund all amounts designated for
the Michigan promotion fund by this chapter, the Michigan promotion
assessment act, section 21 of the use tax act, 1937 PA 94, MCL
205.111, and section 25 of the general sales tax act, 1933 PA 167,
MCL 205.75.
(4) The state treasurer shall direct the investment of
Michigan promotion fund money in the same manner as all other funds
are invested. The state treasurer shall credit to the Michigan
promotion fund the interest and earnings from the fund.
(5) Money deposited, funds granted, or funds received as gifts
or donations to the Michigan promotion fund shall be available for
disbursement when deposited. The Michigan promotion fund is not
required to maintain a minimum balance. Funds may be disbursed from
the Michigan promotion fund at any time upon request by the fund.
Not more than 25% of amounts credited to the Michigan promotion
fund shall be used to promote business development.
(6) Money in the Michigan promotion fund at the close of the
state fiscal year shall remain in the Michigan promotion fund and
shall not lapse to the state general fund.
(7) The powers and duties of the fund under this chapter shall
be exercised and performed by the Michigan economic development
corporation as a joint exercise of power authorized under the urban
cooperation act of 1967, 1967 (Ex Sess) PA 7, MCL 124.501 to
124.512, pursuant to the contractual interlocal agreement,
effective April 5, 1999, between local participating economic
development corporations formed under the economic development
corporations act, 1974 PA 338, MCL 125.1601 to 125.1636, and the
fund.
(8) If the balance of the Michigan promotion fund at the end
of any fiscal year exceeds $40,000,000.00, adjusted annually for
the rate of inflation, beginning with the first fiscal year after
that balance reaches $40,000,000.00, additional revenue received by
the fund under this chapter for the succeeding fiscal year shall be
deposited in the general fund.
(9) Beginning January 1, 2013 and every 3 years thereafter,
the Michigan economic development corporation shall commission a
return on investment study with an independent private entity for
the 3 immediately preceding calendar years. The return on
investment study shall be reported to each house of the legislature
and to the governor not later than July 1 of that year. If the
return on investment study is not reported to each house of the
legislature and to the governor on or before July 1 or the return
on investment study shows that the funds disbursed under the
Michigan promotion fund in those 3 years have a ratio of return of
investment of less than 1 for 1, then beginning January 1 of the
immediately succeeding year the fund shall not distribute any of
the amounts described in subsection (3) to the Michigan promotion
fund.
Enacting section 1. This amendatory act does not take effect
unless all of the following bills of the 95th Legislature are
enacted into law:
(a) Senate Bill No.____ or House Bill No. 5017(request no.
01915'09 *).
(b) Senate Bill No.____ or House Bill No.____ (request no.
03089'09).
(c) Senate Bill No.____ or House Bill No.____ (request no.
03196'09).
