Bill Text: MI HB5806 | 2013-2014 | 97th Legislature | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Higher education; community colleges; term of installment contracts for energy conservation improvements allowed under statute; extend. Amends sec. 122 of 1966 PA 331 (MCL 389.122).

Spectrum: Bipartisan Bill

Status: (Passed) 2014-12-31 - Assigned Pa 485'14 2014 Addenda [HB5806 Detail]

Download: Michigan-2013-HB5806-Engrossed.html

HB-5806, As Passed Senate, December 17, 2014

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 5806

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1966 PA 331, entitled

 

"Community college act of 1966,"

 

by amending section 122 (MCL 389.122), as amended by 2003 PA 306.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 122. The board of trustees may do all of the following:

 

     (a) Borrow, subject to the provisions of the revised municipal

 

finance act, 2001 PA 34, MCL 141.2101 to 141.2821, for community

 

college purposes, including capital expenditures, money on the

 

terms it considers desirable and give notes of the district for

 

those purposes. If a newly organized community college district

 

borrows in anticipation of the collection of the first tax levy of

 

the district, the loan shall not exceed 50% of the estimated amount

 

of the first tax levy.

 

     (b) Borrow, subject to the revised municipal finance act, 2001

 

PA 34, MCL 141.2101 to 141.2821, money as it considers necessary


 

and issue bonds of the community college district, to purchase

 

sites for buildings, playgrounds, athletic fields, or agricultural

 

farms; to purchase or erect and equip any building or buildings

 

that it is authorized to purchase and erect; or to make any

 

permanent improvement that it is authorized to make. A The board

 

shall not make a loan shall not be made and or issue bonds shall

 

not be issued for any sum that, together with the total outstanding

 

bonded indebtedness of the district, including bonds voted but not

 

issued, exceeds the total of 1-1/2% of the first $250,000,000.00

 

plus 1% of the excess over $250,000,000.00 of the last confirmed

 

state equalized valuation of all taxable property in the district

 

unless the proposition of making the loan or of issuing bonds has

 

been is submitted first to a vote of the qualified electors of the

 

district, at a regular or special election, and approved by the

 

majority of the electors voting at the election, in which event

 

loans may be made or the board may make a loan or issue bonds may

 

be issued in an amount that does not to exceed 15% of the total

 

state equalized valuation taxable value of the district.

 

     (c) Provide for energy conservation improvements to be made to

 

community college facilities and pay for the improvements from

 

operating funds of the district or from the savings that result

 

from the energy conservation improvements. Energy conservation

 

improvements may include, but are not limited to, heating system

 

improvements, fenestration improvements, roof improvements, the

 

installation of any insulation, the installation or repair of

 

heating or air conditioning controls, and entrance or exit way

 

closures. The board of trustees may acquire 1 or more energy


 

conservation improvements by installment contract or may borrow

 

money and issue notes for the purpose of securing funds for the

 

improvements or may enter into contracts in which the cost of the

 

energy conservation improvements is paid from a portion of the

 

savings that result from the energy conservation improvements.

 

These contractual agreements may provide that the cost of the

 

energy conservation improvements are paid only if the energy

 

savings are sufficient to cover their cost. An The term of an

 

installment contract or notes issued pursuant to under this

 

subdivision shall extend for a period of time not to exceed 10

 

years. not exceed 25 years from the date of installation of the

 

energy conservation improvements. Notes issued pursuant to under

 

this subdivision shall be are full faith and credit, tax limited

 

obligations of the community college district, payable from tax

 

levies and the general fund as pledged by the board of trustees.

 

The notes are subject to the revised municipal finance act, 2001 PA

 

34, MCL 141.2101 to 141.2821. This subdivision does not limit in

 

any manner the borrowing or bonding authority of a community

 

college as provided by law.

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